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Chapter 13 versus Chapter 7?

Some Reasons to file Chapter 13 include;

Not passing the means test

Having disposable income per IRS standards

Co-debtor stay protection

You’ve inherited or expect to inherit real property or other assets

You have lawsuits you could file or are thinking of filing

You have money owed to you

You have life insurance with cash value

You have a retirement account not exempt

Help with high student loan payments

Having non-exempt assets

Having made preferential transfers

Owing debts not dischargeable in Chapter 7 such as taxes, child support, fraud judgments, and need time to repay those debts

Having liens that are larger than the value of the assets securing the debt, which may be wiped out, or stripped, in Chapter 13 bankruptcy

Being behind on car or house payments, want to keep the property, and will use the repayment period to get current on their loan

Having assets are worth more than the available Chapter 7 bankruptcy exemptions such as real property or vehicles

Running a small business and not wishing to have the trustee interfere or take over the business

Having prior income or transactions or future income that can be seized or reversed

Having filed a prior Chapter 7 bankruptcy within the last 8 years

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