Are there any restrictions on how much I can borrow during a Chapter 11 bankruptcy?

Yes, there are several restrictions on how much you can borrow during a Chapter 11 bankruptcy in Texas. These restrictions are in place to ensure that creditors are paid what they are owed from the bankruptcy proceedings. The type of debt you are attempting to borrow will determine the maximum amount you can borrow and the amount of time you have to pay it back. Generally, you can borrow up to $1,184,200 in secured debt. This is debt that you must use collateral to guarantee repayment. Unsecured debt, such as credit cards or personal loans, is restricted to $360,475. You have five years to repay all secured debt, and three years for unsecured debt. In addition to these limits, you must also be able to demonstrate that you are able to repay the debt. This means that you must have a steady income, be able to show that you are making payments on existing debts, and have enough income to make payments on new debt. You must also show that you will be able to make regular payments on the loan for the duration of the loan. These restrictions are in place to help ensure that creditors are paid back in the event of a bankruptcy. As such, it is important to carefully consider any new debt you take on and make sure that you will be able to repay the loan.

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