Get Foreclosure Help

Author: admin

  • All You Need to Know About Chapter 13 Bankruptcy

    All You Need to Know About Chapter 13 Bankruptcy

    Chapter 13 is a code which allows you to repay debts as per a payment plan over the next 36-60 months. The payment plan focuses on retaining assets and debt pay off from disposable income. Chapter 13 can be advantageous, but you need to know many things about the same. The in-depth details about Chapter 13 will be discussed shortly.

    Eligibility

    Chapter 13 bankruptcy has some eligibility criteria just like other criterions. Firstly, there is a debt threshold for secured and unsecured debt. You might want to know about the threshold at Recovery Law Group. If you exceed the threshold, you are not eligible to file for Chapter 13 bankruptcy. There are ways and exceptions to achieve eligibility to Chapter 13 also, which you will learn only when you get in touch with a qualified attorney.

    Apart from the debt threshold, one should also have a steady and consistent income in order to qualify. Since Chapter 13 is all about a future payment plan, steady income is the basic requirement for the plan to prosper. An ideal candidate would be who is not near the retirement age and is getting a W-2 wage salary every month consistently. With this flaw, businesses do not qualify to file for bankruptcy via Chapter 13. This is suitable only for an individual filer.

    The process involved for filing bankruptcy under Chapter 13

    To be honest, Chapter 13 bankruptcy is beneficial sometimes but far more complicated than Chapter 7 another alternative available with the individual filers. To begin with, you need to pay for a credit counseling fee and get counseled on your irresponsible financial management that has led to bankruptcy. This course has to be completed from the recognized facility and a certificate of complication has to be presented when filing for bankruptcy in California. The fee can range between $25-$35 or maybe even higher. The sad part is that Chapter 13 filers rarely get any discount or rebate or free counseling classes. Adding salt to wounds, you shall pay a bankruptcy filing fee with the certificate of completion to begin your process of bankruptcy.

    The big, fat repayment plan

    The repayment plan is under the spotlight in Chapter 13. Every lender wants to get maximum debts restored while as a bankruptcy filer, you want to release as much of debt possible. The good thing is that the filer first proposes a repayment plan and it not enforced on the filer by the court or the lenders. However, due to the contradicting interests of the lenders and the debtor, the plan may always be in a controversial space. The filer has to sit and analyze his/her disposable income and arrive at the net monthly payouts he can make for the next 36-60 months in order to clear as much debt as possible. There are three basic requirements for the plan to be approved-

    • It should be practical and feasible. Your entire income cannot be payout towards the debts, nor a small chunk of disposable income shall be satisfactory for all debts. So, the plan should not only look excellent on paper but should also be feasible and practical to implement in the future.
    • The plan should be put forward in good faith and there should be no intention of releasing the debt. There no way to demonstrate good faith perfectly but definitely it should put forward all facts and should be focused on creating a reasonable and practical settlement option.
    • Finally, the plan should be compatible with the bankruptcy law book. There are some rules to be followed irrespective of whether the lender and debtor have compromised. Such comprises have to be sorted out outside the court and rules need to be followed strictly in the bankruptcy court and the bankruptcy trustee keeps you on your toes for that.

    Keeping up with the plan

    After getting the payment plan approved, it is important to keep up with the monthly payments as indicated in the plan. If your income has changed (decreased) the plan might need to be modified and under the hardship exemption, a certain portion of debt can be discharged. The hardship could be illness, change in work location, significantly higher cost of travel or any other expense related to the income generation activity, etc. Depending on circumstances you may or may not be exposed to interest charged by the lenders. For better advise and suggestions contact 888-297-6203 right now!


      *Are you more than 60 days past due on your mortgage?

      *Do you own a home?

      Are you currently working?

      By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

    • Student Loan Debt Discharge and Bankruptcy

      Student Loan Debt Discharge and Bankruptcy

      Student loans and debt in the USA are shaping into an enormous cloud that is surpassing the credit card debt with a wide leap. Credit card debt scores around $680 million while student debt touches far above the $ 1 Trillion mark. The fingers are pointed towards the slowdown in the job market since 2008. The newly grads struggle for jobs and are not able to secure one hindering them to clear the debt. They can in other cases of debt, surrender, but the student loan cannot be diffused, and the students must pay without refute.

      Circumstances when loans can be discharged

      There are no viable options wherein a student can request for loan discharge. The court can consider the case only under a very difficult situation faced by the student. The student must justify their case and proof of suffering and facing an utmost difficult situation and lifestyle. The student, however, can benefit and make their case strong if they have been undertaking high-potential jobs in-between and after school. Not being able to secure a job after completing graduation, with a string of underscored jobs during the graduation period not only makes up for a poor case but also escalates the debt.

