Chapter 13

Chapter 13 is a form of bankruptcy where an individual agrees to reorganize his debts through the use of a Chapter 13 trustee.

The individual must repay either all or a portion of his debts over a three to five year period. While the individual is in the repayment stage, existing creditors are not permitted to make efforts to collect the debt. Chapter 13 is a complex case and there is extensive math involved in order to make the case work. The individual will need to provide detailed information regarding income, expenses, assets and liabilities. Chapter 13 is commonly used to repay mortgage arrears or otherwise reorganize debt over a 36-60 month repayment time frame.

Be sure to consult with an experienced Chapter 13 bankruptcy attorney prior to pursing a Chapter 13 bankruptcy case.