The Many Specifications Needed

when Filing a Ch-7-Bankruptcy

There are tons of benefits provided

by a ch-7-bankruptcy and many

corporations and individuals think

that it can be used as an easy way

out from their debts. Well, chapter

7 bankruptcy can eliminate all of

your debts and allow you to start a

new financial life, but it does not

mean that you can simply file this whenever you wanted. There are factors

that the court needs to review before your bankruptcy case can be

accepted.

Checking your Current Income

Basically, if your income is sufficient to pay the debt, the court will not

approve your bankruptcy case. If your business is not doing so badly, there is

no need to file a ch-7-bankruptcy. Filing a bankruptcy case is never an easy

task because the court will check everything including your finances before

deciding. You need to remember that creditors are always on a

disadvantage on a ch-7-bankruptcy so it will not be fair if the court will

always side on the debtors. Before they allow the case to be accepted, they

make sure that the debtors do not really have any means to pay for their

debts.

You Defrauded your Creditors

You will not be allowed to file

a bankruptcy case if the court

finds out that you are trying to

cheat your creditors by

concealing some of your

assets. sSome people unload

their assets to relatives or friends to hide them from creditors or some

people try to build up more debts and bought luxury items even if they

already on the verge of being bankrupt. These instances may be one of the

reasons that your case will be dismissed, so before you try to file a

bankruptcy case, you need to make sure that you did not cheat on your

creditors.

Your Previous Bankruptcy Case is dismissed

You are not allowed to file another bankruptcy case if your previous case

was dismissed within the past 180 days because of various circumstances. If

you violated a court order, you will not be given the chance to file another

case immediately. If the court found out that your case is fraudulent and you

disobeyed some of the rules on the bankruptcy system, you will not be given

the chance to file another one.

You have to learn a lot of things about this if you really want to file a ch-7-

bankruptcy. It is best if you will research about this first before you file the

case on the court.