Chapter 13 Bankruptcy is a very popular bankruptcy
in the state of California and other areas of
the state. In particular, San Diego county and riverside
county have necessity for Chapter 13 Bankruptcy.
Chapter 13 Bankruptcy allows you to keep property that
otherwise may not be able to be kept in a chapter 7
Bankruptcy. Chapter 13 Bankruptcy allows you to keep more
property by agreeing with the bankruptcy court, bankruptcy
trustee, whoever oversee your case into a payment plan
where you would pay back a certain percentage of your
debt that otherwise would not get paid back in another
type of bankruptcy as discussed in Chapter so you would
pay back a percentage, lets say 30%, lets say 40% over
the course of 3-5 year period. Normally it’s a 5 year
period that Chapter 13 bankruptcy debtors are required
to pay back money owed. As in other bankruptcies that are available
to people, the means test is a very important part of
filing bankruptcy. In a means test in a chapter 13
bankruptcy if that is shown that you have available,
more than $118 a month to pay towards your debt, then
most likely you’ll be required to do that. So there are
some people that pay $118, say $120 a month for five years
and they are allowed to wipe out all the other debts
that they have other than what they’ve paid towards.
Over a five year period at $120 a month you might be
paying six grand or whatever the number is…