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• Bankruptcy: Consumers provides several choices, regarding a repayment plan (Chapter 13) in order to insolvency (A bankruptcy proceeding). Both seriously ruin credit ratings, and you will insolvency makes it necessary that you sell much of your assets. Exemptions for just what one might be able to remain differ because of the condition. A section thirteen case of bankruptcy may take up to five years (to pay off debts), when you're Chapter 7 is generally completed in below annually.