Federal bankruptcy laws and the bankruptcy process in entirety is one of the ways to offer a new lease of life to people who have been struggling to make ends meet and clear their dues. This kind of a situation can come in anyone’s life due to some miscalculated risks and financial decisions. However, it is not the end of the world as bankruptcy laws offer a chance for people to redeem themselves. Basics of bankruptcy include:
Tag: bankruptcy
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All You Wanted to Know About Bankruptcy Basis Process
The Bankruptcy Code is a uniform federal law which is used to govern all bankruptcy-related cases. According to U.S. Constitution Article I, Section 8, Congress is authorized to enact “uniform Laws on the subject of Bankruptcies”. The “Bankruptcy Code” (title 11 of United States Code) was thus enacted by the Congress in 1978 and has undergone several amendments since then. The bankruptcy process proceedings are governed by the Bankruptcy Rules (Federal Rules of Bankruptcy Procedure) and local rules of each bankruptcy court. As per bankruptcy rules, a certain set of official forms are to be used in bankruptcy cases. Thus, both Bankruptcy Code and Local Bankruptcy Rules are used to conduct legal proceedings while dealing with debt issues of both individuals and businesses. (more…)
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Federal Bankruptcy Exemptions Details
It is not necessary that you lose all your property when you file for bankruptcy. While filing for bankruptcy, it is therefore important that you are aware of the exemptions allowed by the state as well as federal government under various chapters. This is important to salvage as much of your assets as you can. You should know the details to choose the best exemption to save your property. Some states offer you a choice between state and federal bankruptcy exemption, however Sacramento requires you to choose the state exemption only. In case you reside in any other state, you can use the federal bankruptcy exemptions to protect your property. It is important to know that federal bankruptcy exemption amounts vary every 3 years.
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