Bankruptcy is a legal status for individuals or businesses that cannot repay their debts. It offers a fresh start by restructuring debts or liquidating assets, providing relief from overwhelming financial burdens and protecting against creditors.
Bankruptcy can have long-term effects on credit scores, often leading to lower ratings for years after filing
Chapter 13 bankruptcy is designed for individuals with a regular income who wish to keep their assets while repaying debts over three to five years
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