It is possible to discharge traffic tickets in a chapter 7 bankruptcy.  Many lawyers will tell you that you cannot discharge traffic tickets in chapter 7 at all; and, that you have to file a chapter 13.  However, that is not true.  This is one of the funny technicalities of the Bankruptcy Code that less experienced lawyers overlook.

Sorry for the lack of recent posts.  Final exams took considerable time away from me.  I'll try to be better in the future.

Your IRA Might Not Be Exempt Beginning with In re Daley, 459 BR 270 (Bkcy. EDTenn., 2011), some recent bankruptcy decisions have created doubt as to whether Individual Retirement Accounts (“IRA’s) created by major brokerage firms such as Merrill Lynch and Charles Schwab are exempt from the liquidation efforts of a Chapter 7 Trustee. For... Read More »

Your IRA Might Not Be Exempt

This is the case of Felicia Morris who comes from Chicago, Illinois who is interested in a conversation regarding debt relief.  Ms. Morris filed a Chapter 13 back in 2008 and that case was subsequently dismissed so she is eligible to file another Chapter 13 if the facts bring them forward.

This is the case of Carolyn Raney who is from Deerfield, Illinois who is coming to see me for a debt relief consultation.  Ms. Raney filed a Chapter 7 back in 2002 so she is eligible once again since it’s been over eight years.  She owns no real estate and she is currently living in a rental arrangement with a yearly lease which expires in June.

This is the case of Gerald Cramer who comes to me from Homewood, Illinois about bankruptcy.  Mr. Kramer filed a bankruptcy back in 1996, so long ago that he is not even sure if it’s a Chapter 7 or a Chapter 13 but that’s okay since it’s more than eight years ago.  Mr. Kramer does not own any real estate.  He is currently renting on a month to month basis.  He has no vehicle whatsoever.  He is using a vehicle that is in his wife’s name.

One of the most frustrating experience is that people have in bankruptcy is thinking that they will be able to keep their tax refund and then losing it to either the IRS or the trustee.  With a little bit of proper planning, it is possible to protect your tax refund.  As an initial matter, I need to understand two things about your tax refund.  First, your tax refund is probably the bankruptcy estate.  It is an asset to the chapter seven trustee can block to three payment your unsecured creditors.  Second the tax refund is actually a debt the IRS owes to you.  When you have a tax refund, yo

Many of my clients want to know if they can keep their tax refunds after the file bankruptcy.  For many people, the tax refund is an important source of revenue and income during the year.  It is possible a file bankruptcy and keep your tax refund, but you must follow the proper procedure.  Additionally, if you owe the IRS any money, it may not be possible to protect your tax refund this year.  However you can use the bankruptcy discharge to protect future tax refunds.

The shorter answer is yes, the filing fee is always paid in advance.  The filing fee in Illinois is $306 for Chapter 7 bankruptcy and $281 for Chapter 13 bankruptcy.  Typically in Chapter 7 bankruptcy, the attorneys’ fees are also paid up front; though your attorney may wish to offer you other payment arrangements for services rendered after the filing of your case.