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About Bankruptcy

Federal Law provides a method by which persons, burdened by excessive debt, can obtain a fresh financial start and pursue newly productive lives unimpaired by past financial problems. It is an important alternative for persons mired deep in financial difficulty. 

The Federal bankruptcy laws were enacted to provide debtors with a fresh start and to establish a ranking among creditors who are clamoring for a debtor's limited resources.  Bankruptcy helps people avoid the kind of permanent discouragement that can prevent them from ever reestablishing themselves as hard-working members of society. 

Bankruptcy is a legal petition that declares your inability to pay your creditors. You have rights according to bankruptcy laws whereby you may file for bankruptcy. Generally, a debtor declares bankruptcy to obtain relief from debt, and this is accomplished either through a discharge of the debt or through a restructuring of the debt.

There are generally two types of consumer bankruptcy; Chapter 7 and Chapter 13. Click here for more information on types of bankruptcy that are available to you.

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