Myth: gifting your house before you file keeps it safe. A trustee can undo it, you usually lose your exemption on it, and a Chapter 7 discharge is at risk.
Taking a title loan while your Chapter 13 is active usually needs trustee permission first – and the car you’d pledge may be the plan’s own protected asset.
More Chapter 13 plans are dismissed than completed. Here’s how to modify, get a hardship discharge, or convert to Chapter 7 before dismissal hits.
Quick Answer: Chapter 13 bankruptcy can become worse than the original debt situation when trustees extend payment plans from 3 to 6 years and increase monthly payments beyond debtors’ capacity. This family’s experience shows how Chapter 13 can trap filers in unmanageable payment schedules that leave insufficient income for basic living expenses.“Dear Steve,My husband and …
Quick Answer: In Chapter 7 bankruptcy, most filers never see a judge but instead attend a “341 Meeting of Creditors” where a bankruptcy trustee questions them under oath about their petition’s accuracy and completeness. The trustee’s role is to verify proper disclosure of all required information, and creditors rarely appear at these meetings.“Dear Steve,I’m nervous …
Quick Answer: A couple facing $110K in credit card debt due to schizophrenia-related job loss and upcoming layoff should file Chapter 7 bankruptcy before receiving severance pay to protect those funds. The trustee typically cannot seize older mobile homes, aged vehicles, or modest bank accounts due to exemptions, making this an ideal Chapter 7 case.“Dear …
Quick Answer: Bankruptcy filing helps discharge overwhelming debt but can be denied if trustees find evidence of fraud like suspicious cash advances before filing. The attorney’s willingness to file the case suggests confidence in approval, and discussing specific concerns with the bankruptcy lawyer can address fears about potential fraud allegations.“Dear Steve,My bankruptcy case has been …
Gina “Dear Steve,Several years ago, I filed for bankruptcy in order to save my home. I began making Plan Payments as instructed by the Bankruptcy Trustee. It was not until six months later when the Mortgage company filed for relief of stay that I learned the Mortgage company had not received my payments. After paying …
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