You canвЂ™t afford to pay all of your bills, and you are contemplating bankruptcy, you need to be aware of how these benefits are treated in bankruptcy if you receive Social Security benefits (SS), or Social Security Disability Insurance benefits (SSDI. But before we discuss exactly how these advantages are treated you should think about whether bankruptcy is also necessary in your position, or whether it’s in your very best interest. For you, it is important that you understand the different bankruptcy options before you determine if bankruptcy is right.
There are two main typical bankruptcies for consumers, Chapter 7 and Chapter 13. A Chapter 7 bankruptcy can be named a вЂњFresh StartвЂќ bankruptcy since it discharges (wipes out) most kinds of personal financial obligation within about 3 months of filing bankruptcy ( there are exceptions to discharge, including most taxes, alimony/maintenance, kid help, student education loans, and government debts that are most and fines).