What is the difference between a Chapter 11 bankruptcy and a Chapter 13 bankruptcy?

A Chapter 11 bankruptcy and a Chapter 13 bankruptcy are both forms of bankruptcy that people in West Virginia can use to eliminate or reduce debt. The main difference between a Chapter 11 and a Chapter 13 bankruptcy is the way the debt is handled. In a Chapter 11 bankruptcy, the debtor is allowed to reorganize their debt and come up with a repayment plan that is approved by the court. This usually involves the debtor coming up with a plan that will allow them to pay some of their debt back, and then have the rest discharged. This is a longer process than a Chapter 13 bankruptcy, but it can help the debtor take control of their debt and become financially stable. In a Chapter 13 bankruptcy, the debt is consolidated into one payment and the individual must make payments to a court-approved trustee over a certain period of time. At the end of the repayment period, any remaining debt is discharged. This is a shorter process, but the payments have to be made and the individual must have a steady income in order to qualify. Both forms of bankruptcy can help individuals in West Virginia reduce or eliminate their debt, but it is important to understand the differences between them in order to make an informed decision.

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What is the difference between a Chapter 11 bankruptcy and a Chapter 13 bankruptcy?

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