Who is eligible to file a Chapter 13?

A: The Bankruptcy Code says that any "individual" may file for Chapter 13 protection. This has been interpreted by the Courts to mean that any living, breathing individual may file for protection under this Chapter, but that a corporate entity may not. Additionally, to qualify for a Chapter 13, an individual can have no more than $1,081,400 in secure debts and no more than $360,475 in liquidated, ascertained unsecure debts. An individual with debts in excess of these limits that still wishes to file for reorganization as opposed to liquidation could still qualify for a Chapter 11. Additionally, a requirement for Chapter 13 is that the debtor has consistent monthly income: generally, this is from employment, but things like government benefits, retirement or child support would also qualify under this Chapter.

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