Personal Finance & Money Stack Exchange
Personal Finance & Money Stack Exchange

Questions tagged [bankruptcy]

relating to organizations or individuals running out of cash flows. Additional context specific tags may be used as appropriate.

relating to organizations or individuals running out of cash flows. Additional context specific tags may be used as appropriate.

167 questions
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10 answers

I am an EU resident being contacted about stock I own in a defunct company by a supposedly US based lawyer, is this a scam?

I am based in the EU, so I have very little knowledge of how the US legal system works. I have been contacted by a "law firm" in the US about a financial issue: a company in which I own a small amount of shares went bankrupt several years ago, and…
blueFast
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My friend cosigned for a defaulted loan. Should he declare Chapter 7 bankruptcy?

Background: My friend Abe co-signed an auto loan for about $25k with his "friend" Bella, in the USA state of Maryland, about 4-5 months ago. The car was for Bella's use. The deal was that Bella would make payments on the car and when it was paid off…
President James K. Polk
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8 answers

Can I become debt free or should I file for bankruptcy? How do I manage my debt and finances?

I am 35 years old, single, and live in the US. My income is 78K to 80K after taxes and insurance. I pay $1,500 for rent+utilities, $150 for phone bill, $450 for auto loan, $300 for auto insurance (for two people; I am helping a friend who can't pay…
The Guest
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Why do some companies choose to file for bankruptcy if it has cash to pay off its immediate debts?

Take for example the car rental business Hertz Global Holdings Inc (NYSE: HTZ). On May 22, the company filed for bankruptcy protection. But their balance sheet still looked relatively healthy at the time. Why would management choose to do this?…
AlanSTACK
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4 answers

Opportunity to buy Illinois bonds that can never default?

Today Illinois bonds were downgraded to 1 above junk. The article. Citation from article: Despite the lack of a budget, Illinois has continued to cover payments due on its bonds, and, like other states, has no ability to resort to bankruptcy to…
Tony
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3 answers

Declare Bankruptcy or Just Wait Seven Years?

We've got one family member who is the classic definition of "ne'er–do–well". I don't think he is capable of understanding money, issues or contracts. When you talk to him he seems to have good intentions but things rarely work out. He owes lots and…
zipzit
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4 answers

What happens to depositors at Silicon Valley Bank?

Today, Silicon Valley Bank is bankrupt, the second largest bank failure in American history. What happens to its depositors? Will they be able to withdraw (some of) their money? How long will they have to wait? In what form will they receive it?
Stack Exchange Broke The Law
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If a bank fails, will debt be wiped out?

I have debt to Capital One. If they fail, and whoever the trustee is fails, will the debt eventually get lost in bankruptcy proceedings? Considering the Lehman bankruptcy is still ongoing, well past statute of limitations, wouldn't a major corporate…
user102461
24
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5 answers

Options for paying for a nonreturnable leased vehicle

Late last year, my girlfriend's car was stolen and subsequently destroyed. This car was a leased vehicle. For reasons beyond her control‡, the insurance had lapsed a few months prior. The vehicle is due to be returned next month, and the finance…
Drise
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7 answers

What happens to the shareholders when a public company declares bankruptcy?

If you are a shareholder of a public company and the company goes bankrupt, what would happen to your share? Does the share still represent your holding in the company? And if the company goes out of business, are you held accountable for the debt…
logger
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Why don't most people file Chapter 7 every 8 years?

Please explain to me why more people don't follow a formula like this: Converting all their assets into exempted assets (for which there are tons of options, regardless of your state -- ERISA-qualified retirement plans; annuities; life insurance…
SAH
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1 answer

Are assets lost in a bankruptcy valued at the time of loss, or according to current value?

For the purposes of claiming a casualty loss in tax filings, can stocks be valued at their current par or is their value only what it was at the time of the loss? My situation is that I have stock that was held by company that went bankrupt due to…
Five Bagger
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How to protect an employee's wages before the company declares bankruptcy?

I work for a company which is behind on my salary. The company might file for bankruptcy: how do I claim my salary before then? This question is different from other postings. We are discussing how to get wages for employees before the company…
goofyui
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What does Chapter 11 Bankruptcy mean to an investor holding shares of a Chapter 11 Company?

If I currently have shares in a company that has filed for Chapter 11 bankruptcy protection what impact does this have on me? Does this mean the shares stop trading? If the company successfully emerges from Chapter 11 do the shares get re-instated…
Zephyr
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Aside from having to re-establish credit & credit history, what are downsides to declaring personal bankruptcy?

If someone were to file for (personal) bankruptcy protection from their creditors, is their entire debt wiped clean? And then they have seven years to wait before their credit history no longer reflects this? Surely there must be other downsides,…
Daniel B
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