The filing of a bankruptcy petition will “stay” or stop any garnishment proceedings. If wages are garnished after the Bankruptcy case is filed, the creditor should be required to repay this money to the debtor or to the bankruptcy estate (i.e. the trustee assigned to oversee the bankruptcy case).

Complete information on the Bankruptcy filing process and related activities are described in specific details within Standard Legal’s Bankruptcy legal forms software package.

Standard Legal recommends that a person with a large number of debtors who is filing Bankruptcy create separate continuation sheets for each type of debt, using the stock continuation sheet provided. [ Read More… → ]

Trustees often have specific rules regarding the conduct of their 341 meeting of creditors. And while many procedural rules are common to all Trustees, there can be slight differences in their actions or requirements. [ Read More… → ]

Many people hope that they need not include their car in bankruptcy, especially if they are not behind in their payments. But is a person still required to list their car on the bankruptcy filing regardless?

Under bankruptcy law, all assets, debts and obligations are to be listed on the petition and schedules.  [ Read More… → ]

Before filing for a second Chapter 7 bankruptcy case, a debtor must wait eight (8) years after filing the first case in which a discharge was granted.

But in some cases there can be a significant amount of time that passes between the original filing and the date the Bankruptcy is officially discharged by the Trustee. So which date is used as the starting date for the implementation of the 8-year rule, should a person needs to file a second bankruptcy proceeding? [ Read More… → ]

No special form is required to state income for payments received from Social Security. Social security payments are to be reported on both Schedule I as well as on the Means Test (Form 22), as any other income would. Get complete information on Standard Legal’s Bankruptcy legal forms software.

The Trustee assigned to preside over the debtor’s 341 meeting of creditors may request that the debtor provide bank statements. So bringing copies of bank statements (from the date that the case was filed back) to the 341 meeting of creditor may be a good idea.

But the bankruptcy code does not require that bank statements be filed at the time the case is filed with the Clerk of the Bankruptcy Court.

Complete instructions for completing the forms and filing a Bankruptcy case are included in Standard Legal’s Bankruptcy legal forms software.

The schedule used for delinquent real estate property taxes due to a city or county depends upon the status of the property. [ Read More… → ]

Standard Legal suggest that it is best to provide “more information” vs. “not enough information” on the Chapter 7 Bankruptcy schedules. [ Read More… → ]

Within Form B8 of the Bankruptcy filing, in the ‘describe property securing debt’ field, list one creditor under property #1 and the second creditor under property #2. [ Read More… → ]

Any real property owned by a debtor is subject to liquidation by the Trustee in a Chapter 7 Bankruptcy case. But the Trustee will liquidate the property (i.e. sell it and use the proceeds to pay creditors) only if there is equity in the property that can be turned to cash for the creditors. [ Read More… → ]

Assuming that the Bankruptcy case has not yet been completed and discharged, a person may file a “motion to dismiss.”

There is no official form for this motion; rather, simply submit a statement to the District Bankruptcy Court indicating that you wish to dismiss your case, along with a brief statement as to the reasons behind the decision.

The judge must rule on the request, so filing the motion in no way “cancels” the bankruptcy case.

You can make such a request of the Bankruptcy Court. On the Statement of Intention, you can mark the “Other” box regarding the treatment of your home. Then indicate on the accompanying line that you plan to “retain the property and continue to make payments” or words to that effect.

If your debts are significant enough that you are planning to file bankruptcy, it may be best to simply inform your creditors that you are filing a bankruptcy petition in the near future and that the calling creditor’s debt will be listed as a part of that filing.

Such a statement typically stops collection calls. [ Read More… → ]

Student loans are NOT usually discharged in a bankruptcy case. However, in some circumstances, these debts can be discharged if the bankruptcy debtor can show that payment of the debt “will impose an undue hardship on you and your dependents.” [ Read More… → ]

The “presumption does not arise” is a statement indicating that a debtor’s income is not such that he or she would be disqualified from filing a Chapter 7 Bankruptcy case.

In a Chapter 7 case, the debtor must prepare Form 22A, the “Means Test” form.  On that form, the debtor lists his or her gross income. If this annualized gross income is less than the amount of the annual “median income” assigned to individuals for the state in which the debtor lives, the ‘presumption of abuse’ does not arise and it is presumed that the debtor is eligible to file a Chapter 7 bankruptcy case. [ Read More… → ]

Sometimes, people begin a pro se (do it yourself) Bankruptcy filing with clear intentions. Sometimes, they initiate the process but do not follow it through to completion. Sometimes, those same people find themselves in the exact same financial situation just a few years later and are in even greater need to file for Bankruptcy.

Typically, Bankruptcy law requires an eight year time span before a person can refile for personal Bankruptcy again. But this time restriction is not always set in stone. [ Read More… → ]

A Bankruptcy debtor cannot file another Chapter 7 for a period of eight years from the date of the previous Chapter 7 filing.

A debtor filing bankruptcy can certainly list real estate taxes as part of the debt that will be discharged, assuming that the debtor is abandoning the home.

However, if it is the debtor’s intention to retain the home, the real estate taxes cannot be discharged in usual situations, and they must be paid by the debtor.

Complete details on Standard Legal’s Bankruptcy legal forms software here.

A reaffirmation agreement is a document used in conjunction with a personal Bankruptcy filing that “restates” or puts the terms of a contract with a creditor back into place, as if the bankruptcy had not been filed with respect to that creditor and that debt/loan. [ Read More… → ]