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Is Chapter 7 bankruptcy right for you?

Kentucky residents like you who are dealing with financial difficulties right now may be considering the possibility of filing for bankruptcy. But which type is right for you, and how do you determine that?

The United States Courts describes Chapter 7 bankruptcy as liquidation bankruptcy, in which your non-exempt assets are sold to pay back the debt that you've found yourself in. This can be difficult for some, as it means selling off personal possessions or even large scale items like houses, cars, and so on. If the idea of parting with these items is not appealing to you, Chapter 7 bankruptcy might not be your best option.

On the other hand, it's an excellent possibility for those who are struggling to make payments and are deeply in debt. Chapter 13 bankruptcy relies on the idea that you'll be able to pay back your debts on a newly scheduled payment plan. Unfortunately, this isn't a viable option for everyone, especially if you don't have a source of income to meet the requirements of a payment schedule with. 

One big positive is the fact that you can avoid being harassed by collectors if you file for Chapter 7 bankruptcy, as well. Once you file, collection agencies will no longer be allowed to send you threatening phone calls, emails, or letters.

Whether or not Chapter 7 bankruptcy is right for you depends on a number of factors, including your personal feelings. In either case, if you find yourself needing the financial relief of bankruptcy, you shouldn't hesitate to check out the options that are available to you so you can start to make your decision.

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