“You Could Lose Protection: When you file for bankruptcy, you get something called an "automatic stay." This stops creditors from trying to collect money from you. If you miss payments, you could lose this protection.
Your Case Might Get Dismissed: In the worst case, the court could throw out your bankruptcy case. This means you'd lose all the benefits of filing for bankruptcy.
Creditors Can Start Collecting Again: If your case gets dismissed, your creditors can start asking for money again. They might even try to take your stuff or garnish your wages.”
“Deciding to surrender your car during Chapter 7 bankruptcy is not a decision to be taken lightly. It is essential to weigh the benefits and drawbacks carefully while considering your overall financial situation. Understanding what surrendering your vehicle entails, including the long-term implications for your credit and future transportation needs, is vital for making an informed decision.”
“In North Carolina, individuals filing for Chapter 7 bankruptcy can protect up to $35,000 of equity in their primary residence. This is due to the state's homestead exemption rule, which does not allow for the choice between state and federal exemptions, unlike some other states.”
“Bankruptcy can provide relief for individuals and businesses facing insurmountable debt. It is a legal process that allows borrowers to eliminate or repay their debts under the protection of the bankruptcy court. However, it's important to note that bankruptcy does not automatically eliminate administrative liens on your home. The impact of bankruptcy on administrative liens depends on the type of bankruptcy you file.”
“One of the major concerns with relying solely on Social Security is the uncertainty surrounding its future. The program faces financial challenges due to an aging population and a decrease in the number of workers supporting the system. While the government has taken steps to address these issues, such as raising the retirement age and increasing payroll taxes, there is still a level of uncertainty regarding the long-term sustainability of Social Security. Depending solely on this program for retirement income may expose individuals to the risk of reduced benefits or potential changes to the program.”
If you own a business and need to file for Chapter 7 bankruptcy, it is important to understand the implications for your business and your personal finances. In a Chapter 7 bankruptcy, the business's assets will be sold and the proceeds will be used to pay off its creditors. After the bankruptcy is complete, the business will be dissolved.
“In some states, such as Texas and Florida, there are unlimited homestead exemptions that allow debtors to protect all of the equity in their homes, regardless of the value. Other states, such as North Carolina and Wyoming, have more limited homestead exemptions that may only protect a certain amount of equity.”
“Chapter 13 bankruptcy can help stop the foreclosure of your home by implementing an automatic stay, which is a court order that prevents creditors from taking any collection actions against you, including foreclosure proceedings. Once you file for Chapter 13 bankruptcy, the automatic stay goes into effect, and your mortgage lender is required to halt any foreclosure proceedings that are currently underway.”
“It is important to work with a qualified bankruptcy attorney to ensure that you provide all of the necessary documentation and that your bankruptcy petition is filed correctly. Your attorney can also help you navigate the complex bankruptcy process and ensure that you meet all of the necessary requirements for Chapter 13 bankruptcy.”
“f you do not qualify for Chapter 7 bankruptcy, you may still be eligible for Chapter 13 bankruptcy or other debt relief options. Chapter 7 bankruptcy is designed for individuals who have little or no disposable income, whereas Chapter 13 is intended for those who have a regular income but are struggling to repay their debts.”
“To file for Chapter 13 bankruptcy in Wyoming, you will need to take the following steps:
Complete Credit Counseling: Before filing for bankruptcy, you will need to complete a credit counseling course from an approved provider. This course will help you understand your financial situation and explore alternatives to bankruptcy.”
“Lien stripping is only available in Chapter 13 bankruptcy and is only possible if the value of your home is less than the amount you owe on your first mortgage. In other words, if your home is worth less than what you owe on your primary mortgage, then the second mortgage or home equity loan may be considered unsecured debt, which can be treated similarly to credit card or medical debts.”
“Filing for Chapter 13 bankruptcy in Charlotte, NC, does not necessarily mean that you will lose your house. In fact, Chapter 13 bankruptcy can often help you keep your home by providing a structured repayment plan that allows you to catch up on past-due mortgage payments over a period of three to five years.”
“Chapter 7 bankruptcy, also known as "liquidation bankruptcy," allows the debtor to eliminate most types of unsecured debts, such as credit card debts, medical bills, and personal loans, without making any payments to creditors. In exchange, the debtor may have to surrender some non-exempt assets, which are sold by the trustee to pay off a portion of the debts. This process usually takes about 3-6 months and may have some negative impacts on the debtor's credit score.”
According to the 2022 State of Estate Planning report, 57% of the 10,000 Americans surveyed indicated that they feared that their loved ones will be burdened with closing out their estates after they pass away- yet only 53% have an estate plan in place. It seems that it’s a natural inclination to be concerned but not to take action to have an estate plan. Though there may be many reasons for this there are no misconceptions that many people maybe lacking enough information to take the first steps. If you are reading Hishaw Law LLC blog for the first time, you have come to the right place.
“Chapter 13 bankruptcy is a type of bankruptcy that allows individuals with a regular income to create a repayment plan to pay off all or a portion of their debts over a period of three to five years. It is also known as a "wage earner's plan" because it is typically used by people who have a steady income, but are struggling to keep up with their debts.”
