Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What are the advantages of chapter 13 over chapter 7?

0
Posted

What are the advantages of chapter 13 over chapter 7?

0

Filing a chapter 13 bankruptcy has several advantages over a chapter 7 liquidation. A chapter 13 bankruptcy allows you to discharge a few more types of debts than does a chapter 7 bankruptcy. If you own an unincorporated business and your business is not a partnership, you can continue to own and operate the business under a chapter 13 plan. Under a chapter 7 liquidation, a bankruptcy court may order that your business or its assets be sold. Also the automatic stay of a chapter 13 bankruptcy protects any co-signers of consumer debts to the extent that the debt is paid in full through your plan, whereas chapter 7 offers only very limited protection (almost no protection) of others who may share the debtor’s obligation. Finally, in a chapter 13 bankruptcy you can pay out past due taxes and past due payments on your mortgages and/or automobiles.

Related Questions

Thanksgiving questions

*Sadly, we had to bring back ads too. Hopefully more targeted.