Dealing with debt problems can seem overwhelming but getting the big picture is a good first step. So, let’s start with a definition…

Bankruptcy – A Definition

The bankruptcy law is a set of Federal laws that provide protection from creditors and allow individuals or businesses to eliminate all or some of their debt. You have the right to file Bankruptcy under the United States Code. The filing of bankruptcy petition immediately stops creditors from harassing you and forces them to deal with the bankruptcy court.

The Bankruptcy Chapters

There are 6 chapters of the bankruptcy code that can provide debtors with protection from creditors:

Chapter 7

Chapter 13

Chapter 11

Chapter 12

Chapter 9

Chapter 15

What You’ll Learn about Here

Chapter 7 and Chapter 13 are both designed to help individual consumers like you and me and to an extent, small businesses. So, these are the chapters we’ll be focusing on. The other chapters are primarily for corporate entities (Chapter 11), governmental units (Chapter 12), farms (Chapter 9) and Ancillary and Other Cross-Border Cases (Chapter 15).

The next page discusses the most common form of bankruptcy, Chapter 7.

Leon H. Rountree III
Consumer Bankruptcy Attorney