An involuntary bankruptcy occurs when the debtor's credit does not cover all of his or her debts.

Name: An involuntary bankruptcy occurs when the debtor's credit does not cover all of his or her debts.
Brand: Quizplus
Rating: 4.7 (54 reviews)

Question

Quizplus · Accepted Answer

An involuntary bankruptcy occurs when creditors force a debtor into bankruptcy by filing a petition with the court, rather than the debtor voluntarily filing for bankruptcy. It is not based on whether the debtor's credit covers all of his or her debts.

An Involuntary Bankruptcy Occurs When the Debtor's Credit Does Not