FRESH START
Bankruptcy provides the debtor with a fresh start by eliminating or substantially reducing financial obligations to creditors. The primary source of bankruptcy law exists under Title 11 of the United States Code.
DEBTS ELIMINATED
During bankruptcy, the debtor, under court supervision, resolves debts by dividing his assets among his creditors while the debtor retains certain exempt property. Available property exemptions vary depending on which state the bankruptcy is filed. Upon termination of bankruptcy, the debtor is discharged of his prior debts.
CHAPTER SEVEN OR CHAPTER ELEVEN
There are two forms of bankruptcy for individuals under federal law: Chapter 7 and Chapter 11. [describe]
