Not that long ago (a mere five centuries in the past in the United States and the United Kingdom), a man who owed money would have a miserable life, and maybe even lose his life to the death penalty, for being in debt. Unable to declare bankruptcy (also referred to as insolvency) like modern man today, he and his wife, along with any children they might have, could be sold into slavery for years or perhaps even life. The man’s incurred debts would need to be completely paid off before he and his family could be released from prison.
Thankfully, today there are many much less unpleasant options available, as well as education and forgiveness. Some of the options are chapter 7 bankruptcy, as well as chapters 11, 12, 13, and the list goes on and on, seemingly without end. The options have gone from slavery or death to dizzying numbers of choices that can overwhelm most of us.
Are you considering declaring bankruptcy? If so, which option is best for you? When making a comparison between the many, many choices before you, factors such as your marital status, your business size, how drastic you wish to go, whether you wish to make installments, and other variables must be considered carefully before you go forward with a particular kind of bankruptcy.