With more and more adults going back to school in light of the recent recession, federal and private student loans are on the increase. This is a trend that doesn't appear to be ending anytime in the foreseeable future.
It is perfectly natural for any person in a desperate financial situation to consider bankruptcy. One of the first questions they are likely to consider is "how will this filing affect my home?" There are a few things to consider here, specifically in regards to a Chapter 7 bankruptcy filing.
Whenever someone files for bankruptcy, they will inevitably have questions about the process. Even if they have been through it before, bankruptcy is far from the simplest of processes; so they will want as much advice and help as possible to get through their Chapter 7 or Chapter 13 filing.
Bankruptcy provides financial relief to both businesses and individuals. Under the most basic explanation of the bankruptcy process, businesses or individuals who seek relief have two options: straight bankruptcy involving liquidation through Chapter 7 protection or reorganization by way of Chapter 11 for businesses and Chapter 13 for individuals.
In 2008, the founder of CNET sold the company to CBS for roughly $1.8 billion. The sale saw him pocket about $200 million from the deal; but just five years later, and CNET's founder has fallen on hard financial times. The 47-year-old claims that he has $50 million in assets, only to be outdone by $100 million in debts. He filed for Chapter 7 bankruptcy in May and had a deadline of June 7 to file an important document to bankruptcy court. The document must include detailed information on assets, debts and the general "state of affairs" involving the insolvent individual.