When you are unable to pay off your debts due to one reason or another, you can always decide to become bankrupt. While this may not be the best option, it may be the only option at your disposal. To file for bankruptcy Oakland residents should look for a competent lawyer to advise and guide them throughout the entire process.
This legal option basically provides for debt forgiveness. The debt can be personal debt or business debt. Whatever the case, a large portion of the debt can be written off once the debtor has been declared bankrupt. Before this can happen, however, the assets of the debtor will have to be liquidated or the debtor will be required to come up with a repayment plan.
Be sure to compare lawyers. After all, every lawyer is different. The most experienced lawyers deserve to get special consideration.
Chapter 7 is one of the most common types of bankruptcies. To qualify for this chapter, the debtor only needs to prove that they do not have a reliable source of income, but have some assets that can be sold to recover funds to offset part of their debt. Both individual and corporate debtors can use this option.
Chapter 13 is commonly referred to as personal debt reorganization. This legal option allows personal debtors to retain ownership of all their assets as they service their debts over a period of several years. It is important to note that some personal debts, such as student loans, child support back payments and alimony cannot be written off through this chapter.
Corporate debtors only have two options, chapter 7 and chapter 11. The latter is basically debt restructuring or reorganization. The management of the firm or organization simply proposes a reasonable plan to service their debts for a couple of years. If the court approves the plan, the organization only needs to meet the terms and conditions highlighted in the plan to get debt forgiveness.
It is important to note that if a debtor fails to honor the terms and conditions of their debt repayment plan, their assets will be liquidated through chapter 7. To avoid losing your property, therefore, you have to submit the monthly payments to the trustee in a timely manner. In case you are not able to make timely payment in a given month, be sure to inform the trustee well in advance.
When a business files for chapter 7, the management will have to shut down the business. This is because a chapter 7 is akin to winding up a business as everything will be liquidated to pay off its debts. Be sure to keep this in mind when seeking to become bankrupt under this chapter.
Bankruptcy can either be voluntary or involuntary. If creditors decide to take you to court in a bid to recover their debts, this type of bankruptcy will be known as involuntary bankruptcy. However, if you decide to file a petition on your own, you will become bankrupt voluntarily. Whatever the case, you will enjoy all the legal protections that come with this option.
This legal option basically provides for debt forgiveness. The debt can be personal debt or business debt. Whatever the case, a large portion of the debt can be written off once the debtor has been declared bankrupt. Before this can happen, however, the assets of the debtor will have to be liquidated or the debtor will be required to come up with a repayment plan.
Be sure to compare lawyers. After all, every lawyer is different. The most experienced lawyers deserve to get special consideration.
Chapter 7 is one of the most common types of bankruptcies. To qualify for this chapter, the debtor only needs to prove that they do not have a reliable source of income, but have some assets that can be sold to recover funds to offset part of their debt. Both individual and corporate debtors can use this option.
Chapter 13 is commonly referred to as personal debt reorganization. This legal option allows personal debtors to retain ownership of all their assets as they service their debts over a period of several years. It is important to note that some personal debts, such as student loans, child support back payments and alimony cannot be written off through this chapter.
Corporate debtors only have two options, chapter 7 and chapter 11. The latter is basically debt restructuring or reorganization. The management of the firm or organization simply proposes a reasonable plan to service their debts for a couple of years. If the court approves the plan, the organization only needs to meet the terms and conditions highlighted in the plan to get debt forgiveness.
It is important to note that if a debtor fails to honor the terms and conditions of their debt repayment plan, their assets will be liquidated through chapter 7. To avoid losing your property, therefore, you have to submit the monthly payments to the trustee in a timely manner. In case you are not able to make timely payment in a given month, be sure to inform the trustee well in advance.
When a business files for chapter 7, the management will have to shut down the business. This is because a chapter 7 is akin to winding up a business as everything will be liquidated to pay off its debts. Be sure to keep this in mind when seeking to become bankrupt under this chapter.
Bankruptcy can either be voluntary or involuntary. If creditors decide to take you to court in a bid to recover their debts, this type of bankruptcy will be known as involuntary bankruptcy. However, if you decide to file a petition on your own, you will become bankrupt voluntarily. Whatever the case, you will enjoy all the legal protections that come with this option.
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You can get great tips for choosing a bankruptcy Oakland attorney and more information about a knowledgeable lawyer at http://www.centralcoastbankruptcy.com now.
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