Bankruptcy Law
Bankruptcy Law questions and answers
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Q: Bankruptcy Law??
I have a vehicle which is listed on my Chapter 13.
But do I get the title to the vehicle when I
finish paying the Bankruptcy Court???
How & when??
A: Title will be issued by the lender after final discharge of the debt is signed off by the court. Generally takes 90-180 days
Q: where can i find a free downloadable bankruptcy law library?
I need to find all the information I can about federal bankruptcy laws. Especially any thing I can download or print from a law library.
A: It's not free. You'd have to subscribe to Lexis/Nexis at $200 or so a month.
But doing that wouldn't help you: you'd need to have had training as a lawyer or paralegal to know how to search.
If you want a consumer education, get tho Nolo Press book on bankrupcy from your library: http://www.nolo.com
If you want a professional understanding, buy the NCLC book "Consumer Bankruptcy Law and Practice" http://www.consumerlaw.org/
Or visit your county law library and look for one of the treatises lawyers use. The main one -- a dozen or more volumes -- is Collier on Bankruptcy, edited by Morgan King, who also gives courses and writes other treatises for lawyers. See below.
You can download judgments and matrials on specific cases -- but you can search only by the name of the debtor -- using PACER http://pacer.psc.uscourts.gov/ You have to register. It's not free to use: it costs 8 cents a page to view; judgments are supposed to be free (but sometimes you are charged anyway).
Q: In Bankruptcy law in what cases could student loans be included?
I live in Ohio and my husband and I are filing bankruptcy. I was reading about bankruptcy laws and saw where it said that student loans could be included if the judge ruled that it would cause undue hardship. What does this mean, and when is it considered an "Undue hardship"
A: Student loans are generally not dischargeable, and each request is considered by the bankruptcy judge. Should a debtor be totally and permanently disabled and have no reasonable expectation of earning income for the remainder of the debtor's life, that might be discharged --- unless the judge found an expectation of inheritance, etc. (and believe me, they will investigate!) Terminal illness may also be considered to constitute undue hardship. Mere poverty, other obligations, and inconvenience are not considered undue hardship in bankruptcy court when tax dollars are up for discharge. It's really tough to meet! Your attorney can give you advice on this issue, and will be able to research the cases for any applicable precedents. I trust you have an attorney. If not, you need one! (If a bankfuptcy is filed and then thrown out, which can happen by errors and omissions in the filing as well as anything the court considers fraud, all discharged obligations are immediately in full force, and the debtor is barred from re-filing for bankruptcy for quite some time.)
Q: What is the bankruptcy law or code in Missouri to exempt my 2007 Tax Refund?
The bankruptcy trustee told me to ammend my exemption schedule to include my 2007 return, but I don't know the code.
I filed with out an attorney, so I have to find the code by myself.
A: There is a Schedule of Exempt Assets on your bankruptcy petition. You should include your 2007 tax refund stating the amount as "if any" unless you know the actual amount.
Do you have an attorney? Ask him and get an answer from someone who has all the facts and knows your state laws; that's what you pay him for.
Q: How different is the new bankruptcy law from the old?
I am considering filing bankruptcy due to the fact that in the last year i have willing foreclosed on my home and now it looks as though I am going to have to do the same with one of my cars, and I am just wondering if it wouldn't be better to file bankruptcy since my credit can't get any worse than what it already is, and that way I could have a chance at starting over fresh.
A: It used to be that you could file bankruptcy rather quickly and simply. Now, a "means test" is imposed to determine if you are eligible for chapter 7 or must file under chapter 13. If you must file under chapter 13, in most cases you will have to pay a trustee your disposable income (as defined) for 5 years in most cases or 3 years in some cases. In addition, there are more debts that are non-dischargeable than before. There are particularly strict rules for taxes and domestic support obligations that you may owe. You are required to take a credit counseling session before you file your case and a financial management session before you can get a discharge.
There are many traps for the unwary. If you slip up or miss a deadline or fail to file an important paper, you case will be dismissed. That can have harsh consequences if you then get it right and file again.
More than ever, you need a competent lawyer to handle your bankruptcy case.
Filing fees have increased and the fee for a competent lawyer has also increased.
You should plan at least 2-3 weeks from the time you think you need to file until you do file. Most bankruptcy lawyers these days will want payment in full before you file your case too.
Q: I am going to file for bankruptcy, can I include my leased vehicle under the protection of bankruptcy law?
I have a very high payment on my leased vehicle. I would probably have to buy the vehicle at the end of the lease due to excessive mileage and excessive wear and tear. I would like to just get rid of said vehicle while under bankruptcy protection. I would then just buy an old junker to use for work. Would this work?
A: if you can BUY a junker for cash and voluntarily repo the car before you file, you may be able to get rid of teh debt, but any sudden things like that that happen within 6 months of you filing for BK, may be refused, so if you can afford to wait at least 6 months after you turn in the vehicle, then you might have better luck - better talk to a lawyer first - the BK laws changed a lot in 2006
Q: What is this new bankruptcy law in Maryland?
I was told that in order to file chapter 7 bankruptcy in Maryland, you have to prove you can't pay the debt. What proof is needed to show this?
A: good info on this link.... it is tougher to get a chapt 7 now...
Q: Is the current credit crisis and housing slump due to the bankruptcy law changes made a year ago?
I can't help but think that the changes weren't the right ones. It seemed like it would have been better to limit how much above and beyond interest the creditors could charge than to make it harder for people to abandon their debt.
