Asked by Mulham Shbeib on May 13, 2024
Verified
Under the Bankruptcy Code,a judge is allowed to reduce the debtor's unsecured consumer debt by what percentage?
A) 20%
B) 30%
C) 50%
D) 75%
Unsecured Consumer Debt
Debt that is not backed by collateral and primarily arises from personal loans, credit card expenses, and medical bills.
Bankruptcy Code
A legal framework in the United States that governs bankruptcy procedures and debt resolutions for individuals and businesses.
- Gain insight into the court's responsibilities in bankruptcy cases.
Verified Answer
JB
Jashan BaathMay 16, 2024
Final Answer :
A
Explanation :
The bankruptcy court is authorized to reduce claims based on unsecured consumer debt by 20 percent.
Learning Objectives
- Gain insight into the court's responsibilities in bankruptcy cases.