Navigating Chapter 13 Bankruptcy in Maine: A Path to Financial Reorganization For many Mainers facing overwhelming debt, the path to financial recovery can seem daunting. While Chapter 7 bankruptcy offers a fresh start through liquidation, Chapter 13 provides a powerful alternative: a structured repayment plan that allows individuals with regular income to reorganize their debts, protect assets, and catch up on missed payments. If you're struggling with mortgage arrears, past-due car payments, or significant tax debt, Chapter 13 in Maine might be the lifeline you need. What is Chapter 13 Bankruptcy? Chapter 13 bankruptcy, often referred to as a "wage earner's plan," is a reorganization bankruptcy available to individuals and small business owners with regular income. Unlike Chapter 7, it doesn't involve liquidating assets. Instead, it allows you to propose a repayment plan to your creditors over a period of three to five years, during which yo...