      Such a student when declares bankruptcy; the court may not be lenient. The court scrutinizes the student’s past, present and future financial scenario, and the means by which the student will be able to clear their loans. It’s only under dire circumstances when the student must suffer enormous hardship to clear its debt does the court yields. You can visit Recovery Law group that help students to analyze and file a petition in the court for the discharge of loan due to bankruptcy.

      Be honest

      The students must be honest in presenting the case. Some students just look for an excuse to get through the debt. However, the court scrutinizes your case prudently; and hence in no circumstances, the students must go about carelessly. When a student files a petition in court for the discharge of loan; the court may take into consideration the following points.

      1. Financial resources

      The court may consider the financial situation of the student in the past, present, and future. What is the scope of securing a job and how the student is managing the daily expenses? What is the scope of future income? According to the students’ knowledge and degrees can they secure a job in the future? After examining these parameters, the court can issue a favorable decision.

      In the past, was the student conscious of clearing the loans. The student can make efforts by taking part-time jobs during their education and summer jobs during the vacations. Such efforts fairs well with the court.

      1. Lifestyle

      The sincere effort of the student to save money to clear loans by minimizing and living on necessities is crucial to bring the decisions in the students’ favor. Many a student may not show a sincere effort and may live carelessly. The court considers the student’s lifestyle during the educational tenure and after the completion when they are not able to secure the job. The student may have to shift to a low maintenance, smaller living space in a less expensive area to save the overall expenditure.

      1. Other determinants

      The student may suffer from some undue and uncontrollable circumstances that may stall their process of loan repayment. Circumstances like-

      • Medical expenses during or after graduation.
      • Any physical disability or accident, which may prevent the student to take up the job.
      • What is the future prospect of the accident? The timeframe within which the student may recover or may not throughout their lifetime.
      • Initiation to clear few installments of the loan.
      • The proportion of the loan to be cleared.

      Student loans are challenging to pay, but they are the means to the end. They are valuable resources that are necessary to harness the students ‘potential and get a decent life.  However, falling in debt and not able to execute a proper plan to clear the loans defeats the mere purpose of student loans i.e. enhancement of life. The student needs to justify his case of a very genuine excessive hardship, which is a very thin window to slide through. However, you can call this number (888-297-6203) for help and guidelines.


        *Are you more than 60 days past due on your mortgage?

        *Do you own a home?

        Are you currently working?

        By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

      • How Much Debt is Too Much For Chapter 7 Bankruptcy?

        How Much Debt is Too Much For Chapter 7 Bankruptcy?

        Debt does not need any reason to pile up. One missed payment followed by another and the debt just keeps piling without your knowledge. Having too much debt is a scary thing, but sometimes, one might just land there without choice. Bankruptcy, however, can help you kickstart your life once more instead of facing undue harassment from the lenders and dissolving all your assets, it is one of the better options. Most people use bankruptcy to start fresh amongst a pile of debt that probably would not be released even after several years of hardship. How much debt will lead to bankruptcy? Should you apply for bankruptcy or not? Get all your questions answered at Recovery Law Group.

        Where does the debt limit apply?

        The debt has to be limited for Chapter 13 type of bankruptcy. Chapter 13 bankruptcy is a system or a code that brings together, the legal system (in the form of the bankruptcy trustee and court) and affected parties (you and the lenders) to an agreement. This agreement usually is a payment plan that lasts for about 3-5 years depending on various factors like income threshold, type of debts, etc. Since a payment plan has to be implemented, there is a limit of different types of debt (secured and unsecured) below which the debtors could be eligible to file under Chapter 13 bankruptcy. There is no limit for Chapter 7 bankruptcy and hence, if you have too much debt and do not qualify for Chapter 13, Chapter 7 is an obvious choice.

        What counts in a Chapter 7 bankruptcy?

        As understood recently, the amount of debt is not an issue for Chapter 7 bankruptcy filing but there are some eligibility criterions for filing the bankruptcy. The income holds the key in the case of Chapter 7 bankruptcy. If the filer has too much income that could relate to excess disposable income with some standard deductions for common expenses, the filer would most likely not qualify for Chapter 7 system code. The income to qualify for this section code should be lower than the average income of a family/person in California. This is also referred to as a ‘means’ test. This rule was passed by the Congress in the year 2005 as the credit card companies rallied for it due to the release of unsecured debts quite easily under Chapter 7 bankruptcy code.

        Switching from one bankruptcy code to another?

