24 Sep


Chapter 13 bankruptcy is often referred to as “reorganization” and/or “the wage earner’s plan” bankruptcy,as in filing chapter 13 bankruptcy San Antonio gives small businesses and individuals buried deep under the pressure of great debtto avail bankruptcy protection without having to pledge any assets. Debtors are given the privilege to set up a payment plan, in accordance to their convenience, to clear a certain amount or all of their debts within three or five years. The eligible debts that remained are dismissedas soon as the plan meets its end. The wage earners and those trying to escape the inconvenience of home foreclosure, are commonly the one to opt for filling chapter 13 bankruptcy in San Antonio.

filing chapter 13 Bankruptcy in San AntonioFilling Chapter 13 bankruptcy is different than the other chapters in few aspects. Because in this chapter the debtor is allowed to restructure the debt they owe instead of liquidating his assets like in chapter 7. A practical and comprehensive payment plan is structured by the debtor, court, and trustee together after the submission of the initial petition filing chapter 13 bankruptcy in San Antonio.

The “debtor education” is an important part of the bankruptcy process. This is a special program conducted for the debtors. Attendance to this program is compulsory for the debtors.The program discusses some financial basics, as well as the alternatives to bankruptcy, which may be helpful for the debtors for whom the chapter 13 is not suitable.One must be informed on these in order to avoid bankruptcy. Debtor education and credit counseling aim at resolving these issues.

Is it at all possible for you to file for Chapter 13 Bankruptcy in San Antonio?

The criteria that is given the primary importance when it comes tofiling chapter 13 bankruptcyin San Antonio is that the debtor has to have been a residence of the state of Texas for the majority of 180 days preceding the bankruptcy filing.

Though a debtor is considered eligible for Chapter 13 protection if:

  1. The debtor is an individual. -A business name or even a sole proprietorship is not eligible for filing Chapter 13 bankruptcy in San Antonio. However, individuals who organize businesses can include business debts in their Chapter 13 plans only if they are personally liable for the debts.
  2. The debtor is not a stockbroker or commodity broker, – Stockbrokers and commodity brokers are not allowed to file bankruptcy under Chapter 13 bankruptcy.
  3. The debtor’s debts do not cross a certain amount. – Presently, Chapter 13 relief is eligible for secured debtsthat do not exceed the limit of $1,010,650.00 and the debtor’s unsecured debts that totals in less than $336,900.00. If the debtor’s debts exceed these limits and he still wishes to repay them, he must consult an attorney to choose a different method more suitable to his needs.
  1. The debtor hasn’t received any discharge in bankruptcy in the last 4 years or has a previously filed a Chapter 13 bankruptcy in the last 2 years.filing chapter 13 Bankruptcy in San Antonio

Filing Chapter 13 bankruptcy in San Antoniois often a good choice for debtors who have steady incomes and the homeowners who wish to prevent their homes from the fate of foreclosure. Chapter 13, as well as co-signers, protects all property of a debtor. Reorganization of debt through a repayment plan is the main method of this form of bankruptcy.