Vermont Bankruptcy Guide and Forms Package for Chapters 7 or 13

Chapter 11 bankruptcy works well for businesses and individuals whose debt exceeds the Chapter 13 bankruptcy limits. In most cases, Chapter 13 is the better choice for qualifying individuals and sole proprietors.

A Chapter 13 bankruptcy involves repaying some or all of your debt over a three- to- five-year period, while a Chapter 7 bankruptcy involves wiping out most of your debts without paying them back.In that way, a Chapter 13 may be better for your credit than a Chapter 7.

Generally, a debtor can convert a bankruptcy case one time with court approval. Subsequent conversions require approval of the bankruptcy court. To convert a Chapter 7 case to Chapter 13, the debtor must meet the eligibility requirements for filing a Chapter 13 case.

Key Takeaways. Chapter 7 bankruptcy doesn't require a repayment plan but does require you to liquidate or sell nonexempt assets to pay back creditors.Chapter 13 bankruptcy eliminates qualified debt through a repayment plan over a three- or five-year period.

Credit card debt. medical bills. personal loans. older nonpriority income tax obligations. utility bills, and. most lawsuit judgments.

Six months of paycheck stubs. six months of bank statements. tax returns (the last two years) current investment and retirement statements. current mortgage and car loan statements. home and car valuations (printouts from online sources work)

B 101 Voluntary Petition for Individuals Filing for Bankruptcy. B 101A Initial Statement About an Eviction Judgment Against You (only if you have eviction judgment against you)

Chapter 13 Is Likely to Worsen Your Finances When your Chapter 13 case is dismissed, you are often in a far worse financial position. That's because the interest on your unpaid debts has continued to mount as you've struggled to make payments. And once you're out of bankruptcy protection, you have more debt than ever.