There are four types of Bankruptcy, They are:

Chapter 7: This is sometimes referred to as total bankruptcy or liquidation. It allows a debtor to discharge all of their unsecured debts if they qualify to file. For a more detailed explanation of Chapter 7, please click here.

Chapter 11: This type of Bankruptcy is a type of reorganization that is used by large businesses that want to reorganize their debts and for individuals who want to reorganize their debts and their debts are very large.

Chapter 12: Is a type of Bankruptcy for reorganizing debts but it is only available to family farmers or family fishermen.

Chapter 13: This is a type of bankruptcy reorganization that is available to individuals and families. This type of bankruptcy is typically used by individuals who are facing foreclosure of their home or repossession of their car.