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Research Report: Bankruptcy
Research Paper: Chapter 40 – Bankruptcy
Jessilin Zhang
Cañada College
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Research Report: Bankruptcy
Step 1:
If a person finds themselves in a tragic financial state, they have the option to become a
debtor and file for bankruptcy. The purpose of this option is to provide aid for people who are
struggling with paying off their debts. The difference is that some people may be forced into
bankruptcy, and others have the choice to do it or not. Before filing for bankruptcy, debtors must
go through a credit counseling session for 90 minutes six months prior to the actual filing. This
will help debtors realize if filing will be necessary for their situation or not. Depending on a
debtors situation, they have an option of a Chapter 7 case, Chapter 11, or Chapter 13 case. A
Chapter 7 case are for those who are looking to discharge their minor debts. This means that
there is a possible change to dismiss most or even all bills that need to be paid off. Chapter 11
