April 24, 2008
- Recent Credit Card Use and Filing for Bankruptcy - What Are Some Guidelines?
Most bankruptcy lawyers will tell you that credit card contributes to most consumer bankruptcy case filings. Often, overwhelming credit card debt is the primary reason for a filing. For example, if you have $10,000 or more in credit card debt, and you send in only the minimum payment of 2% of the balance each month, you will need over 50 years to pay off your debt. You can run your own numbers using an on-line credit card interest calculator. (…)
April 21, 2008
- What do Bankruptcy Lawyers Do All Day Anyway
To my knowledge there has never been a television drama about bankruptcy lawyers (although there would certainly be a lot of possible story lines!). So, as a rule, most people do not know what bankruptcy lawyers do all day long.
Los Angeles bankruptcy lawyer Hale Antico answers this question accurately on his Los Angles Bankruptcy blog. Hale's experience, like mine, goes something like this:
Preparing an Objection to Proof of Claim for a Chapter 13 case where the pro se creditor thinks they should be a priority debt compared to a general unsecured non-priority claim. (…)
March 29, 2008
- Pre-Bankruptcy Balance Transfer - the Debtor Wins…This Time
My Bankruptcy Law Network colleague, Wendell Sherk, recently posted a very helpful case study about a case called In re Brumbaugh in Ohio involving credit card use prior to bankruptcy. Although Wendell's case study looks to 6th Circuit law (whereas cases filed in Georgia would look to 11th Circuit precedent), I think that the reasoning used by the judge in the Brumbaugh case can give you some insight as to how bankruptcy judges deal with real life situations. (…)
March 20, 2008
- Can I Lose My Job if I File For Bankruptcy and My Boss Finds Out?
Recently I received an email from a prospective client who works for a banking institution. His income is partially commissioned based and with the downturn in the real estate market, he has seen a significant decrease in take home pay. With the pay reduction he is not able to pay his bills and wants to file a bankruptcy. (…)
March 12, 2008
- Should I File for Bankruptcy - Widow on Social Security with $7,500 in Credit Card Debt to Same Bank Where She has a Checking Account
I am 65 years, a widow of 5 years, totally disabled, & my SS check is $1342.00 every 4 to 5 weeks. My SS check is auto deposited in my same bank that I have a $7,500.00 credit card debt owed. (…)
March 3, 2008
- Retiree With $25,000 of Credit Card Debt Contemplates Bankruptcy
Thank you for your informative web site. I have 2 questions I am filing for SS as I am 63 my bill are current however I was laid off last year and my health is failing. (…)
February 8, 2008
- What Are They Going to Ask Me at My 341 Hearing
No matter how much your lawyer tries to reassure you, there is a good chance that you will be nervous and anxious at your 341 hearing. Even though the consumer bankruptcy process is generally not very adversarial, no one likes to be in the witness chair. (…)
January 15, 2008
- Will the Trustee Seize 100% of a Tax Refund if Only One Spouse Files Bankruptcy?
My question is if someone comes to you to file BK individually, but she is due a tax refund that is in her name as well as her husband's, could the bank trustee only take 1/2 of the refund since the other 1/2 is considered an asset of her husband who is not filing? (…)
December 4, 2007
- Do I Have to Give Back the Car I am Financing if I File a Chapter 7?
I have a question about the blog in Nov,2006. You said that filing bankruptcy can stop car repossion . (…)
November 26, 2007
- Will Your Income Tax Refund Count in a Means Test Calculation?
I am considering chapter 7. I am not sure about the median income info because I am no longer employed and working a temp job and used my retirement to live on. (…)
October 11, 2007
- New Median Income Table Goes Into Effect as of October 15, 2007
The United States Trustee's Office has released new median income/means test numbers applicable to bankruptcy cases filed on October 15, 2007 and thereafter. The new median income table for bankruptcy cases can be found by clicking on the link. (…)
September 19, 2007
- Credit Card Balance Transfer Issues
Back in April, I wrote a post about the issue of balance transfers and Chapter 7 bankruptcy. In this post I note that balance transfers were dangerous because from the perspective of the new credit card issuer, the transfer was new debt. In other words, if you have been carrying a $10,000 balance on your Discover account, for 5 years, and two weeks ago you transferred this balance to a new Citibank account to get a better interest rate, that $10,000 debt is new debt as far as Citibank is concerned. (…)
August 16, 2007
- The Date You File Your Bankruptcy Case Can Have Important Consequences
Your decision about when to file your Chapter 7 or Chapter 13 bankruptcy case can have important and far reaching consequences with regard to the bankruptcy relief you obtain. Here are some considerations about which you should be aware:
Semi-annual Changes in the U.S. (…)
August 11, 2007
- Can Bankruptcy Take Care of Outstanding Bad Checks?
My colleague, Wendell Sherk, a bankruptcy lawyer in St. (…)
June 27, 2007
- Budgets in Bankruptcy Cases Must be Based on Real Numbers
One of the trends I have noticed over the year and a half since the bankruptcy law changed is that we can no longer rely on guesses or estimates when it comes to creating a budget. My experience in a recently filed case illustrates this point. (…)
April 18, 2007
- Credit Card Balance Transfer Puts Chapter 7 Options in Jeopardy
This morning, I received an email from a potential client who made a very bad decision that will likely keep him from filing Chapter 7 for six months to a year. Other than this one mistake, he is a clear Chapter 7 candidate:
his household income is below the median - so we do not have to deal with the means test his house is modest - valued at around $120,000 with mortgage debt equal to or above the value. He is also prepared to surrender his house he has $70,000 in credit card bills - all fairly old he has $1,000 of medical debt
What, then, is the problem? (…)
March 31, 2007
- Chapter 7 Debtor Did Not Reaffirm Mortgage - Is Her Home Now at Risk?
I have a few questions and I'm not sure how to get them answered so I decided to write to you after seeing your website. I really need some advice or guidelines and would appreciate your help. (…)
January 24, 2007
- Myths About New Bankruptcy Law
Although bankruptcy filing numbers are still down in Atlanta, I am starting to see more and more activity on my web site and in email inquiries from potential clients. Nevertheless, there is still a great deal of misinformation in the general public about bankruptcy. (…)
January 17, 2007
- Can An Ex-Spouse Use Chapter 7 to Avoid Paying a Credit Card Debt That Is Part of a Divorce Decree Obligation?
A divorce lawyer called me today with a question about the impact of bankruptcy on a debtor's obligations under a divorce decree. The divorce lawyer represented a man who was the co-signer of a credit card along with his ex-wife. The divorce decree provided that the ex-wife would be responsible for payment of this credit card debt. (…)
January 15, 2007
- What Should a Potential Bankruptcy Debtor Do About a Potential Inheritance?
My colleague, Florida bankruptcy lawyer Jonathan Alper, recently wrote a post on his Florida Bankruptcy Law blog about issues arising in the case of a debtor's receipt of an inheritance within six (6) months of filing. Under the bankruptcy law, any inheritance received by the debtor within six months of filing becomes property of the estate and can be seized by the trustee and distributed like any other non-exempt asset. (…)
