If you have a regular income, Chapter 13 bankruptcy provides a method for repaying your debt over a period of time, according to a court-approved plan. The period of time allowed ranges from three to five years. Generally, only an individual with unsecured debts of less than $270,000 and secured debts of less than $800,000 is eligible.

To file Chapter 13, you must file the appropriate schedules and petitions with the bankruptcy court and pay the filing fee. You must also file a proposed plan of repayment with your original petition or within the next 15 days. A trustee will be appointed to supervise your performance, to make regular payments to your creditors and to provide the court and other parties with information about your finances.