UNDERSTANDING THE DIFFERENCE BETWEEN CHAPTER 7 AND CHAPTER 13
GUIDING YOU THROUGH THE BANKRUPTCY PROCESS
CHAPTER 7 BANKRUPTCY OVERVIEW
These debts include:
- Credit card bills
- Medical bills
- Matters of pending litigation
The Chapter 7 process takes approximately 90 days to complete. Immediately upon filing for Chapter 7, the automatic stay takes effect.
The automatic stay will stop collection activity, including:
- Telephone calls
The filing of the bankruptcy petition is made electronically.
CHAPTER 13 BANKRUPTCY OVERVIEW
- The income of the debtor may exceed the means test guidelines periodically published regionally by the federal government. This forces the debtor to pay all or a portion of his debts depending on what the application of the means process formula determines is his disposable income.
- The debtor may need to save secured assets, such as a residence, by gaining time to make payment on arrearages which have accrued on his mortgage. Chapter 13 plans usually run for 60 months of payments to a standing trustee.
ADVOCATING FOR YOUR ECONOMIC FUTURE
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.