{"id":2691,"date":"2018-03-06T03:36:34","date_gmt":"2018-03-06T03:36:34","guid":{"rendered":"https:\/\/rosevillebankruptcy.com\/?page_id=2691"},"modified":"2020-08-26T20:54:37","modified_gmt":"2020-08-26T20:54:37","slug":"chapter-13","status":"publish","type":"page","link":"https:\/\/rosevillebankruptcy.com\/chapter-13\/","title":{"rendered":"Chapter 13 Bankruptcy"},"content":{"rendered":"
In chapter 13 bankruptcy you can keep your property while repaying a percentage of your debts over several years. Whereas in chapter 7 bankruptcy non-exempt property is sold to repay creditors in exchange for a discharge, chapter 13 bankruptcy entails a different trade-off. In exchange for being able to keep your property (including nonexempt property) you will commit to a repayment plan. Generally, you must commit your disposable income to the repayment plan for three to five years. Once you have completed the repayment plan any remaining unsecured debts will be discharged (if they are eligible for discharge).<\/p>\n
You make too much money to qualify for chapter 7 bankruptcy. To qualify for chapter 7 bankruptcy<\/a> you must pass the means test. If you make too much money this may not be possible. If that\u2019s the case your only option may be to file chapter 13 bankruptcy.<\/p>\n You have nonexempt property. If you have property that cannot be protected under the California 703 or 704 exemption schemes you may choose to file chapter 13 bankruptcy rather than lose your property in chapter 7 bankruptcy. This preference is often made by individuals who have significant equity in their homes or several cars.<\/p>\n You need to save your home from foreclosure<\/a>. Chapter 7 bankruptcy can stop foreclosure, but only temporarily. In chapter 7 bankruptcy the lender will eventually be able to resume foreclosure since you will continue to be in default on your home loan. However, in chapter 13 bankruptcy you can repay late mortgage payments through the repayment plan and thereby bring yourself current on the loan. Once you are no longer in default the lender cannot resume foreclosure proceedings.<\/p>\n