I would say Chapter 13 is arguably the least sensible debt relief option that is available for consumers. For one- it is very similar to a debt management plan in the fact that it is ultimately a payment plan, over 5 years typically, in which the debtor makes monthly installment payments until the debt (most often) is paid back in full. Except, I believe with Chapter 13 a court appointed trustee disperses the payment to each of the person's creditors and takes some of that payment for a fee. Wow, what relief! Considering the fact that Chapter 13 is far worse to have on your credit report, why not just go with a credit counseling company instead?
Visit
http://debit-free.us/2010/04/13/better-business-bureau/ for more information.