        It is important to select the right Chapter to file the bankruptcy. A qualified attorney is just a call away, who can guide you with which Chapter would be best based on your specific scenarios. Reach out to +1 888-297-6203 to select the right chapter in the first place. However, if you feel switching can help you gain a better position or save you a few dollars, you need to qualify for both Chapter 7 and Chapter 13 to do so. The most common reasons for switching or converting can be listed as follows-

        • The process of bankruptcy could last up to 5 years in Chapter 13 while it can be almost immediate depending on the type of non-exempt assets in the case of Chapter 7. Time can be a factor why someone would like to switch from Chapter 13 to Chapter 7
        • Mortgage or home loan can face foreclosure under Chapter 7, and you do not have so authority or control over the home However, under Chapter 13, foreclosure is more controllable and shall not be subject to foreclosure until and unless the payments are being made as per the payment plan
        • If you did not realize you might end up losing some of your necessary assets like car, home, etc., you might want to safeguard it by switching to Chapter 13 from Chapter 7
        • If your job is not consistent, or you fall ill too often and are on sick leave often, it might be difficult to payout the monthly payments as per Chapter 13. Loss of job and similar factors shall make you incline towards Chapter 7 a bit more
        • Finally, you might end up paying back a good chunk of debts in full under Chapter 13 which is good but not ideal after filing for bankruptcy. This might also want you to consider for Chapter 7 switching

        Switching fee and procedure

        Switching from Chapter 7 to Chapter 13 is usually an easy process. There is no conversion or switching fee. Also, there is no pre-requisite for any permission; but a motion or referendum has to be passed in the court to notify about the switch. To switch from Chapter 13 to Chapter 7 there is a fee of $25. Conversion is only possible if there hasn’t been any release of debt under Chapter 7 in the recent 8 years. A motion has to be passed for Chapter 13 to Chapter 7 switch also. For all this to happen, one has to be eligible for Chapter 7 as well as Chapter 13 guidelines. In case of ineligibility to switch and ineligibility to keep up with the existing Chapter program, a filer can request the court to dismiss the case. This will release the automatic stay shelter on you, and you shall be exposed to the lender’s ways of extracting their debt from you. Expert solutions and expert guidance are just a call away. Manage your bankruptcy in the best way possible by reaching out to +1 888-297-6203 now!


          *Are you more than 60 days past due on your mortgage?

          *Do you own a home?

          Are you currently working?

          By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

        • Embezzlement Debts During Bankruptcy

          Embezzlement Debts During Bankruptcy

          Embezzlement refers to liability occurring from criminal, fraud, litigation and other malpractice. The jury or court usually orders an individual to pay fines or compensation or penalty based on the crime or law/code violation. This kind of debt is referred to as embezzlement debt. The common doubt or question people have is; Will the embezzlement debt be discharged during bankruptcy? It is important to learn that the type of debts held by the person filing bankruptcy is usually arranged on the basis of priority to determine the discharge or release ability. In the array or order, the embezzlement dues fall under the most prioritized debt since it is usually an order of jury which cannot be compromised. However, the type of embezzlement and the course adopted by the lender may still determine the release of embezzlement debts.

          Criminal fines and civil body orders

          Any type of debt arising from criminal activities like fraud, or any other such malpractice is regarded as ‘non-releasable debt’. This kind of debt cannot be released and should be paid off as first priority above secured and unsecured loans. There is practically 1% chance of getting criminal fines released by the bankruptcy law code. Learn more about such facts and bankruptcy on Recovery Law Group.

          In case of civil body orders or judgments, the lender or the person who is expecting compensation from the bankruptcy filer has to proactively present a case for non-release of his/her debts. The lender has to request the court to categorize his/her debt as non-releasable debt by presenting facts and evidence confirming the same. If the lender fails to do so or does not approach the bankruptcy court proactively, the bankruptcy court might release such a debt prioritizing other debts. Civil debt is referred to as an act of fraud or misrepresentation in the capacity of fiduciary. Unlike civil dues, criminal fines need not be proven as non-releasable debts in the court and the lender need not make proactive attempts to confirm the same.

          What the lender will do?
          In order to retrieve the civil dues, the lender usually files a lawsuit which is referred to as ‘adversary proceedings’. This has to be filed in the span of 60 days from the first date of lenders meeting in the bankruptcy case. The meeting of lenders during the bankruptcy case in the court is a mandatory meeting, which usually happens in the first or second hearing. This meeting usually happens in about 30 days after the bankruptcy filing. This means a lender would have about 3 months or 90 days to file for an ‘adversary proceeding’ once the debtor has filed for bankruptcy. It is important to note that if the lender does not file within this period, the right of lender is void and it is up to the discretion of the bankruptcy court to release or not release the civil fines/compensations.

          Points to be noted
          Three important points to be proved by the lender in order to categorize a debt as fraud or from embezzlement can be listed as follows-
          • The bankruptcy filer or debtor held the property for another property
          • The property was used for unauthorized purposes
          • The circumstances, evidence, and facts suggest an act of fraud

          Once these three points are proved by the lender, the debt cannot be released under the bankruptcy norms. Also, once the debt has been declared as non-releasable by the bankruptcy court, it remains so for any future bankruptcy filings also. This means such debt could never be released no matter what. Every situation of bankruptcy is different. Personalized and professional services desired can be availed by dialing +1 888-297-6203. Dial now for interpreting your situation better!


