What if you have to file bankruptcy again?

If you find yourself in a situation again where a bankruptcy filing is the only route to fix the financial problem, yes you can file again. Bankruptcy can be filed any number of times, but the biggest hurdle you will face is whether you will get a discharge. A Chapter 7 case cannot be filed again until 8 years have passed since the first case was filed. However, if need, a debtor can file a Chapter 13 case should he have some secured debt that needs to be taken care of. It is possible … [Read more...]

What happens when I have a foreign debt I can no longer pay?

Occasionally, I will see a question come up on the internet regarding foreign debts and whether those types of debt are dischargeable in a bankruptcy that is filed in the United States. The simple answer is yes the debt is dischargeable in a United States bankruptcy case. The basic issue regarding discharged debts, even foreign ones, is enforcement. All debts that have been discharged in a bankruptcy case filed in the United States are protected from future collection by a creditor through … [Read more...]

The Chapter 7 341 Meeting of Creditors

Carol called me the other day to ask what she should expect at the 341 Meeting of Creditors. She was somewhat nervous about the hearing. It is not unusual that I get a call from my clients after they get the notice of the hearing. Carol also asked if there would be a judge there and I said no, the hearing is conducted by a Chapter 7 Trustee whose job it is to review cases to see if there are any assets that can be sold to pay creditors. She also asked if any or all of her creditors would be … [Read more...]

What happens when I can no longer afford my Chapter 13 case?

The national success rate for Chapter 13 cases is approximately 33%. It has also been reported that if a bankruptcy is filed, Chapter 13 is the better way as it helps all parties. The debtors are at least paying something on their debt. Creditors are happy to get at least some of the money owed to them. And in the grand scheme of things, commerce continues to work. However, many times, those debtors who go the route of Chapter 13 experience a change in circumstance that was not expected. … [Read more...]

How is an overpayment of Unemployment Compensation handled in bankruptcy – is it dischargeable?

Over the past few years, a lot of people have been losing their jobs and in order to make ends meet, they have filed for unemployment compensation benefits. In an effort to get back to a financial normalcy, they collect their benefits each week and look for that illusive job. They make things work as best they can, but then nothing happens and the bills continue to pile up. On top of those bills piling up, a letter comes from the Department of Labor explaining that the state made a mistake … [Read more...]

What happens to my credit report?

Did you know that filing a bankruptcy case does affect one’s credit report in a negative way?  Many debtors are under the belief that by filing bankruptcy, they will never ever be able to buy a house, car or anything else because they filed bankruptcy.  While filing bankruptcy is not going to produce a positive spin on a debtor’s credit history, nothing can be further from the truth.  Clients have shared with me the fact that they have taken a 200 point hit while others only 100 points.  … [Read more...]

STRIPPING JUNIOR MORTGAGE LIENS IN A CHAPTER 7 BANKRUPTCY

 According to Realty Trac, the State of Georgia has the distinction of being the nation’s number one state for foreclosures of real property. During the month of May, 2012, 1 in 300 Georgia housing units was subject to repossession/foreclosure or notice that the property will be foreclosed.  It has been 6 years since Georgia has had that distinction. Among those properties facing foreclosure, a good portion will probably have more than one mortgage lien attached.  Those second mortgage … [Read more...]

Are those taxes dischargable? – Bankruptcy Attorneys in Atlanta

So you think your tax debt has been extinguished by a bankruptcy filing? Perhaps. With regard to the IRS, provided that all of the prerequisites have been completed and your debts are more than three years old, most likely the taxes are dischargable. However, in a recent case, a debtor had some old state tax debt and although more than three years had passed with regard to collection and discharge was assumed, the Georgia Department of Revenue stated that because the debtor failed to file an … [Read more...]