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Voluntary vs. Involuntary Bankruptcy

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Voluntary vs. Involuntary Bankruptcy

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  1. Voluntary vs. Involuntary Bankruptcy There are two different methods that bankruptcy proceedings are started, voluntary and involuntary bankruptcy. What is a Voluntary Bankruptcy When people talk about bankruptcy, most are referring to a voluntary bankruptcy. In a voluntary bankruptcy, you decide if and when to file bankruptcy and which chapter of bankruptcy is right for you. What is an Involuntary Bankruptcy An involuntary bankruptcy starts when a creditor or creditors file a bankruptcy petition against a person or corporation who owes them money. Creditors cannot: • file under Chapter 13, they can only file a Chapter 7 • file against family farmers or fishermen, or • file a joint bankruptcy against a married couple. Contact us Phoenix Fresh Start Bankruptcy Attorneys 5151 E Broadway Blvd Suite 1600-a, Tucson, AZ 85711, USA info@phoenixfreshstartbankruptcy.com (520) 214-2283 www.phoenixfreshstartbankruptcy.com

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