Filing Tennessee Chapter 7 or Chapter 13 Bankruptcy
Many people in Tennessee are struggling with debts that they are unable to repay and the stress of these unpaid debts are weighing down on many of these individuals. The purpose of the bankruptcy laws in Tennessee is to allow these individuals to get out from their stress and these unpaid debts, so the individual can go on to rebuild a fresh financial future.
When a person in Tennessee decides to file bankruptcy they have the option of filing under chapter 7 or chapter 13 of the bankruptcy laws.
Chapter 7 is a liquidation bankruptcy and is popular for debtors with little or no income, since the debtor must turn over any of their non-exempt property not protected by the TN bankruptcy exemptions. Chapter 7 is the most commonly filed chapter of bankruptcy in Tennessee.
Chapter 13 is a reorganization bankruptcy that allows a person to catch up on their debts over a three to five year period. All chapter 13 repayment plans will last for three to five years as stipulated by law.