What is bankruptcy?

Question

(1 point)
making more money than you spend
• spending more money than you make
not being able to repay your loans
• owing money and paying it back

How does Chapter 13 bankruptcy differ from Chapter 7 bankruptcy?
(1 point)
• Individuals keep their assets after Chapter 13 bankruptcy reorganization occurs.
• Individuals lose their assets after Chapter 13 bankruptcy reorganization occurs.
• Individuals' credit reports are not impacted when Chapter 13 bankruptcy is filed.
• Individuals' credit reports are impacted less when Chapter 7 bankruptcy is filed.

Which statement describes Chapter 13 bankruptcy? Select all that apply.
(1 point)
• All of the debtor's assets are divided amongst their creditors.
• Debtors lose all of their assets.
• Debtors are allowed to keep their assets.
• Debtors establish repayment plans.

Answer 1

1. What is bankruptcy?

   • not being able to repay your loans

2. How does Chapter 13 bankruptcy differ from Chapter 7 bankruptcy?

   • Individuals keep their assets after Chapter 13 bankruptcy reorganization occurs.

3. Which statement describes Chapter 13 bankruptcy? Select all that apply.

   • Debtors are allowed to keep their assets.
   • Debtors establish repayment plans.