Sangamon County Bankruptcy Attorney

Chapter 13 bankruptcy is commonly referred to as a wage-earner plan. The reason is that Chapter 13 is generally used by people with stable incomes who want to repay at least some of their debts but are currently unable to do so. One reason that a debtor may file Chapter 13 bankruptcy if the debtor's financial crisis is temporary and the debtor expects income will grow enough in the next few years to pay off all debts. A significant advantage to Chapter 13 is that the debtor is allowed to keep the debtor's property while a court-approved repayment plan is in effect. Only an individual with less than $100,000 in unsecured debts and less than $350,000 in secured debts is eligible to file a Chapter 13 bankruptcy. Corporations and partnerships cannot file Chapter 13 bankruptcies, although this option is available to a small business operated by a sole proprietor. For further information, please contact your Sangamon County Bankruptcy Attorney.