In Chapter 13 bankruptcy, you effectively consolidate all of your debts into one affordable monthly payment. By making every monthly payment over the set period of time determined in court (generally 3-5 years), you will pay off your debts and discharge your liability. Since payment levels are tethered to your income levels after household bills are paid, the amount you must pay each month will be within your budget. You can keep your home and other assets so long as you continue to make your monthly payments. Chapter 13 is also beneficial to save your home from foreclosure and reorganize the arrears owed to be paid over the 3-5 year period, stop garnishments, take care of liens, taxes and more.