Bankruptcy laws give debtors a way to resolve debt by dividing their assets among their various creditors and in some cases will allow debtors to be freed of outstanding debts that cannot be paid, even after the division of assets. For individuals who find themselves unable to pay their debts, bankruptcy can be a viable option. As a debtor, you are entitled to file for bankruptcy. There have been recent changes to bankruptcy laws that may affect your ability to discharge your debts without credit counseling, but individuals who have found themselves unable to pay their debts can still file bankruptcy and be freed of outstanding debts.
Chapter 7 bankruptcy is normally used by individuals wanting to rid themselves of all accumulated debt, and is the most frequently used method of filing bankruptcy. Businesses who wish to completely liquidate assets and close permanently can also file Chapter 7 bankruptcy. Under Chapter 7, individuals are allowed to keep certain property such as their home and perhaps their vehicle, but may still lose some property in the proceedings. During the course of the bankruptcy proceedings, the debtor's assets are controlled by a trustee and will be divided among the various creditors as the trustee sees fit. After the bankruptcy has been discharged, control of any remaining property is placed back in the hands of the debtor and all outstanding debts will have been removed.
Chapter 13 bankruptcies are for individuals who wish to pay their debts but are unable to do so. Chapter 13 allows individuals to reorganize their debts and restructure payment arrangements so that debts may be repaid over time. Chapter 11 bankruptcies are used predominantly by businesses that wish to reorganize the repayment of outstanding debts and continue operating in a regular manner.
Filing bankruptcy can be a way out of debt for many people and businesses. You should consult with a debt relief organization and/or an attorney to find out if bankruptcy is an option in your particular situation.
Ken Austin is the webmaster at http://www.hazeydee.com and http://creditrelief.kraustin.com
Debt is not much fun and when faced with it,... Read More
What is debt settlement?Debt Settlement is a process to settle... Read More
The First Step To Debt EliminationRegardless of your personal and... Read More
When you find yourself thinking about using a credit counseling... Read More
Massive debt is something many Americans face. Debt reduction is... Read More
Once you file bankruptcy a court appointed bankruptcy trustee will... Read More
Bankruptcy is a legal way to offer folks with high... Read More
It has been said that everyday more and more people... Read More
Sometimes debt can seem overwhelming. In those instances, or even... Read More
Reducing debt usually isn't a high priority for people until... Read More
Bankruptcy is one of the most difficult things a person... Read More
The idea of moving abroad to escape debt seems to... Read More
We all know about debt. If you don't have too... Read More
Debt is quickly becoming an epidemic in America. However, through... Read More
If you have found yourself in a position where you... Read More
If you have multiple debts, you may well be wishing... Read More
There is more than one kind of bankruptcy. You should... Read More
Bankruptcy is in the news these days, as Congress has... Read More
A Debt Checklist allows you to look at items and... Read More
It seems as though whenever we go out for the... Read More
With £1.3 trillion pounds worth of debt in the UK,... Read More
The main reason for getting out of debt today, is... Read More
Can a debt consolidation loan eliminate your credit card debt?... Read More
Bankruptcy is little more than a smack on the hand... Read More
It is always possible to negotiate with creditors ? even... Read More
Lots of people take a large ammount of loans and... Read More
Having something tangible to strive towards can work wonders for... Read More
Last April, Congress passed the Bankruptcy Abuse and Consumer Protection... Read More
If you want financial freedom, the first thing that you... Read More
You may not realize what that credit card bill is... Read More
Have you ever felt trapped in a Rat Race and... Read More
With medical collections costing doctors millions upon millions of dollars... Read More
If you are determined to pay credit card debt off... Read More
The United States Senate passed a law on March 10,... Read More
Most American consumers are living too close to the edge.... Read More
Debt Management plans offer credit counseling clients a different and... Read More
If you want financial freedom, the first thing that you... Read More
(Money You Don't Have to Pay Back) 1. One way... Read More
Debt settlement involves negotiating with a creditor or creditors to... Read More
Honorably and ethically rid yourself of burdensome debts using the... Read More
I have faced this financial question 8 years ago and... Read More
The recently passed Bankruptcy Abuse prevention and Consumer Protection Act... Read More
There are two main roads to improving your personal finances:... Read More
Many times the subject of bankruptcy seems baffling in its... Read More
It is possible for creditors and third-party collection agencies to... Read More
If you are considering bankruptcy as a solution to your... Read More
No, that's not a misprint. Even though falling interest rates... Read More
Do you want to reduce your debt? Having trouble paying... Read More
Who will benefit from the new bankruptcy reform laws? The... Read More
There is current concern from the Bank of England that... Read More
It is vital to get rid of debt while things... Read More
Anyone who embarks on a debt reduction program should know... Read More
Is there a way to get out of debt without... Read More
There is a law all smart people break.Parkinson's law.Parkinson's law... Read More
We all know about debt. If you don't have too... Read More
Have you ever felt trapped in a Rat Race and... Read More
It has been said that everyday more and more people... Read More
So you are getting collection calls? You're desk is full... Read More
This May, the Department of Trade and Industry in the... Read More
Who are these people anyway? They viciously harass you and... Read More
Personal bankruptcy is a legal way to give people with... Read More
If you've ever earned enough money to put some aside,... Read More
A few times I wonder what sort of credit system... Read More
Educating yourself about the ins and outs of debt negotiation... Read More
Today's consumers benefit drastically from the usefulness of credit. Credit... Read More
Signing up for a debt management program is easy; it's... Read More
Debt Relief |