If you are thinking about filing for bankruptcy, one of the most important decisions is choosing the right type of case. Most individuals file under either Chapter 7 or Chapter 13. Each option works differently and is designed for different financial situations.
Understanding the differences can help you avoid costly mistakes and set realistic expectations. A bankruptcy attorney plays a critical role in determining which chapter best fits your income, assets, and long-term goals.
Chapter 7 bankruptcy eliminates qualifying unsecured debt, usually within a few months. Chapter 13 bankruptcy creates a court approved repayment plan that allows you to catch up on certain debts over three to five years while keeping property.
Chapter 7 focuses on wiping out unsecured debt such as credit cards, medical bills, and personal loans. Many people who file Chapter 7 do not lose property because Florida exemption laws protect many assets.
This type of bankruptcy is commonly used by people who:
A bankruptcy attorney determines whether you qualify based on income and financial history.
After filing:
Most Chapter 7 cases are completed in a few months.
Chapter 13 is designed for individuals with regular income who need time to catch up on missed payments. Instead of eliminating all debt immediately, Chapter 13 creates a structured repayment plan.
Chapter 13 is often used to:
A bankruptcy attorney prepares the repayment plan and helps ensure it meets court requirements.
After filing:
Repayment plans typically last three to five years.
Eligibility depends on multiple factors, including income, expenses, debt type, and goals.
Chapter 7 eligibility often depends on a means test that compares income to Florida’s median income levels. Failing the means test does not mean bankruptcy is unavailable. It may mean Chapter 13 is the better option.
A bankruptcy attorney performs this analysis and explains the results clearly.
Your desire to keep certain assets matters. Chapter 13 can protect property that might be at risk in Chapter 7, especially if you are behind on secured payments.
An attorney evaluates Florida exemptions and asset values before filing.
Myth: Chapter 7 Means You Lose Everything
This is not true. Many people keep all of their property due to Florida bankruptcy exemptions. A bankruptcy attorney helps apply exemptions correctly and avoid preventable mistakes.
Myth: Chapter 13 Is Only for People Who Failed Chapter 7
Chapter 13 is often a strategic choice for people who need time and structure to resolve debt while protecting important assets.
Choosing the wrong bankruptcy chapter can lead to:
A bankruptcy attorney reviews the full financial picture and recommends the chapter that best protects your future. At Parker & DeFresne, we help Jacksonville residents make informed decisions based on both immediate pressure and long term stability.
Which bankruptcy is faster, Chapter 7 or Chapter 13?
Chapter 7 is faster. Most cases conclude within a few months. Chapter 13 typically lasts three to five years because it involves a repayment plan.
Can I switch from Chapter 13 to Chapter 7 later?
In some situations, conversion is possible. A bankruptcy attorney can explain when conversion is allowed and whether it makes sense for your goals.
Can Chapter 13 stop foreclosure in Florida?
Yes. Chapter 13 can stop foreclosure and allow homeowners to catch up on missed payments through a court-approved repayment plan.
Do I qualify for Chapter 7 if I have a job?
Yes. Many people who file Chapter 7 are employed. Qualification depends on income, expenses, and other factors, not employment alone.
How do I know which chapter is right for me?
The correct chapter depends on income, debt type, assets, and goals. A bankruptcy attorney is essential for making this determination and avoiding costly errors.
Once you understand the difference between Chapter 7 and Chapter 13, the final piece is understanding why professional legal guidance matters throughout the process.
The hardest part of bankruptcy is often making the first call. But if you’re already behind on payments, facing collection lawsuits, or seeing your wages garnished, the sooner you act, the more options you’ll have.
At Parker & DuFresne, P.A., we’ve helped thousands of Floridians protect their homes, cars, and income through timely and well-planned bankruptcy filings. Don’t let hesitation cost you your financial future.
Contact our Jacksonville bankruptcy attorneys today to schedule a consultation. Together, we’ll build a strategy that stops the damage and helps you start fresh — on your terms, and at the right time.
This is not a journey to take lightly, but it is also not one to take alone. If you need to file for bankruptcy, reach out to us today to start your journey with us.
If you want to learn more about the options you have and the steps to take, contact us today for a consultation.
Parker and DuFresne