A: No, it is caused by irresponsible lenders and borrowers. The changes in bankruptcy laws were not as drastic as the public has been led to believe. The changes do not even apply to lower income people. Anyone with lower than average income is exempt completely. It only applies to higher income people who are abusing the system to avoid paying bills.
Q: Has anyone had any experience with LEGAL HELPERS a bankruptcy law firm?
It state's that they are the nation's largest bankruptcy law firm. Are they , I don't know how else to say it...but, on the up and up? Are they okay? I don't know where to find out. This is the website:
http://www.legalhelpers.com/
I really need to know, Can someone help? Thank You!
A: If you really want reliable advice regarding bankruptcy, check out this guy, he's a consumer advocate-
www.budhibbs.com
Q: Is there a grandfather clause under the new bankruptcy law?
I filed in 2000. Do I have to wait 8 years, or because I filed prior to the new law...am I grandfathered at the previous 6 years?
A: I don't think there is a grandfather clause.
You can now only file every 8 years.
Q: Is there any way to file bankruptcy and have all your debt wiped out under the new bankruptcy law ?
If the answer is yes, what are the legal, economic, employment, etc . conditions to do so ?
A: The new law is aimed at those with high incomes that abused the old system. If you can afford to pay some of your debts the court will order a payment plan.
If the court determines that you can not repay your debts they will be discharged. Your primary residency is usually safe from foreclosure as long as you can make the monthly payments.
The reason for the change is this: some high income people were running up mounds of debt. They would file for liquidation and have those debts vacated by the court. Now if they have the means to repay with lower or more drawn out payments, they have to do so. Think about how much this kind of fraud has cost the rest of us that pay our bills, and you will understand why the law was changed. Someone with a $1 million home can pay some debt back by refinancing, or selling and moving into a more modest home.
Your income will have to be under about $100,000/year to be able to declare liquidation. It will stay on your credit report for 10 years as a bankruptcy (not seven like an unpaid bill.) It can and will effect what and where you can work.
If you have lost you job (not quit) for about any reason, fired, outsourced, downsized, or disabled; a discharge is more likely.
A bankruptcy lawyer can give you the details for this better than I can. They will usually give you a free 30 minute consultation, and will want a retaining fee in advance of taking your case.
Try to repay your debts on your own or call Consumer Credit Counceling Service, the number is in your phone book, they can help get your creditors to back off the nasty letters, threats, late fees, and interest.
Q: Do you think Obama will undue the bankruptcy law changes that GW Bush enacted?
Just curious, because I know this was one of the less popular things the Bush administration did.
A: A few points before I answer:
1) The bankruptcy laws are a legislative issue - statutes that are passed by Congress; however, no statutes can become law until and unless they are signed by the President, and it is the Executive Departments (Justice, Treasury, etc.) that are charged with enforcing those laws (and therefore making the initial interpretations of them).
2) Many of the changes made by the Republican-led Congress under the curiously-named "Bankruptcy Abuse and Consumer Protection Act of 2005" were productive and have cut down on bankruptcy abuses; some of the changes were simply gifts to the credit card industry (especially taken in the context of wholesale deregulation of credit card interest rates and so forth).
3) Any changes to the Bankruptcy laws should be made as a part of a greater plan to pull the economy out of the crapper - they should help provide needed protection for consumers who have no other way out of extreme financial distress while also protecting honest creditors from fraudulent debtors.
That said, I think President Obama (as of 01/20/09) should encourage Congress to ease up on some of the 'needs testing' standards and subsidize the cost of the debtor counseling and education that is required before and after a bankruptcy case is filed (at least for those with lower disposable income).
There should also be non-Bankruptcy legislation to reign in the outrageous interest rates, fees and penalties now allowed which have greatly contributed to the increased need for bankruptcy relief. Similar corrections should be made with regard to the home mortgage crisis.
Edit: Regarding calling creditors to try to work out a resolution when you are in financial trouble - sometimes that does work, sometimes it does not. As often as not (in my 24 years experience as an attorney), trying to 'work things out' with most creditors is an exercise in futility. Sometimes it does work, though, and debtors should be encouraged to make such attempts after filing. Perhaps legislation that decreases the time a bankruptcy is reported after filing for debtors who successfully 'work out' some debts with creditors would help. That would require some significant changes in the Bankruptcy laws, though, as well as the laws regarding credit reporting.
Q: If I file for bankruptcy, is the law firm office will stop calling me?
The law firm office keep on calling me and they wanted me to pay 5k for my credit card. But I dont have any job and no savings. Thats why I wanted to file for bankruptcy.
A: If you file for bankruptcy, the automatic stay would require your creditors (and their attorneys) to stop contacting you. You should contact a member of the National Association of Consumer Bankruptcy Attorneys for a consultation.
Q: My mother in law is filing bankruptcy and I'm a user on her credit card what happens to my credit?
My mother in law has a store credit card and my husband is listed as a user not co applicant and she is thinking about filing bankruptcy. On his last credit report the card does show up on his report. Do we need to remove him as an authorized user to protect his credit? If we do, will that affect his score? If she closes the account does that affect his score?
A: It should not affect your husband's credit. However, credit cards are huge entities that do shoddy work. They'll send out negative reports to the three big credit bureaus. Sure, you can write letters and fight it, but it won't be fun.
To save yourself some sanity and work in the long run, have your mom call and remove him. Don't specify bankruptcy as a reason, but have your mother simply state that she doesn't feel comfortable giving him access to her cards.
Q: I am a California lawyer but I want to practice bankruptcy law in Florida, will it be okay?
Be nice! The answer is yes. Federal Administration laws and in House Counsel... Well, you can be narrow-minded, but you have to be kind, at least try!
A: There ya go...ask a real attorney.