Preferences are ironic because in Congress’ goal to be fair, it has created a statute that many, many people find to be terribly unfair. That is the preference statute. What it basically means is that if a creditor receives a transfer of property within 90 days before bankruptcy in exchange for paying a debt, under […]
A lien by definition is a property interest that secures a debt. What is a debt? You owe somebody money, that’s a debt. In general, debts are unsecured. It’s an IOU. I buy something from you. I promise to pay you $50.00. I owe you the $50.00. Now, what if I don’t pay? If I […]
Creditors will stop calling you once you actually file the bankruptcy case. That is the only time they are legally required to cease efforts to collect from you. However, my office has a special program called the Pre-Bankruptcy Planning Program. In the Pre-Bankruptcy Planning Program my firm is retained to engage in specific planning before […]
If your spouse has separate debts and separate property, he or she will likely not be affected by your filing. However, creditors holding joint claims against you and your spouse may proceed to collect from either of you. Such efforts will only be stayed if your spouse files with you or if you file a […]
A bankruptcy is a public proceeding. Anyone who reads the local business paper may find out that you filed. Also, all the credit card companies subscribe to services that review all filings nationwide on a daily basis. They will know that you filed even before receiving their notices. Unfortunately, this will prompt them to cancel […]
Yes, bankruptcy is often an important first step towards restoring your credit after years of late payments and chargeoffs. The best technique for restoring credit is to obtain a secured credit card (not a debit card) and make the payments promptly. This will help you begin your fresh start by enjoying positive credit reports with […]
In my office, a straight Chapter 7 case costs $1450, plus there is a filing fee of $306, a credit counseling fee of $40 and administrative fees of $50. For many of my clients, there will be nothing else to be paid. On the other hand, if your case is more complex, including a relation […]
