Most individuals who are considering filing for bankruptcy will qualify for either Chapter 7 or Chapter 13 bankruptcy. The major difference between these two types of bankruptcy is that one is essentially a liquidation while the other creates a payment plan that your creditors must follow over a period of 3 to 5 years. In

Bankruptcy is a system that is designed for the honest but unfortunate debtor. It is not a system that can be used and abused by deceitful companies or individual debtors. To ensure that the system is not abused, bankruptcy law places certain people as “watchdogs” over the bankruptcy administration process. One such watchdog is referred

Creditors in virtually every bankruptcy case must have some way of showing how much the debtor owes them for their particular debt. Often, debts are listed specifically on the debtor’s schedules of assets and liabilities. In some situations, however, the debtor may describe these amounts incorrectly or may not list them at all. In those

Unsecured creditors have the opportunity to create a creditors’ committee in every Chapter 11 case. The U.S. Trustee will send out information to all of the unsecured creditors to determine if there is interest in forming a committee. Then, the largest three to five creditors that expressed interest will be asked to serve the committee.

Bankruptcy filings are often referred to by their particular section of the Bankruptcy Code. Chapter 11 filings are for businesses and individuals who have high incomes or a lot of assets. Businesses can only file either Chapter 11 or Chapter 7 bankruptcy. Chapter 7 bankruptcy is essentially a liquidation while Chapter 11 is used more

Generally, individuals will file either Chapter 7 or Chapter 13 bankruptcy. A Chapter 7 bankruptcy will liquidate all your non-exempt assets and use them to pay your creditors. In a Chapter 13 bankruptcy, you set up a payment plan that involves all of your creditors for up to a five-year period. Chapter 7 bankruptcy is

A fiduciary duty arises when you have been assigned to act on another person or party’s behalf. The person who owes this duty is often referred to as the “fiduciary.” In bankruptcy, fiduciary duties arise in the context of a business that has filed for bankruptcy, whether it is Chapter 7 or Chapter 11 bankruptcy.

The bankruptcy system is designed to give the honest but unfortunate debtor a fresh start after their discharge. This fresh start can be viewed from both a financial and emotional standpoint. You may need to rebuild a bit after filing for bankruptcy, but the overall effect is generally positive, especially if you use the following

Starting a business is rarely easy, especially when it comes to making financial decisions. However, the choices you make when you start your business can have long-term effects on the company’s financial well-being for years to come. A staggering 29% of unsuccessful startups ultimately failed because they just ran out of cash. Avoiding common mistakes

Bankruptcy can be an extremely intimidating prospect. Individuals are often concerned about the long-term effects it may have and wonder if it will really be effective for their situation. For many, bankruptcy is a last resort, and they would much rather use other alternatives that might be available. While bankruptcy is widely understood, many people