Five Common Reasons People Declare Bankruptcy

For many people, bankruptcy may seem like a personal failing. They may spend their time searching for what they could have done to avoid their financial problems. The fact is, however, that severe financial distress often has as much to do with bad luck as with any decision they made especially in circumstances beyond anyone’s control, such as the COVID-19 pandemic. Here are five common reasons people declare bankruptcy: Continue reading “Five Common Reasons People Declare Bankruptcy”

Weighing the Costs and Benefits of Bankruptcy

For some people, bankruptcy is a dirty word, and they do not want to confront even the possibility that they might need to declare bankruptcy to deal with their debts. And yet, in the wake of the coronavirus, even people who were previously financially secure have been pushed into situations where bankruptcy seems like an inevitability. Before you decide whether it might work for you, however, you should make sure you understand the costs and benefits of declaring bankruptcy. Continue reading “Weighing the Costs and Benefits of Bankruptcy”

Supreme Court Issues Ruling on “Final” Bankruptcy Orders

The United States Supreme Court recently issued a ruling on bankruptcy orders, and when, exactly, they are considered “final.” While seemingly trivial and technical, this area of ambiguity has caused significant uncertainty for those seeking bankruptcy protection in the federal courts. By its ruling, the Supreme Court has clarified the rights of parties when they can appeal a decision regarding what is known as an application for relief from the automatic stay. Continue reading “Supreme Court Issues Ruling on “Final” Bankruptcy Orders”

Explaining Chapter 13 Bankruptcy

When many people think of bankruptcy, they imagine something extreme: their property confiscated, their bank accounts emptied, their rooms left bare. And while that can happen to some people in rare and unusual circumstances, there are two primary forms of bankruptcy available to individuals. The more common version, where your non-exempt property may be sold off to satisfy as much of your debt as possible, is known as Chapter 7 bankruptcy. However, Chapter 13 bankruptcy is an alternative option and is more appropriate for particular situations. Continue reading “Explaining Chapter 13 Bankruptcy”