Which Bankruptcy option looks best a chapter Seven or chapter Thirteen

I get asked all the time which looks better on my credit report a Chapter 7 or a Chapter 13? A bankruptcy does impact your credit negatively and can stay on your report up to 10 years.

Having a large amount of debt, several late payments, repossessions, and charged-off accounts can also stay on your credit report and impact it negatively . So the question , which one will affect you least as an individual? For most people , filing for a Chapter seven bankruptcy will allow a short amount of time and will discharge large amounts of unsecured debt, like credit card debt or medical debt. This bankruptcy makes the most logic for some individuals.

A Chapter 7 bankruptcy can allow you to recover your credit quickly. It also helps in freeing up your disposable income through take out a Chapter seven is at times the greatest change you can do for your credit as a whole. It can also be believed that a Chapter 13 bankruptcy could be better appropriate for some people. A lender may look more tolerant on a Chapter thirteen.

The Chapter thirteen can permit you to make your monthly payments on terms that are more convenient for you and your family, while still successfully making your monthly car and house payments.