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Bankruptcy Rights Creditor

August 7, 2010 By admin 9 Comments

Bankruptcy Rights

Financial distress happens due to many reasons, among them medical bills for uninsured illnesses and job loss, among other reasons. In most cases these are out of the debtors control. It is important that both the debtor and the creditor realize that once the petition has been filed, they have bankruptcy rights entitled to them and this should not be violated by anyone involved in the insolvency case.

Among the bankruptcy rights, the creditor is entitled to have a share of the insolvency estate according to their claim. In this case, the secured creditors are given the first priority while the unsecured creditors are only paid after the secured creditors have got a part of their claim. Depending on the amount of the estate available, the unsecured creditors may end up getting nothing at all.

In chapters 11, 12 and 13, the creditors will be entitled to be heard by the court in case they have anything on what the debtor may be planning to do as the case proceeds. They should be heard out on matters concerning the debtors liquidation assets and also on payments received from the bankruptcy estate. Before the court can begin the case, the trustee handling the matter will normally brief the parties on the insolvency rights that both sides are entitled to in order to clear any doubts.

As the case proceeds, the law allows the creditor to challenge any discharge that the debtor would be proposing. He can oppose his debt being discharged by the court. This will then be left for the court to decide whether or not to discharge the debt depending on the reasons forwarded.

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Peter Gitundu Creates Interesting And Thought Provoking Content on Finance. For More Information On How To Deal With Bankruptcy, Read More Of His Articles Here DEALING WITH BANKRUPTCY If You Enjoyed This Article, Make Sure You SUBSCRIBE TO MY RSS FEED!

Filed Under: Bankruptcy information Tagged With: bankruptcy, Bankruptcy Attorney, bankruptcy forms, bankruptcy laws, Bankruptcy Lawyers, bankruptcy records, business bankruptcy, chapter 13 bankruptcy, chapter 7 bankruptcy, credit card bankruptcy, declaring bankruptcy, filing bankruptcy

Corporate Bankruptcy Requirements

August 6, 2010 By admin 4 Comments

Corporate Bankruptcy- How It Affects Employees

Author: Peter Gitundu

There are mainly two chapters under which a bankrupt company can file a financial distress case. These are chapter 7, also known as the liquidation chapter or chapter 11 which allows the company in debt to pay as they continue operating. When a corporate insolvency petition has been filed under chapter 11, the court appoints an official who takes up the responsibility of making financial decisions in the company while the managers continue with the day-to-day running of the company.

Corporate bankruptcy filed under chapter 11, gives the company a chance to reorganize as they pay their pending debts. There are proposed changes in the company financial distress petition. These are under the Bill C-55. Claims for unpaid wages and vacation pay will be given first priority. Presently secured creditors are given first priority, followed by unsecured creditors. This change will be enacted under the Wage Earner Protection Program, WEPP.

The WEPP, which will be under the ministry of labor and housing, was formed to compensate workers who have not received their monthly payments and vacation pay six months prior to the filing. This bill intends to protect workers under their umbrella in case their company decides to declare insolvency. This bill also seeks to protect employees retirement benefits and any retirement plans that the employee could have in case the company became insolvent. Any such retirement plans will be given priority above the secured creditors.

Corporate bankruptcy will also protect the contracts of the employees. The debtor company will have to serve the court with an order that, in order to restructure they might need to cut down the number of employees. The company has to convince the court that this step will help them come out of debt.

Article Source: http://www.articlesbase.com/personal-finance-articles/corporate-bankruptcy-how-it-affects-employees-920590.html

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Bankruptcy Rules Australia

August 6, 2010 By admin 8 Comments

Bankruptcy Rules

Author: Peter Gitundu

Bankruptcy is guided by a number of rules and regulations that you should adhere to as you seek to go through the legal procedures as required by law. I know this may sound a bit absurd considering that your situation is already bad enough now that you are already in debts. Just before you come to the conclusion that life can’t be more unfair, just take time to read this as it may actually be the guide that will save you a lot of hassle.

Bankruptcy rules apply from the time when one is declared insolvent right through to the time the creditors have been repaid, either fully or as the court of insolvency rules out. Declaration of insolvency is either voluntary or involuntary, meaning that a debtor can choose to file a case and report that he is no longer in a position to repay his creditors, or the creditors can sue him.

