You may be eligible for either Chapter 7 bankruptcy or Chapter 13 bankruptcy. Therefore, it becomes simply a matter of which type you want to file for. While there are many things to consider, one is that you can, in some cases, save assets that you own when you decide to use Chapter 13. If you use Chapter 7 in the same situation, you may lose those assets.
If you're considering Chapter 13 bankruptcy in New York, the first thing you need to know is whether or not you're even eligible. Remember, this is a reorganization plan, which does not eliminate all of your debt. Instead, a payment plan is set up and the payment structure must be followed.