Investopedia

Continue to Site »

Debt Restructuring Fraud

Filed Under » , , , ,
Dictionary Says

Definition of 'Debt Restructuring Fraud'

An illegal technique where an individual or corporation hides or transfers assets before filing for bankruptcy. Debt restructuring allows the fraudster to reduce or even erase the debts and then reclaim the assets. Debt restructuring fraud is a clear abuse of the intent behind bankruptcy laws.
Investopedia Says

Investopedia explains 'Debt Restructuring Fraud'

The guiding principle of bankruptcy is that the creditors and debtors can find a compromise that favors neither party, but satisfies both. By knowingly concealing or misstating assets, the debtor is abusing the process to escape financial liabilities while holding onto the wealth that those liabilities - and thus the creditors - helped create.

Articles Of Interest

  1.

    Declaring Bankruptcy Is No Easy Out

    Going bankrupt can help pull you out of debt, but it's rarely the best option.

  2. Life After Bankruptcy

    Find out what you have to look forward to after filing for Chapter 7 or 13.

  3. What You Need To Know About Bankruptcy

    Don't choose this last-resort option until you learn how it will affect your future.

  4. Changing The Face Of Bankruptcy

    A 2005 law attempts to unmask fraudulent debtors and still save those who are struggling. Will it affect you?

  5. Uncovering A Career In Forensic Accounting

    Does a job as a financial sleuth sound interesting to you? Dig in to learn more.

  6. Stop Keeping Up With The Joneses - They're Broke

    Conspicuous consumption could be robbing you of future wealth.

  7. How To Safeguard Your Tax Returns From Identity Theft

    Identity thieves love tax season. In 2012, there were 13 million victims of identity theft. As easy as it is for thieves to steal your information, there are also simple measures you can take ...

  8. How To Report A Tax Cheat

    If you report a tax evader to the IRS, you could be eligible for a reward.

  9. Bloated Budget? How To Trim The Fat

    Blood, sweat and tears should belong in the gym, but your money deserves some training time too.

  10. Shuffle Away Your Debt With Balance Transfers

    This option can save you big bucks, but only if you watch out for rates and fees.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.

  2. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.

  3. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.

  4. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  5. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  6. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.
Trading Center
Array ( )
taggroups(for debug only):
Array ( [0] => What's New [1] => Personal Finance [2] => Credit & Loans [4] => Reducing Debt Couple [5] => Reducing Debt [6] => Paying Off Household Debt [7] => Reducing Debt Retirement )