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CHAPTER 13 BANKRUPTCY


Chapter 13 bankruptcy involves a 3 to 5-year repayment plan for owed debts. Most people who file a Chapter 13 petition do so to avoid liquidation, because they need time to catch up on asset payments, repay their state or federal tax debt free of interest and penalties, require a manageable payment plan, make too much money to qualify for Chapter 7, or want to restructure their payments.


Filing a bankruptcy petition puts an automatic stay into effect. This is a court ordered issue that can help you stop creditor harassment, wage garnishment, and debt-related lawsuits levied against you.


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