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Bankruptcy

Bankruptcy is a legal process that allows individuals and businesses to repay their debts or to have their debts forgiven. It is a way for people who are unable to pay their debts to get a fresh start financially. Continue Reading Below

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Encyclopedia Articles

Discover the definition of financial terms related to bankruptcy.

Deciphering Liquidation Preference: Safeguarding Investments and Payout Hierarchy Thumbnail

Deciphering Liquidation Preference: Safeguarding Investments and Payout Hierarchy

Alessandra Nicole

Negative Information: Definition, Impact, and Strategies Thumbnail

Negative Information: Definition, Impact, and Strategies

Dan Agbo

Derogatory Information: Definition, Impact, and Practical Insights Thumbnail

Derogatory Information: Definition, Impact, and Practical Insights

Alessandra Nicole

Insolvencies: Definition, How It Works, and Contributing Factors Thumbnail

Insolvencies: Definition, How It Works, and Contributing Factors

Silas Bamigbola

Understanding Junior Debt: Definition, Risks, and Practical Examples Thumbnail

Understanding Junior Debt: Definition, Risks, and Practical Examples

Abi Bus

Debt Discharge: Definition, Qualification, and Real-World Scenarios Thumbnail

Debt Discharge: Definition, Qualification, and Real-World Scenarios

SuperMoney Team

Vulture Capitalism: Strategies, Examples, and Controversies Thumbnail

Vulture Capitalism: Strategies, Examples, and Controversies

SuperMoney Team

What Is Involuntary Bankruptcy? Explained: How It Works, Types, and Examples Thumbnail

What Is Involuntary Bankruptcy? Explained: How It Works, Types, and Examples

Abi Bus

Liquidating Dividends: Definition, Application, and Examples Thumbnail

Liquidating Dividends: Definition, Application, and Examples

Silas Bamigbola

What Is Winding Up? Explained: Process, Types, and Real-World Example Thumbnail

What Is Winding Up? Explained: Process, Types, and Real-World Example

Abi Bus

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Learn About Bankruptcy

Thumbnail for Blog Article: How to Beat a Debt Collector in Court

How to Beat a Debt Collector in Court

Benjamin Locke

Thumbnail for Blog Article: Are Tax Liens Wiped Out in Bankruptcies?

Are Tax Liens Wiped Out in Bankruptcies?

Benjamin Locke

Thumbnail for Blog Article: The Definitive Guide to Chapter 11 Bankruptcy

The Definitive Guide to Chapter 11 Bankruptcy

Andrew Latham

Thumbnail for Blog Article: Chapter 7 vs. Chapter 11 Bankruptcy: What's the Difference?

Chapter 7 vs. Chapter 11 Bankruptcy: What's the Difference?

Emily Africa

Thumbnail for Blog Article: Can You Refinance Your Home After Bankruptcy?

Can You Refinance Your Home After Bankruptcy?

Justin Smith

Thumbnail for Blog Article: Does Bankruptcy Clear Tax Debt? Everything You Need to Know

Does Bankruptcy Clear Tax Debt? Everything You Need to Know

Julie Bawden-Davis

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About Bankruptcy

Bankruptcy is a legal process that allows individuals and businesses to repay their debts or to have their debts forgiven. It is a way for people who are unable to pay their debts to get a fresh start financially. In the United States, bankruptcy is governed by federal law, and there are several different types of bankruptcy that a person or business can file for, depending on their specific circumstances. In general, bankruptcy involves the liquidation of some of the debtor's assets in order to pay off their creditors, or the creation of a repayment plan to repay the debts over time. The specific process and outcome of bankruptcy will depend on the type of bankruptcy that is filed and the individual circumstances of the debtor.