Bankruptcy Court Protection

Discussion in 'Community Discussion' started by phungy, May 22, 2008.

  1. phungy macrumors 68020


    Dec 5, 2006
    Wondering if anyone here has filed for this? I'd like to know more about it, wikipedia's description is a bit confusing to me.
  2. Sun Baked macrumors G5

    Sun Baked

    May 19, 2002
    There should be a lot of sites with really good descriptions for it.

    Like a local bankruptcy attorney in your area should have a site up with a bunch of the options for your specific state.

    Should be way better than...
  3. maflynn Moderator


    Staff Member

    May 3, 2009
    Here's what I know.
    There's two types of personal bankruptcy, just like what's available for businesses.

    Debt restructure
    This basically just sets up a repayment plan to pay off your debt. You retain your debt but the payment plan is worked out by you, your creditors and the judge/

    asset liquidation
    This will affectively remove all of your debt, and any assests worth selling are. In some cases you can keep your house, but that depends on whether you're behind on payments and/or there's any equity in the house.

    In both cases, its a long painful process that destorys your credit rating. You are compelled to take credit counseling before proceeding with the filing. If you're married and regardless if only one of you is filing. Detailed financial forms, paychecks, tax returns, credit card statements, etc will be required from both.

    I'm not sure you as the file have total choice of which option to pay for.

    Here's a decent FAQ on the subject

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