argument argue about share argue how
 
argue for



pros and cons   against

 
All TopicsGovernment & PoliticsPolicies

Arguments for and against

Personal Bankruptcy

Effective tool or easy out for the financially irresponsible?

started by juszczak on 12/3/09.

Personal Bankruptcy
For Against
 
arguesreason
Personal bankruptcies (chapter 7, chapter 13, and chapter 11) are effective tools for individuals to deal with crippling amount of unforeseen debt. Most bankruptcy cases are usually caused by a single polarizing event which transforms a healthy balance sheet into an unhealthy one. Studies done throughout the past decade show that most bankruptcy cases are either directly caused by illness or injury, or the debts incurred treating illness or injury. Through the bankruptcy process, otherwise hapless debtors are shielded be shielded from creditors foreclosing upon homes and automobiles.


by Mr. Huge (56.99) on 12/7/09.

21
argumentsreasons

arguesreason
Bankruptcy is not, in any sense of the term, an “easy way out.” The bankruptcy code was amended in 2005 to include, among other notable provisions, the “means test.” The means test simply calculates a chapter 7 debtor’s current monthly income, and if that income level is greater then the state median income, then the debtor is a presumed abuser and will be required to convert his/her case to a chapter 13 reorganization. Furthermore, the fraudulent conveyance preference provisions will let creditors undo transactions between the debtor and a third party aimed at hiding assets from creditors. Lastly, a debtor who fraudulent obtains credit, or who enters into bankruptcy in bad faith, may find his/her debts declared non-dischargeable, and will have to pay those debts in full.


by Mr. Huge (56.99) on 12/7/09.

11
argumentsreasons

 
   
Personal Bankruptcy
 
         
argue   for
© 2009 13 Guys Named Ed, LLC   •   About   •   Feedback   •   Sitemap
against   argues