Bankruptcy

Chapter 13 Wage Earner Plan

2010-02-22T09:21:00.000-08:00

Question: My husband and I are unsure if a Chapter 13 Wage Earner Plan is the way for us to go. Due to loss of job and medical reasons, we are in over our head. We are able to make house, truck and living expenses but unable to make any credit card payments. We are not behind on any of our secured notes, but fear if we pay the credit card bills, we will shortly be behind. I have read about debt counseling, but we do not have a lot of $ to go on the other bills. In Chapter 13, will be lose our home, car and RV? Or can we continue to pay these? I have read information on the internet about consumer proposals in Canada, but I want information about a Chapter 13 plan in the U.S. Thanks.

Answer: Yes, it is possible to keep your home, car and RV in a Chapter 13 Wage Earner Plan. Each situation is different, so you should contact a Chapter 13 expert for more information.

more credit

2009-04-06T15:36:00.000-07:00

Question: Is it legal to get credit while you pay off your bankruptcy?

Answer: You should not obtain credit until your bankruptcy is completed.

Spouse filing bankruptcy after marrage

2007-09-25T10:16:00.000-07:00

Question: My fiance is considering filing bankruptcy for her personal debts after we are married. We have no joint accounts or debts. I am concerned that this will ruin my excellent credit rating. Can her filing for personal bankruptcy after marraige affect my credit score and can any creditors come after assets that are in my name only?

Answer: Your credit report only contains information about you; it does not contain information about anyone else, including your wife. Therefore her filing for Chapter 7 bankruptcy, or a Chapter 13 Wage Earner Plan, will not impact on your credit rating.

However, if in the future you both decide to finance a house together, your wife's bankruptcy will hurt her credit score, which reduces her effectiveness as a co-signer for you.

For more information, please contact a bankruptcy attorney .

chapter 7 filing and my house

2007-08-17T22:23:00.001-07:00

Question: Hey, wondering if anyone out there knows this......after I file for bankruptcy and it gets discharged, when will I HAVE to move out of my house that was included in the filing and discharge? Does the bank send you an eviction notice? How long do they give you to be out? Thanks

Answer: If you are surrendering your house as part of your bankruptcy, the bank will normally give you a commercial reasonable time to vacate the house. Our advice is to assume you will be required to leave quickly, and to find a place to rent as soon as possible.

Suggestions about personal bankruptcy, debt consoliation, and credit counseling?

2007-07-07T06:54:00.000-07:00

I am currently trying to help someone figure out a way to either eliminate his debt or get on low monthly payment for all of them. He is about $15000 in debt now. I've tried to talk to some of the creditors but they refused to work with us. There are 3 bills that haven't been paid on for about the past year do to the fact he had no extra money and ended up with lots of medical bills. I've looked into debt consolidation but it was very expensive and most of the ones I have actually talked to tried making it sound better then it really was. He has one judgement against him already and one of the credit cards turned him over to an attorney and they filed against him so we don't have much time to figure something out.

We have tried to get a secured loan using our truck (we don't want to lose our truck) but we haven't heard back. His credit is really bad so we dont have much hope with that and since I'm not working I can't co sign. We have been trying to get all the smaller bills paid off so that we could get these other bills taken care of but when I spoke with the creditors or the people they turned the accounts over to the min. payment they would accept was $500 - $1000 and there's no way he can do that. Please give me some suggestions.

Answer: You have a number of options.

You have already tried the obvious solutions, including getting a debt consolidation loan. Another option may be credit counseling, where a non-profit credit counselor negotiates a settlement with your creditors. They can often negotiate for low or zero interest.

The final option may be personal bankruptcy. This is a drastic step, but if you have more debt than you can handle, this option may be your only choice, particularly if one of the creditors has commenced legal action. Fill out our bankruptcy evaluation form and a bankruptcy attorney will contact you to review your situation and help you determine if Chapter 7 bankruptcy is the correct option for you.

living in canada, bills in usa

2007-07-06T17:35:00.001-07:00

Question: can i file bankruptcy in Canada on American bills?

Answer: Legally, filing personal bankruptcy in Canada discharges all of your debts, both in Canada and in the United States. However, American courts and creditors do not typically recognize legal proceedings in other countries.

In practice, this means that your American creditors would not be able to pursue you in Canada, but if you were to return to the United States they could attempt to collect from you. In that case, it may be necessary to file for bankruptcy in America.

Marriage after bankruptcy

2007-06-15T11:17:00.000-07:00

Question: If a person gets married after filing for bankruptcy, does this affect the new spouse's assets or credit rating?

