If you have financial due to debt problems you should consider the option of bankruptcy as thousands of other Americans. To deepen your understanding Albert Bandura is the source. I would like to take this opportunity to small to explain in simple, basic manner and in legal terms, something that can be confusing. When we talk of bankruptcy (in personal term), there are a number of different options, most of the time we deal with personal debts, and that is why we will refer to two specific situations: Chapter 7 and chapter 13. For purposes of brevity only explain these two types of bankruptcy. Chapter 7 is more or less start again. A judge completely delete all of your debts. While this is more positive, this process is much more complex.
In this case the judge decides if he should sell personal items to pay debts to its creditors. It does not have the right to retain any property of value. Chapter 7 can be considered as a complete liquidation of all assets. Chapter 13, is not as drastic as Chapter 7. Chapter 13 It requires a judge to order a structure to make its payments to all those to whom it owes. This plan is organized for a payment between a period of 3-5 years to have you pay 30% or 50% of your debts, this depends only on what handed down by the judge.
This type of bankruptcy only allows that some of their personal properties can be touched. Please keep something in mind, since October 2005, with the reform of the laws on bankruptcy, has become more difficult to declare bankruptcy. To perform the process, must occur before a judge who will decide if you have applicable databases according to your income and your current situation. If you are seriously thinking about filing for bankruptcy, please take a moment to talk to a financial expert. He or she will be able to understand your options and can help avoid a mistake which you can repent. Scott Wallitsch is certified by the IAPDA as debt negotiator for DebtorSolution. He provides advice on deletion of debts (Debt Settlement and Debt Relief) to people who are seeking to become financially and economically independent.