According to the National Bankruptcy Research Center, more than 1.3 million bankruptcies were filed in 2011, or about one for every 175 American adults. We all know the economy is bad, jobs are scarce, and the housing market is still poor. But what may surprise you is what causes an individual to file for bankruptcy protection.

#5: Unexpected Expenses

A catastrophic event can push a person to file bankruptcy. You can lose everything to a fire, flood, or a tornado, and an “act of god” can break your finances. Insurance does not always cover everything needed to make a person whole again, and sometimes there are associated expenses not covered by insurance. Lik

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Whenever the subject of consumer bankruptcy comes up, most people automatically think it means filing a Chapter 7 bankruptcy because it quickly discharges most debt.  And the fact is that statistics show most people do file using this chapter, even though they must qualify by meeting the income requirement known as the Means Test.

Then, once qualified, a debtor has debt discharged in exchange for giving up any nonexempt property which the trustee sells to pay creditors.

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Joan Osborne was found by her daughter lying on a dirty bed covered wiith feces. The investigstion found that the California Nursing Home failed to report severely infected bedsores. Ms. Osborne died of sepsis due to an ecoli infection as a result of her feces getting into her wounds.

She had a horrific bedsore on her lower back and was unable to answer questions other than to say she was in pain. Unfortunately, she died a horrific death two days later.

By the time that Osborne was taken to the hospital doctors said she was suffering from dehydration, malnutrition, and a bedsore also known as a pressure sore and decubitus ulcers.

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Farmers and fishermen have one advantage over other people when it comes to filing for bankruptcy. They can modify their mortgage through the bankruptcy process. One theme that you will often read when looking through our pages is that bankruptcy is not the best solution for distressed mortgages. Under a Chapter 7 petition, filing will freeze any actions by the lender when it comes to foreclosing, however, once you have been discharged, the lender can proceed with foreclosure. Chapter 13 petitions do provide an opportunity to catch up on arrears, so preventing the need for foreclosure – until you fall behind again.

A Chapter 12 petition for bankruptcy is designed solely for primary produces. T

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