For you, it is important that you understand the different bankruptcy options before you determine if bankruptcy is right.
In the event that you get Social protection benefits (SS), or Social Security impairment Insurance benefits (SSDI), you can’t afford to spend all your bills, and you’re considering bankruptcy, you should be conscious of how these advantages are treated in bankruptcy. But before we discuss exactly how these advantages are addressed you should think about whether bankruptcy is also necessary in your position, or whether it is in your absolute best interest.
There are 2 typical bankruptcies for consumers, Chapter 7 and Chapter 13. A Chapter 7 bankruptcy is normally described as a “Fresh Start” bankruptcy given that it discharges (wipes out) many kinds of credit card debt within about ninety days of filing bankruptcy (there are several exceptions to discharge, including many taxes, alimony/maintenance, son or daughter help, figuratively speaking, and most federal government debts and fines). Continue reading Exactly How Personal Protection Advantages Are Addressed in Bankruptcy