If you meet with a bankruptcy lawyer, you will learn which branches of bankruptcy you can use. You might qualify only for Chapter 13, or you might qualify for Chapters 7 and 13. If you are eligible for both and are not sure which to choose, you should talk to your lawyer about this decision. They might recommend Chapter 13 if it would provide you with more relief and assistance, and here are three ways it may help more than Chapter 7.

It Stops You from Losing Your Home

When a person is on the verge of losing their home to foreclosure, Chapter 7 has limitations. It can postpone a foreclosure for a few months, but it cannot stop one. If you need to stop a foreclosure from going through and are considering bankruptcy, you will benefit a lot more by choosing Chapter 13.

Once you file the Chapter 13 documents and agree on a repayment plan, your lender cannot take away your home. You will have up to five years to work on repaying the arrearage and catching up with the payments, and during this time, your lender cannot touch your home. People who want to stop their lenders from pursuing foreclosure often turn to this branch of bankruptcy for help.

It Provides Relief for Non-Qualifying Debts

Two, Chapter 7 will provide a discharge for debts that qualify, but it will not provide relief for non-qualifying debts. If you only owe money to credit card lenders, using Chapter 7 might be the best choice. If you owe money for other debts, though, Chapter 13 could offer more benefits.

For example, Chapter 13 allows you to work out repayment plans for back taxes, alimony, child support, and student loans. Chapter 7 does not.

It Lets You Keep Your Things

The other factor to consider is the assets you have. If you have valuable things, you risk losing them in a Chapter 7 case. You do not risk losing them, though, if you use Chapter 13. Chapter 13 requires that you pay off your debts. In return, you get to keep all the things you own, including your house, cars, and cash in the bank.

Chapter 7 provides a lot of relief for certain situations, but Chapter 13 may offer more relief for you. To find out if Chapter 13 bankruptcy is a better choice for your situation, meet with a bankruptcy lawyer in your city.