Chapter 7 is called liquidation. Liquidation is a court process in which a court trustee takes account of the debtor’s assets and converts them to cash. The cash is then distributed amongst the creditors, and if the court sees it proper, the rest of the debt is discharged.
Chapter 13 is mostly chosen by those who have a constant income or permanent employment. This chapter allows the debtor to create a repayment plan in accordance to the rules. If approved by the court, the debtor is given a longer repayment period and is allowed to remain with their assets.
Bankruptcy is a legal process which allows individuals who cannot repay their creditors to be given a fresh start financially. This process is very complex and in order for it to work you will need the help of a professional Bankruptcy Attorney Marion IN. An attorney is an individual who can legally advise and represent you. The rules and guidelines of bankruptcy are written in the Bankruptcy Code. There are five options available for citizens and in order for you to choose the right attorney you need to be aware of some of them. The most commonly chosen are Chapter 7 and Chapter 13.
To file for bankruptcy, you need to prove to the court that you are no longer able to make repayments. In order to do this, you must show your income as well as your expenditure. You will need to provide the court with your bank records, pay slips, any rental agreements you may have and any other proofs of your income and spending. While filing for bankruptcy, you must ensure you list all the debts that you want discharged as you can no include them once the process has started. Before you file for bankruptcy, you should be aware that their certain debts that are exempt from the Bankruptcy Code. This includes student loans and child support.
If you are looking for a Bankruptcy Attorney Marion IN that can help you understand the rules and guidelines of the process contact Ripke Law PC or visit Ripkelaw.com. They have the knowledge and experience you need to ensure you are properly advised and represented. They can also help you with other legal issues that you may have.
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