Submitted by: Paul Benson

There are in fact five different form of bankruptcy. Chapters 7, 9, 11, 12, and 13. Most people need only worry about chapter 7 or chapter 13.

Generally, if you want to just wipe out all your debt (with exceptions like student loans that cannot be wiped out) and restart financially, you need a chapter 7. On the other hand if you want to stop foreclosure and pay your mortgage arrears or keep most or all of your items or pay back taxes, then you need the chapter 13 variety bankruptcy.

Bankruptcy is a way to temporarily suspend, and later stop, all debt collection actions for debts you had at the time you filed your bankruptcy petition.

Once a individule files for bankruptcy, the federal court grants an automatic stay. This prevents creditors from attempting to acquire on any outstanding debts. Creditors may ask the court for relief from the automatic stay. regularly, creditors whose loans are secured by property are permitted to take custody of that property.

In Utah you are allowed to maintain certain property through a chapter 7 bankruptcy. They are such things as your automobile as long as there is no more than $2500.00 in equity, your home as long as there is no more than $20,000.00 in equity. These amounts can double if you are filing a joint bankruptcy. The Utah Bankruptcy court will permit you to keep other property through the bankruptcy process.

In a chapter 13 bankruptcies you are normaly allowed to save your property but items you have estimate above the exemption amounts you will have to pay that estimate to the creditors during the life of your chapter 13 plan.

Bankruptcy is a awsome tool to alow people get back on track in life.

There are in fact five different form of bankruptcy. Chapters 7, 9, 11, 12, and 13. Most people need only worry about chapter 7 or chapter 13.

Generally, if you want to just wipe out all your debt (with exceptions like student loans that cannot be wiped out) and restart financially, you need a chapter 7. On the other hand if you want to stop foreclosure and pay your mortgage arrears or keep most or all of your items or pay back taxes, then you need the chapter 13 variety bankruptcy.

Bankruptcy is a way to temporarily suspend, and later stop, all debt collection actions for debts you had at the time you filed your bankruptcy petition.

Once a individule files for bankruptcy, the federal court grants an automatic stay. This prevents creditors from attempting to acquire on any outstanding debts. Creditors may ask the court for relief from the automatic stay. regularly, creditors whose loans are secured by property are permitted to take custody of that property.

In Utah you are allowed to maintain certain property through a chapter 7 bankruptcy. They are such things as your automobile as long as there is no more than $2500.00 in equity, your home as long as there is no more than $20,000.00 in equity. These amounts can double if you are filing a joint bankruptcy. The Utah Bankruptcy court will permit you to keep other property through the bankruptcy process.

In a chapter 13 bankruptcies you are normaly allowed to save your property but items you have estimate above the exemption amounts you will have to pay that estimate to the creditors during the life of your chapter 13 plan.

Bankruptcy is a awsome tool to alow people get back on track in life.

About the Author: Paul Benson is an attorney insalt lake City and Ogden Utah who practices Bankruptcy his web site is

paulbensonlaw.com

please contact him if you have any questions.

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isnare.com

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