Chapter 13 Bankruptcy is a for individuals to reorganize their finances. Even though it is a bankruptcy, it allows an individual to not only discharge debt but become current on secured and priority debt. Discharge means the Debtor is no longer responsible for the debt. In order to get a discharge, the Debtor has to successfully complete their plan.

Before filing a Chapter 13 Bankruptcy, a person must obtain credit counseling from a credit counselor that has been approved by the United States Trustee’s office. In addition, once the bankruptcy is filed, the Debtor must attend a financial management class before discharge, usually provided by the Chapter 13 Trustee. Once the Debtor is in Chapter 13 Bankruptcy, he/she will be required to attend a creditor’s meeting. This meeting is conducted by the Chapter 13 Trustee’s office. The Trustee will require the Debtor to provide documents such as current pay stubs, a current tax return, a driver’s license, and Social Security card.

Chapter 13 Bankruptcy will remain on a Debtor’s credit report for up to 7 years from the date of filing.