Bankruptcy is the broad term used for a number of legal processes that allow individuals or businesses to discharge certain debts. General, it is a viable option for people who become unable to pay their bills, can only meet minimum amounts, or carry proportionally high levels of debt that cannot be paid within a reasonable time.
Bankruptcy is not a bad thing. It does not allow people to simply “walk away” from obligations but instead provides a closely scrutinized method for people to free themselves from unfortunate burdens. Wealthy business owners and minimum-wage workers alike may find themselves in a situation where bankruptcy is appropriate.
Most people do not understand the intricacies of modern bankruptcy law. Only by consulting an experienced attorney can you properly assess whether bankruptcy may be in your best interest.