Many of our clients, who are currently in chapter 13 do not realize that the CARES Act allows them to extend their plans up to 84 months(instead of 60 months) if they can establish that COVID-19 has materially impacted their financial situation.
At TAIEBLAW, we have already helped six clients who were impacted by the corona virus either lower their trustee payments, or add post-petition mortgage payments in which they have defaulted to be added to the plan which was extended up to 84 months.
In order to comply with the CARES Act, your plan had to be confirmed before March 27,2020. If your plan was confirmed after that date, we can still help you but we cannot extend your plan to eighty four months. In addition, you have to show that
COVID-19 materially impacted your financial situation. Also there is a sunset time of March 27,2021 under the current statute to modify your plan up to 84 months.
In light of the incredible uncertainty and unprecedented situation that this pandemic has caused, the Courts have been fairly liberal in giving people opportunities to save their property and modify their plan as long as they file a detailed certification and provide documentation with pay advices or other proof or drop in income resulting from COVID-19.
If you have fallen behind on other bills and have accumulated other debt, TAIEB LAW can still help you by either filing a chapter 7 or chapter 13 depending on your individual circumstances.
When you are behind on your debt, it causes incredible stress. Your sleep is affected and your marriage is affected. Also, it can have a serious affect on your children when they see their parent(s) in constant fear or arguments. It is certainly admirable to try to get another job to catch up. However, as we have seen at TAIEBLAW over the last 35 years, working too many hours also have serious consequences on your health.
The whole purpose of the bankruptcy code is to help honest debtors, who through unforeseen circumstances, have gotten into a horrible financial situation and they need a fresh start. What can be more of an unforeseen circumstance than this horrible plague that has hit the entire world.
Even though Governor Murphy has stopped several creditor activities, this is only a temporary measure and eventually creditors will go after you if you are behind on your bills
Things are hard enough now and you don’t want creditors to sue you when you get back to work and try to levy your bank accounts or garnish your wages since you work too hard for your money. Also, now is the best time to file for bankruptcy since the Cares Act has made chapter 7 and chapter 13 easier to file from a legal perspective.
If your debt is stressing you out and overwhelming you, we can help you get a fresh start by modifying your current plan if you are already in chapter 13 and need help or by filing a bankruptcy for you. For more information go to TaiebLaw.com or call us at
AGAIN, PLEASE NOTE WE ARE OPEN FOR BUSINESS TO
HELP ANYBODY WHO IS IN FINANCIAL DISTRESS.
Steven N. Taieb,Esquire has been a south jersey bankruptcy attorney for 35 years and is board certified in consumer bankruptcy law by the American Board of Certification which is accredited by the
American Bar Association.
We are a debt relief agency. We help people file for bankruptcy relief under
the bankruptcy Code.