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In Chapter 7, the debtor's estate is liquidated beneath the policies on the Bankruptcy Code. Liquidation is the procedure by which the debtor's non-exempt property is sold for dollars by a trustee and the dollars is dispersed to creditors.
Chapter 13 is sometimes termed the wage earner’s bankruptcy, and once and for all reason. Chapter 13 is bankruptcy for people who find themselves producing revenue but have fallen desperately powering endeavoring to keep up with payments for points bought on credit rating.
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At the conclusion of the repayment period of time, any remaining debts, with specific exceptions, will likely be discharged through the court docket, which means the debtor is under no obligation to pay them.
Obtain specifics of bankruptcy laws, together with responses to many of the most often questioned questions. These films offers you basic specifics of the procedure, the aid it provides, and How to define the authorized enable you to may need. Similar Backlinks
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A report via the Federal Reserve Bank of Philadelphia found that only one-3rd of Chapter thirteen bankruptcy conditions bring about discharge. This determine emanates from various experiments in multiple districts through the entire U.
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