Why is the Chapter 13 completion rate so low?

Chapter 13 requires 3 to 5 years of consistent monthly payments, which is difficult to sustain through job changes, medical emergencies, divorces, and other life events. Common reasons for failure include inability to make payments, failure to file required documents, failure to attend the 341 meeting, and changes in financial circumstances that make the plan infeasible.

Which districts have the highest Chapter 13 completion rates?

Completion rates vary widely by district. Some courts in the Northeast and Midwest report completion rates above 45%, while certain Southern districts fall below 25%. Factors include local legal culture, trustee practices, judicial approach, and the demographics of the filing population. See our state-by-state data for specific numbers.

What Is the Chapter 13 Completion Rate?

Nationally, only about 33-40% of Chapter 13 cases end in discharge. Most fail before the plan is completed.

The national picture

According to FJC data covering 4.9 million cases across 94 federal districts, the Chapter 13 completion rate nationally is approximately 33-40%. This means that roughly two out of every three Chapter 13 filers do not successfully complete their repayment plan and do not receive a discharge.

What this means in practice

For every 100 people who file Chapter 13, roughly 60-67 will have their cases dismissed without receiving any debt relief. They will have paid filing fees ($313), attorney fees (typically $3,000-$4,500), and months or years of plan payments -- all without the discharge that eliminates their debts.

Completion rates vary by district

One of the most striking findings from national court data is the enormous variation between districts. Some courts see completion rates above 50%, while others fall below 20%.

Performance	Completion Rate	Example Districts
Higher-performing	45-55%	Several districts in the Northeast and Midwest
Average	33-40%	Most districts nationally
Lower-performing	15-25%	Several districts in the South and certain urban centers

These variations raise important questions about local legal culture, attorney practices, trustee approaches, and access to quality representation.

Why do so many cases fail?

Chapter 13 requires 36 to 60 months of consistent payments, making it one of the longest commitments in consumer law. The leading causes of failure include:

Inability to make payments -- Job loss, reduced hours, medical expenses, or other financial shocks
Failure to file documents -- Missing schedules, tax returns, or annual income certifications
Plan infeasibility -- The original plan was based on unrealistic income or expense projections
Life changes -- Divorce, relocation, disability, or death of a co-debtor
Failure to attend hearings -- Missing the 341 meeting or confirmation hearing

For a deeper analysis, see Why Do Chapter 13 Cases Fail?

How Chapter 13 compares to Chapter 7

Chapter 7 cases are completed and discharged at a much higher rate -- typically above 95%. The key difference is duration: Chapter 7 cases last 3-4 months with no ongoing payment obligation, while Chapter 13 requires years of payments.

Metric	Chapter 7	Chapter 13
Typical duration	3-4 months	3-5 years
Discharge rate	~95%+	~33-40%
Filing fee	$338	$313
Ongoing payments	None	Monthly for 3-5 years

The repeat filer cycle

Court data shows that many dismissed Chapter 13 debtors file again. Some file three or more times. Each filing incurs new fees and resets the process, but does not guarantee a better outcome. Understanding the completion rate before filing can help set realistic expectations.

See completion rates for your specific state and district.

View Success Rates by State

Related resources

Chapter 13 Failure Rate -- Detailed national failure statistics
Success Rate by State -- District-level data
Why Do Chapter 13 Cases Fail? -- Root causes of dismissal
How Long Does Chapter 13 Take? -- Plan duration and timeline
Chapter 13 Overview -- How repayment plans work

This page provides general information based on publicly available federal court records. It does not constitute legal advice. Consult a licensed attorney for advice on your specific situation.

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