Recently, I sat down in a consultation with a woman who was concerned about the status of her Chapter 13 bankruptcy in connection with a pending divorce. She wasn’t even sure how to ask the question, but after a bit of discussion we decided that what she really wanted to know was how do you […]
A Chapter 13 bankruptcy is often referred to as a reorganization bankruptcy. It allows people who see a regular income to create a plan to repay all or a designated part of their debt through the bankruptcy court and the assistance of a bankruptcy trustee. Under the Chapter 13 bankruptcy, the debtor can propose a […]
When filing a Chapter 13 bankruptcy, you may be able to strip a second mortgage if there is no equity in your home after the first mortgage. In this instance, the second mortgage can be treated similar to any other unsecured lien (like a credit card debt) and the debtor could end up paying little […]
There are all kinds of ways to get overwhelmed by debt. You might start off with a little bit of credit card debt, and then add a mortgage. A little while later you may throw in an auto loan or two. Along the way, you may be very friendly with your credit cards and they […]
The Chapter 13 bankruptcy is designed for bankruptcy petitioners who have a regular income. The Chapter 13 allows a debtor to keep property and pay debts back over a predetermined period of time, usually 3-5 years. It’s often referred to as a wage earner’s plan. Petitioners work alongside the bankruptcy court to develop a plan […]
When you declare Chapter 13 bankruptcy, the bankruptcy court determines a set pay schedule for a pre-determined amount of time. In cases where unforeseen events cause major dips and dives in the income of bankruptcy filers post-bankruptcy, they can come up against a major problem: the inability to make the Chapter 13 payment. In this […]
There are many bankruptcy petitioners who fear the consequences wreaking havoc on their ability to have a vehicle and stay mobile. Bankruptcy laws may leave petitioners aware that they can’t keep the vehicle they have currently (for a number of different reasons), but equally aware that they will need a car to get around. This […]
If you are in the midst of a Chapter 13 bankruptcy plan and you find yourself facing a divorce, you don’t want to add to the emotional stress with financial stress that can be avoided. Divorce typically comes with some major financial changes: two households instead of one, spousal maintenance, child support payments, etc. These […]
When in the midst of a Chapter 13 bankruptcy plan, filing for a divorce will mean revisions that have to be accepted by the bankruptcy trustee. Since many Chapter 13 bankruptcy plans are very strict and leave very little “extra” cash, many feel as if they are left in an impossible situation. One or both […]
There’s not really a specific time that is all around “bad” for filing Chapter 13 bankruptcy. The best timing to file really depends upon your specific situation. It can depend upon the timing of personal events, the date of the last large credit transaction, major financial crises, etc. One thing that is useful to consider […]
Talking to a bankruptcy attorney is imperative when considering converting a Chapter 13 to a Chapter 7. There are many different issues you need to be aware of before you make this decision. If you are in a Chapter 13 Bankruptcy there is a possibility that converting to a Chapter 7 could be beneficial. Many states […]
There are several things you must consider before walking away from your home after filing Chapter 13. In a Chapter 13, your mortgage payments are rolled back into the loan, making the mortgage current. This is called a loan modification – eliminating any past due payments. The bankruptcy trustee assigned receives payment from the individual […]
Filing bankruptcy is intended as a protection for consumers from overwhelming debt. It seems simple at the outset, but it’s like having a house built. If you’ve never done it before, it seems like a simple concept. You look at them and then decide which one you like best and hire the builder to complete […]
Working with credit unions when you are in good standing is great, however it is very difficult when you are behind on your loan payments. They take it personally when a customer defaults on a payment agreement or the debt becomes discharged during a bankruptcy. They have lost money when you stopped paying and often […]
There has been an evolution of the mortgage crisis. During the time of this crisis, many lenders were rejecting all loan modifications. Many clients were forced to file Chapter 13 bankruptcy in order to attempt to save their homes and pay toward delinquent mortgages. Many could not afford the bankruptcy and their regular mortgage payments […]
If you are in the midst of financial crisis and your main goal is to stay in your home, the first step is often to file for a loan modification. If you have approached your lender regarding a modification for your mortgage to no avail (possibly multiple times) it may be time to consider other […]
When considering a Chapter 13 bankruptcy, you might wonder if it’s better to get a 3 year pay back in order to get the recovery process started. Being on a fixed budget is an unpleasant prospect for many and thinking of the inconvenience may lead you to desire a shorter term for your Chapter 13 […]
If you filed for Chapter 13 bankruptcy, included your home, successfully completed a few years of the agreed upon repayment plan, but now find yourself unable to make your modified loan payment, can you walk away from the home? Can a lender foreclose on a home included in a Chapter 13 bankruptcy repayment plan? The […]
Sometimes, even with the most thorough contemplations beforehand, we change our minds after a decision has been made. It can happen to anyone. Sometimes we change our minds about what to have for lunch and sometimes we change our minds about something pretty big and important – like which personal property to hold onto after […]
When filing for Chapter 13, some filers receive a tax refund. As it is currently tax season, we get a lot of questions regarding a tax refund and bankruptcy. If you are in the midst of a Chapter 13 bankruptcy, do you need to turn over your tax refund? In most cases, bankruptcy filers could […]