A Chapter 13 bankruptcy is known as the wage earner’s plan. It is an adjustment of debts, or reorganization of debts, for an individual with regular income as it allows debtors to keep property and pay debts over time, usually over three to five years. In a Chapter 13 bankruptcy, a debtor offers to pay off all or part of the debts from the debtor’s future income, which means the amount of debt can be reduced in a Chapter 13. During this time the law forbids creditors from starting or continuing collection efforts against the debtor.
The Chapter 13 bankruptcy laws allow debtors to keep all their property – both secured and unsecured. This means that you will NOT be required to give up your secured property, such as your house or car, to the trustee. You will also not be required to give up your other personal property that is not secured by a loan (furnishings, jewelry, etc.).
To file Chapter 13 bankruptcy you must have a “regular source of income” and have some disposable income to apply towards your Chapter 13 payment plan.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. See Title 11 Bankruptcy Relief (11 U.S.C. §528(a)(3).
Serving all of Pima County, including Tucson, Marana, Oro Valley,
and Catalina, as well as Saddlebrook (Pinal County)
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