Chapter 13 debt relief allows you to consolidate ALL of your debt, including student loans and taxes into a structured debt repayment plan. Chapter 13 offers a number of advantages other than liquidation as described in Chapter 7. A chapter 13 bankruptcy enables individuals with regular income to develop a plan to repay all or part of their debts. Under this chapter, debtors propose a repayment plan and make regular installments to creditors over a period of time. Chapter 13 offers individuals a plan to save their homes from foreclosure.
Most people who file for bankruptcy are hardworking, honest people who have repaid their original amount borrowed, but can’t get ahead of the interest. Most people who file have juggled monthly bills before finally realizing they are no longer working for their own family. After you file, many creditors consider you to be a better credit risk, and you can usually start rebuilding your credit history immediately. Should I file for bankruptcy?.