CHAPTER 13

Chapter 13 is the bankruptcy chapter which allows people in financial distress to reorganize their debt under federal court supervision. The current Chapter 13 bankruptcy was enacted by the U.S. Congress in 1938 known as the Chandler Act. Over the last seventy years, subsequent legislation has made many changes to Chapter 13 involving both eligibility for who may file this type of bankruptcy and the type of debt which can be discharged. Despite these changes, the core principle of Chapter 13 is to provide a debtor with a financial fresh start while at the same time allowing creditors to be paid as much as possible. Debtors must make payments into a Chapter 13 plan for a three to five year time period. The plan is administered by a Chapter 13 Trustee who consolidates the debtor's monthly plan payment and, pursuant to court order, distributes the funds to creditors... If you are a Debtor filing for Chapter 13 Bankruptcy, please read through our resources.

Also known as: Chapter 13 Trustee

Primary location: Akron United States