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Bankruptcy

Chapter 13 bankruptcy—eligibility

Any individual, even if self-employed or operating an unincorporated business, is eligible for chapter 13 relief as long as the individual's unsecured debts are less than $394,725 and secured debts are less than $1,184,200. These amounts are adjusted periodically to reflect changes in the consumer price index. A corporation or partnership may not be a chapter 13 debtor.

In New Jersey, as in all states, Chapter 13 bankruptcy is a form of debt relief available to individuals, including those who are self-employed or running an unincorporated business. To be eligible for Chapter 13 relief, an individual must have unsecured debts below $394,725 and secured debts below $1,184,200. These debt limits are subject to adjustment based on changes in the consumer price index, ensuring that the thresholds reflect economic conditions over time. It's important to note that corporations and partnerships are not eligible to file for Chapter 13 bankruptcy; this option is exclusively for individuals.

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Bankruptcy

Chapter 13 bankruptcy—eligibility

Individual & Family Legal Plan

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New-Jersey State Code

Bankruptcy

Chapter 13 bankruptcy—eligibility

New-Jersey State Code

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