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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...