Myths and Truths About Chapter 13 Bankruptcy, Part IVMyth:  If a house is jointly owned and in foreclosure, both parties on the loan must file Chapter 13 bankruptcy in order to save the house from foreclosure.Truth:  Both parties on the loan do not need to file bankruptcy in order to save the house from foreclosure.

When considering filing for bankruptcy there are a number of things to consider.  Some of them will be related directly to paperwork, but many of the factors will be life decisions that might not seem related to your bankruptcy on its face.  One such example is the decision to relocate to a different state.  Moving within a state will not cause you any problems with filing, but if you are retaining an attorney you may want to see if that attorney will be able to handle your case after your relocation.  If you are staying in the same general area it shouldn't be a problem, but if you are mov

An American tradition is to take the family to the beach for Memorial Day weekend, but if you or your spouse is about to file bankruptcy, do NOT charge this vacation on your credit card.  Your credit card company will heavily scrutinize any charge made within 90 days of filing bankrupcy, so my typical advice is to not even use your credit cards within 90 days of filing; however, there is nothing inherently (or legally) wrong with living your life and supporting your BASIC needs on credit.  The problem comes from section 523 of the bankrupcy code, which provides that any amount owed to a sin

Many people turn to bankruptcy for help when they are in over their heads financially.  Bankruptcy can take care of a number of debts, including unsecured creditors.  However, there are some types of debts that are not dischargeable through either a Chapter 7 or Chapter 13 Bankruptcy.  The list below is intended as guidance, not as an all-inclusive list.  If you have specific questions you should contact your attorney.  Some exampl

Everyone who files a bankruptcy, Chapter 7,  Chapter 11, Chapter 13 - consumer or business must attend a First Meeting of Creditors (341 Meeting).  Although it is called a First Meeting of Creditors in most consumer filings rarely does a creditor make an appearance.  What actually happens is the client, with his/her attorney appear and answer questions to the appropriate Tr

Offer in Compromise: Is it Too Good to Be True?

You file bankruptcy and surrender your home through the bankruptcy. You do not have to worry about the house anymore right? Wrong! The bankruptcy takes care of your legal liability for the DEBT on the house. It does not remove your name from the deed of the property, meaning you are still the owner until the bank forecloses.Steps to Take When Surrendering a Property Through Bankruptcy:1. Purchase hazard insurance to cover any problems that arise while the house is vacant. A regular home owner's policy does not cover damage that occurs when the house is vacant.2.

If I file bankruptcy today will my paycheck still be garnished tomorrow?The short answer is yes.  However, there are several things to keep in mind:If you are being garnished, you are likely filing bankruptcy to stop that garnishment. Filing bankruptcy will stop the garnishment. Creditors are not allowed to collect from you while you are in the bankruptcy. However, given that payroll is likely done several days before you are actually paid, the garnishment may continue 1-2 paychecks after the bankruptcy is filed.  It is not as simple as filing and the garnishment stopping.

Affairs of the Checkbook: a Growing Problem…