After more than 20 years of representing debtors in consumer bankruptcy cases, I believe without reservation that the vast majority of Chapter 7 and Chapter 13 debtors are honest, hardworking people who end up filing bankruptcy as a last resort. At the same time I recognize that bankruptcy debtors sometimes get themselves in trouble [...]

In Chapter 7 cases, getting the discharge is sometimes only part of the work that is done. In the rare “asset” cases there is another part, and it sometimes requires some assistance from you.
The trustee who hears your case is obligated to collect any unprotected assets for liquidation (or recover any transfers) which might [...]

If you do not have enough money to pay all the bills, what do you make your priority?  Before filing bankruptcy, it is usually a waste of money to pay unsecured debts like credit cards.  Unsecured means no collateral, no property of yours pledged to insure that you will pay the debt.  If your [...]

Because identity theft is such a hot topic, the major credit bureaus as well as a number of private companies offer credit monitoring services. These services alert you to potentially fraudulent activity in your credit file. For example, a request for a large increase in your credit limit, or a pattern of frequent [...]

A simple phrase “zombie debt”. Zombie debt is the phenomenon of old and discharged debt being revived by debt buyers and debt collectors long after the debt has been rendered uncollectible. Check out Zombie Debt Haunts the Discharged and Zombie Debt.
Another reason: refinances or purchases of real estate.
If you liked that post, then [...]

The “bankruptcy hearing” is technically called the “first meeting of creditors”. The name is historical; originally the creditors were invited to a meeting when someone filed bankruptcy to determine what should be done. While creditors are still invited to come to the hearing, it is a rare occasion when they attend.
So what happens there?
Let’s look [...]

Liens, including tax liens, survive a bankruptcy discharge. If the tax that generated the lien is discharged, the lien does not attach to assets acquired after filing bankruptcy.  What to do with the lien on the assets owned at filing?
Do nothing, is one possibility.  If the assets have small value and a short useful life, [...]

A mortgage is a product you purchase from a seller, typically a bank, a lender or a broker. Just like cars on the lot, there are different types and no two cost the same. To compare one type of mortgage with the other you need an accountant. The seller used one to determine [...]

The “means test” hinges on the consumer debtor’s income and size of her household. Simply stated, the more people a household’s income must support, the more likely the debtor will be allowed to proceed in Chapter 7 and discharge debt. In particular the expenses allowed to sustain the household over a hypothetical [...]

If you are considering filing a bankruptcy, the timing of when you file might be critical.  If you have filed a bankruptcy previously, there are limits of when you can obtain a discharge in a new bankruptcy.  These need to be carefully examined.
If you haven’t previously filed bankruptcy, you may want to do so quickly [...]