Why do I need to take credit couseling before I file bankruptcy http://budurl.com/79k8
May, 2009
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Why do I need to take credit c…
Saturday, May 16th, 2009Why do I need credit counseling to file bankruptcy?
Saturday, May 16th, 2009Studies have shown that credit counseling does not make you any better at succeeding financially, it is just a silly requirement passed in 2005 by the credit card industry in an attempt to make it more difficult for you to file bankruptcy.
The good news is it is not a big deal. It’s about an hour on the internet and then about ten minutes on the phone and you are done. I provide a link on my website to Hummingbird Credit Counseling which does not even offer debt management plans so do not worry, no one will sell you a debt management plan that you do not want and cannot afford. Another reason I use a counseling service that does not offer debt management plans is that if one is developed during the counseling session you are required to file the plan together with the certificate in the bankruptcy court. I think this is a bad idea because it could be used to argue that you could repay some debt.
Once you have done the phone call my office will download the certificate. It is that simple. I will pay for the credit counseling of all my clients as long as you use Hummingbird.
It is very easy to get the credit counseling and it serves no useful purpose, it is just a barrier set up to make it harder for your to file bankruptcy.
Finally found a free and simpl…
Sunday, May 10th, 2009Finally found a free and simple way to expand my reach on Twitter. A nice 20 second process. http://tpq.me/gb84w
Which state’s exemption law ap…
Saturday, May 9th, 2009Which state’s exemption law applies to my bankruptcy? You’ll be surprised, but there are ways out. http://budurl.com/df29
Which state’s exemption law applies to my bankruptcy?
Saturday, May 9th, 2009When you file for bankruptcy state law determines what property is exempt, that is in a Chapter 7 what property you can keep. It is the state where you have had your domicile (your permanent home) for at least two years that counts. This could be a state that you do not have many connections with anymore, yet it still controls. To make it more complicated, most states prohibit you from using the exemptions in the Bankruptcy Code which are more generous than most states.
In most cases those restrictions only apply to residents of those states, but only an attorney can make a good prediction. Also some states’ exemption laws do not apply outside that state. If you are not restricted than you can claim the more generous Bankruptcy Code exemptions.
You may be able to get a Chapt…
Wednesday, May 6th, 2009You may be able to get a Chapter 13 discharge even if you did not complete your payments. http://tinyurl.com/chclq7
Getting a Chapter 13 discharge without completing your payments
Wednesday, May 6th, 2009If you could not complete the payments for reasons that you should not “justly” be held accountable you may be eligible for a hardship discharge. It is also necessary to prove that the actual amounts paid out by the Chapter 13 Trustee is at least as much as in a Chapter 7 and that it is not practicable to modify the plan.
If you can prove these prongs up, then the judge may but is not required to give you a hardship discharge. A hardship discharge is not quite as broad as a Chapter 13 discharge, as debts not dischargeable in Chapters 7, 11, or 12 are not dischargeable in a Chapter 13 hardship discharge.
It is usually much better to get a hardship discharge if you cannot make the payments than converting to Chapter 7. A hardship discharge still counts as a Chapter 13 discharge for purposes, so if you refile a new Chapter 13 at least two years from the filing date of this case, or a Chapter 7 at least six years out you will be eligible for a discharge in the new case. Especially in Chapter 13 where most plans are at least three years long, a two year filing to filing waiting period is not much of a problem.
Additionally, if you have fallen behind on child support during the Chapter 13 you can still be eligible for a hardship discharge, as long as you still meet the standard.
Check out my new bankruptcy fa…
Wednesday, May 6th, 2009Check out my new bankruptcy faq blog – find out how your Chapter 13 plan can be less than three years http://tinyurl.com/c58zqq
Chapter 13 can last less than 3 years
Wednesday, May 6th, 2009If all creditors are paid in full or the means test dictates less money paid to creditors, then a Chapter 13 plan can be less than three years. One approach is to attack the claims filed by debt buyers who cannot prove ownership of their claims. It is possible to have a short plan if these objections are successful. This is how you may end up with a short Chapter 13 bankruptcy plan.
UAW has agreed to take sell it…
Tuesday, May 5th, 2009UAW has agreed to take sell its stake in Chrysler to pay for retiree health care benefits starting next year. http://tinyurl.com/ddrrm9