Using the Bankruptcy Laws to Address Personal Tax Liabilities If you have fallen behind on your taxes, you may be under the impression that you cannot use the bankruptcy laws to help you get a handle on that debt. While it's generally true that most income tax arrearages cannot be discharged in a Chapter 7 liquidation proceeding, you may still be … [Read more...]
Bankruptcy or Divorce—Which is the Chicken and Which the Egg?
August 24, 2019 by Leave a Comment
Which Should You Do First—File for Bankruptcy or Finalize Your Divorce? Far too often, the underlying cause of divorce is financial difficulty. Even if financial problems are not the cause of divorce, they can arise when you no longer have two incomes to pay for your lifestyle. If you are considering filing for divorce, or if you know that your … [Read more...]
The Quick and Easy Chapter 13 Bankruptcy Filing
July 24, 2019 by Leave a Comment
The Simplest Way to Reorganize Your Debts in Bankruptcy When you've determined that a bankruptcy petition is the best way to deal with overwhelming debt and get a fresh start, and you want to keep your property (if possible), your best option is a Chapter 13 reorganization. While such a filing will customarily take more time and effort than a … [Read more...]
Your Bankruptcy Options When You Owe Money to an Ex-Spouse
May 24, 2019 by Leave a Comment
Should You Choose Chapter 7 or Chapter 13? Are you struggling to meet your financial obligations? Do your debts include family law obligations, such as child support or alimony arrearages? Have you considered be discharging or restructuring those debts could in a Chapter 7 or Chapter 13 proceeding? Domestic Support Obligations Are Not … [Read more...]
Are Any “Family Law” Obligations Dischargeable in Bankruptcy?
March 29, 2019 by Leave a Comment
The "Super Discharge" under Chapter 13 One of the fundamental principles related to the discharge of debts in a Chapter 7 proceeding is the prohibition of discharge of child support and alimony arrearages. But what about other divorce or family law-related debts to your ex-spouse, ones that have no connection to support obligations? Under Chapter … [Read more...]
Can You Manage Tax Debts with a Chapter 13 Bankruptcy Filing?
March 14, 2019 by Leave a Comment
In an earlier blog, we discussed the limitations on discharging a tax liability through a Chapter 7 bankruptcy filing. You can, however, use a Chapter 13 debtor reorganization to reduce the amount you must pay every month. In addition, you may actually be able to discharge some of your tax debt at the end of the Chapter 13 process. The tax debt … [Read more...]
Student Loan Arrearages—Chapter 7 or Chapter 13?
February 12, 2019 by Leave a Comment
Suppose that you're struggling to meet your obligations and the bulk of your debt is tied to student loan repayments. You're not alone. Statistics indicate that more than 44 million debtors owe over $1.5 trillion in student loan debt, and that that average total amount of debt for graduates of the class of 2018 was $29,800, with many former … [Read more...]
What Is a Chapter 13 “Super Discharge”?
January 10, 2019 by Leave a Comment
Permanently Eliminating Debt Through Chapter 13 Reorganization It's a common misperception that if you want to discharge debt, you have to file a Chapter 7 bankruptcy petition. Unfortunately, with the means test that's required to qualify for Chapter 7, many people incorrectly believe they can't discharge debt in bankruptcy. The reality—Chapter 13 … [Read more...]
Can You Use Bankruptcy to Avoid Foreclosure?
December 20, 2018 by Leave a Comment
When you're struggling to meet your financial obligations, one of the first debts that can get away from you is your mortgage. Unfortunately, it won't take long before you find yourself involved in foreclosure proceedings. Perhaps there's light at the end of the tunnel—you can see that your financial situation will improve dramatically in the near … [Read more...]
Filing for Protection under Chapter 12 of the Bankruptcy Laws The Special Provisions for Family Farmers
December 13, 2018 by Leave a Comment
Most individuals who seek bankruptcy protection must file under Chapter 7 or Chapter 13. Chapter 7 allows you to permanently discharge debts in exchange for the sale of certain property. With a Chapter 13 filing, you can set up new payment arrangements with your creditors, satisfying your debts over a three-to-five year period. However, if you're a … [Read more...]
