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Consumer bankruptcy and its effect on business

Bankruptcy Study Essay
Please be advised that the following assignment will require some research to acquaint yourself with the subject matter. I encourage you to use the internet to understand the topics discussed below, however I expect that you will at least use a foot note to cite sources that you utilize.

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As discussed in your text book, corporations are faced with market risks that include the risk of consumers claiming bankruptcy at any time, which ultimately will impact the company’s bottom line. Corporations try and compensate for these risks by adjusting prices for goods and services, while also engaging in litigation to protect their interest in bankruptcy proceedings.

Write an essay discussing various aspects of consumer bankruptcy. Traditionally, a consumer’s main objective in filing a bankruptcy is to receive a discharge of their debt. In your essay please incorporate a definition of what a bankruptcy discharge really means.

The two primary forms of consumer bankruptcy are Chapter 7 and Chapter 13, both assist consumers  in realizing financial relief. Please explain the major differences between Chapter 7 and Chapter 13 bankruptcies and the reasons why a consumer would choose to claim a Chapter 7 or a Chapter 13. Also, describe, with an explanation and a few examples, the difference between secured and unsecured creditors.

Lastly, include whether a consumer will be able to keep their primary residence and car in a bankruptcy proceeding.

All essays must contain a minimum of 400 words, but no greater than 1,000 words.

The post Consumer bankruptcy and its effect on business first appeared on Essay Teachers.

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