            *Are you more than 60 days past due on your mortgage?

            *Do you own a home?

            Are you currently working?

            By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

          • Social Security Benefits Retention and Bankruptcy

            Social Security Benefits Retention and Bankruptcy

            The retired citizens of the USA can enjoy the benefits of social security fund, although it may be a meager sum. Social security funds are a fixed amount that the USA Government obliges its citizens to enjoy after retirement. The social security fund is managed by taxes paid by the citizens. Social security fund is a fixed amount a retired citizen receives every month throughout their life after retirement.  This amount may be substantial, but it is of great help to people who are retired and helpless. Being an old retired person, with no secure income, any amount is good.

            Old age attracts a lot of expenses be it medical or health, pooling of all the retirement funds, may sometime prove to be less. The retired person may take loans to cover their expenses. Under Chapter 7 the retired citizens can apply for bankruptcy if they are not able to support themselves and pay the loan availed for health treatment.

            Exploiting Chapter 7

            There may be cases where the retired citizens may want to exploit and enjoy the benefits by declaring bankruptcy. The court may not justify bankruptcy and ask the retired citizens to employ Chapter 13 to repay their loans under easy payable installments. The court may observe all the plans and resources that the retired citizens may utilize and the net savings after the expenses. Scrutinizing the income and expenses balance sheet, the court may suggest the employment of Chapter 13 to repay loans to the creditors.

            In the case where the expenses cancel the income and just a mere social security benefit remains the client can seek Chapter 7 bankruptcy. Such retired citizens may have difficulty in paying debts and can take help. The court, however, is stringent and undertakes scrutiny before declaring bankruptcy.

            Should Social security benefits be included in the income figure?

            Enjoying Social security benefits are the basic rights of all retired USA citizens. Social security number is specifically designed to the citizens of the USA, so that they can lead a respectable life after retirement. People who are affluent can surrender social security benefits. However, old age brings in a lot of medical expenses, surgeries and other health expenses that may propel them to take loans to cover the expenses. The loan may turn into a huge pile making it difficult for the retired citizens to pay. Once they are thick into the debt, they find no other way but to declare bankruptcy.

            The court after observing the dire circumstances may allow the client to declare bankruptcy. The court undertakes the lifestyle enjoyed by the client and the means to fund and support their future life. It is not easy to convince and justify the case in court. The client can seek professional help by consulting Recovery Law Group.

            Surrender social security benefits?

            Arguments and discussions often circulate regarding the securing of Social security benefits after declaring bankruptcy. The argument stresses that the client may have too many benefits in their hand. However, the client can voluntary surrender social security benefits. Apparently, as the case goes the client is sucked badly by the loans and can barely make the ends meet. In such case, the Social security benefits are exempted from bankruptcy procedures.

            The retired citizen can keep their Social security benefits even after declaring Bankruptcy. Social security benefits need not be an issue for clients who are honest and in a bad situation. They may require every support and money, even if it is in the form of Social security benefits. The case of such clients is genuine, and the court supports them and therefore exempts social security benefits even after declaring bankruptcy. To present your case strongly in court you may contact at this number- (888-297-6203).


              *Are you more than 60 days past due on your mortgage?

              *Do you own a home?

              Are you currently working?

              By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

            • Key Differences Between the Bankruptcy Code and the Federal laws for Bankruptcy

              Key Differences Between the Bankruptcy Code and the Federal laws for Bankruptcy

              The bankruptcy procedure does not start a local state court. Instead, the official bankruptcy papers are usually presented to the clerk at the Federal court. This is because bankruptcy is a federal process and is governed by the Federal rules for bankruptcy. The law allowing the use of Chapters 7 and 13 is as per the bankruptcy code. The Federal laws for bankruptcy procedure act as a guide to the courts to implement the bankruptcy law.

              What does the bankruptcy code consist of?

              Bankruptcy code can define the following-

              • Eligibility to file a bankruptcy case, answers for who can file
              • Outlines the responsibilities of a debtor or the filer
              • The responsibilities of the bankruptcy trustee who administers the case
              • Affected properties and application of state exemption laws where necessary
              • What type of debts shall be released and what type of debts shall be considered as non-releasable?
              • How a lender can make a claim
              • The prioritization of debts and release of debts based on the lender’s claim

              For more in detail analysis of the bankruptcy code, visit Recovery Law Group. The bankruptcy code additionally is divided into several chapters. We see the use of a specific Chapter due to eligibility and other benefits. The different chapters with a brief can be listed as follows-

