What is the difference between a chapter 7, 13 and 11?
In a Chapter 7, Debtors retain certain “exempt” property, while the non-exempt assets are sold by the trustee. The trustee will then distribute the funds to the creditors in accordance with Bankruptcy law. In most cases, Chapter 7 Bankruptcy can be completed and a Debtor will have a discharge in as little as 3 months. Chapter 13 is for individuals, not businesses, with regular income who can repay a portion or all of their debt over an extended period of time. Chapter 13 may be appropriate for Debtors who seek to retain certain assets through a repayment plan. The repayment plan in Chapter 13 is generally for a period of between 36 and 60 months. Chapter 11 allows corporations, partnerships, and certain individuals who do not qualify under Chapter 13, to reorganize without having to liquidate all assets. As in a Chapter 13, the Debtor is required to create a repayment plan. If the plan is accepted by the creditors and approved by the Court, the Debtor will be able to reorganize his or
