Many individuals sometimes find themselves in certain financial situations, which may need legal attention. They may have debts that are extremely high, and have no way to settle them. Some may have debt that has been hanging over their heads for years, and now has gone into a default status. These individuals may find themselves facing several creditors and bad credit.Bankruptcy laws may be able to provide some individuals relief, once they have filed with the state. It is important to go over all your bills to see if this is the course of action for you. The bankruptcy court will protect all individuals from any creditors during the bankruptcy process; this will allow the court time enough to figure out the individuals bills.These laws will also protect filling individuals from losing their cars and homes; due to repossession or foreclosure. Individuals usually file a Chapter 7 or a Chapter 13, depending upon their circumstances. Under the Chapter 13 law you may be entitled to keep your property, if your plan meets the requirement under the law. Most people believe they will not be able to own any property once filing bankruptcy, this is not true. Individuals need to make sure they understand the law, before moving forward with the process. If you are considering medical bill bankruptcy, there are special provisions that you will want to ask your lawyer about.There are some things that are not covered under the bankruptcy laws. Student loans, which were more than 7 years old used to be covered automatically, but under the new law they are only rare circumstance which may allow student loans to be included. If your only debt is from student loans, bankruptcy laws will not help you.Chapter 7 bankruptcy can be filed every six years, and a Chapter 13 can be filed at anytime. Individual filing for bankruptcy should have lived the greatest portion of the last six months in the district which they are filing.It is very important for all individuals to become familiar with the bankruptcy filing process before they file; once the papers are filed with the courts, it is usually a done deal.