Each chapter of bankruptcy has certain criteria that must be met in order to file. Some of our clients qualify for more than one chapter. We always perform a thorough analysis of our clients’ circumstances to determine which path they qualify for and which chapter is best. We also use our experience as bankruptcy attorneys to identify alternatives to bankruptcy because filing for bankruptcy should always be a last resort. You may have trusted family members and friends to discuss your options with but there is no substitute for discussing your legal options with an experienced attorney.

If you are eligible for Chapter 13 bankruptcy, we will offer clear and candid advice for preparing for and completing the process. We will explain the criteria and if necessary, work to help you meet them.

To arrange an appointment with our Los Angeles bankruptcy attorneys, call (310) 220-4147.

How Do I Qualify for Chapter 13?

Chapter 13 bankruptcy allows you to reorganize your debt and pay a smaller amount that has been approved by your creditors and the bankruptcy court under the guidance of a bankruptcy trustee.

Some of the eligibility requirements include:

• You have a median income higher than the California median income. If your income is low, you may be better off with Chapter 7.
• You have the disposable monthly income to honor the approved repayment plan over three to five years.
• You have no previously filed a Chapter 13 within the last 2 years, or a Chapter 7 within the last 4 years. If you have recently filed, you will need to wait until you are eligible.
• You have completed the credit counseling requirement.
• Your unsecured debts do not exceed $419,275 and secured debts do not exceed $1,257,850.
• You have completed and filed your income tax returns for the last four years.

In Chapter 13 bankruptcy, your debts will be consolidated and reorganized into a repayment plan of three to five years. As we help you refine a repayment plan, we will work to achieve the lowest payments allowed by law on all applicable debts. Our attorneys will use their decades of experience and extensive resources to get a plan approved that helps you maintain your quality of life, retain your assets, and move toward long-term financial health.

Because every situation is different and the amount of secured and unsecured debt you have will greatly influence which chapter you are eligible for, contact us for the answers and the guidance you need.