The decision to file bankruptcy is a serious one. Here is a list of a few of the considerations one must take into account in deciding whether to file bankruptcy:

• Can the debt be resolved without bankruptcy?
• What would happen if you did not file bankruptcy?
• What chapter should your bankruptcy case be filed under?
• Do you have any non-legal reasons for wanting to file one or the other (such as a stigma in not repaying creditors)?
• How can you best position yourself before, during and after the bankruptcy process?
• Are there any liens you need to account for?
• Are there any fraudulent transfers you need to address?
• How fast do you have to file the bankruptcy petition (i.e., is foreclosure immanent)?
• What exemption scheme would be best (i.e., state or federal)?
• What exemptions are available to you?

With these bankruptcy questions in mind, let’s look at a few bankruptcy definitions that also need to be considered.