Insolvency cases are filed under some given chapters of the law. They are 7, 9, 11, 12 and 13. It is best that you understand what is required of you under each chapter so that you know which rule best suits your situation. Chapter 7 and 13 are more commonly preferred because they seem to fit into many debtors’ preferred arrangement for payment.

Another bankruptcy rule that you will learn sooner than later is that it is always best to first consider all the available options and alternatives before filing for insolvency. Always go for insolvency as the last option. As a rule of thumb, never go through the process alone. Hire the services of an experienced attorney or lawyer who will correctly represent you in court and will handle any correspondence with your creditors henceforth.

Article Source: http://www.articlesbase.com/personal-finance-articles/bankruptcy-rules-891411.html

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Peter Gitundu Researches and Reports on Bankruptcy. For More Information On Bankruptcy Rules, Read More Of His Articles Here BANKRUPTCY RULES

Bankruptcy Faq Credit Cards

August 3, 2010 By admin Leave a Comment

Credit Cards For People With Bankruptcy

Author: Peter Gitundu

After going through a rough time trying to settle your debts while fighting bankruptcy, probably the last word you want to hear is bad credit. However, you can easily and effectively rebuild your credit worth records and continue enjoying credit facilities as though you were never bankrupt. This could only be possible with a credit card for people with bankruptcy.

This will however require that you be a lot more careful by making sure that you pay all your bills on time and without delay. You may be wondering whether you should go for the secured or the unsecured credit card after bankruptcy. In as much as it is more advisable to go for the unsecured ones, not all of them will work in your favor.

Some of them may seem to charge attractive rates that you can afford and keep up with, but others have hidden charges behind them like account set up fees and commissions. Others will also charge you some fees once your credit worth increases and you are better able to run your finances positively.

It is important to note here that secured credit cards will never do you any good as far as rebuilding your credit is concerned. Remember that you are never discharged from your list of debts once you have filed for insolvency. Secured cards tell you that you can never get away with any unpaid debts and such creditors will b after your neck till you pay to the last coin. Be informed before making any choices.

Article Source: http://www.articlesbase.com/personal-finance-articles/credit-cards-for-people-with-bankruptcy-891742.html

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Peter Gitundu Researches and Reports on Bankruptcy. For More Information On Involuntary Bankruptcy, Read More Of His Articles Here INVOLUNTARY BANKRUPTCYYou Can Also Add Your Views About Involuntary Bankruptcy On His Blog Here INVOLUNTARY BANKRUPTCY

Bankruptcy Papers

August 2, 2010 By admin 10 Comments

Filing Bankruptcy Papers

Author: Peter Gitundu

Filing for bankruptcy is a legal process recognized under some special laws. It is meant to give some special kind of relief to people who are not in a position to meet their financial obligation. It is not an easy process. It entails a lot of paper work and requires a lot of honesty.

The bankruptcy courts in many states have special papers that one is supposed to fill in personal details. Once these details are compiled, an attorney will look at the contents and will help you decide which chapter to file your case under. There are as many different insolvency papers and forms as there are different scenarios leading to the situation.

If you are not in a position to go to court in person, it is now possible to file your petition online. All you require to do is to identify the forms that you need to fill out and do so online, in the comfort of your own home. There are many web sites from which you can get the forms. However, you need to take extra caution. If you are not really sure of the outlook of the papers, it is advisable to consult a bankruptcy expert like an attorney.

This is because, as we all know, there are a lot of fake materials circulating on the website and some have actually cost some people a lot of resources. Before filling out the papers, be sure to have some prior knowledge about what is required of you. Most importantly, be very truthful as falsehood could lead to insolvency fraud and could make you lose more than you hoped to save.

Article Source: http://www.articlesbase.com/personal-finance-articles/filing-bankruptcy-papers-893654.html

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Peter Gitundu Researches and Reports on Bankruptcy. For More Information On Filing Bankruptcy Papers, Read More Of His Articles Here FILING BANKRUPTCY PAPERSYou Can Also Add Your Views About Filing Bankruptcy Papers On His Blog Here FILING BANKRUPTCY PAPERS

Bankruptcy Rights Creditor

Bankruptcy Rights

Corporate Bankruptcy Requirements

Corporate Bankruptcy- How It Affects Employees

Bankruptcy Rules Australia

Bankruptcy Rules

Bankruptcy Faq Credit Cards

Credit Cards For People With Bankruptcy

Bankruptcy Papers

Filing Bankruptcy Papers

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