Though the Great Recession may have come and gone, many Americans, including those in Michigan, still find themselves struggling with debt. Those who struggle with debt may have trouble sleeping at night and focusing at work and family functions because of the stress caused by financial strain. Though it may seem scary, these individuals should take comfort knowing that they may be able to find debt relief in the form of Chapter 7 bankruptcy.
This type of bankruptcy is also known as liquidation bankruptcy because an individual liquidates, or sells, his or her assets in order to satisfy his or her debts. This might conjure images of an individual left without a shirt on his or her back, but federal bankruptcy laws allow individuals to exempt certain types of property under Chapter 7 bankruptcy, allowing them the opportunity to carry on after bankruptcy and find the stability they need.