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Many people are aware that Chapter 7 bankruptcy is one of the fastest and most efficient means to eliminate most types of unsecured debts. Secured debts can include credit card bills, hospital bills, store charge card bills, doctor’s bills, and basically, all other debts that are not secured debts. Secured debts are debts where the creditor’s interest is protected and strengthen by the property. While Chapter 7 bankruptcy is more amenable to eliminating unsecured debts, holding some secured debts doesn’t automatically mean that Chapter 7 bankruptcy is inappropriate for your situation.
The experienced Sacramento bankruptcy attorneys of The Bankruptcy Group can guide you through the Chapter 7 bankruptcy process from start to finish. We understand that many people are anxious about bankruptcy because the process seems complex. To increase Californians understanding of the bankruptcy process, our bankruptcy lawyers will describe in this post how a Chapter 7 trustee will settle your debts with your creditors. To discuss how bankruptcy can provide you with a pathway out of debt and to a fresh financial start, call The Bankruptcy Group at 1-800-920-5351 today.
Will My Creditors Receive Any Compensation?
For people who are not engaged in bankruptcy practice on a day-to-day basis, it may come as some surprise that most people who come into our California law office want to do the right thing regarding their debt. More often than not, the individual did not choose to fall behind. Rather, difficult life events like the loss of a jobs serious medical condition, or a divorce caused the person to fall into debt that became unmanageable.
While all bankruptcies are different, the key determination as to whether the creditor will receive compensation for the debt is whether assets are available. In many Chapter 7 bankruptcies, there are no assets. This may be due to the fact that the individual filing bankruptcy simply did not have assets. In other scenarios, the bankruptcy filer may be entitled to keep all of his or her property because it is fully covered by the California bankruptcy exemptions. Property that is exempt is the property you keep regardless of the bankruptcy.
Provided that property is available to compensate your creditors, the bankruptcy trustee will locate this property by consulting the Schedule A/B: Property that you or your lawyer provide. To determine what property can conceivably be sold, the bankruptcy trustee will compare the property listed on Schedule A/B with the property listed on Schedule C: The Property You Claim as Exempt. Property that appears on Schedule A/B but not Schedule C is not exempt property and therefore is subject to liquidation to compensate creditors.
How Does the Bankruptcy Trustee Determine Which Creditors Are Compensated?
Provided that the trustee was able to identify the non-exempt property, the trustee will liquidate this property and distribute the proceeds to creditors. Which creditors are compensated is dependent upon the bankruptcy code priority list. Therefore, the U.S. bankruptcy code requires the bankruptcy trustee to pay creditors in a certain order on the basis of the type of debt. While secured debts receive the highest level of treatment, it is perhaps more interesting and more relevant to look into how unsecured debts are prioritized.
Under U.S. Bankruptcy Code §507(a)(1) – (10) the prioritization for secured debts is set forth. Under this system of prioritization, child support obligations, alimony, and other domestic support obligations are given highest priority of all unsecured debts. Next in the priority list are debts incurred due to administrative expenses relating to the bankruptcy. Third, all claims for obligations that qualify under 11 U.S. Code § 502 are paid next. Additional and subsequent claims in the priority list include:
- Unsecured claims, up to $10,000, earned as wages, salary, commission, and other forms of compensation within the last 180 days.
- Unsecured claims for employee benefit plan contributions.
- Certain unsecured claims made by fishermen or grain farmers.
- Unsecured claims, up to $1,800, originating from purchase, lease, or rental of property.
- Unsecured tax and other claims by governmental agencies.
- FDIC obligations
- Personal injury claims resulting from a motor vehicle accident casued by an intoxicated driver.
The foregoing captures the general prioritization of unsecured debts. In some cases determining the character of certain debts may be less clear than others. In other circumstances, creditors may petition for higher prioritization than the nature of the debt would permit. An experienced bankruptcy attorney can fight to protect you should creditors challenge your bankruptcy plan.
Work with Strategic Bankruptcy Lawyers
If you are considering filing bankruptcy to get out of debt, the Chapter 7 bankruptcy lawyers of The Bankruptcy Group can provide step-by-step guidance throughout the entire process. To schedule a free and confidential consultation, call our California bankruptcy law firm at 1-800-920-5351 or contact us online today.
The post How Does the Trustee Handle My Debts in a Chapter 7 Bankruptcy? appeared first on BK Law.
Elkhorn bankruptcy attorney Shannon Wynn knows that fall and winter are the hardest times of year to save money. Your gas bill goes up. Your electric bill skyrockets. Your vehicle is using more gas. You’re spending money on holiday dinners and holiday gifts. Property taxes are due just one short month after Christmas. How can anyone be expected to actually save money during this time? It seems impossible. Our Elkhorn bankruptcy attorney, Shannon Wynn, has put together a list of strategies to help you save money during fall and winter.