              • Chapter 1 has been designed for general provisions
              • Chapter 3 is for case administration
              • Chapter 5 defines the lenders, debtor/filer and the estate
              • Chapter 7 is straight liquidation of non-exempt assets during bankruptcy
              • Chapter 9 refers to re-setup for the municipalities
              • Chapter 11 is the re-organization for businesses which applies to individuals doing business as well
              • Chapter 12 refers to re-organization for fishery-related individuals and farmers
              • Chapter 13 is a payment plan for individuals, which aims at settling dues over the course of 3-5 future years
              • Chapter 15 gives insight on cross-border cases and some of the ancillary cases

              Federal rules of bankruptcy and the bankruptcy code

              Every court in the United States has a rule book which guides its course throughout a bankruptcy case. The Federal rules for bankruptcy help in the implementation part. The Supreme Court was granted authority by Congress to amend and/or write rules that govern the bankruptcy cases. The objective is to enable quick and inexpensive access to justice for all parties. There are different rules outlined by the Supreme Court that help in creating a standard/uniform system in order to enable the objective of quick and inexpensive justice. It is important to note that if there is a conflict amongst the Federal law and the bankruptcy code, the court shall go as per bankruptcy codes. The federal rules can be listed as follows-

              • Rule No. 1002 highlights the commencement of the case. It deals with the filer, petition and the selection of an appropriate Chapter
              • Rule No. 1005 refers to the caption of the petition. The caption in a bankruptcy case includes basic details of the filer like his name, address and also the court’s name/location in which the case is to be filed
              • Rule No. 1006 is with respect to the filing fee. The petition or the document must consist of a filing fee. If the filer is eligible for a waiver of fee or has a request for paying the fee in installment, such document or request must also be added with the petition document
              • Rule No. 1007 has all the schedules, timelines, documents, lists, statements, etc. This rule basically explains all the important timelines, statements, and documents that need to accompany the petition before filing
              • Rule No. 1008 deals about verification of petition and the documents accompanied with it. The petition and documents filed should be verified by an oath or a declaration (which is usually a signature of ‘I certify’)

              Other deviations in bankruptcy rules

              There can be some rules enacted by the bankruptcy court that is specific to a particular district. The court has full independence to enact such rules. These rules are usually administrative and deal with the procedure of motion, entering orders, briefing schedules setup instructions, local form filing requirement or instructions, etc. Similar to the local bankruptcy rules, there can be some bankruptcy judge specific rules. The judge’s personal preferences can be articulated as rules in that particular court. These types of rules may include a policy for emergency motion, telephone/video evidence or hearing, court staff interaction, hearings procedure, etc.

              Law is a complicated child and is best managed by the rightful parents. An attorney or a lawyer can better guide you in your complicated situation. You just need to call +1 888-297-6203. This is your one-stop solution for all your legal needs.


                *Are you more than 60 days past due on your mortgage?

                *Do you own a home?

                Are you currently working?

                By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

              • Is it Possible to get rid of Tax Debts in Bankruptcy?

                Is it Possible to get rid of Tax Debts in Bankruptcy?

                Filing for bankruptcy, especially under chapter 7, can help get rid of several unsecured debts like credit card bills, medical bills, etc. However, certain debts like government taxes, or money owed to IRS or state of California, may or may not be discharged during bankruptcy. It is important to seek legal counsel, suggest Los Angeles based bankruptcy law firm Recovery Law Group to know more about this matter. To get your state and federal taxes discharged during Chapter 7 bankruptcy, you need to clear certain hurdles.

                1. More than three years have passed from your tax due date.

                It is important that it has been more than 3 years since your taxes were due for getting a chance at having tax debts discharged. In case your 2014 taxes were due on April 15, 2015, the discharge date for 2014 taxes is pushed back to April 15, 2018. An extension could further delay the timeline.

                1. Your tax returns have been filed for more than 2 years.

                IRS and California State, both taxing authorities ensure that they have enough time to study the tax return papers and collection process. Filing of late tax returns and then filing of Chapter 7 bankruptcy case the same time will not provide them with enough time to evaluate your income, assets, and your claims. Filing tax returns at least 2 years prior to filing provides ample enough time to ensure that everything is in order. If your tax returns are filed and sorted for two years or more, you have a better chance of getting rid of tax debt during bankruptcy.

                1. Tax debt has been assessed for 240 days prior to filing.

                State and federal taxes are assessed at different times. While IRS assesses taxes within 6 weeks of return filing, every state has a different timeframe. Thus, your tax debts must have been assessed at least 240 days prior to bankruptcy filing to improve your chances of getting rid of tax debts.

                1. You haven’t committed fraud.

                Everyone deserves a second chance. In case you have a legitimate reason for not filing of taxes, you don’t have to worry much; however, if you made any attempt to cheat the system (like filing false tax returns, etc.) you reduce your chances of getting a discharge abysmally.

                Can you get rid of tax debts using Chapter 13 bankruptcy?

