Many Florida residents who are in dire financial straits are unsure of how filing for personal bankruptcy will affect them. Bankruptcy can be complicated, and those who are considering this financial tool should take the time to learn the ins and outs of the process along with what their financial outlook will be once a Chapter 7 bankruptcy is underway. The following information is provided in the hopes of providing insight into the exemptions granted under this form of bankruptcy.
When financial trouble arises, Florida consumers often experience a snowball effect in which debt mounts, stress levels rise and the need for debt relief becomes even more urgent. In many cases, distressed consumers fall behind on their tax obligations, and have to add tax debt to the list of outstanding financial accounts. While Chapter 7 bankruptcy can lead to the elimination of tax debt, many consumers spend a great deal of time and effort trying to repay those debts on their own, even as their overall financial standing worsens.
The dream of owning a home is still among the top priorities for many Florida residents. This is true even in cases that have been defined by serious financial hardship in recent years. Many individuals who are considering filing for Chapter 7 bankruptcy worry that their ability to ever own a home of their own will be challenged by having sought bankruptcy protection. This, however, is not true and is one of the leading misconceptions about the bankruptcy process.
Often, a professional sports team is run by an ownership group instead of just one individual. In situations such as the one that the minor league Trenton Titans ECHL hockey team is currently facing, having an ownership group instead of a single owner could make filing for Chapter 7 bankruptcy more difficult. Florida residents who own or co-own sports teams may be interested in the decisions confronting the Titans ownership.
Florida residents who file for bankruptcy should be sure to do some research and planning before filing, especially if they are doing so during or after a divorce. It is not uncommon for married couples to have both names on the titles of homes or automobiles that they own, and this can complicate the filing process. While filing for Chapter 7 bankruptcy can eliminate most or all of someone's debt, if people are not careful, they could end up being liable for debt discharged during the bankruptcy.