The Ins and Outs of Bankruptcy, Getting Informed Before Making a Decision

Written by Channel 11 Houston on June 25, 2013. Posted in California bankruptcy attorney, San francisco bankruptcy attorney

San francisco bankruptcy lawyer

Filing for bankruptcy is something more of us are having to do everyday. Although it is unfortunate, making the right decision for you on the type of bankruptcy you want to file will make the process that much easier. You may be asking yourself, can I file for bankruptcy? The answer depends on the type of bankruptcy you might qualify for.

Chapter 11 bankruptcy code is commonly used for business bankruptcy, it allows both liquidation and reorganization techniques for businesses. Chapter 11 bankruptcy code may be useful for both making debt arrangements, and getting rid of it all together.

The benefits of filing bankruptcy under chapter 11 bankruptcy code include the ability to take out loans to save the business, as long as the loaner gets first priority to the profits. This saves many businesses from going under by reorganizing their debt, and giving them a temporary fix to their money problems.

Chapter 13 bankruptcy is used primarily for individual use. Chapter 13 bankruptcy laws permit mainly the personal reorganization of debt. Usually over 3 to 5 years, this allows for collection attempts, and calls to be stopped. But the debt is still in existence, there is just a plan formulated to pay it back. Also often times creditors are likely to settle for a lesser amount than owed.

Chapter 7 bankruptcy entails complete liquidation of ones assets in return for their debt being diminished. Often times this includes getting rid of valuable assets to put towards your debt, but then being left with no debt in return. Although it does not sound pleasant it does have benefit in the fact that you will not have to repay the entirety of your debt.

Keep all your options in mind if you plan on filing for bankruptcy. Including Chapter 7, Chapter 13, and Chapter 11 bankruptcy code. With all the options available, choosing the right one for you may seem overwhelming. Getting a good lawyer will help you in choosing which option is right for you, as well as doing your research. Although it may seem like the end of the world, hundreds of Americans file for bankruptcy everyday, you are not alone. Find out more at this site. For more, read this link: sagarialaw.com Visit here for more.

Comments (7)

  • October 9, 2013 at 8:47 am |

    I filed for bankruptcy recently, although it is a scary process to complete, you will feel so much better afterwards I promise you. many of us have to go through it. Don’t feel alone!

  • February 24, 2014 at 8:14 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

  • March 26, 2014 at 9:52 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

  • Jordan Rogers
    April 26, 2014 at 1:25 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

  • May 26, 2014 at 1:27 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

  • Jasmine Gilbert
    June 25, 2014 at 2:05 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

  • George Carpenter
    July 25, 2014 at 2:06 pm |

    Choosing the right lawyer will really help you out. find someone that knows all the facts. and do your research as well.

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