• Chapter 13 differs from Chapter 7 bankruptcy because the debtor actually repays some or all of the debt. This is accomplished using a Chapter 13 restructuring plan which provides debtors with better terms such as lower interest. Because restructuring debt involves repayment instead of discharge of debt, debtors who utilize Chapter 13 must have a regular income. Debtors work with their attorney to determine how much of their future income they can use for repayment of debt.John Skiba is an Arizona bankruptcy attorney who helps individuals and businesses get out of debt and get back on their feet financially.