What is it?

Chapter “20” is actually a combination of a Chapter 7 and a Chapter 13, generally meaning a Chapter 7 followed by a Chapter 13. The Chapter 7 is used first to discharge the unsecured debts (credit card bills, many personal loans, and medical bills) and the personal liability on the secured debts, such as your mortgage or car loans. Generally this only leaves liens on the property. The Chapter 13 is then filed to manage the liens that remain after the Chapter 7. In some instances a second or junior lien may be stripped, a vehicle loan may be “crammed down” to the market value of the vehicle, the interest rate may be lowered on the vehicle, or other, nondischargeable debts may be eliminated.

Can I really get a second discharge of my debt?

A discharge may not be available if the Chapter 13 is filed too soon after the Chapter7, however, a discharge may not be necessary. Generally, you may use the Chapter 13 powers, such as handling arrearages and lien stripping, despite the inability to get the debt discharged. The ability to create a five year repayment plan that your creditors must abide by may by itself may be worth filing the Chapter 13.




Hyde & Swigart has helped thousands of consumers in Colorado, Minnesota, Arizona, California and Texas with their legal issues, and we have never seen two cases that were identical. We also have attorneys who have helped consumers in Florida, Michigan, Nevada, New York, Oregon, Wisconsin, Washington, and Washington, D.C. You should never assume your situation is the same as something that is described on this web site, or that you read elsewhere on the Internet. Each situation is unique, and in our opinion, each situation needs to be thoroughly and independently reviewed by a competent consumer rights attorney. While we are happy to do that for you for free, we cannot do that solely on this web site. Even our evaluation forms are mere starting points. You should never assume your case, your situation, or your set of facts, are covered in their entirety by this web site. If you have questions about your potential case, we will be glad to discuss them with you at no charge. However, do not act, or fail to act, simply because of something you read or see on this web site. Click here to read more.