Bankruptcy Flashcards
Which bankruptcy is considered a liquidation type of bankruptcy procedure and eliminates a consumer’s debt by having a trustee sell some of the debtor’s personal property to repay their creditors?
Chapter 7 is considered a liquidation type of bankruptcy procedure.
Chapter 7 eliminates a consumer’s debt by having a trustee sell some of the debtor’s personal property to repay their creditors.
Which bankruptcy allows debtors to keep their personal assets, but they are obligated to repay their debt in full over a period.
Under Chapter 13 a debtor will pay more every month to make payments on their overdue debt along with their current monthly payments.
Which bankruptcy is intended for business but also accommodates those who exceed Chapter 13 debt limitations or lack regular income.
Chapter 11
Most debts are discharged after 115 days from the date of filing for Chapter 7, but certain obligations must still be repaid: (list 5)
child support,
alimony,
income taxes less than three years past due,
student loans, and
secured debt.
Which bankruptcy has no min or max debt or income requirements?
Chapter 11
Which bankruptcy needs to have income below a certain amount?
Chapter 7
Which bankruptcy needs to have debt below a certain amount?
Chapter 13
