We are providing a great deal of bankruptcy information for those considering, or just researching, bankruptcy. This growing collection of information includes the complete bankruptcy code, and future sections will cover debt and all consumer options surrounding bankruptcy.
Federal Bankruptcy law benefits both debtors and creditors by seeing that debtors get debt relief and creditors collect some of the debts owed. The types of bankruptcy filings are referred to by the chapter of the federal Bankruptcy Code that describes them.
Generally, individuals use Chapter 7 Bankruptcy or Chapter 13 Bankruptcy. Each case is different, but someone with few or no valuable assets would prefer chapter 7 because it involves a liquidation of most or all assets. Chapter 13 bankruptcy is a reorganization of debts where the debtor and creditors must accept new terms for debt repayment.
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