                In this case, a repayment plan is drafted keeping in mind your disposable income, your assets, and your debts. Priority taxes (tax debts due for less than 3 years) need to be paid in full, generally without penalties, during Chapter 13 repayment plan. Any non-priority taxes (tax debts) are treated in a similar fashion to unsecured debts like credit cards, etc. They are paid according to the debtor’s disposable income as per the repayment plan. Thanks to the automatic stay, IRS and the state authorities cannot initiate any collection actions including wage garnishments, threatening phone calls, lawsuits or foreclosure.

                People are often confused regarding which chapter of bankruptcy would suit their case. It is therefore important to consult expert bankruptcy lawyers at 888-297-6023 to find out if bankruptcy or debt negotiation is a better option for you.


                  *Are you more than 60 days past due on your mortgage?

                  *Do you own a home?

                  Are you currently working?

                  By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

                • Filed for Bankruptcy but don’t know where the Los Angeles Bankruptcy Courts are? This will help you.

                  Filed for Bankruptcy but don’t know where the Los Angeles Bankruptcy Courts are? This will help you.

                  Many times, people file for bankruptcy to avoid extreme financial issues, like excessive debt. However, many people are clueless regarding the procedure as well as the location of bankruptcy courts. If you are a resident of Los Angeles and are considering filing for bankruptcy but don’t have any idea where a court hearing or meeting of creditors will take place, you are in luck. Bankruptcy cases in Los Angeles are filed with U.S. bankruptcy court for the central district of California. The L.A. division takes care of entire Los Angeles County while other districts have separate courthouses. To find out where you need to go for your bankruptcy hearing, you can enter your ZIP code and find out your courthouse.

                  Proceedings in a bankruptcy court

                  Consumers can file for bankruptcy under chapter 7 or chapter 13. Bankruptcy proceedings, also known as a 341 (a) meeting, involves creditors and bankruptcy trustee, who oversees your bankruptcy estate to find out what property can be distributed to the creditors. This meeting takes place 6 weeks after filing for bankruptcy. You are required to submit your tax returns from the most recent years, at the meeting.

                  Filing for bankruptcy means you need to attend a creditors’ meeting in 30 days after filing your case. Generally, the meeting is simple, if all your papers are in order. The meeting is presided by your bank trustee, and often, unless there is an objection to any exemption, your case is set for a hearing before the judge. Many times, bankruptcy filers do not have to enter a courthouse, except for the creditors’meeting. It is important to note that during a courthouse visit, you should have proper identification papers. The courts function between 9 a.m. and 4 p.m. all through the week (Monday to Friday) except on federal holidays.

                  The bankruptcy lawyers of Los Angeles based firm Recovery Law Group suggest that having an experienced attorney by your side can definitely ease the burden of bankruptcy. They ensure that all your papers are in order so that you get a discharge (in the case of Chapter 7) or a repayment plan approved (Chapter 13) without any delay. Since the Central District of California is a part of the Ninth Circuit, which hears more cases compared to other federal circuits, it makes sense to hire lawyers to handle the legal work. In case you haven’t hired a bankruptcy lawyer for your case, you can call 888-297-6023 to discuss your case with bankruptcy lawyers.

                  Los Angeles metro region courthouses

                  There are 5 division courthouses in the Los Angeles metro region. Here are all the details about them, including how to reach there:

                  1. Los Angeles Division Courthouse serves the most of L.A. County and is located at Edward R. Roybal Federal Building and Courthouse, 255 E. Temple St., Room 940, Los Angeles, CA 90012. There is no public parking available at the courthouse but local parking near City of Los Angeles Public Parking Lot 2 (330 E. Temple St.), Also Parking Garage (101 N. Judge John Aiso St.) and Los Angeles Mall Public Parking (225 N. Los Angeles St.) is available. 341(a) meetings are generally held in Suite 1050 (10th floor) at 915 Wilshire Blvd. which is merely 10 minutes’ drive from the courthouse.
                  2. Riverside Division Courthouse located at 3420 12th Riverside, CA 92501, serves Riverside and San Bernardino counties. Local parking is available at 12th Street Parking Structure (3535 12th St.), Riverside County Administrative Center (4090 Lemon St.), apart from metered parking near the courthouse. The 341(a) meetings are located at 3801 University Ave. which is half-mile away from the courthouse. Chapter 7 and 13 meetings take place on the 1st floor while that for Chapter 11 take place on the 7th floor.
                  3. Santa Ana Division Courthouse serves the Orange County. It is located at the Ronald Reagan Federal Building and U.S. Courthouse, 411 W. Fourth St., Santa Ana, CA 92701. People can use public parking available at Third and Birch streets, Third Street and Broadway, and Fifth and Main streets; and metered parking available at Third, Fourth and Birch streets. The 341(a) meetings take place in the courthouse; Chapter 7 on the 3rd floor and Chapter 11 and 13 on the 1st
                  4. San Fernando Valley Division Courthouse is located at 21041 Burbank Blvd., Woodland Hills, CA 91367 and serves portions of Los Angeles and Ventura counties. Free parking is available on site. All 341(a) meetings for different bankruptcy chapters take place at the 1st floor of the courthouse.
                  5. Northern Division Courthouse serves San Luis Obispo and Santa Barbara counties and portion of Ventura County. It is located at 1415 State St., Santa Barbara, CA 93101, where free parking is available on site. All 341(a) meetings take place on the 1st floor at 128 E. Carrillo St. (nearly half-mile away).


