Debtor's Guide to Bankruptcy
Who are the debtors in a bankruptcy?
You are a Debtor if
You are a person or institution who owes money to a creditor.
You cannot repay the money owed by the time it is due and are filing for bankruptcy.
Which bankruptcy forgives most debts?
Chapter 7 Bankruptcy Discharge Wipes Out Most Debts Forever
credit card debt.medical bills.personal loans and other unsecured debt.unpaid utilities.phone bills.your personal liability on secured debts, like car loans (if there's no reaffirmation agreement)deficiency balances after a repossession or foreclosure.How do you prove debts in bankruptcy?
A Proof of Debt (POD) is a form completed by a creditor which details how much the creditor is owed.
Creditors can be invited to lodge a POD in a bankrupt estate should the trustee expect a dividend to be paid.
A POD includes supporting information to prove the debt is owed.
- Bankruptcy is a legal process, so it begins when the debtor files a petition with the relevant bankruptcy court.
This is often achieved through the help of a lawyer specialized in these types of cases.
This guide is written from the perspective of an insolvent debtor wishing to declare him/herself bankrupt. A Glossary of terms used throughout this guide is Autres questions