The very word "bankruptcy" puts fear into many people's hearts. For years, the word has been equated with being destitute, being unable to pay bills and being financially insecure. But is that all that bankruptcy is about? The truth of the matter is that many people simply don't understand what bankruptcy really is. For many people, bankruptcy is a way out of a bad situation and a hand up when they need it most. It is also a life changing experience. These questions and answers are designed to teach you about bankruptcy, what it is, what it can do and what it cannot do.
What is bankruptcy?
Bankruptcy is a legal declaration of the inability to pay your creditors. This does not mean you have no money. On the contrary, many people who declare bankruptcy have enough money to live on. Instead, it means that you do not have enough money to match your basic living expenses and pay people to whom you owe money. How much this is can vary from person to person because every person needs a slightly different amount of money to meet their living expenses. Since there is no set amount, bankruptcy is often granted by a judge.
How do I apply for bankruptcy?
Laws very from state to state, of course, but applying for bankruptcy isn't very hard. At its base, it simply requires the filling out of bankruptcy paperwork. This paperwork will ask you about various items, such as your current income and your current assets. Using this paperwork, the bankruptcy judge will decide if you qualify for bankruptcy and how it will work for you. You may want to speak with a lawyer before filling out this paperwork. A lawyer will be able to inform you of what kind of bankruptcy would best suit your needs and will help you identify some of the particulars.
How does bankruptcy help me pay my debts?
There are several different types of bankruptcy, all of which function in different ways. Businesses have several different versions of bankruptcy, some of which are useful for individuals. In general, should you need to file for bankruptcy, one of three things will happen. Either you will be required to pay a fixed amount per month until your debts are paid off, your assets will be liquidated and sold off to pay your debts and you will pay monthly to cover the rest, or your assets will be liquidated and sold off and then you will be absolved of any further debt. With any of these options, creditors can not attempt to collect above and beyond the agreed payment.
How does selling off my assets work?
The selling of assets is handled by a court of law. A court official will take stock of what you own, find the costs on the current market and sell your assets to the appropriate markets. The other option is that your assets could be sold at auction. Both options have their good points and bad points. In the case of auction, it is possible that more money can be earned from what's sold than the items are actually worth, thus taking a larger chunk out of your debt. However, it is possible that your assets could sell for less than they are worth. Selling at market prices assures that you will at least get what each item is worth.
What happens to businesses that file for bankruptcy?
Essentially, the same thing as happens to individuals. Either the business is shut down, their assets liquidated and their creditors paid off or they set up a payment plan and pay a certain amount per month. The only difference is when it comes to Chapter 13 bankruptcy and what is considered "disposable income." For businesses, disposable income is generally taken to mean "profits," although there is still some wiggle room here. Some less than honest business people will quickly give themselves a raise before filing, thus making it look like they make less profit than they do. However, barring small details, it is essentially the same for a business as it is for an individual.
Questions Before You Get Married
If Dell computers are willing to give you a guarantee for a computer that becomes obsolete in a couple of years, then I believe you deserve a guarantee for your wedding film that will be a life long testament of your memorable day.
If Sony are eager to dispel your fears by offering a guarantee on a $69.99 CD player, then can you afford not to have a guarantee for possibly the biggest day of your life?
If Domino's are willing to offer you a free pizza, if they deliver your pizza late, then I believe you thoroughly deserve to receive some compensation if anything goes wrong or is delayed in the production and delivery of your wedding film or photographs.
It is vitally important you get this done before you commission a company to cover your wedding day. I believe every company, regardless of sector or turnover should offer their customers a guarantee in case things go wrong. And trust me, things do go wrong all the time. I will tell you about a couple who did not get a guarantee before they commissioned an individual to film their wedding day.
Don't do what this Couple Did
It was a rainy April evening and David and Mary (names changed for obvious reasons) sat around a 3-legged kitchen table, slowly drinking a warm cup of traditional brewed tea. They looked miserable.
Why?
Well, it was just three weeks to their wedding day and they were feeling the enormous pressure of still having a lot to do on their to-do list. There was still the stretch limo they had to order. Mary was struggling to find the perfect shoe as she had such small, pretty feet. David was waiting for feedback from his brother who lived in South Africa. You see his entire family lived abroad and they were eagerly expecting their visa applications for entry to the U.K. to be approved. But time was quickly running out. Although they had achieved so much, their list showed they still had a long way to go. And the wedding was in 3 weeks!
Sarah (Mary's sister) walked into the kitchen and tried to give the soon-to-be-married couple, some words of comfort. She assured them that every couple went through the same rollercoaster of emotions and disappointments just before the wedding day. She assured them not to worry and remember that even if everything went wrong, they still had each other and that was all that mattered. This brought a smile to David and Mary's face and they both smiled at each other as they took another sip from their cup of tea.
Suddenly, David let out a loud moan. Mary and Sarah enquired what was wrong. David pointed towards the list on the kitchen table. Highlighted in red at the bottom of the A4 paper was item number 17. Wedding video.
