Many Texans who begin a Chapter 13 repayment plan have every intention of completing it. Yet life doesn’t always cooperate. A sudden job loss, medical crisis, or family emergency can make monthly payments impossible. What few debtors realize is that federal law provides a narrow but powerful option called a Chapter 13 hardship discharge, which is … [Read more...]
Chapter 7 vs. Chapter 13 in Texas: Choosing the Right Path
October 14, 2025 by
For many Texans, overwhelming debt creates difficult choices about how to regain financial stability. U.S. bankruptcy law provides two options to persons struggling with unmanageable debt: liquidation under Chapter 7 or reorganization under Chapter 13. Each path offers a different approach—one focused on the discharge of debt and the other on … [Read more...]
Can Anybody File for Protection Under Chapter 13?
June 17, 2020 by Leave a Comment
Are There Conditions You Must Meet to Qualify? If you've thought about personal bankruptcy filing as a way to get a fresh start, you may know that you must meet certain qualifications in order to file for permanent debt discharge under Chapter 7. A "means test" is used to determine whether you meet the requirements. There's a general perception … [Read more...]
The Means Test in Chapter 7 Bankruptcy Filings
June 1, 2020 by Leave a Comment
How the Court Determines Whether You Qualify for Permanent Discharge Under American bankruptcy law, you can seek to permanently discharge personal debt under Chapter 7 or else file for Chapter 13 "debtor's reorganization," in which you work with creditors to negotiate arrangements to pay your financial obligations over a three-to-five-year period. … [Read more...]
How Chapter 13 Works When You’re Behind on Car Payments
April 22, 2020 by Leave a Comment
Restructuring an Automobile Loan in Bankruptcy When you're facing financial challenges and struggling to pay your bills, that often means you're behind in making your car payments. But having reliable transportation is important when you're trying to turn things around—you need to get to and from a job. A Chapter 13 bankruptcy filing can help … [Read more...]
Talking to Friends and Family After You’ve Filed for Bankruptcy Protection
March 11, 2020 by Leave a Comment
Overcoming the Stigma Associated with Bankruptcy For many people who opt for protection under American bankruptcy law, the decision whether to file is less about whether it will help them financially and more about how they will be perceived by friends and family. Though U.S. bankruptcy laws exist to give debtors an opportunity for a fresh start, … [Read more...]
Chapter 13 Reorganization and Real Property Debts
February 24, 2020 by Leave a Comment
The Best Way to Get Control of Mortgage and Property Tax Obligations For many who seek protection under American bankruptcy law, financial troubles relate largely to ownership of real property. For example, owners may be behind on mortgage payments and property taxes, facing tax liens and potential foreclosure. You can seek to discharge debts in … [Read more...]
Legal Actions Not Affected by a Bankruptcy Filing
January 31, 2020 by Leave a Comment
The Impact of a Bankruptcy Filing on Other Legal Proceedings When you file a petition under Chapter 7, Chapter 13 or any other part of American bankruptcy law, an automatic stay immediately goes into effect, preventing creditors from filing or proceeding with any legal action to collect the debt except through the bankruptcy process. The automatic … [Read more...]
Knowing When to File for Bankruptcy Protection
November 21, 2019 by Leave a Comment
Choosing the Appropriate Time Makes a Big Difference The bankruptcy laws were enacted to give people an opportunity for a fresh start. It can happen to anyone—medical bills pile up, you lose your job or go through a divorce. A Chapter 7 or Chapter 13 petition can help get you on the right track. Unfortunately, we typically see that people wait too … [Read more...]
The Texas Bankruptcy Exemptions
October 25, 2019 by Leave a Comment
Protecting Property from Attachment in a Chapter 7 Filing When you seek protection under the bankruptcy laws, you can choose to permanently discharge debts under Chapter 7 or to reorganize your debt under Chapter 13. With a Chapter 7 filing, you must turn over certain assets to the bankruptcy court to be sold to pay your creditors. But that … [Read more...]