Simple Measures to Save Money Throughout Fall and Winter from Elkhorn Bankruptcy Attorney, Shannon Wynn
1. Use the Sun. During the summer months, we close our blinds and curtains during the day to keep the sun out and then open up our windows at night. This keeps our homes cool. During the fall and winter months, we can do just the opposite. Open your curtains and blinds during the day to allow the sunlight into your home. This is free, natural heat. Then, close your curtains and blinds at sundown to keep the cold out.
2. Plastic Your Windows. Most of us know about this one already, but it is definitely worth sharing. You can buy plastic window kits at any department store, such as Wal-Mart or Home Depot. Plastic window kits come in all sizes, including patio door size. The plastic is tightly fixed to the inside of your window frame, either with a sticky tape or with a blow dryer. Our Elkhorn bankruptcy attorney, Shannon Wynn, adds that you can buy thermal, insulated, energy-efficient curtains to hang over your windows for an additional savings on your heating costs.
3. Adjust Your Thermostat. You can manually adjust your thermostat or purchase a programmable thermostat. Bundle up while at home by wearing more layers and covering with blankets. Turn your thermostat down to as low as possible while still being warm and comfortable under your layer of clothes and blankets. Turn your thermostat down anywhere from 10-15 degrees while sleeping and while away, such as during the week while at work. You’ll save anywhere from 10-30% on your heating costs, depending on how much time you spend away from the home and sleeping.
4. Caulk. Caulk around your windows and doors to seal air leaks. Replace your weatherstripping where needed.
5. Use a Draft Stopper. Purchase draft stoppers to stop air leaks underneath your doors. If on a tight budget, Attorney Shannon Wynn suggests pushing a blanket up against the bottom of your door to help stop the cold air from getting inside your home. This tactic will work just as well.
6. Make Use of Used Heat. If you have already baked dinner in the oven, leave the oven door open as it cools down to keep all the additional heat produced by the oven inside your home. This holds true for toaster ovens, rotisseries, etc.
7. Clean Your Furnace. Have your furnace serviced and cleaned. Our Elkhorn bankruptcy attorney, Shannon Wynn, also adds to remember to replace your furnace filters.
8. Maintain Your Fireplace and/or Wood Burning Stove. If you have a fireplace or wood burning stove, be sure to have it cleaned prior to winter. This will make the system more efficient and avoid a terrifying house fire. Turn your thermostat down while using your fireplace or wood burning stove. Tip from Elkhorn bankruptcy attorney, Shannon Wynn: Remember to keep your fireplace damper closed when you aren’t burning wood. Leaving the damper open is like throwing money out an open window.
9. Close Off Rooms. If there are parts of your home that you do not use much, seal them off from the rest of the home during fall and winter months. This could be unused bedrooms, porches, lower levels, etc. Close doors and/or turn off 2nd furnaces that would be used for those portions of the home.
10. Reduce Water Heating Costs. Some tips include: Turn down your water heater thermostat. Insulate your tank and pipes. Wash your clothes in cold water. Buy energy star appliances. Install slow flowing faucets and shower heads.
11. Use LED Holiday Lighting. You can reduce holiday decorating costs by purchasing LED lights instead of using the older string sets.
Almost every tip included in this money saving list by Elkhorn bankruptcy attorney, Shannon Wynn, is low-cost or free. Implement the suggestions on this list and you are sure to free up some much needed cash this fall and winter season. If you have any questions regarding debt relief, contact Wynn at Law’s Elkhorn bankruptcy attorney, Shannon Wynn, at 262-725-0175 or visit a Wynn at Law office in Delavan, Lake Geneva, Salem, or Muskego, Wisconsin.
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*The content and material on this web page is for informational purposes only and does not constitute legal advice.
Chapter 7 Bankruptcy: Best Plan or Best Guess? Donnell’s Chapter 7 bankruptcy got discharged this month. We have about 30 to 40 bankruptcies discharged—that means approved and done—every month. But Donnell’s was special. He explained why, when he wrote me one of our best reviews ever. You can read it here. Donnell says he […]The post Bankruptcy: Best Plan or Best Guess? by Robert Weed appeared first on Robert Weed.
