Company Bankruptcy Filing

What are your rights as an employee regarding payroll if company is filing Chapter 7 Bankruptcy?

In the state of California.
We were paid some yesterday, but not all that is due. What are the options we have for getting money due including un-paid commissions.

payroll is number two on the priority list for unsecured debts in bankruptcy. Taxes due are number one. banks and trade creditors are after you.

the bankruptcy trustee will handle this, if and after he determines there is sufficient cash to pay both the taxes and you.

it'll take a while ... possibly several months.

you should receive forms from the Trustee -- make sure you do, fill them out, and send them back in.

***
fyi ... commissions due are not as secure as you'd like to think. every bankrupt company i've ever dealt with or about has had a rash of sales return claims and a sales return usually means no commission is due for that sale.

sharks among the buyers who don't need the products immediately make the return claims, sometimes on flimsy excuses, in the hope of being able to buy the product from the Trustee later for much less during the "going out of business sale".

Is it Better to Usa a Debt Consolidation Company or File Bankruptcy When You Own a Home?

Owning your own home is the American dream, and every day millions of people work hard to maintain their small piece of the dream.

Along the way people build up other kinds of debt besides their mortgage, and some people eventually find themselves overwhelmed by high interest rate credit card debt.

Aurora Lillo Editor of the "Best Debt Consolidation Services" website -- http://www.FreeDebtConsolidationQuotes.net -- pointed out;

“…Somewhere along the way the American dream starts to get a little cloudy, and as the debt continues to pile up the dream could turn into a nightmare. As the family gets bigger and the expenses pile up, it can look like there is no where to turn. Many people consider bankruptcy while they should be thinking about debt consolidation…”

People look for advice from many different sources when they are trying to get their debt under control, but many times they forget to look in the places where the best advice awaits them. If you are buried in high interest rate credit card debt and you are considering filing bankruptcy to clear your debt, you will want to speak to a debt consolidation company before you file those papers.

Your situation may seem bleak to you, but it may be something that an experienced debt expert could help you with by placing you into the right debt program for your situation.

When people who own a home file for bankruptcy, it is common for the home to be listed as an asset that should be given up especially if the house is still under a mortgage. You have worked hard to provide the American dream to your family, and there is no reason why a mountain of high interest credit card debt should force you to have to give up on that dream.

A debt organization will combine all of your high interest rate credit card debt into one low interest rate loan that you can easily afford. They will take all of those high monthly service charges you used to pay and replace them with one reasonable set of loan service charges.

“…They will help you free up hundreds of dollars a month in cash flow, and you can use that money to pay your other bills and avoid bankruptcy. Don’t let high credit card debt take your dream from you, contact a debt assistance professional before you file any bankruptcy papers…” added A. Lillo.

Further information about trusted and reputable companies for debt consolidation by visiting; http://www.FreeDebtConsolidationQuotes.net

About the Author

Hector Milla runs his corporate website at http://www.OpsRegs.com where you can see all his articles and press releases.