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Get Your Chapter 13 Questions Answered

Let the experience of Attorneys Justin Clark & Associates help you with your questions about how bankruptcy can work for you. Get your free consultation today.

Central Florida Chapter 13

You may or may not have a choice between filing personal bankruptcy under Chapter 7 or Chapter 13. Contact our firm to determine your options.

Chapter 7 is most common, and people seem to prefer it, as it is a “fresh start.” Others prefer Chapter 13 because you don’t necessarily have to give up any property at all. You are also more likely to keep your home. Contact Us »

Benefits of Chapter 13

Chapter 13 is known as “reorganization” or a “wage-earner’s” bankruptcy. It differs from Chapter 7 in that you pay most of your debts over a three- or five-year plan.

  • As with Chapter 7, filing protects you from any collection actions by creditors.
  • You can keep your home if you show that you can make the payments on it.
  • Chapter 13 bankruptcy appears on your credit report for only seven years, as opposed to 10 with Chapter 7.
  • It can also be a relief to know you are doing something about your situation, and that in time, you will be back on your feet financially.

In exchange for debt relief and other benefits, you are promising to make regular payments for a three- or five-year period.

Qualifying Under Chapter 13

As opposed to Chapter 7, which requires that your income not be too high, with Chapter 13 you must prove your income is high enough — high enough to make regular payments over a few years.

If your current debts are very high, the court may reject your case, as you would have trouble paying the debts. Your secured debts cannot exceed $1,010,650, and your unsecured debts cannot be more than $336,900.

Phone (321) 282-1055