ARE THERE ALTERNATIVES TO STRAIGHT BANKRUPTCY (CHAPTER 7 LIQUIDATION)?
Yes, for individuals, husbands and wives, and some sole proprietorship businesses, Chapter 13 is a viable alternative. Chapter 11 is still another. Chapter 11’s complexity reserves its use to large businesses. Individuals often find Chapter 13 an attractive option. Partnerships and corporations cannot seek relief under Chapter 13. 1a. WHAT ARE THE TWO KINDS OF CHAPTER 13 AFTER BAPCPA OF 2005. For persons who do not fail the means test, Chapter 13 is to much different than before, although the budgeting process is impacted more by the IRS expense standards than it was before. it is still possible to file a 36 month plan. For persons not eligible for Chapter 7 (abusive filings ie. means test failures who have excess income) the Chapter 13 process now requires 60 monthly payments. It is not possible to do a 36 monthly payment plan. 2. ARE THERE ADVANTAGES TO CHAPTER 13? Sure, even after the BAPCPA of 2005 took away the bulk of the super discharge and restricted the cramming down of car lo
