Posts by On Behalf of Giddens & Gatton Law, P.C.
Why Divorces Trigger So Many Bankruptcies
Divorces have and continue to be a common cause of personal bankruptcies. According to Clear Bankruptcy, of the 1.5 million people that filed for bankruptcy in 2010, about 8 percent of them did so because of the pressure caused by splitting up and divorce. This begs the question why does this occur so often? Contemplate…
Read MoreWhat is a Cramdown and How Can it Help in a Chapter 13 Bankruptcy Case?
One of the attractive features of a Chapter 13 bankruptcy reorganization is it allows you to get rid of cumbersome past debt while it enables you to stay current on upcoming payments due on property you will want to keep such as your home and car. In these Chapter 13 cases, you can particularly get…
Read MoreWhat Information Will Be Used to Calculate Whether You I Qualify for a Chapter 13 Reorganization?
In a previous blog on this site, the topic of how to qualify for a Chapter 13 bankruptcy is discussed. This article identifies what specific information would need to be provided to the court to determine if you qualify. Bankruptcy courts provide a form which asks for the following information so the necessary calculations for…
Read MoreWhat is the Repayment Plan Like in Chapter 13 Bankruptcies?
Under Chapter 13, bankruptcy law requires the repayment of some debts in full and others in part. Debts that must be paid in full include: Priority debts: 1. Unsecured debts, such as child support, alimony or support payments, and non-dischargeable taxes. 2. Secured debts that survive the repayment plan: Secured debts, such…
Read MoreHow Do I know if I Qualify for Chapter 13 Bankruptcy?
Chapter 13 bankruptcy cases are intended for individuals not businesses. But such individuals must qualify based on the size of their income as well as some other factors. In order to qualify for Chapter 13, you will have to show the bankruptcy court that you will have sufficient income, after deducting certain allowed expenses and…
Read MoreWhat is the Difference Between Chapter 13 Bankruptcy and Chapter 7 Bankruptcy?
Chapter 13 bankruptcies provide an attractive alternative for wage earners and home owners who are seeking relief from temporary financial difficulties. Not everyone can or should file a Chapter 13 case. There are certain requirements relating to income which must be met, i.e., the Debtor must have regular income. Chapter 7 bankruptcy may be a…
Read MoreNew York Attorney General to Settle with Debt Collection Company
The Attorney General for the State of New York, Eric Schneiderman has announced that his office plans to settle a case against Encore Financial (“Encore”, a debt collection company which buys the debt of other companies in an effort to turn around and collect those debts). The New York Attorney General investigated the company because…
Read MoreHow are Attorney’s Fees Paid in a Chapter 7 Case and When?
With regard to Chapter 7 bankruptcy cases specifically, attorney fees owed to the Debtor’s counsel for services prior to filing the case must be paid before filing your Chapter 7 case. The reason for this is simple: once the Chapter 7 action is filed, any outstanding debts may be subject to discharge. Accordingly, bankruptcy attorneys,…
Read MoreWhat Action Can a Debtor Take after Bankruptcy Discharge Regarding a Forgotten Debt?
The essential goal for Chapter 7 bankruptcy debtors is to eliminate past indebtedness so as to get a fresh start financially. The debtor will have reached this point in his or her Chapter 7 bankruptcy case when certain specific debts are discharged. In some instances, however, a debtor may have forgotten about some past debt…
Read MoreDoes Chapter 7 Bankruptcy Require Liquidation of Personal Property?
Chapter 7 bankruptcy actions give debtors who complete such a case a chance to get a fresh start financially by obtaining discharge of overwhelming debts which prevents such debtors from staying current with their monthly bills. These cases entail a process where the bankruptcy trustee appointed by the court uses funds gained from liquidating the…
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