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For most people reading this website, Chapter 11 bankruptcy will not be the type of bankruptcy you will file. If you are a
consumer of modest means, middle class, or an 'ordinary' person, more than likely what you are interested in is a Chapter
13 reorganization bankruptcy. Chapter 13 is similar to Chapter 11 but with a lot less paperwork and cost.
Chapter 11 bankruptcy is a repayment plan for corporations, or for individuals who owe more that the Chapter 13 debt limits.
As of April 1, 2007 under § 109(e) Eligibility for Chapter 13, unsecured liquidated debt, increased from $307,675 to $336,900;
secured liquidated debt, from $922,975 to $1,010,650.
Chapter 13 is a repayment plan for individuals, consumers and small business sole proprietors that is has much less paperwork,
moves faster and has lower legal fees. The most common reason for Chapter 13 filing is that it helps people pay debt if they
have the means to do so, allows them to keep property that they are at risk of losing without bankruptcy protection, or have
secured debts or taxes that they need time to pay or catch up.
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