Chapter 7 Bankruptcy: Liquidation Or Straight Bankruptcy
50410
Finance > Personal Finance
Oct 18, 2007
apurvashree
Chapter 7 Bankruptcy: Liquidation Or Straight Bankruptcy
The bankruptcy laws as defined in the bankruptcy code of the United States have been categorized into various chapters and one of the most common types of bankruptcy is chapter 7 bankruptcy. The concept of bankruptcy that a common man has is the concept described in the chapter 7 of the bankruptcy laws. What Is Chapter 7 Bankruptcy Chapter 7 bankruptcy is the option for the debtors to get rid of all the debts that they owe to various creditors. In this method, the bankruptcy court appoints a trustee to liquidate all the assets of the debtor and settle the claims of the creditors with the money thus collected. The advantage to the debtor is that he or she is now responsible to pay as much debt as is the value of their assets. They will not have the obligation to repay the debts that could not be paid with the money collected from liquidation of assets. That is the reason most people who have caught themselves in too much debts to be paid off with the means and assets available to them look at chapter 7 bankruptcy as an attractive option. It provides them an excellent opportunity to give their financial life a fresh start with no obligation to repay the debts they owe. Is Chapter 7 Bankruptcy Easy To Be Granted For The Debtors Whether or not the chapter 7 bankruptcy is easy for the debtors depends upon the specific bankruptcy case. However, in order to prevent bankruptcy frauds, the bankruptcy laws require the debtors to go for a Means test before they are declared as bankrupt. The objective of the means test is to compare the debtors monthly income to that of the states median income. If the debtors monthly income is greater than the state's median income, he or she is not granted bankruptcy under chapter 7. Rather they are asked to file for bankruptcy again under chapter 13 where they will be suggested a repayment plan to pay off the debts along with the opportunity to reorganize their finances under the expert guidance of the trustee appointed by the bankruptcy court. Therefore, it is very important for you to check out everything before you file for chapter 7 bankruptcy. I must add that converting the bankruptcy claim from one type to another will require you to pay the conversion fees, which is substantial in nature. Therefore, the prudent way is to let your bankruptcy attorney be aware of all the facts so that they could help you find the best possible solution.
When we refer to chapter 7 bankruptcy, it means one of the types of bankruptcy as per the bankruptcy laws or bankruptcy code of the United States.
send email to apurvashree
Write a Review
Add to My Favorite
Refer it to Friend
Report Article
Other links owned by this user
No fax payday loans are unsecured loans that do not require you to give any collateral security to obtain fast cash advance through loans.
Category:
Baby shower games are a sure-shot way of adding fun and laughter to your shower party without spending much money.
Category:
The route 66 funding payday loan can be defined as an unsecured small short term loan that anybody can easily borrow, because the eligibility criteria are not very difficult to achieve.
Category:
Various bankruptcy laws in the bankruptcy code has provided various sorts of bankruptcy help for people trapped in too much debts to be paid off with their available means and assets.
Category:
Debt consolidation refers to one of the most successful techniques to eliminate debt.
Category:
If you are planning to avail the cash till payday loan, it is very important for you to understand the process of application and approval for the same.
Category:
Now days, with the wide availability of bankruptcy form processing services on Internet, filing bankruptcy online has now become easier and the good part of the story is that the process is very easy and time saving.
Category:
The rapid growth and advancements in the field of Internet has made it much easier for you to bring targeted website traffic.
Category:
As the name suggests, an advance payday loan online is a small cash advance against your next paycheck to enable you to face certain unexpected financial challenges in your life.
Category:
Most payday loans are strictly short-term, mostly lasting only till the next payday.
Category:
Picture This: You have a doctors appointment. You keep the appointment, meet your doctor, discuss your ailments, and now its time to pay your doctor his fees.
Category:
A debt consolidation company aids you in your quest to attain economic liberty.
Category:
Free web site traffic is the way to go when there are so many options available to bring heavy traffic to your website.
Category:
Among the various ways to generate free, targeted web site traffic, FAQs have been found very effective.
Category:
Are you planning for cord blood donation? Then, it is important that you know about the types of these banks.
Category:
Assessing the filing bankruptcy cost is an important step if you are on the way to file a court petition for bankruptcy. Since you are filing for bankruptcy, it is a clear indication that you are in a deep financial trouble and the debts that you owe to v
Category:
A personal unsecured guaranteed payday loan is fast becoming the choice of many for instant cash.
Category:
What is Ectopic Pregnancy? Ectopic may be defined as an organ or body part existing in an unusual form or position.
Category:
When it comes to clinching the best deal in payday loan funding, you will find the following tips very useful for you.
Category:
A very early pregnancy symptom cramping reduces joy of conceiving with its acute pain in the abdomen.
Category:
Other links at Finance > Personal Finance
More and more, our society is becoming dependent upon using plastic to make purchase, book reservations and shop online. Therefore, as a caring and responsible parent, find out how you can help your teenager o learn how to manage their money wisely.
Category:
Participate in paid surveys and earn secondary or primary income with minimal effort and without leavin your house. It's amazin how much money you can make and also the prizes you can win by fillin out simple surveys. Of course when somethin is too
Category:
In today?s society more and more people are abandoning traditional means of shopping like malls and flea markets for more tech savvy and less time consuming methods such as online stores and auctions. Initially many people were concerned
Category:
As the winter months draw in, consumers may well find themselves coming under severe financial pressure.
Category:
Site Sponsor
Directory Statistics
Articles: 68252
Categories: 501
Yahoo Entertainment
