Chapter 7 Voluntary Bankruptcy Petitions Flashcards
1
Q
Voluntary petition
A
is a formal request by the debtor for relief
2
Q
A Debtor may file a voluntary petition
A
without showing that they are insolvent.
They just need to show that there are debts and has income below the state’s median line
3
Q
When order for relief is given to the debtor
A
actions to collect money is halted
Secured creditors will go after collateral
4
Q
Who may not file a voluntary petition
A
Insurance Companies
Banks
Savings and Loans
Railroads
5
Q
What is the minimum amount of creditors required to file
A
there is no miminum
