Chapter 13 Bankruptcy

Below is an explanation of Chapter 13 bankruptcy and how Tampa, Florida bankruptcy lawyers can help you. Feel free to read about how Chapter 13 works, or simply take our free online evaluation to find out if you qualify for this type of bankruptcy.

Chapter 13 bankruptcy allows a person to retain ownership and possession of his or her assets by agreeing to follow a court-approved payment plan. Some portion of future income must be used to repay creditors – generally over a period of three to five years. The amount of payment and the repayment period depends on several factors, including the value of the debtor’s property and the amount of income and expenses. Secured creditors may be able to get a larger payment than unsecured creditors.

Not all debtors are allowed to file under Chapter 13 because there are requirements on the debtor’s disposable income necessary to fund a viable repayment plan. There are also maximum amounts of debt under the United States Code for filing Chapter 13.

Filing for bankruptcy under Chapter 13 will leave a record on an individual’s credit report for up to 7 years. During this time, a debtor may have to receive permission from the bankruptcy court before obtaining additional credit, and lenders may be unwilling to issue further credit. There are, however, some advantages of filing under Chapter 13 rather than under Chapter 7 that a Tampa bankruptcy attorney can help you with.

To determine if you are eligible to file under Chapter 13, fill out our free evaluation and a bankruptcy lawyer in Tampa will contact you.