While bankruptcy relief is available as a tool for individuals to discharge debts, it is not available to everyone, under all circumstances. Before a debtor can, for example, discharge debts in a Chapter 7 bankruptcy, he or she must prove that debts and income are within certain statutory thresholds. When determining whether an individual is eligible for relief, the nature of the debts at issue is also relevant. Read More ›
Tags: Chapter 13, Chapter 7, Eastern District of Michigan
While bankruptcy relief is available as a tool for individuals to discharge debts, it is not available to everyone, under all circumstances. Before a debtor can, for example, discharge debts in a Chapter 7 bankruptcy, he or she must prove that debts and income are within certain statutory thresholds. When determining whether an individual is eligible for relief, the nature of the debts at issue is also relevant. Read More ›
Tags: Chapter 13, Chapter 7, Eastern District of Michigan
The New Agreement Getting paid as a chapter 13 debtor’s attorney has always proven somewhat difficult. Not the least of which is that the debtor typically must make chapter 13 plan payments from which counsel can be paid. Add on top of that the fee application, the fee order and the presentment been before the+ Read More
The post New Court Approved Retention Agreement For Chapter 13 Cases Arrives Suddenly appeared first on David M. Siegel.
If you are selling your home as a FBSO (For Sale By Owner) or buying a home which is being sold FSBO, you need a knowledgeable Walworth County real estate attorney to protect your real estate transaction. Many things could and do go wrong during a FSBO real estate transaction. Walworth County real estate attorney Shannon Wynn will help you steer clear of potential pitfalls.
How Walworth County Real Estate Attorney Shannon Wynn Helps FSBO Parties:
1. A Walworth County real estate attorney can protect your home sale when unexpected circumstances occur which are not covered on a real estate agent’s standardized form.
2. A Walworth County real estate attorney can assist FSBO buyers with writing and revising an Offer to Purchase as well as any needed Counteroffers.
3. A Walworth County real estate attorney can negotiate on your behalf during the purchase process.
4. A Walworth County real estate attorney can help FSBO buyers with construction, zoning, and association questions.
5. If the buyer’s home inspection comes back undesirable, a Walworth County real estate attorney can help you resolve those issues.
6. If anything at closing goes awry, such as the buyer backing out or an issue with your title insurance, a Walworth County real estate attorney will be on your side to protect your home sale and assist with any special circumstances.
7. A Walworth County real estate attorney will make sure that all contracts adhere to Wisconsin state law.
8. FSBO parties need a Walworth County real estate attorney to review title of property. There are many issues that need to be addressed, such as: Is the legal description correct on the title? Are liens and judgments removed? Are there easements on the FSBO property that will affect the sale?
9. A Walworth County real estate attorney can assist FSBO parties with issues involving the title company. Without a real estate attorney, FSBO parties need to arrange for title insurance, preparing the deed and scheduling the closing.
Contact Our Walworth County Real Estate Attorney, Shannon Wynn
Hiring a Walworth County real estate attorney to protect your rights, money, and real estate transaction is the common sense thing for FSBO parties to do. A Walworth County real estate attorney will make sure your FSBO sale is completed lawfully and fairly. If you are planning to list your home as a FSBO, contact our Walworth County real estate attorney, Shannon Wynn, to assist you every step of the way. You can reach our Walworth County real estate office, Wynn at Law, LLC, by phone at 262-725-0175 or by email via our website’s contact page. Wynn at Law, LLC has real estate offices located in Lake Geneva, Delavan, Salem, and Muskego.
*The content and material on this web page is for informational purposes only and does not constitute legal advice.
Nature Of The Debtor This is the chapter 7 bankruptcy case study for Mrs. C., who resides in Wheeling, Illinois. She has come to the office with the simple thought in mind to eliminate her outstanding credit card debt and medical debt. She has been struggling for approximately three years. Although she has been+ Read More
The post Case Study For Mrs. C. From Wheeling, Illinois appeared first on David M. Siegel.
View opinion PDF |
Download opinion PDF
Citation:
No. 16-4000 (D.C. No. 2:05-CV-00555-TC)
Ruling:
Appeal dismissed for lack of standing.
Judge(s):
HOLMES, BALDOCK, and MORITZ,
View opinion PDF |
Download opinion PDF
Citation:
In re Castellino Villas, A.K.F. LLC, No. 12-57186 (9th Cir. Sep. 6, 2016). Published.
Ruling:
A chapter 11 debtor that continues after plan confirmation to defend a creditor’s prepetition lien-enforcement action has not “returned to the fray,” and the creditor’s postpetition attorney-fee claim is discharged.
Judge(s):
Michael J. Melloy, Senior Circuit Judge for the Eighth Circuit Court of Appeals, and Jay S. Bybee and Sandra S. Ikuta, Ninth Circuit Judges. Opinion by Judge Ikuta.
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