When you think of bankruptcy, you probably think of Chapters 7, 11, and 13, all of which are common ways for individuals and businesses to make up for their debts and get a new start on their finances.
But these might not fit the unique needs you have as a debtor who needs help getting out of large debts. Fortunately, these aren’t the only types of bankruptcy you can file for.
Depending on your situation, you may need one of the following lesser-known types of bankruptcy to get rid of your debts.
Chapter 9 Bankruptcy
You might not be filing as an individual or a business, but you’re still in debt. Even municipalities can get into debt, which is where Chapter 9 bankruptcy can help.
Chapter 9 bankruptcy is geared toward municipalities. That includes any of the following:
- School districts
This type of bankruptcy is rare, but over the years, some municipalities have gotten into millions of dollars of debt, and bankruptcy may be the best way to remove that debt. This is usually handled by protecting the municipality from creditors and extending debts to give the district more time to reorganize its debts.
Chapter 12 Bankruptcy
Chapter 12 bankruptcy has some similarities to Chapter 11 and 13 bankruptcy in that the debtor will help prepare a plan to pay off debts over time—usually over three to five years. The major difference is that Chapter 12 bankruptcy is for family farmers and family fishermen.
This is meant to help these groups with the unique difficulties of fishing or farming. While it requires that these debtors have a regular annual income, it also considers the problem of seasonal changes that will affect the income of farmers and fishermen.
This type of bankruptcy simplifies or removes the barriers from other types of bankruptcy and makes it easier for farmers and fishermen to discharge their debts.
Chapter 15 Bankruptcy
One of the newest forms of bankruptcy, Chapter 15 bankruptcy is unique in that it helps those whose debts or involved parties might extend beyond the United States. This chapter of bankruptcy was added in 2005 and can be a little complicated because it will depend on the countries involved and their interpretation of the related laws.
Chapter 15 bankruptcy can be especially difficult without a lawyer’s help. You’ll likely need experience on your side to get your international debts under control.
Talk to an Attorney About Your Bankruptcy Case
Bankruptcy and your debts are already difficult enough to manage, and when the most common types of bankruptcy don’t meet your needs, you’re in an even more difficult position. You might need to file for one of the lesser-known types of bankruptcy to get out of debt.
Fortunately, a lawyer from the Rowdy G. Williams Law Firm can help. We have experience with many types of bankruptcy, and we’re ready to talk to you about your debt and how we’ll help you get rid of it. To get started with us, just give us a call at 1-812-232-7400 or complete the form below.