                    *Are you more than 60 days past due on your mortgage?

                    *Do you own a home?

                    Are you currently working?

                    By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

                  • Decoding the four Bankruptcy Chapters

                    Decoding the four Bankruptcy Chapters

                    Bankruptcy is a challenging period and there are certain legal and ethical obligations during this period. To standardize the process and to ensure a fair system for all parties involved, there are some predefined codes or chapters that allow for simpler decision making and fair justice. The four chapters in focus today are suitable for businesses as well as individuals. Each chapter can be explained with their application as follows-

                    Chapter 13

                    Chapter 13 is a bankruptcy code that is specifically designed for individuals or families. The businesses or the sole proprietors shall not be eligible to file bankruptcy via Chapter 13. This chapter is applicable only for single and married bankruptcy filers. Chapter 13 is basically a future payment program that dedicates future disposable income to existing debts. The future debt repayment plan may last up to 5 years depending on your income. If your household income for a family is below the median income of your state, you might have a future debt payment plan for 3 years. If it is more than the median income the plan shall be of 5 years. You might end up paying a good portion of your priority debts which includes, income tax dues, child support, secured loan dues like mortgage, etc.

                    Some of the debts that may include payday loans, credit card dues, etc., which are categorized as unsecured debts may be released depending on different circumstances. To know more about Chapter 13 bankruptcy filing, and to clear all your doubts and questions, log on to Recovery Law Group.

                    Chapter 11

                    Chapter 11 is designed for businesses. Large corporations often use Chapter 11 bankruptcy to prevent shut down of their businesses. Chapter 11 bankruptcy code is probably one of the most expensive Chapters and hence, small businesses are quite allergic to it. It can be also used by individuals who do not qualify for Chapter 13 due to the debt thresholds. Under Chapter 11 the lenders try to identify ways of recovering their debts from the bankruptcy filer by renegotiating the terms and by creating a viable plan for maximum debt recovery. Many factors like sale of less used/underperforming assets need for change in leadership, adding more efficiency to the organization operations, etc., are into consideration while restructuring the loan terms and conditions.

                    The filer must demonstrate a convincing plan for repaying the debts. It is a must for such a proposal to be approved by all the lenders and creditors as only court approval won’t be enough. If the filer is unable to present a sustainable plan, a lender/creditor can propose a plan for debt repayment which can then be passed by a voting test. The filer gets sufficient time to enact the approved plan and repay debts, which is why large corporations prefer Chapter 11.

                    Chapter 12

                    Chapter 12 has been specifically designed for people engaging in the fisherman and/or farming activities. Chapter 12 works very closely with the Chapter 13 plan with the only difference being the flexibility. The farming and fishing activities are seasonal, and one might see inconsistent income for almost half the year. The filer in this scenario has about 3 months or 90 days to put forward a payment plan for repaying the debts in the span ranging from 3 years to 5 years. Unlike Chapter 13, the payments can be made seasonally instead of monthly obligations. The Chapter 12 repayment plan can even release the liability of secured debts, based on the maximum repayment capacity over the next 5 years.

                    Chapter 9

                    The Chapter 9 code has been specifically reserved for municipalities, utility business, tax districts, government units, etc. Chapter 9 is pretty similar to Chapter 11. A plan has to be put forward by the filer in order to repay the debts. This may include leadership alterations, sale of unused assets, optimizing efficiency, etc. The only distinction is that in Chapter 9, the lenders or creditors are not allowed to propose restructuring plans. However, they can convey their objection or dissatisfaction on the plan or proposal put forward by the Chapter 9 bankruptcy filer. To know about more chapters or understand these chapters better, contact the experts at +1 888-297-6203.


                      *Are you more than 60 days past due on your mortgage?

                      *Do you own a home?

                      Are you currently working?

                      By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.

                    • Can you Risk Filing for Bankruptcy Pro se?

                      Can you Risk Filing for Bankruptcy Pro se?

