Bankruptcy in general is often shrouded in mystery and misinformation. Despite that fact that Chapter 7 bankruptcy became more common during the recession, it is still very serious business and it is vital to know truths from misinformation. Florida residents on the verge of filing bankruptcy need to understand what Chapter 7 bankruptcy will and will not do to their credit, bills and possessions.
First of all, Chapter 7 bankruptcy will let you discharge certain types of debts. Credit card debt can be discharged through the process. Bankruptcy will also give a filer extra breathing room, because, once an individual files, creditors have to stop the harassment. Filing bankruptcy will also affect anyone who co-signs a loan for a filer. That person will take on the liability for the debt.