Tag Archives: Debtor

Am I a good candidate for bankruptcy?

Many debtors start the bankruptcy process without understanding what bankruptcy can and cannot do for them. Filing bankruptcy is a serious decision with serious ramifications, and it is not the right solution for everyone. Recently on our bankruptcy forum we had a user ask, “How do I know if I am a good candidate for bankruptcy?”

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Better Understanding the Chapter 13 Bankruptcy

In bankruptcy law, it is often good to reiterate bankruptcy terms to the average layman. The more information you have about a particular circumstance, the more likely you will make better judgments in dealing with the circumstance. This article is being written to reiterate a better understanding of the chapter 13 bankruptcy. Continue reading

Choices for Filing Under a Chapter 11 or Chapter 13 Bankruptcy

Legal research

Choices for filing should include legal research.(Photo credit: gwilmore)

An individual or individuals owning a small business have a couple of choices for filing for bankruptcy protection in lieu of having to liquidate their assets in a chapter 7. Depending on your business circumstances, it can be complicated in determining what choices for filing you have under a chapter 11 or chapter 13 bankruptcy. Continue reading

Advantages and Disadvantages for Filing a Chapter 7 Bankruptcy

The average layman is not familiar with bankruptcy terms and often may not understand every purpose for filing for bankruptcy protection. Since filing bankruptcy helps debtors to start a financially fresh new life, bankruptcy laws have been written in an attempt to meet any financially bankrupt situation a debtor may find themselves. There are many types of bankruptcies a debtor can file, and each type has its own advantages and disadvantages for filing them. This article is about the advantages and disadvantages for filing a chapter 7 bankruptcy. Continue reading

Removing a Lien on a Title After Paying Off a Loan in Bankruptcy

Many times during a chapter 13 bankruptcy plan, a debtor will pay off a secured loan in the process. In removing a lien on a title of a secured asset, the lending institution has their rules about how to release the title and lien on the asset. How soon should the filing debtor expect to receive the title on a secured asset after paying off the loan in a chapter 13 plan? Continue reading

Understanding the Significance of a Lien in Bankruptcy

In general legal terms, a lien is the right to take and hold or sell the property of a debtor as security or payment for a debt or duty. A lien acts as collateral when a debtor must borrow money from a lending institution to pay for personal property. A lending contract is made between the creditor and debtor and payments are arranged to be made over time that might include interest, penalties, and fees in addition to the principal. The legal rights of liens are governed primarily by state laws, but since filing bankruptcy is a federal matter governed by federal laws, a debtor wanting to file bankruptcy should understand the significance of a lien in relationship to the bankruptcy process. Continue reading

Voluntary Filings in the Bankruptcy Process

In bankruptcy law, there are different types of chapters within bankruptcies, but there are only two ways these types of bankruptcies can be filed- voluntarily or involuntarily. Most bankruptcies filed are voluntary filings in the bankruptcy process. Continue reading

Transfer of Property Often Confusing in Bankruptcy Process

English: Stately residence commissioned in 180...

A transfer of property of a stately residence in the late 1800s, first by a wealthy businessman who was facing bankruptcy to the Governor of Vermont, and then the Governor transferred it to the University of Vermont, who still owns it today. (Photo credit: Wikipedia)

In a general sense, the U.S. Courts website defines the transfer of property as “any mode or means by which a debtor disposes of or parts with his/her property.” The term can often be very confusing, especially to laymen during the bankruptcy process. Continue reading

Why File Bankruptcy as a Small Business Under Chapter 11?

According to the U.S. Census Bureau, small businesses employing four employees or less represent about 93% of the total gross income made by all businesses in the United States. The greatest majority of small businesses fail before they ever reach the age of five years old, and many of them are forced into bankruptcy protection. Why should a small business debtor file for bankruptcy protection under a chapter 11 instead of some other type of bankruptcy? Continue reading