Bottom line diff between 7 and 13

from what I know Chapter 7 eliminates all unsecured debt and in some cases you can keep your home/car etc by making payment arrangements (you keep these loans). Chapter 13 does not wipe out any debts but payment arrangements are made through the court for payback of your debts. Another key difference is that chapter 7 is much harder to be approved for , especially now that the bankruptcy laws have changed. in other words, you cannot file chapter 7 unless to make a certain wage. I believe anyone can file chapter 13 - you have 3-5 years to pay off debts thru chapter 13 and all payments go through a trust account set up by the courts. during this time your creditors cannot contact you directly.

Yes, Chapter 13 is a repayment plan. However, if the amount that you repay doesn't completely pay off your creditors, then the remaining balance of your debts is discharged at the end of the repayment period, unless the debts are non-dischargeable (taxes, etc.).

In a Chapter 7, you do not repay your creditors, and your debts are discharged (unless you have any that are not dischargemable). However, in order to file Chapter 7, you do have to pass the means test.

Most bankruptcy lawyers will give a free initial consultation.

Bankruptcies stay on your credit for 10 years.

As far as being approved for a mortgage ... it depends on the lender. It used to be really easy to be approved for a home after a BK. But with this mortgage/foreclosure mess, lenders are really tightening up on their approval criteria, and so it is a lot harder for anyone to get a mortgage these days..... having a BK on your credit doesn't help, either.