Chapter 11, Chapter 7, and Chapter 13 in Portland

When the Portland Oregon bankruptcy laws were written, lawmakers certainly tried to cover every base. Despite what most people think, especially those who have never been through a bankruptcy, there is more than one way to get a fresh start using bankruptcy. The type of plan you will need depends on why you are filing bankruptcy, if it is personal or professional, and your specific qualifications. As noted, the bankruptcy laws are in place to help a variety of people in difficult financial situations get the help they need. Of course in order to figure out which one works for you, you have to have some idea of what each one is for. Not to worry though, between Chapter 7, Chapter 11, and Chapter 13 bankruptcy plans, your needs are sure to be met.

• Chapter 7 bankruptcy
• Chapter 11 bankruptcy
• Chapter 13 bankruptcy

In terms of bankruptcy plans, Chapter 7 is likely the most well known. This is the one most people think about when the subject of bankruptcy comes up. Under Portland Oregon bankruptcy law, Chapter 7 is a personal bankruptcy plan that includes a liquidation of the debtor's assets. This is typically the one mentioned when people refer to someone losing everything in their bankruptcy. With court approval the person in bankruptcy sells all or most of their material assets, including home, car, just about anything, to pay back the outstanding debts. Chapter 7 truly gives a fresh start. The downside is most of their possessions are lost along the way.

Chapter 11 bankruptcies are the every struggling business owners dream. Clearly this one is designed to be used for businesses. Instead of closing their doors and losing everything, this form of Portland Oregon bankruptcy is intended to give businesses a fresh start. During this process, the judge will rule which previously made contracts must be honored. The business may lose some equipment and other assets to make good on the debt, but it will remain open and allowed to operate.

With a Portland Oregon Chapter 13 bankruptcy we are back in the land of personal bankruptcy. This one works very similar to Chapter 11 in that the person is allowed to keep certain assets like their home. During this type of bankruptcy, the debtor and the court come with a manageable monthly payment, the court appointed trustee is in charge of paying the debts for the debtor. Once all of the requirements have been met and the debts are paid in full, the person filing bankruptcy receives bankruptcy discharge papers and is in the free and clear in regards to their finances.