Bankruptcy
When a debt burden becomes overwhelming, bankruptcy can offer multiple benefits that any other debt relief options cannot.
When a debt burden becomes overwhelming, bankruptcy can offer multiple benefits that any other debt relief options cannot. It is available for individuals or businesses that cannot repay the debts owed to creditors.
In most jurisdictions, bankruptcy is imposed by a court order and is often initiated by the debtor. Bankruptcy eliminates most, but not all debts. Exceptions to bankruptcy are: most student loans, recent taxes, alimony and child support, debts acquired through fraud, government penalties, restitution or fines, debt from luxury services or goods, and certain cash advances taken within 60 days of a bankruptcy filing.
Basic liquidation for individuals and businesses. This is also known as Straight Bankruptcy, and is the simplest and quickest form of bankruptcy available. Certain requirements need to be met in order to qualify for this type.
Similar to Chapter 13 filing, but targeted at businesses that are struggling to survive. By filing after you become insolvent, or unable to meet your debts, you can keep your business alive and handle your obligations responsibly.
Rehabilitation with a payment plan for individuals with a regular source of income. This type enables individuals with regular income to develop a plan to repay all or part of their debts. It is also known as Wage Earner Plan.