Benefits of Filing Chapter 13 Bankruptcy

Chapter 13 offers several important benefits for individuals seeking long-term debt relief, including:

• Stop mortgage foreclosure and sheriff’s sales

• Prevent vehicle repossession

• Catch up on missed mortgage or car payments over time

• Potentially reduce certain secured debt payments through a Chapter 13 cramdown

• Lower monthly payments and, in some cases, reduce interest rates

• Stop wage garnishments

• Stop creditor harassment and collection actions

• Catch up on child support arrears

• Stop IRS levies and address certain tax debts

• Consolidate debts into one manageable monthly payment

  For many Indiana residents, Chapter 13 bankruptcy provides the opportunity to regain financial control while protecting valuable property.

Who Qualifies for Chapter 13 Bankruptcy?

You may qualify for Chapter 13 bankruptcy in Indiana if:

• Your income exceeds the limits for Chapter 7 bankruptcy

• You have regular income to support a repayment plan

• You want to repay debt while protecting your home, vehicle, or other assets

• You are facing foreclosure, repossession, tax debt, or wage garnishment

• You need time to catch up on past-due secured debts

Unlike Chapter 7, Chapter 13 bankruptcy is a debt reorganization plan that allows individuals to repay all or a portion of their debts over three to five years. This process can help you become current on missed payments without additional penalties or overwhelming interest.