Bankruptcy

Debt can be avoided through which of these:

• Frivolous spending

• Budgeting Finances

• Investing in the Stock Market

• Employer Benefits

This type of Bankruptcy is primarily for businesses

• Chapter 7

• Chapter 11

• Chapter 12

• Chapter 13

This type of bankruptcy is also known as "straight" or "liquidation"

• Chapter 7

• Chapter 11

• Chapter 12

• Chapter 13

The person who owes money to someone else:

• Debtor

• Creditor

• Loser

• Owen

Which of these debts is not dischargeable:

• Car Loan

• Student Loan

• Credit Card

• Home Loan

If a person needs to restructure their debt to a repayment plan, they would use:

• Chapter 7

• Chapter 11

• Chapter 12

• Chapter 13

How long does a Chapter 7 (straight/liquidation) Bankruptcy stay on the credit report?

• 3 Years

• 7 Years

• 10 Years

• Forever

Liquidation means:

• Soak your debts

• Sell assets to pay off debt

• Pay off credit cards

• Take a shower

Which ONE of these will probably lead to Bankruptcy?

• Having student loans of $20,000 when your salary is $50,000

• Contacting the loan company to negotiate a lower interest rate

• Having car & home loans, multiple credit cards, eating at restaurants most nights, & frequent shopping that exceeds your monthly paycheck

• Taking a lower paying job because you like it a lot and there is a chance of promotion

Johnny wants to avoid filing for bankruptcy. Which option should he choose?

• Keep a log of assets and storing them away to preserve their value

• Maxing out credit cards to pay off her debts, such as car & home loans

• Making sure creditors are not aware of his finances, or else they might raise the interest rate

• Eliminate unnecessary expenses from his budget like eating out, getting rid of cable, finding a cheaper phone plan, & buying only necessities