Avoid Bankruptcy Information intends to provide its valued visitors with free information on the basics of bankruptcy, the most recent bankruptcy law changes, and general information that should prepare people for what to expect during personal or business bankruptcy, as well as free information on how they can avoid bankruptcy in the future.

Information on bankruptcy law and avoiding bankruptcy

When a decision has been made to file for bankruptcy by any individual or business, it can be one of the hardest and most devastating. In a sense, it is just like starting over a new life. Moreover, for many, bankruptcy is a way to start a new life, one that is more financially balanced, organized, and planned.

Recently though, the government took decisive action to make bankruptcy more difficult to file for in an attempt to curb abuse by those who are capable of paying back debt and to ensure creditors are getting back more of their money from debtors.

New Bankruptcy Laws (New!) - On October 17, 2005, a new bankruptcy law took effect. Congress felt these new laws were needed for several reasons: • When a person files for bankruptcy, the companies who do not get paid pass those expenses on to their other consumers in the form of higher prices...

How to Avoid Bankruptcy - In today’s economy, you may be finding that simply treading water in the budget no longer works. Any little, or not so little, wave—a missed direct deposit, a mortgage adjustment, or even a 10-cent hike in gas prices—can threaten to sink your economic boat. Sometimes, bankruptcy seems like the only way out and the only way to make the phone stop ringing...

Chapter 11 Bankruptcy - There are four main bankruptcy chapters that are available to individuals. Chapter 7 bankruptcy, often called a “straight bankruptcy,” allows for liquidation of assets and can be used by either consumers or businesses. Chapter 12 was set up entirely for the “family farmer” or the “family fisherman.” Chapter 13, the most common one for individuals, is also known as the “wage earner bankruptcy.” The purpose of this article is to give more detailed information on the remaining bankruptcy, Chapter 11. Chapter 11 bankruptcies are not often used by individuals because in order to file for one, the individual must owe more money than that allowed in a Chapter 13 bankruptcy (i.e., they must owe at least $336,900 in unsecured debts, or $1,010,650 in secured debts) and they must have an income that would make it possible for them to pay off...

Chapter 13 Bankruptcy - Some consider filing for Chapter 13 bankruptcy as a stay of execution, while others view it as a dignified means of getting out of a financial mess. Once upon a time, filing for Chapter 13 bankruptcy was considered an unintelligent choice, especially with the availability of Chapter 7. Chapter 13 bankruptcy filing is a way for U.S. citizens to undergo financial reorganization as supervised by a federal bankruptcy court. In other words, a system for repayment of debt is created with the law insuring that creditors get their money back....

Chapter 7 Bankruptcy - If you are facing what seems to be an insurmountable amount of debt, filing for Chapter 7 of the United States Bankruptcy Code might be the best possible solution. Chapter 7 bankruptcy, also referred to as the “liquidation” or “straight” bankruptcy chapter, allows an individual or business to liquidate assets in order to pay off debt. Under Chapter 7, a trustee is appointed by the court to acquire nonexempt property of an individual or business. Any property that has value is in turn sold by the trustee and liquidated into money to pay creditors. Laws pertaining to Chapter 7 bankruptcy vary in each state of the United States. An individual or business can retain exempt items, including real estate, depending upon the state of residence and applicable federal laws. Those considering filing for Chapter 7...