For many people facing high amounts of debt, a Chapter 13 bankruptcy repayment plan can be a great option. Chapter 13 Dallas bankruptcy offers many protections and benefits to the debtor, while enabling them to create a repayment plan that is manageable based on their income level and expenses. Many people qualify for Chapter 13, but not all do.
Chapter 13 Dallas Bankruptcy
Qualifying for Chapter 13 bankruptcy mainly involves being able to show a sufficient amount of income. In order to have your Chapter 13 repayment plan accepted by the court, you must be able to show an ability to make the payments required by the plan, either through income from work, or from disability insurance, or another source. Since the repayment plan is from three to five years in duration, showing a steady source of income is a requirement for many bankruptcy courts to approve your Chapter 13 Dallas bankruptcy.
If your debts are too high, you are not eligible for Chapter 13. Currently, if you’re secured debts add up to more than the proscribed amount (well over $1 million, periodically increased for inflation), you will not be able to file Chapter 13 Dallas bankruptcy.
The last piece of the puzzle is that you must have filed your income tax returns for each of the last four years leading up to your Dallas bankruptcy. If you have not done so, your Chapter 13 case will be dismissed. Before you even begin to file Chapter 13 bankruptcy, be sure to get current on all back tax returns if you wish to have any hope of success.