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Anywhere from three weeks to fifty days after you file your Chapter 13 bankruptcy paperwork, a meeting of creditors will be held. Seven days before the meeting you will be required to give the trustee copies of your federal income tax return for the previous tax year. If you were not required to file taxes, you will provide a statement saying so.
The post Chapter 13 Bankruptcy Basics: Part Two appeared first on Tucson Bankruptcy Attorney.
Anywhere from three weeks to fifty days after you file your Chapter 13 bankruptcy paperwork, a meeting of creditors will be held. Seven days before the meeting you will be required to give the trustee copies of your federal income tax return for the previous tax year. If you were not required to file taxes, you will provide a statement saying so.
The post Chapter 13 Bankruptcy Basics: Part Two appeared first on Tucson Bankruptcy Attorney.
In this article I am going to discuss Schedule C of the bankruptcy petition, which is property exemptions. Under federal and state bankruptcy laws, there are categories and amounts of property that are exempt from the bankruptcy process. This means that you are allowed to keep the property as part of your fresh start after bankruptcy.
The post Property Exemptions in Bankruptcy appeared first on Tucson Bankruptcy Attorney.
In this article I am going to discuss Schedule C of the bankruptcy petition, which is property exemptions. Under federal and state bankruptcy laws, there are categories and amounts of property that are exempt from the bankruptcy process. This means that you are allowed to keep the property as part of your fresh start after bankruptcy.
The post Property Exemptions in Bankruptcy appeared first on Tucson Bankruptcy Attorney.
The Small Print Says Your Credit Union Can Repossess Your Car If You Are Late on Your Credit Cards. When you get a car loan from a credit union, you sign in small print that they can repossess your car if you don’t pay your credit cards. (I have never seen a bank do this; […]The post Filing Bankruptcy and Keeping Your Car with Your Credit Union by Robert Weed appeared first on Robert Weed.
The Small Print Says Your Credit Union Can Repossess Your Car If You Are Late on Your Credit Cards. When you get a car loan from a credit union, you sign in small print that they can repossess your car if you don’t pay your credit cards. (I have never seen a bank do this; […]
The post Filing Bankruptcy and Keeping Your Car with Your Credit Union by Robert Weed appeared first on Robert Weed.
Overview This is the bankruptcy case study for Mr. and Mrs. C., who reside in Addison, Illinois. Although the case will be filed in DuPage County, the majority of the assets reside in another county. Let’s begin with the fact that the couple rents their current home in Addison. Their former home was foreclosed upon+ Read More
The post Bankruptcy Case Study For May, 2016 appeared first on David M. Siegel.
The U.S. Bankruptcy Court for the Eastern District of Michigan recently considered the issue of whether a Chapter 7 trustee may bring a cause of action against a debtor for damages caused to the bankruptcy estate by the debtor’s alleged failure to comply with the debtor’s duties under section 521 of the Bankruptcy Code. Under the circumstances, the court held that no private cause of action existed and thus ruled in favor of the debtor on the issue.[1] Read More ›
Tags: Chapter 7, Eastern District of Michigan
Plan Payment Problems A common problem that happens in a chapter 13 bankruptcy case is the inability to continue to make plan payments. This inability to make the plan payment can happen for a variety of reasons. The most common reasons are job loss, illness, injury, divorce, and other catastrophic events. Just recently, a couple+ Read More
The post When You Can No Longer Afford Your Chapter 13 Plan Payment appeared first on David M. Siegel.
Here at Shenwick & Associates, our goal for our consumer bankruptcy clients is to get as many of their debts as possible discharged, while enabling them to maximize the property they can keep in bankruptcy, which is exempted from the debtor’s bankruptcy estate that comes into being when a bankruptcy case is filed.
Bankruptcy law is a federal system, but there’s a complex interplay between state and federal law in practice. And this relationship between state and federal law also holds true for exemptions from bankruptcy.
Section 522 of the Bankruptcy Code governs exemptions. Section 522(b)(1) of the Code provides that “an individual debtor may exempt from property of the estate the property listed in either paragraph (2) or, in the alternative, paragraph (3) of this subsection.” Section 522(b)(2) provides that “property listed in this paragraph is property that is specified under subsection (d) . . .” (which includes the federal exemption scheme, addressed below). Section 522(b)(3) provides that “ . . . any property that is exempt under Federal law, other than subsection (d) of this section, or State or local law that is applicable on the date of the filing of the petition to the place [where the Debtor was domiciled for the greater part of the 180-day period prior to filing than in any other place].” Up until 2011, New York State debtors were required to use New York State’s exemptions. However, now debtors are free to choose either the state or the federal exemptions (but only one or the other-you can’t mix and match exemptions from both systems).
The New York State exemptions are contained in Civil Practice Law and Rules (CPLR) §§ 5205 (personal property exempt from application to the satisfaction of money judgments and 5206 (real property exempt from application to the satisfaction of money judgments), as well as in Article 10-A (§§ 282-285) of the Debtor and Creditor Law. Some commonly used New York State exemptions are for a homestead ($165,550 per debtor in the NYC metropolitan area-amounts differ upstate); a car ($4,425); and the cash surrender value of life insurance (fully exempted). New York exemption amounts were last adjusted on April 1, 2015 and will be readjusted on April 1, 2018.
The federal exemptions in § 522(d) of the Code include exemptions for a homestead ($23,675 per debtor); a car ($3,775); the cash surrender value of life insurance ($12,625) and a “catch all” exemption (interest in any property (including cash) up to $1,250 plus up to $11,850 of any unused homestead exemption). Federal exemption amounts were last adjusted on April 1, 2016 and will be readjusted on April 1, 2019.
In practice, we usually use New York exemptions, but in cases where the debtor doesn’t own a house or has no equity in their house but has other valuable personal property, we may use the federal exemptions.
Deciding which exemption system to use is a fact intensive process that requires a carefully analysis of the debtor’s property and its valuation. For more information about exempting your valuable property from the reach of your creditors, please contact Jim Shenwick.
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