Bankruptcy and Bankruptcy Porotection

Discussion in 'Economics' started by McNick, May 28, 2009.

  1. McNick


    Is there a difference between the two? Or are they the same thing?
  2. Not really a difference, but bankruptcy protection is usually referred to as chapter 11 and bankrupty is chapter 7. The difference being (if i remember right) is chapter 7, you dont have to pay your debt back. Chapter 11 you do, but your creditors cant sue you to make you pay sooner and if you liquidated and there is no money left over, they cant get the rest of the money from you personally. (thats if i remember right)