CHAPTER 13 BANKRUPTCY LAWYER IN NORTH CAROLINA

HELPING EVERYDAY HARDWORKING PEOPLE WITH THEIR DEBT

If you are struggling with debt, financial problems, and facing threats of home foreclosure and other creditor actions, Chapter 13 bankruptcy offers a path to a stable financial future.

At Gillespie & Murphy, P.A., our Chapter 13 bankruptcy lawyers have been helping people throughout North Carolina, including New Bern, Wilmington, Greenville, and Jacksonville, solve their debt problems since 1991. With 45 years of combined bankruptcy law experience, our bankruptcy attorneys are prepared to guide you out of financial difficulties and into a fresh start.

Understanding Chapter 13 Bankruptcy

In a Chapter 13 bankruptcy, you will enter into a debt payment plan that lasts between three and five years.

Chapter 13 bankruptcy is often called the “wage earner’s plan” because it gives people who earn steady paychecks, including individuals earning income from social security, retirement, VA disability or from family members, a chance to get caught up on past-due loans while stopping home foreclosures and other creditor actions.

How Chapter 13 Stops Foreclosure and Protects Your Home

One of the most powerful benefits of working with a Chapter 13 bankruptcy lawyer in North Carolina is the ability to stop foreclosure and protect your home. If you are behind on mortgage payments and facing financial distress, filing Chapter 13 bankruptcy triggers the automatic stay, which immediately stops foreclosure proceedings, wage garnishments, and creditor harassment. This legal protection gives you time to regain control, breathe, and develop a strategy with your attorney.

Instead of losing your home, a Chapter 13 repayment plan allows you to catch up on delinquent mortgage payments over time while continuing to make your current payments. Our bankruptcy attorneys understand how frightening it feels to face the possibility of losing your home, and we are here to help you navigate the bankruptcy process. With these protections in place, many North Carolina residents are able to stay in their homes, protect their assets, and begin building a fresh financial start—without the fear of immediate foreclosure.

At our law firm, our North Carolina Chapter 13 bankruptcy lawyers take the time to evaluate your financial situation, explain your debt relief options, and help you build a proposed plan that fits your income and daily needs. Our goal is to help clients regain control over their finances and secure lasting relief.

What Debts Can Be Included in a Chapter 13 Repayment Plan?

One of the most common questions our Chapter 13 bankruptcy lawyers hear is: What types of debts can be included in Chapter 13? Fortunately, Chapter 13 allows people to reorganize a wide range of debts, making it a valuable strategy for those overwhelmed by credit card debt, medical debt, personal loans, auto loans, and other unsecured debts. This form of debt relief is especially helpful for individuals who have regular income but need extra time to restructure and meet their financial obligations.

In a Chapter 13 repayment plan, you make structured plan payments based on your disposable income, typically over three to five years. Certain debts, like mortgages and car loans, can be brought current through these payments, helping debtors avoid repossessions or potential foreclosure. Meanwhile, other unsecured debts may be significantly reduced—or even fully discharged—at the end of the process.

As experienced bankruptcy attorneys, we will review your financial situation, income, assets, and goals to help determine the best course for your case under the bankruptcy code. Our compassionate and skilled legal team will help ensure that your repayment plan works for your lifestyle and puts you on a path toward a more sustainable financial future.

With Chapter 13 Bankruptcy, Creditor Harassment Stops Immediately

As in a Chapter 7 bankruptcy, Chapter 13 triggers the automatic stay, a powerful legal injunction that stops creditors from suing you, placing liens on your property, and taking other collection actions. This is one reason Chapter 13 is such an effective means of helping people who are behind on mortgage payments save their homes.

Also, a Chapter 13 will prevent the IRS, NC Department of Revenue, and other tax authorities from attaching bank accounts, placing liens against property, and garnishing wages or taking property. The Plan can provide for a payment arrangement to pay taxes that may not otherwise be dischargeable.

Whatever your debt situation, our North Carolina Chapter 13 bankruptcy lawyers can help you explore all the options available to you, including Chapter 13 bankruptcy.

What Life Looks Like During a Chapter 13 Repayment Plan

Many clients worry about what life will look like while they’re in a Chapter 13 bankruptcy plan. It’s normal to feel overwhelmed at the thought of filing bankruptcy, but most find that once the bankruptcy petition is filed and the automatic stay begins, life becomes much more manageable. The constant pressure from creditors stops. Lawsuits pause. Collection calls end. You finally have room to breathe.

Over the three to five-year repayment plan, you will make regular payments to a bankruptcy trustee, who will distribute the funds to your creditors based on your proposed plan. While you cannot incur significant new debt without court approval, you still maintain control of your income and continue to manage daily expenses like housing, transportation, and living costs.

During this time, our law office will remain by your side through every step of the whole process, including preparing documentation, representing you at your confirmation hearing, answering questions, and helping navigate any required adjustments. This is not about losing everything—it’s about keeping what matters and building stability and hope for the years ahead.

Our team is dedicated to ensuring that every debtor has the support and tools they need to successfully complete their plan and move forward with confidence. By the end of the process, many clients receive a discharge of remaining unsecured debts and can finally begin rebuilding their credit report, finances, and peace of mind.

Contact Our Chapter 13 Bankruptcy Attorneys in North Carolina Today. Free Consultations Are Available

Is Chapter 13 bankruptcy right for you? Our lawyers for bankruptcy are here to help you understand the pros and cons so that you can make informed decisions about your financial future. Contact us online or by telephone at 252-636-2225 to schedule a free consultation at our New Bern, Wilmington, Greenville or Jacksonville, North Carolina, offices.