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To file for Chapter 13, your income must be more than your daily living operating expenses. Otherwise, you cannot file for Chapter 13. You must have an exact amount every month to settle your accounts with your creditors, even though it may be a small percentage of what is they expect you to pay. Chapter 13 establishes the length of time which your debts are divided into. The longer the time, the better ability individual have to manage the refund scheme. In essence, Chapter 13 involves the restructuring of your debt.

You may need to go to the court as this can affect your filing. If you received a credit counseling session from an authorized credit counseling group (one on one or group sessions) 180 days prior to your actual filing, you will cannot file for Chapter 13. The debtor has 5 years which to pay back the creditors.

There are limits to your incurred secured and non-secured debts. Your unsecured debts must be less than $360,475 and your secured debts less than $1,081,400. The court requires financial information from you the moment you make a decision to file under Chapter 13. Some of these are agenda of your schedule of current income and expenditures, schedule of executor contracts and unexpired leases and statement of financial dealings. You must also submit certificate of credit counseling and debt repayment plan developed from the same counseling. The court requires evidence of payment from employers and net income statement with possible income and expense increases after filing. This information is important in the decision of the court to deem you legible to claim bankruptcy under the covering of Chapter 13 provisions.

The court requires a list of your creditors with the specific nature of their claims. You must also submit the list of your properties. Chapter 13 does not involve itself to the liquidation process of your assets. Chapter 13 bankruptcy rules are the foundation of a successful filing of your case.