Sunday, January 31, 2016
ROBBING PETER TO PAY PAUL?
Let’s Talk about Bankruptcy - Part 1
Most people think of Bankruptcy as the end of their financial borrowing life. We've heard, "Oh, I won't be able to buy a house or a car or get loans again". This simply is not true. Bankruptcy is a federal program that is designed to help you. It's about protection; you just have to file the right chapter that is going to be most beneficial to you. Attorney Mark Williams can help you; he's been helping people and businesses get financially on track for over 25 years; he can do the same for you.
WHAT ARE THE DIFFERENT TYPES OF CHAPTERS IN BANKRUPTCY?
Most commonly used are Chapter 7, 11 and 13
Chapter 7 is probably the most commonly used of all 3 mentioned because it is considered a 'straight' bankruptcy and because it causes the greatest amount of debt relief.
Chapter 11 is usually used by corporations or big businesses; although individuals can also file for Chapter 11. With Chapter 11, there are no liquidation of assets and removal of debt; rather, the debts and assets are reorganized into a repayment plan. If you own a business, under Chapter 11 you can continue operation.
Chapter 13 is for individuals; it is similar to a debt consolidation, but is done through a court system; but most importantly it protects your home, your retirement and belongings to say the least.