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[GRAPHIC: Redman Ludwig, PC Attorneys at Law]

[GRAPHIC: What is Chapter 13 bankruptcy]

[GRAPHIC: Discharge debts Keep assets Cease creditor actions]

RICK REDMAN: The Chapter 13 does many of the same things as a Chapter 7 such as discharge most of your unsecured debts, allow you to keep most of your property and stop creditor action such as garnishments, lawsuits, repossessions and foreclosures.

[GRAPHIC: Monthly payments Based on net income]

RICK REDMAN: In a Chapter 13, you're going to be required to make 36 to 60 monthly payments based on your net disposable income or your available income on a monthly basis. When that money is paid to the trustee, he is instructed as to what to do with it, and that can be things like curing a house mortgage, taking care of a bad car loan, paying taxes and other special sort of circumstances.

[GRAPHIC: Why file a Chapter 13?]

[GRAPHIC: Previous bankruptcy Too much income Special asset protection]

RICK REDMAN: You may be required to do a Chapter 13 if you have a previous bankruptcy or if your income is too high or if you have assets to protect that we can't protect in a Chapter 7. The Chapter 13 is a useful tool for solving the problems that a Chapter 7 can't solve.

[GRAPHIC: Redman Ludwig, PC Attorneys at Law www.batorredman.com 317.489.5832]