Blog: Bankruptcy

There are some common-sense correlations between medical debt and bankruptcy. However, did you know that medical indebtedness can also lead to poorer health? Medical bills can often set off a chain reaction that can compound your problems. 4 possible negative impacts to unpaid medical debt The Sycamore Institute conducted a research project on how medical debt…

Chapter 11 bankruptcy is a form of bankruptcy designed for businesses that want to restructure their debts while keeping their doors open. This form of bankruptcy is helpful for those who may find that their debts are outweighing the profits but that they have can make changes to make the business more profitable with the…

If your company is struggling to stay afloat, you may start to think about filing for bankruptcy. When you look at the people you owe money to, you might feel more loyalty toward some than others. Yet, this does not mean you can play favorites when choosing who to pay. Section 547 of the Bankruptcy…

Business bankruptcies can help a company restructure if there is potential for it to continue operating. In situations where future operations seem impossible, bankruptcy can also be a way for the company to discharge its debts as it begins the process of dissolution. Whether you hope to continue the company or need to shut it…

One of the most traumatizing things about owing money is when the debt collectors try to get their money, but you don’t have it to give to them. Bankruptcy is one option that some people opt to utilize, so they can get ahold of their finances. Filing bankruptcy puts a stop to the collection attempts…

Restructuring as part of a business bankruptcy filing can be challenging and beneficial. Your company can reduce its redundancies and operating expenses without necessarily sacrificing performance. Laying off or terminating employees with poor performance records or whose jobs overlap with someone else’s can eliminate hundreds of thousands of dollars in annual liabilities for the business,…

If your finances have reached the point where filing for bankruptcy seems like a good solution, then you likely have more obligations to pay each month than you have the income to cover them. This kind of financial situation can lead to aggressive collection activity, creditor lawsuits, repossession efforts and even foreclosure on your home….

The bankruptcy court may need to liquidate some assets when a business initiates bankruptcy proceedings. Any proceeds from the sale of those items go to cover some of the company’s debts. The bankruptcy court refers to the sale of these assets as a “363 sale” in reference to the similarly numbered section of the U.S. Bankruptcy…

Some estimates show that a quarter of people between the ages of 18 and 34 have at least $30,000 in debt. Approximately one out of every 10 owes over $100,000. This may include all kinds of debt, such as student loans, credit card debt, car loans and more. These statistics show that younger people often find…

Whether you’re filing for personal bankruptcy or business bankruptcy protection, the process is designed to be as fair as possible to both creditors and debtors. While that has many meanings, one thing that can cause a lot of problems for both the debtor and others is the issue of preferential payments. Whether you’re filing for…