Answer: No, a Chapter 7 personal bankruptcy only appears on the person who filed's credit report. Your bankruptcy does not impact on your spouse's assets or credit score.

The only significant impact will be if you and your spouse attempt to jointly borrow money, perhaps to buy a house, the person who went bankrupt will not be a great co-signer.

former US resident alien/Canadian returning to Canada

2007-04-25T00:01:00.000-07:00

Due to loss of employments in the US (4 states in the last 8 years)due to circumstances beyond his control, a Canadian citizen came back to Canada to accept an employment after 8 years of being a permanent resident of the US. His unfortunate situation needless to say cause him to be insolvent on both sides of the border. He had left leaving behind almost $35,000.00US in credit card and line of credit debts and another$70,000Cdn.w/c he is unable to repay with his insufficient employment income. His last placeof residence is Georgia. Pls. advise.
Answer

I am not a Bankrutpcy attorney but I suggest you have a real good look at Chapter 7 in states if you want to get back in shape there and a Consumer proposal in Canada. either way you will likely have to put an legal end to your debts in both places and start over.

It\'s all good of course!

2007-04-20T17:50:00.001-07:00

Hey,
I love what you\'e doing!
Don\'t ever change and best of luck.

Raymon W.

Thanks. DR

Chapter 13

2007-04-16T20:56:00.001-07:00

I have an attorney and filing chapter 13. Our home is in forclosure and quite a few debts. Will it take care of our honme save it. Still concerned. Thans Connie & victor

Thanks for the question, I am not an attorney but feel that'

Likely chance your home will be ok since your Attorney is filing for your 13 there will be a stay of proceedings meaning that no one can pursue any actions against you from the day of filing on.. The 13 is a wage earners repayment plan, your secured creditors will have to be delt with first but they, if you can show them reason too, will not wish to continue with the foreclosure. The biggest thing in my mind is that you work extremely closely with your attorney. If they are a good reputable firm they will see the need to put the ducks in the right row and make the appropriate calls and documents out on your behalf quickly.

Student Loans

2007-04-13T23:05:00.001-07:00

I have student loans and if I pay them off using my high limit credit cards then I will have 25,000 in credit card debt.

If my student loans are on my credit cards and then I file Bankruptcy, can my credit cards be discharged?

There is a very good chance that the card companies will do an investigation on where all of these either "cash advances" went or to whom the payments are going to. Likely, if provoked they may be able to make life extremely difficult for you through the courts as the action may be viewed as Fraudulent? The card companies are becoming very wiley in Chapter 7 issues. You may be able to negotiate a settlement with the student loan people that will be less risky and more proprietary in the long run

chapter 7

2007-04-13T10:28:00.001-07:00

Can I file a chapter 7 bankruptcy to stay a sherif sale on my house.I am not trying to save the house. I just want to buy more time.

Answer? Buy more time for what? If you are at a point of sale where the Sherif is involved then a bankruptcy will not likely help too much.

Chap. 13 Stops Foreclosure but Court Denys Confirmation of Plan

2007-04-09T03:22:00.001-07:00

In order to stop Foreclosure of my home, I filed for Chap. 13 (Minnesota) one day before the Sheriffs Sale. However, if I do not have verified employment by the Trustee hearing date, the Trustee would surely request the Court to deny confirmation of my Petition and Plan.
QUESTION: How would the Foreclosure/Sheriff\'s Sale proceed if my Petition & Plan were not confirmed by the Court?

Question commented on in Forum. Thanks.

Attorney

2007-04-06T10:57:00.001-07:00

I have already filed a Chapter 13, I am over 2 years into it, I am looking a purchasing a home, do I have to go thru and attorney to get permission, or can I contact my trustee myself?

I figure if your Chapter 13 is up to date and things are going well then contact the Trustee yourself and copy your attorney. Why pay money for services not needed? If the trustee doesnt like your contacting them then they will let you know and you will then do it differently.

conversion Chapter 13 to Chapter 7

2007-03-22T13:40:00.001-07:00

I have only 15 months left to pay my remaining $5500.00 balance on my Chapter 13 but my lawyer informed me since my vechile is paid off I can now convert to chapter 7 So i can start rebuilding my credit faster. Is their any consequeces to this? Will this hurt how long it will take to reestablish my credit?

Under your lawyers advice it seems that there will not really be any consequences. It will take 24 to 36 months to rebuild credit. The Bankrutpcy will be on your credit files for 10 years, but as the economy moves along you will be invited back in tothe world of credit much earlier.

Which one is best?

