Bankruptcy in Different Nations

Bankruptcy is a legal declaration of an individual or organization’s inability to repay its credit obligations. Bankruptcy is typically voluntary or initiated by a debtor who has been deemed insolvent. However, in some cases, the bankruptcy petition may be filed by a creditor, known as involuntary bankruptcy, for recouping a portion of the amount owed [...]

A Bankrupt

Declaring bankruptcy is often a wise alternative for individuals and businesses in their struggle to manage their debt and withstand the persistence with which they are harassed by creditors. However, defaulters must take into consideration the pitfalls of bankruptcy declaration, the most vital being a deterioration in the credit ratings. The credit score of an [...]

Common Chapters of Bankruptcy

Bankruptcy is a declaration, which may be voluntary or involuntary, of insolvency or inability to repay debts. In the US, bankruptcy cases are governed under the ‘Bankruptcy Code.’ This code entitles defaulters to select from different chapters of bankruptcies, each having their own prerequisites and pros and cons. Common Chapters of Bankruptcies Chapter 7 is [...]

Dismissal of a Bankruptcy Filing

Bankruptcy filings are mostly voluntary. Individuals are often quick to resort to bankruptcy filings to rid their debt obligations, which generally goes against the creditors’ best interests. Therefore, insolvency declarations usually require filing a detailed and comprehensive bankruptcy petition to avoid swindling. A bankruptcy court passes a request only after reviewing the petition and establishing [...]

Corporate Bankruptcy

Bankruptcy can be filed by individuals as well as corporate entities. However, the procedure for corporate bankruptcy differs from that of individual bankruptcy, requiring adherence to stricter regulations. Especially in case of public companies, having public shareholders, bankruptcy may result in unparalleled damage. Bankruptcy: Impact on a Public Company Corporate bankruptcy filing in the US [...]

Involuntary Bankruptcy

Bankruptcy is often declared voluntarily by individuals and business organizations. However, in some cases, one or more creditors may collaborate to file for bankruptcy against a delinquent borrower. This is known as involuntary bankruptcy. Creditors resort to involuntary bankruptcy only if they feel that doing so may be more beneficial than other methods of debt [...]

Bankruptcy Exemptions

Bankruptcy results in surrendering of assets and possessions to the bankruptcy court. The court in turn sells the assets to private parties, using the possessions to pay-off the outstanding debt. However, filing bankruptcy does not result in complete takeover of the assets. A defaulter is entitled to certain bankruptcy exemptions under the Federal and/or state [...]

Bankruptcy Assets: What Happens to Them?

For people who face financial disaster and are not in a position to pay back their debts, bankruptcy is a feasible option. However, declaring bankruptcy requires debtors to have in-depth knowledge of the proceedings. They should know what will happen to their bankruptcy assets, especially pension, life insurance policy, car, house, bedding, furniture, tools, clothing, [...]

Bankruptcy Bank Account?

When one files for bankruptcy, most of their assets are auctioned. If there are more liabilities than assets, one cannot afford to have a bank account. However, it is very difficult to manage one’s finances without a bank account. Interestingly, bankruptcy does not prevent a debtor from opening a bank account. Many banks offer a [...]

How to Have a Car After Bankruptcy

Keeping a car after filing bankruptcy is a tough ask especially with no money for monthly payments and the constant threat of repossession. Being essential for most families, the law offers a few ways in which a person can retain the car even after filing bankruptcy. As different bankruptcies entail different situations, people have different [...]

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