Voluntary and Involuntary Bankruptcy

It is understandable that you are nervous about filing for bankruptcy. It is a big deal! That is why you need to be absolutely sure that this is the best financial avenue for you to take before filing your paperwork. There are two main types of bankruptcy that you should be familiar with if you are struggling financially: voluntary and involuntary.

The first category is self-explanatory, in that you can choose to file for bankruptcy. Depending on your current financial situation, it may be advisable for you to claim personal bankruptcy. Most individuals will attempt to file for Chapter 7, or personal bankruptcy, while small businesses will seek to protect themselves under Chapter 13, or reorganization, bankruptcy.

Involuntary bankruptcy is when a creditor, or group of creditors, tries to force you into bankruptcy.

Should your debts with them be so great, they can convince a court that the only way to collect these debts is to force you into bankruptcy.

If you need answers to your bankruptcy questions, contact us to speak with aChicago bankruptcy attorney today.