Well, this depends on the situation and requirement.
When giving a kick start, take a look at your big picture. What are your most concerning issues? What do you need now, and what will you need in the next couple of years? What are your goals for the short and long term?
Attempting to make sense of what tools to use, 7 or 13, preceding knowing precisely what you have to achieve, is absurd.
Disregard the means test that you read about when looking for data about Chapter 13, liquidation exceptions, median salary diagrams. You should also lookout for the majority of the other insolvency snippets that spring up on the Internet when you scan for liquidation or bankruptcy data.
Many lawyers are NOT aware of the mind-boggling subtleties of Chapter 13 Bankruptcy. Some lawyers who advertise "Bankruptcy" as one of their (occasionally many, jack of all trades rings a bell) practice areas won't offer to record a Chapter 13.
Chapter 13 is an astounding tool
Whenever used appropriately, it can do numerous things for you. Contingent upon your conditions (required official disclaimer language), it could:
- Spare your home from foreclosure, even after the claim documentation is done.
- Lower your vehicle installment, by diminishing the loan cost.
- Give you a chance to keep your vehicle and pay just what it is worth, not what you owe.
- Pay as meager as 1% to all your unbound banks, similar to credit cards, hospital expenses, and so on, which is just about like section 7, which pays 0% — being equivalent.
- Give you a chance to loosen up your installments more than 3 to 5 years, so you have a decent spending plan.
- You can have a BIGGER family budget plan while keeping all your property – lose nothing, and have more cash in your pocket.
How does this sound?
Chapter 13 bankruptcy can help you in manners that you basically can't achieve in chapter7. You may need to file chapter 13 since you are not qualified for part 7.
Many lawyers will reveal to you that if your salary is "over the median income limit," you need to file Chapter 13, which is not valid. Make sure to have all the right information where things can go in your favor and make a huge difference.
