What does it mean if a family household files for bankrupcy?
news10boi asked:
I just found out a family I know filed for bankrucpy, their a family of 4 in a 2-story house making $42k a year… What does that mean if a normal person files for that? Whats going to happen?
Thanks, Just curious
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I just found out a family I know filed for bankrucpy, their a family of 4 in a 2-story house making $42k a year… What does that mean if a normal person files for that? Whats going to happen?
Thanks, Just curious
Create a video blog
maxmom56:
It depends on whether they filed a Chapter 13 or Chapter 7 bankruptcy. In a 13, your debts are basically reorganized, giving you better terms and a longer amount of time to pay them. You generally keep your assets. A Chapter 7 is a liquidation. The debtors get to keep a certain amount of assets and everything else is either sold or returned to the creditors. In return, all the debts are extinguished.
May 25, 2009, 11:21 pmZzyzx:
Laws vary state to state.
Some states you can keep your house, others not so much.
Is great resource.
May 27, 2009, 7:07 pm