ABA Family Legal Guide

Consumer Bankruptcy

Chapter 13: Wager-Earner or Individuals with Regular Income Bankruptcy

Chapter 13 Defined

Who is eligible for Chapter 13 bankruptcy?

Chapter 13 is available to almost everyone who has a regular income. The only other requirement is that you have less than $307,675 in unsecured debts (such as credit card debts) and less than $922,975 in secured debts (such as home mortgages and car loans). These figures are not doubled when husband and wife file a joint case, and are subject to periodic adjustments, currently every three years. Anyone with greater debts usually declares bankruptcy under Chapters 7 or 11 of the Bankruptcy Code.