Mary let out a moan as well as she realised a DVD or video would be an important gift for all David's family and their friends who were likely to miss the wedding. She had also always dreamed of watching her wedding film and seeing how every word and action would revolve around her. Finally she would be the one everyone would have to pay attention to and make a fuss over. Mary loved helping other people have successful events but it would be nice to be the centre of attention at the biggest event of her life.
Sarah calmly walked out of the room and made a phone call in the beautifully lit hallway. She walked back in and told them the matter was solved. Matthew, a friend of hers (who had studied Film & Television with her) promised to cover their wedding day at a great price. David and Mary asked if he was good. Had he done previous wedding work before? Could they trust his work?
Sarah dispelled their fears and assured them she would personally see to it that Matthew had every necessary information for the wedding. The calmness and confidence in Sarah's voice made them know they could trust her on this. After all, she had done so much to help them with her advice, contacts and resources in their wedding preparations. They knew they could trust her. If she said Matthew was all right, then Matthew was all right.
May the 21st 2005 might have been an ordinary summer Saturday for you, but for Mary and David it was the greatest day of their lives. Everything seemed to fall in place just at the last moment. David's company gave him two 16-seater Hummer limos for the wedding. They won the star prize at a fund-raising event. A two-week expense paid holiday to the Bahamas for two, coupled with first-class tickets and exclusive use of the penthouse room at the Marriott on the island. And although David's entire family wasn't able to make it, his seventeen-year-old sister gave an emotional speech on behalf of the family in South Africa. It was a glorious day.
Weeks after the wedding, fresh from the highs of a blissful honeymoon, David and Mary gave Matthew a call and asked him after their wedding video. Even though David had sent pictures of the wedding to his family, they still wanted to watch the wedding video to see what really happened. They had already called three times after the wedding, requesting for the wedding video.
David gave Matthew a call soon afterwards enquiring after the wedding video. Matthew assured them he was working on it and for them to give him a couple of weeks to complete it. He assured them it would have that exquisite touch.
Unfortunately, David and Mary had to give Matthew a couple of more calls and after 7 months, 3 weeks and 2 days, they finally received their wedding film. But...
Disaster Strikes!
...Oh my God!
It was awful. It was actually beyond awful. The sound was out of sync. The camera movements were shaky in places. The camera was focused on only one part of the stage for a good portion of the reception period. Key moments at the wedding ceremony and reception where either partially filmed or totally missing. Worst of all, the speech by David's sister was not on the film. David was livid and demanded a refund from Matthew. He bluntly refused and abused him for wanting more from him for the poor payment they gave him. He told them he still expected a balance payment and that he was living the country to work in Cuba.
Can you imagine the disappointment on David's mum's face? Can you begin to imagine how long it took to repair the relationship between David, Mary and Sarah? Above all, what could they do to recapture and have a record of their glorious day? Nothing! Absolutely nothing!
The story above is a true one and one I hope you or your loved ones will never have to go through. As bad and painful as the above story is, it's something couples across the country and dare I say the world, go through annually as they refuse or choose not to get a guarantee for the production of their wedding film.
Things you can do
So what do you need to do to get a guarantee for your wedding film?
Firstly, you must ensure you feel comfortable with the person you're giving the responsibility of filming your wedding day. Ask about weddings or events they've done in the past and samples of these.
Secondly, tell them what you want from the finished film. Do you want interviews with your family and guest filmed? Do you want your guests filmed while eating or would you rather spare them the embarrassment? Do you want them to film all the dance sessions or just a couple? Let them know what you want and you won't feel nervous about seeing your wedding film.
Thirdly, give them the various locations of where your ceremony will occur. This should include the church, registry, reception or any location associated with your big occasion. Also give them the name of the person in charge (if you have it) of the various locations to ensure they do not have last minute objections or problems on your big day.
Fourthly, agree with them when the film will be completed. This is important, as you wouldn't want to unnecessarily worry yourself with anxiety. The individual or company in charge of producing your wedding film will also love the time and freedom you give them by not repeatedly calling them.
Finally, ask them what happens if they're late in giving you your wedding film. Will they give you an extra copy for lateness? Will they inform you if it's going to be late and how soon will this call come? What happens if you're not satisfied with the finished film? Will they be happy to make changes and will this cost you anything?
These questions are not the easiest to ask but they must be asked. You can ask them to put this down on paper and sign it. This document shouldn't be a long dissertation. Read it all and ask for clarity if you're confused on any point. Alternatively, if you are totally confident of the individual you're dealing with, an oral guarantee can be enough.
If you do the above, then you will have the peace of mind to concentrate on other pressing matters during your wedding preparations. It will also make the individual or organisation more committed to producing a film that will encourage you to show and tell your family and friends about them.
I wish you all the best with your preparations towards an unforgettable day!
Both Deanna Mascle & Maurice Chuka are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Maurice Chuka has sinced written about articles on various topics from Bankruptcy Law, Types of Cancer and Gucci. Maurice Chuka's company specialises in producing customised films for clients. His passion is to make pictures his clients love to see. For fu. Maurice Chuka's top article generates over 5400 views. to your Favourites.
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