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Economics

How Bankruptcy Proceedings Distinguish Between Chapter 7 and Chapter 13

Quick fact

Chapter 7 bankruptcy can discharge most unsecured debts (like credit cards and medical bills) within roughly 3-6 months, whereas Chapter 13 requires a 3-5 year repayment plan of a portion of those debts, but allows you to keep your property.

Why this is interesting

When someone says 'I'm filing for bankruptcy,' they rarely mention which chapter—yet the difference could mean selling your car or keeping it. So, what exactly separates Chapter 7 from Chapter 13?

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How Bankruptcy Proceedings Distinguish Between Chapter 7 and Chapter 13

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