Martin

What is bankruptcy?

Bankruptcy, in legal terms means that a person or organization is unable to pay creditors. The main objectives of bankruptcy are:

- To allow honest debtors a new start
- To start repaying debts in a period of time that fits the debtor

Several kinds of bankruptcy exist; Chapter 1, Chapter 3, Chapter 5, Chapter 7, Chapter 9, Chapter 11, Chapter 12 and Chapter 13, but above all, Chapter 7 and Chapter 13 are the most used.

Here are some useful diff...