                      People struggling with debts have the option of filing for bankruptcy. You can either choose to file without a lawyer (pro se) or seek assistance from bankruptcy lawyers to handle your case. As per a study by US bankruptcy court, nearly 1/4 of debtors in California file their case “pro se” which has a success rate of merely 0.04% i.e. 1 case in 2,500 filers results in a bankruptcy discharge. The court approved attorney fee for a non-business case is $4000 and that for a self-employed filer is $5000. The court filing fee for bankruptcy is $281. Though the amount seems a bit high, you end up paying a large portion of the fee over or 3 to 5-year period, in case of chapter 13 bankruptcy. The attorney fees can be incorporated in the repayment plan. Considering the poor success rate of pro se filing, it makes sense to hire an attorney.

                      How pro se bankruptcy filing can end up being more costly?

                      Chapter 13 bankruptcy is meant to pay off all your secured debts and a fraction of your unsecured debts. One can easily file for chapter 13 bankruptcy on their own as necessary forms are available online and bankruptcy courts have self-help desks to assist pro se filers. In the case of chapter 13 bankruptcy, your disposable income, your assets, and your debts are kept in mind while formulating a repayment plan. You end up paying a fraction of your debt, while the remaining unsecured debts are discharged after your bankruptcy ends. The automatic stay prevents all collection actions by creditors such as repossession, foreclosure, wage garnishment, etc. This starts from the moment you file your bankruptcy papers till the time you keep making repayment plan payments.

                      When you file pro se, you need to attend court hearings, legally justify your plan, monitor your case in federal court filing system (Pacer) for motions, hearings and objections. You also need detailed accounts of your financial situation. Any missing document can result in dismissing of your bankruptcy case. Since most pro se filers are inexperienced, they end up missing a couple of details which might prove crucial in their case, ultimately resulting in the dismal success rate of pro se bankruptcy filing. Automatic stay benefit is available only on successful chapter 13 or chapter 7 consumer bankruptcy cases. If your case is dismissed, you still owe your debts, along with with the interest accumulated over the duration of your bankruptcy filing, and the money spent on filing for the case. The creditors can pursue legal actions against you including foreclosure and repossession. Additionally, you will need to file for bankruptcy again if you wish to have a respite from unsurmountable debts.

                      According to the Los Angeles based bankruptcy law firm Recovery Law Group, you also have the option of Bankruptcy Petition Preparer (BPP). Many people use a BPP while filing for bankruptcy. ABPP charges $200 to assist pro se filers. However, there have been instances, where a BPP has been involved in the fraud “loan modification” and “foreclosure assistance” schemes. Since they are not trained attorneys, they cannot provide legal advice to you. They can merely assist you in the filing of forms, typing them and directing you to where you can file the case. This is merely an extension of pro se filing.

                      Save time and money by opting for experienced bankruptcy attorneys

                      The confirmation rate of chapter 13 bankruptcies in California is 55% in attorney represented cases. this is huge compared to 0.04% for pro se filers. It, therefore, makes sense to hire an attorney for your bankruptcy case. when you do so, you do not have to worry about when and which forms to file, drafting responses and objections to motions during the case. in a nutshell, while paying the attorney their fees, you get to have your peace of mind as well as a better chance at getting your bankruptcy case discharged. despite $4000 in attorney fees may seem huge, it is a small price to pay for getting a successful bankruptcy. over a period of your repayment plan, the attorney fees come down to $67 per month which is affordable if you can get a large portion of your unsecured debts discharged.

                      Trying your hand at pro se filing, and then re-filing with an attorney, will result in you wasting a lot of your money and crucial time. Changes in bankruptcy laws (in 2005) also result in losing the protection of automatic stay if your case is dismissed. In case your case is dismissed one year prior to the filing date, the automatic stay cannot be extended beyond the initial 30 days (if the case is not heard within 30 days). If you have ha 2 cases dismissed within the previous year, you do not have any protection until you file for a motion for imposing protection. All of this results in additional fees. Filing for bankruptcy is a decision which should not be taken without proper consideration of all factors. An adept bankruptcy attorney can help suggest the appropriate chapter for consumer bankruptcy which suits your condition. Improve your chances of getting respite from harassing creditors by calling at 888-297-6023 to discuss your case.


                        *Are you more than 60 days past due on your mortgage?

                        *Do you own a home?

                        Are you currently working?

                        By clicking “Submit”, whether I do or do not purchase any products or services on this website, I hereby give my express written consent to receive calls and SMS/text messages, including calls and SMS/text messages made and sent using automated dialing equipment and/or pre-recorded or artificial voice technology and email, about offers and deals that I wish to be kept informed about from (“Partners”), at the phone number and/or email address provided on this form, including any wireless numbers provided, even if I have previously registered the provided number on any Do Not Call Registry. If I do not make a purchase on this website, it is expressly understood that the Partners retain permission to contact me as specified earlier in this paragraph. Carrier SMS/MMS and data messaging rates apply. I also agree that by clicking “Submit” that I agree to the Privacy Policy and Terms and Conditions.