Eligibility for Chapter 13 Bankruptcy
- A regular and stable source of income.
- The source of the income may be almost any source of income so long as it provides a sufficient amount to fund a chapter 13 plan.
- Contributions of income from family members and non-filing spouses may also be used.
- Unsecured debts must be less than $383,175
- Secured debts must be less than $1,149,525.
- These amounts are adjusted periodically.
- Only “liquidated” and “non-contingent” debt counted.
- In some cases, debt limitations may be waived.
Prior Dismissal with Prejudice
- Generally prohibited from filing for chapter 13 if previously filed a chapter 13 case and it was dismissed with prejudice, usually for 6 months, and the time period has not yet expired.
- May though request that the Bankruptcy Court “reduce the prejudice period” so to permit another filing.
Mandatory Credit Counseling Course
- Must receive credit counseling from an approved credit counseling agency and obtain a certificate of completion.