Qualification for Chapter 7 – known as the “liquidation” option – requires passing a means test and ensuring that to the greatest extent possible, assets are protected by available exemptions.
There are key differences between Chapter 7 and Chapter 11 when it comes to business bankruptcy. Chapter 7 is known as a “liquidation” option and Chapter 11 attempts to reorganize the business by stabilizing its debts and operating expenses.
Chapter 7 bankruptcy is often referred to as “the liquidation option” as the filing sells your non-exempt/unprotected assets to pay your creditors. This post outlines who can qualify for Chapter 7 bankruptcy.
Having the right bankruptcy attorney on your side is crucial to the success of your case. Going it alone isn’t a wise option as bankruptcy can be a very complicated process. There are all sorts of advantages to hiring an experienced bankruptcy attorney, and this post highlights a few of those.
After filing for a personal bankruptcy, you’ll be granted the protection of automatic stay. From there, the court will assign your case a trustee schedule a Meeting of Creditors, providing your creditors notice of the bankruptcy filing.
There are three main types of bankruptcies and they have different effects on businesses and their owners. Whether you’re looking at Chapter 7, 11, or 13, you’ll want to consult a professional bankruptcy attorney to learn more about which option is best for you.
Although rare, HOAs can go bankrupt. Typically, failing HOAs will file for Chapter 11 bankruptcy in an attempt to restructure their debts and reorganize. Members of the HOA can be involved in this process, depending on the specific situation.
Converting a Chapter 13 bankruptcy to a Chapter 7 proceeding may be the right option for those looking to liquidate and consolidate assets in a more efficient fashion. However, it’s important to understand the entire process to see if the conversion is even possible.
Understanding how a bankruptcy can affect your ability to qualify for credit is vital. The proceeding remains on your credit report for seven to ten years and can dramatically affect your ability to qualify for credit cards and unsecured personal loans.
Child support debt cannot be discharged in either personal bankruptcy filing. In some cases, it may be able to shift resources from one debt to another, but it’s important to note there are no options to discharge or liquidate the debt.