North Dakota Bankruptcy Laws
There are four main Chapter so the bankruptcy code of the United States that govern management of debt for individuals and corporations. These bankruptcy laws are also what have informed the bankruptcy laws in North Dakota albeit for a few clauses of exemptions.
Bankruptcy Exemptions for North Dakota
Exemption sin bankruptcy laws of North Dakota are designed to enable the debtor to repay the amount owed without loosing the entire means of livelihood. Therefore depending on the plan by the debtor, the repayment can be done either as a one off or a graduated installment repayment. In both cases, there are limits to which the creditors can access your assets to be able to sale and recover their money. The homestead is one such assets that has exemption to the tune of $100,000 in North Dakota.
Chapter 7 Bankruptcy Law for North Dakota
chapter 7 bankruptcy laws in North Dakota is popularly known as the law protecting your property from bankruptcy. Chapter 7 of North Dakota bankruptcy law borrows heavily from the Federal law. It provides a dispute resolution mechanism for debtors who fear a complete loss of assets to creditors. Through the law courts, you should be able to agree on what can be sold and what cannot be sold to offset the debts.
Chapter 13 Bankruptcy Law for North Dakota
Like in most other States in the USA, the North Dakota Chapter13 bankruptcy laws are applicable to those who have regular income. There is a limit to 75% of weekly wage earning so that you do not spend most your earnings in repaying the debt. The law simply recognizes that the if all your financial might is spent servicing debts, then you are likely to fall into further debts hence the need to limit how much of your income goes into debt servicing. The maximum period for serving such debts is often 5 years.
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