Recently I met with a client who was looking into filing bankruptcy because of credit card and medical debt. Among his creditors, however, was an individual, an insurance company and fines due a local county. When I asked about this, he explained that about a year ago, he was involved in an auto accident that was his fault. He further explained that the individual sued him and that damages awarded were more than his insurance coverage, and that he also had fines because the accident occurred when he was under the influence.
More on Debts Arising from Impaired Driving are Not Dischargeable
Filed under Chapter 7 issues, Creditor discharge actions by 
My Bankruptcy Law Network colleague Rachel Foley from Kansas City has written a useful article on the Bankruptcy Law Network blog that brings to light a problem that many debtors (and perhaps many debtors' attorneys) don't think about too much – bankruptcy fraud.
Filed under Chapter 13 issues, Chapter 7 issues by
This past week, I received a call from one of my Chapter 7 clients. Earlier this week, he had received a call from his brother advising him that he was a beneficiary of the estate of a great aunt who had passed away earlier this year. According to my client, his interest in this estate was in the form of a 1/9 share of two parcels of property. The other 8 shareholders were cousins, some of whom he barely knows. My client estimates that the value of the property is between $400,000 and $500,000, meaning that 1/9 of this bequest is worth $50,000 at most.
Filed under Chapter 7 issues by
I was recently interviewed by a national magazine about how my clients recover from Chapter 7 bankruptcy. Some of the tips I discussed during the interview included:
- asking a friend or relative to add you as an authorized user on a MasterCard or Visa
More on Have You Had Any Success in Recovering from Bankruptcy?
Filed under Chapter 7 issues, Post bankruptcy credit rebuilding by
I have been getting a lot of questions recently about reaffirmation and about the consequences of not reaffirming a mortgage loan. I have previously written about the consequences of not reaffirming a mortgage debt. The 2005 BAPCPA changes to the Bankruptcy Code attempts to force debtors to choose between reaffirmation or surrender of their collateral. The trend I am sensing both here in the Northern District of Georgia and elsewhere around the country suggests that bankruptcy judges are not particularly inclined to force this issue. In cases where the debtor cannot or will not sign a reaffirmation there seems to be a judicial acceptance of the old "stay and pay" process.
More on If I Do Not Reaffirm My Mortgage in Chapter 7, Do I Automatically Lose Title to my House?
Filed under Chapter 7 issues, Reaffirmation and negotiation by
Over the past few weeks, I have received a number of calls from small business operators who want to file Chapter 7 on credit card debt, but continue to operate their businesses. In many of these cases, the business owner used personal credit cards to fund business operations and now the business is profitable or marginally profitable but for the debt service on tens of thousands of dollars of credit card debt.
More on Can a Small Business Owner File Chapter 7 Personally and Still Keep His Business
Filed under Chapter 7 issues by
About 25% of the bankruptcy clients I represent have bounced checks due to insufficient funds. While there can be a criminal law violation if you bounce a check, often merchants do not prosecute unless the amount is significant. Even if there are no criminal implications, a bad check is most certainly a debt that needs to be included in your bankruptcy filing.
More on How to Repair Your Chex Systems Report After a Bankruptcy Discharge
Filed under Chapter 7 issues, Consumer protection, Post bankruptcy credit rebuilding by
I am being sued for an accident that occurred in the state of Tennessee. The injured party was offered a settlement by my insurance company, but has refused. If this goes to trial and the injured party is awarded way more than my insurance limits I know that I am responsible for the difference. I have no assets and nothing to offer so I know they will probably garnish my wages. Can I declare bankruptcy to get out from under what may a huge debt? The injured party is suing me for $1.5 million. Thank you! Margaret
More on Can I Discharge Auto Accident Damage Claim that Exceeds My Insurance Coverage?
Filed under Chapter 7 issues, General consumer bankruptcy info by
This morning, I received an email from a gentleman named Jim, who writes:
How can I file chapter 7 by myself without paying someone, anyone $ 99.00 $199.00, $299.00 etc… Three different people( with a financial intrest of course) said representation is required.
Here is my response: Jim, you certainly have the right to file a Chapter 7 case by yourself. The forms are available either on-line or at an office supply store. There are also several books about how to do this. I am currently reviewing a book entitled The Complete Chapter 7 Personal Bankruptcy Guide
More on Can I File a Chapter 7 By Myself, Without an Attorney
The United States Supreme Court does not frequently hear cases involving consumer bankruptcy law. However, this past February, the Supreme Court considered the case of Robert Marrama, a Chapter 7 debtor in Massachusetts.
More on "No Conversion from 7 to 13" U.S. Supreme Court Tells Debtor Who Hid Assets
Filed under Chapter 7 issues, Fraudulent transfers, General consumer bankruptcy info by
Jonathan Ginsberg
