Chapter 13 bankruptcy seems like Consumer Credit Counseling. How is it different?
First of all, creditors have to honor a Chapter 13 Bankruptcy, however Credit Counseling is voluntary for creditors and not all creditors are amenable to it. Your creditors DO NOT have to accept whatever deal Credit Counseling proposes. Also, most unsecured consumer debts are paid interest free in Chapter 13 Bankruptcy cases where as Credit Counseling may lower interest or defer it if at all. Finally, Chapter 13 Bankruptcy specifically addresses problems with mortgages and vehicles that Credit Counseling does not usually deal with and will not touch.
