When should I consider filing a chapter 13 bankruptcy?


Chapter 13 is usually preferable for a person who:

• wishes to repay all or most of his or her unsecured debts and has the income with which to do so within a reasonable time;

• has significant tax obligations and needs an efficient and effective way or resolving those debts;

• is past due no mortgage or car payments and needs an opportunity to get current;

• has valuable nonexempt property  which would be lost in a chapter 7 case;

• is not eligible for a discharge under chapter 7, but still needs relief from creditors;

• has one or more substantial debts that are dischargeable only under chapter 13; or

• has sufficient assets with which to repay most debts, but needs temporary relief from creditors in order to do so.