Part 1: Introduction
Bankruptcy is a legal process that provides relief to many individuals who can no longer pay all of their debts.
Part 2: Types of Bankruptcy
There are three main types of bankruptcy cases for individuals, the most common of which are chapter 7 and chapter 13.
Part 4: Filing for Bankruptcy
In order to file for bankruptcy, an individual must take a credit counseling course and accurately complete and file a number of documents.
Part 5: Creditor’s Meeting
Every debtor is required to appear at a creditors’ meeting conducted by a trustee who asks the debtor questions about the debtor’s financial condition and gives creditors the opportunity to do the same.
Part 6: Bankruptcy Crime
A debtor must be honest and accurate in dealing with the court or face serious consequences, including being charged with a bankruptcy crime.
Part 7: Court Hearings
In some cases, a debtor may be required to appear at hearings before a bankruptcy judge.
Part 8: The Discharge
Debtors are usually able to discharge most or all of their debts. Once a debt is discharged, a creditor may not attempt to collect it from the debtor.