Ohio Board-Certified Chapter 13 Bankruptcy Attorneys

At Kennel Zeigler LLC, we have guided numerous clients through the process of filing for Chapter 13 bankruptcy in Ohio. Our Dayton attorneys are here to help you. Whether you want to save your home from foreclosure or you simply don’t qualify for Chapter 7, we will listen carefully to your goals and help you develop a plan of action that is tailored to finding you the relief you need.

How might Chapter 13 bankruptcy benefit you?

• It can allow you to catch up on past-due mortgage payments and car payments, helping you save your home and avoid car repossession.
• It will put an immediate stop to creditor harassment, wage garnishment and sheriff’s sales.
• It can enable you to repay state or federal tax debt without interest.
• It can allow you to keep more personal property and assets than with Chapter 7.
• It can provide peace of mind, knowing that you are repaying your debts instead of simply eliminating them.

How To File Chapter 13 Bankruptcy

With Chapter 13, you will create a manageable debt repayment plan for repaying as much as you can over a three- to five-year period. Once the repayment plan is complete, any remaining debts will be discharged.

Many people don’t realize we can help you find relief within days of filing for bankruptcy. The court will issue an automatic stay on your behalf as soon as you file, which will put an immediate stop to creditor calls, debt-related lawsuits and other actions against you.

Frequently Asked Questions On Chapter 13 Bankruptcy

Below are some questions we frequently encounter regarding Chapter 13 bankruptcy in Ohio.

What happens to my car loan in a Dayton Chapter 13 filing?

Chapter 13 is designed to restructure secured debts while allowing the filer to keep essential property, including a vehicle. In a Dayton Chapter 13 bankruptcy, a car loan may be modified through a process known as a cramdown if certain conditions are met.

A cramdown allows the loan balance to be reduced to the current fair market value of the vehicle rather than the full amount owed. A cramdown may apply when the following factors are present:

• The vehicle was purchased more than 910 days before filing.
• The loan is secured only by the vehicle.
• The car is for personal use, not business use.
• The vehicle’s value is less than the remaining loan balance.

The remaining unsecured portion of the loan may be treated like other unsecured debts and paid only in part. Because cramdown eligibility is technical and fact-specific, a bankruptcy attorney can assess whether this option is available and properly structured in the repayment plan.

How much will my monthly Chapter 13 payment be in Ohio?

It is helpful to know that Chapter 13 payments are based on income, expenses and debt obligations rather than a fixed formula. A Chapter 13 payment in Ohio depends on several required factors:

• Monthly household income and applicable median income limits.
• Reasonable and allowable living expenses.
• Priority debts such as taxes or domestic support obligations.
• Secured debts, including car loans and mortgages.
• The amount owed to unsecured creditors.

The goal is to create a feasible repayment plan lasting three to five years. An attorney can help ensure expenses are properly documented and payments remain affordable while still meeting court requirements.

Can I remove a second mortgage in bankruptcy?

In Chapter 13 bankruptcy, a second mortgage may be removed through lien stripping if the home’s value is less than the balance of the first mortgage. When no equity exists to secure the second lien, it may be treated as unsecured debt. Some of the requirements include:

• The property value is lower than the outstanding balance of the first mortgage.
• The lien is not secured by additional collateral.
• The Chapter 13 plan has been successfully completed.

Because lien stripping requires accurate valuation and precise legal filings, working with a Dayton Chapter 13 bankruptcy lawyer is critical to make sure the lien is properly removed and permanently discharged.

Talk With Us Today To Learn More

We encourage you to schedule a free initial consultation with one of our knowledgeable lawyers. We will sit down with you and discuss your debt-relief options in detail. Call Kennel Zeigler LLC at 937-576-9991 or email our Dayton office.

*We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.