Why File for Chapter 13 Bankruptcy?

There are 5 major reasons why people file for Chapter 13 bankruptcy:

1. Stop a foreclosure or repossession.

2. Protect an asset that would otherwise not be protected in Chapter 7.

3. The debtor makes too much money to file for Chapter 7.

4. The debtor has been discharged in a prior Chapter 7 case and is not eligible to file again; and

5. To consolidate debts that would not be dischargeable in a Chapter 7 case.

This is a very basic outline of why one would file Chapter 13 Bankruptcy.

Chang and Carlin
The content found on the Chang & Carlin site is not legal advice and is purely for informational purposes. The information contained herein is not a substitute for the advice of an attorney and does not create an attorney-client relationship. If you are interested in obtaining information about chapter 7 bankruptcy, chapter 13 bankruptcy, foreclosure services, real estate legal services, you are encouraged to call our law firm at 866-790-8601 or Request a Free Legal Evaluation. Chang and Carlin serves clients in Chicago, Schaumburg, Joliet, Warrenville, Waukegan, Illinois.