In today’s uncertain economic climate, many people are feeling the pinch of owning more money than they earn. Rising unemployment and underemployment, increasing consumer prices and interest rates and decreasing or stagnant wages can all contribute to this situation. If you are in this unfortunate predicament, there are solutions that can help you realize a new financial start in life. One of these solutions is Chapter 7 Bankruptcy In Dayton OH. Learn more about this legal status so you can see if it’s for you.
Article 1, Section 8 of the United States Constitution gives Congress the authority to pass bankruptcy laws. These laws should be fair and consistent in nature since as they apply to all states. The Bankruptcy Code, passed in 1978, along with the Federal Rules of Bankruptcy Procedure dictate the way bankruptcy cases are carried out. The legal processes for implementing bankruptcy for businesses and individuals are also governed by local rules. Bankruptcy cases are heard in a federal court by a United States federal judge. Eligibility for bankruptcy is decided by this judge.
One of the main sections, or chapters, of the Bankruptcy Code is Chapter 7. This section provides for the sale of a party’s assets to cover debts. Certain assets are exempt and the proceeds of the sale are given to creditors. The party filing for this bankruptcy must be an individual, corporation, or partnership. Other business entities can also file for bankruptcy. Some types of debts can’t be discharged. Individuals are allowed to discharge debts up to a certain point.
Filing for Chapter 7 Bankruptcy In Dayton OH starts by submitting a petition to the correct bankruptcy court. A debtor must file information regarding assets, liabilities, current income, and expenditures. A statement of financial affairs also has to be filed with the court. Proper documentation is needed to confirm the accuracy of these details.
Getting a fresh financial start in life is possible when a debtor chooses to file for bankruptcy. With the help of a qualified bankruptcy attorney, an eligible debtor can successfully have a portion of his debts dismissed. This can help a person avoid the difficulties associated with carrying a heavy debt-load in life.
