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A variety of factors determine whether or not you’ll be able to discharge all of certain personal loans, including whether the loan is secured or unsecured and whether you file via Chapter 7 or Chapter13bankruptcy. What’s the Difference Between Secured and Unsecured Personal Loans?
Consider your income, assets, creditors, expenditures, and your ability to pass the means test while selecting between Chapter13 and Chapter 7. You should get legal assistance from a knowledgeable bankruptcy attorney in Denver. The United States Bankruptcy Code governs both chapter 7 and chapter13bankruptcy.
In This Piece Understand the Types of Bankruptcy How Do You Know Which Bankruptcy Type is Right for You? What Is Chapter 11 Bankruptcy? What Is Chapter 7 Bankruptcy? What Is Chapter13Bankruptcy? Should You File for Bankruptcy? What Is Chapter13Bankruptcy?
Filing the wrong chapter Personal bankruptcies fall into two categories - Chapter 7 and Chapter13bankruptcies. It is important that you understand how these types of bankruptcies differ. Bankruptcy can give you a fresh start.
Whether you’re facing foreclosure , repossession, wage garnishments, or relentless creditor harassment, our expertise in bankruptcy law can offer the protection and relief you’ve been seeking. One of our firm’s key strengths lies in our comprehensive understanding of both Chapter 7 and Chapter13bankruptcy options.
In short, they prepare you for the challenges that come with rebuilding your finances after bankruptcy. Understanding Chapter 7 vs. Chapter13Bankruptcy There are 6 types of bankruptcy, but two of the most common types are Chapter 7 and Chapter13.
Do Bankruptcies Come in Different Types? There are officially six separate categories of bankruptcy , each designated after a specific section of federal bankruptcy law. However, Chapter 7 and Chapter13bankruptcy are the two types of bankruptcy that are most frequently filed.
Chapter 7 bankruptcy remains on credit reports for 10 years. Unsecured Debts in Chapter13BankruptcyChapter13bankruptcy works differently. You pay back some of your debts over three to five years. After completing the plan, any remaining unsecured debts may be discharged.
However, which type of bankruptcy you file will also depend on what kind of debt you have. Secured and unsecured debt is handled differently in Chapter 7 vs. Chapter13. What is SecuredDebt? Secureddebts are a type of debt backed by an asset that is used as collateral.
If you still have unsecured joint debts with your ex-spouse, going through Chapter 7 will discharge your liability for the debt, but your former spouse will still be financially responsible unless they also discharge it through bankruptcy.
They may use collection agencies , or they may sue you (asking the court to garnish wages, take an asset, or put a lien on your home). One of the benefits of declaring bankruptcy is that debt collectors cannot try to collect on debts that were discharged in bankruptcy.
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