Chapter 13 consumer bankruptcy.

Chapter 13 buys time under court protection. Filing generally triggers the automatic stay of 11 U.S.C. 362, subject to exceptions and repeat-filing limits, and the plan then repays creditors from future income over a fixed period. That structure is what lets a debtor cure a mortgage arrearage, keep property that is not fully exempt, and pay priority taxes on a schedule instead of under collection pressure.

Chapter 13 plans usually last three to five years. The discharge under 11 U.S.C. 1328(a) requires completing all payments under the plan. Missed payments can lead to dismissal or conversion. Modification and a limited hardship discharge may be available when the statutory requirements are met.

11 U.S.C. 1322
11 U.S.C. 1325
11 U.S.C. 1328
11 U.S.C. 362
11 U.S.C. 528

11 U.S.C. 109(e) sets separate secured and unsecured debt limits. As adjusted April 1, 2025, a Chapter 13 debtor must owe less than $526,700 in noncontingent, liquidated unsecured debts and less than $1,580,125 in noncontingent, liquidated secured debts. Those amounts come from the Judicial Conference notice at 90 Fed. Reg. 8941, published February 4, 2025. The face text of the statute still prints the unadjusted base figures, so the adjustment notice is the source that controls. The next adjustment is due April 1, 2028.

Plan length depends on income and the proposed treatment of claims. Under 11 U.S.C. 1325(b)(4)(A) the applicable commitment period is three years, or not less than five years if annualized current monthly income is not less than the applicable state median family income. 11 U.S.C. 1322(d)(1) caps an at-or-above-median plan at five years, and 1322(d)(2) caps a below-median plan at three years unless the court approves a longer period for cause, which may not exceed five years. Section 1325(b)(4)(B) permits a shorter commitment period if all allowed unsecured claims are paid in full. The median family income figures used for that comparison are published by the U.S. Trustee Program, and the published table applies to cases filed on or after July 15, 2026.

Priority claims are paid in full. 11 U.S.C. 1322(a)(2) requires the plan to provide for the full payment, in deferred cash payments, of all claims entitled to priority under section 507, unless the holder of a particular claim agrees to different treatment. Taxes entitled to priority under 507(a)(8) sit in that category.

Prior dismissed cases can limit the automatic stay. Under 11 U.S.C. 362(c)(3), one qualifying dismissal within the preceding year can end stay protection with respect to the debtor after 30 days unless timely extended. Under 362(c)(4), two or more qualifying dismissals can prevent the stay from taking effect unless the court imposes it. The statutory exceptions, scope of protection, and hearing deadlines require review of the prior cases.

Maryland uses its own plan form. Federal Rule of Bankruptcy Procedure 3015.1 permits a district to require a single local form in place of Official Form 113. District of Maryland Local Bankruptcy Rule 3015-1(a), version 25.01 effective December 1, 2025, states that a Chapter 13 plan must conform to Local Bankruptcy Form M, must be signed by the debtor, and is subject to Local Bankruptcy Rule 9011-2(b); Rule 3015-1(b) requires a certificate of service on Local Bankruptcy Form M-1.

The trustee is paid a percentage of plan payments. 28 U.S.C. 586(e) provides that the Attorney General fixes a percentage fee, not to exceed ten percent for a debtor who is not a family farmer, and requires the standing trustee to collect that percentage from all payments under the plan. The current percentage for a particular standing trustee is not published on the court or U.S. Trustee pages, so no figure is quoted here. It is confirmed with the trustee’s office in the case.

The Chapter 13 filing fee is $313. The U.S. Bankruptcy Court for the District of Maryland prints that total on its filing fees page. The Bankruptcy Court Miscellaneous Fee Schedule, effective December 1, 2023, is the source of the $78 administrative component.

11 U.S.C. 109
Adjustment of Certain Dollar Amounts Applicable to Bankruptcy Cases, 90 Fed. Reg. 8941
U.S. Trustee Program means testing
Fed. R. Bankr. P. 3015.1
Official Form 113
District of Maryland Local Bankruptcy Rules
Local Bankruptcy Form M
28 U.S.C. 586
District of Maryland filing fees
Bankruptcy Court Miscellaneous Fee Schedule

Filing requirements

• Test eligibility against the debt limits. 11 U.S.C. 109(e) limits Chapter 13 to an individual with regular income whose noncontingent, liquidated debts fall under separate unsecured and secured ceilings. Those figures are adjusted every three years.
• Complete the credit counseling briefing. 11 U.S.C. 109(h)(1) requires an approved briefing during the 180-day period ending on the date the petition is filed. The certificate the agency issues is the proof.
• File the petition and the local plan form. The District of Maryland does not use the national plan. Local Bankruptcy Rule 3015-1(a) requires the plan to conform to Local Bankruptcy Form M. The plan is drafted to the form the court actually uses.
• Appear at the 341 meeting, then make every payment. The United States trustee convenes the meeting of creditors under 11 U.S.C. 341(a). 11 U.S.C. 1328(a) conditions the discharge on completing all payments under the plan, and 1328(g) adds the personal financial management course. The proposed payment must fit the debtor’s budget, and payment problems require prompt review.

Further questions

• Who is eligible for Chapter 13? 11 U.S.C. 109(e) limits Chapter 13 to an individual with regular income whose noncontingent, liquidated debts fall below separate ceilings. The temporary single combined limit expired, and the separate limits adjusted April 1, 2025 are less than $526,700 in unsecured debt and less than $1,580,125 in secured debt. Those figures come from the Judicial Conference adjustment notice published at 90 Fed. Reg. 8941.
• How long is a Chapter 13 plan? Usually three to five years, depending on income and plan treatment. Under 11 U.S.C. 1325(b)(4)(A), the applicable commitment period is three years, or not less than five years if annualized current monthly income is not less than the applicable state median family income. 11 U.S.C. 1322(d) sets the outer limit: five years for an at-or-above-median debtor, and three years for a below-median debtor unless the court approves a longer period for cause, which may not exceed five years.
• How are back taxes treated in a Chapter 13 plan? 11 U.S.C. 1322(a)(2) requires the plan to provide for the full payment, in deferred cash payments, of all claims entitled to priority under section 507, unless the holder of a particular claim agrees to different treatment. Federal and state taxes entitled to priority under 507(a)(8) are paid in full through the plan. Tax debt that is not priority and not excepted from discharge is treated with other general unsecured claims. Which category a year falls into is a dated question answered from transcripts and filed returns.
• What does the automatic stay stop? 11 U.S.C. 362(a) stays the commencement or continuation of actions, enforcement of prepetition judgments, acts to obtain possession of or control over estate property, the creation or enforcement of liens, collection acts, setoff, and Tax Court proceedings as to prepetition liability. The stay is not unconditional for repeat filers. Under 362(c)(3), where one qualifying prior case was pending and dismissed within the preceding year, the stay terminates with respect to the debtor on the 30th day after filing unless the court extends it. Under 362(c)(4), where two or more were, the stay does not take effect at all absent a motion.
• Which plan form applies? Maryland does not use Official Form 113. Federal Rule of Bankruptcy Procedure 3015.1 permits a district to require a single local form instead. District of Maryland Local Bankruptcy Rule 3015-1(a), version 25.01 effective December 1, 2025, states that a Chapter 13 plan must conform to Local Bankruptcy Form M, must be signed by the debtor, and is subject to Local Bankruptcy Rule 9011-2(b), and Rule 3015-1(b) requires a certificate of service on Local Bankruptcy Form M-1.