Asked by Arika DeCara on Jul 23, 2024
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Under a Chapter 13,creditors can force an involuntary bankruptcy filing if the debtor has a steady income.
Involuntary Bankruptcy
A legal procedure where creditors petition a court to declare a debtor bankrupt, without the debtor’s consent, in order to recoup some of the owed money.
Chapter 13
A type of bankruptcy filing in the United States that allows individuals earning a regular income to develop a plan to repay all or part of their debts over time.
Steady Income
A consistent flow of money earned or received over time, usually through employment, investments, or other reliable sources.
- Distinguish between voluntary and involuntary bankruptcy filings.
Verified Answer
Learning Objectives
- Distinguish between voluntary and involuntary bankruptcy filings.
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