2007-03-17T15:49:00.001-07:00

Which is the best one to do if you want to still keep your house and cars?

ANSWER

Chapter 13

Irs

2007-03-16T19:26:00.001-07:00

I filed Chapter13 about 3 years ago and now I owe back taxes. Can I put tem on my current chapter 13 or do I have to refile to have them added?

ANSWER

Likely not possible as the Chapter 13 takes care of debt liabilities up to the date of signing. Anything caused after that time will not be eligable and will have to be delt with under a new strategy.

Bankruptcy Discharge vs. Dismissal

2007-03-16T17:21:00.001-07:00

Can I cancel my bankruptcy? And if so, what consequenses are there? I no longer owe most of the debts that were originally included in my petition.

ANSWER

Lucky guy or gal. Were your debts to the creditors listed in the bankrutpcy paid out? If so, I believe you can apply for an expungement were the record of the bankruptcy cleaned up and your credit rating adjusted.

Customer

2007-03-16T08:46:00.001-07:00

My question is the opposite. We are one who is one the loosing end. We ordered furniture from a company in North Carolina. They are filing for bankruptcy. (We were notified in January 2007.) They owe us $6508.00 in furniture and/or money back from damaged and defective furniture. This furniture was ordered over a year ago (Nov. 2005). We have been haggling back and forth with the company since March of 2006 until January 2007 when we were informed of the bankruptcy filing. Is there any hope for us? Do we have a chance of getting our funds back? What about us innocent customers who were led to believe that items were going to be delivered and/or replaced? Any suggestions?

ANSWER.

Small claims court may give you a ruling in your favour up to $5k. only the hard part is collecting. A court judgement is just that a judgement not an absolutel rit. The Bankruptcy Laws tend to supercede your rights as claiment. One suggestion would be to make sure that the company in question did absolutely go Chapter 11 or did they just say they were going to?

divorce and bankruptcy

2007-03-06T20:13:00.001-08:00

I am about to file for divorce. mu husband has no credit, so we put everything in my name, i have a $385,000 mortgage, $42,000 car, and other bills all in my name.A mistake on my part! I make $27,000 a year,there is no way I can pay these payments. I have always had great credit. What chapter will I have to file and what can I expect...WIll this be a 10 year ordeal to get my credit reestablished?

ANSWER

I am not a lawyer but my common sence says that you should consider investigating Chapter 7 and cleaning out yourself entirely. Just an opinion. It will take likely less than 4 years to reestablish your credit.

Bankruptcy, Immigrant, & citizen

2007-03-05T06:38:00.001-08:00

Does applying bankruptcy affect an individual to apply for citizen of USA?
He is a Permanent Resident of USA.

ANSWER. Not too likely as Homeland Security is more concerned with your background criminally than you background financially.

chapter 13 to a chapter 7

2007-03-03T01:51:00.001-08:00

in a divorce can one spouse ffile to convert a chapter 13 to a chapter 7? and can the other stay in the chapter 13 ? If yes to both will the spouse in the chaper 13 be liable for all the debt under the 13b

ANSWER I suggest you book an appointment with your divorce attorney and ask him. He is the most intimate with your affairs and he may know an associate he can ask. Likely cheaper and faster than going through a new attorney.

Converting

2007-03-01T20:44:00.001-08:00

I have been in Bankruptcy (Chapter 13) over 2 years. Can I convert to Chapter 7 now?

ANSWER

I am not an attorney but it seems to me that if you cannot support your payback under the wage earners, there are few other choices you have. Unfortunate circumstances have come your way and if you have lost your job or means of support then you still have your debts. The money you have paid back will be lost but the Chapter 7 is likely your only way out now.

Chapter 13 Refund

2007-03-01T09:33:00.001-08:00

What happens if more money is paid into a CH-13 plan to satisfy claims than is needed due to creditors not filing claims with the court? Who gets this \"overpayment\"?

ANSWER

It would seem to me that if you paid too much per month or over the long term that a change of accounting would be in order. When you did your 13 you thru your attorney agreed on the repayment terms, the attorney should be contacted and consulted.

domestic partner

2007-03-01T07:10:00.001-08:00

I\'ve been living with a woman for five years. We are not married and she hasn\'t worked in several years. Back problems are restricting her ability to find work. I have been claiming her as a dependent for a few years on my taxes and I was wondering if I could claim a two person household for bankruptcy purposes? She also has debts that are high, can I add hers to mine also?

ANSWER.

I am not an attorney but it would seem that if you have been filing tax together, living common law together than the bankruptcy will be together too.