Chapter 13 Bankruptcy

A Chapter 13 Bankruptcy is sometimes known as “consumer reorganization.” This form of bankruptcy allows consumers to reorganize their debt and to pay off a portion of that debt over time. In a Chapter 13 bankruptcy, our attorneys will work with you to develop a “Plan” that proposes repayment of a portion of your debts back over a period of time, usually between three and five years.

Chapter 13 plans are good for cases that involve debts that will not be discharged in a typical Chapter 7 filing, such as recent taxes, student loans or child support. Also, if you find yourself in foreclosure and want to attempt to save your home, Chapter 13 can often be a good tool to save your house. Many Chapter 13’s are now filed as well as a result of the means testing requirement of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005.