Answer the following in details

Answer the following in details

1. Define the following terms:

Debtor
Creditor
Lien
2. Explain what laws are intended to protect Creditors. Give specific examples.

3. Explain what laws are intended to protect debtors. Give specific examples.

4. Explain the concept of Bankruptcy. What effect does a debtor going into Bankruptcy have on a:

A. Secured Creditor

B. Unsecured Creditor.

Solution Preview

An account holder is an affiliation or person who owes cash. If the debt is as a loan from a financial institution, the account holder is referred to as a borrower, and if the debt is as securities, for example, bonds, the indebted person is referred to as an issuer. Legitimately, somebody who documents a deliberate request to declare bankruptcy is likewise viewed as a debtor (Coleman, 1999).

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