I voluntarily surrendered my car to Chase and it just sold today. I don't yet know how much it sold for or what I will still owe, but meanwhile I'm filling out the various schedules for my Chapter 7 bankruptcy and have a question: although I no longer have the car in my possession, do I list this debt on Schedule D – "Creditors Holding Secured Claims?" Is the car still considered a secured claim? the other option would be to list it on the unsecured priority claims form or on the unsecured nonpriority claims form.

Also, the form wants to know the date that the claim was incurred. Would this be the date that my car was purchased and the loan began? there is an "unliquidated" column on this form that I am supposed to check if it applies. I'm not sure what this means or the "contingent" column. I've waded through a lot of terminology with my bankruptcy and feel good about my progress, but I need to be careful and make sure I am understanding these schedules correctly.

Thanks!

No. If you have surrendered the collateral it is no longer a secured claim. If they claim that you owe a deficiency (your car sold for less than what you owe) that is an unsecured claim.

You need an attorney. you should not be looking to anonymous strangers on the Internet for legal advice. MUCH of the "legal advice" regarding bankruptcy that is offered in response to questions on Yahoo!answers is inaccurate or incorrect. you don't know whether it is a teenager "guessing" at the answer or somebody who actually knows what they are talking about. Whats more, some people answering questions here have been known to claim credentials they don't actually have (for example, "I'm a doctor," stated by people who aren't actually doctors, etc.).

Make an appointment with a local bankruptcy attorney. EVERYONE filing bankruptcy "thinks" they can't afford an attorney because they're broke. That is the nature of bankruptcy — people filing bankruptcy tend to be broke. But bankruptcy attorneys are very familiar with that dilemma and can help you figure out how you can afford to get the legal advice you deserve from an attorney licensed to practice law in your jurisdiction.

For my Chapter 7 bankruptcy, is my surrendered car considered a secured claim?

For my Chapter 7 bankruptcy, is my surrendered car considered a secured claim? is a post from: Chapter 7 Bankruptcy Information

After meeting with your credit counsellor and going over all the available financial solutions to your problems, you decide you want to go ahead with filing chapter 7 bankruptcy. What happens from here? do you have to go to the bankruptcy court? When are you going to get your discharge? What forms do you have to fill out? how long will this process take? In this article, we summarize the basic steps that you will go through after making your decision of filing chapter 7 bankruptcy.Note: Every bankruptcy case is unique and requires different legal decision making so use these steps as a general guide and refer to your bankruptcy lawyer for specific information.

1) Provide Complete Information to your Bankruptcy Lawyer

Once you have chosen a lawyer who will represent your bankruptcy case, you will need to provide documentation regarding all of your debts, your current net worth (requires showing your bank account information) and all of your liabilities including alimony payments you are making, car payments, other loans and mortgage information. you will also be required to show your income from all sources for the past 6 months.

2) Attend Credit Counselling sessions

You will be required to attend at least 2 credit counselling sessions because it is a requirement of the chapter 7 bankruptcy process. The purpose of these classes is to teach you to be financially responsible and to live within your means so you do not end up in this same bankruptcy mess again. Topics you will learn about include financial budgeting, money management, financial literacy, housing costs maintenance (if you own a home), manage debt, use credit cards responsibly, etc.

3) Review Petition and Sign Forms

A bankruptcy petition is filed with the US bankruptcy court and initiates your bankruptcy case for processing, and for ultimate discharge. In other words, a bankruptcy petition is a request for seeking protection from the US bankruptcy laws and is submitted to the court. Before submission though, you must meet your bankruptcy lawyer a second time and finalize all details.

4) Bankruptcy Petition is Filed and Case # is Provided

After a week of your confirmation with your lawyer, the bankruptcy petition will be filed with the courts and you will receive a case number. once you have a case number, you will be asked to attend a 2nd credit counselling & financial education session. this must be done prior to your first bankruptcy court hearing.

5) Automatic Stay goes in to Effect

After your case number is provided, an automatic bankruptcy stay goes in to effect. this automatic stay prohibits creditors and collection agencies from contacting you or taking any legal action against you, except for certain secured debts. In fact, creditors are not even permitted to call you at this point.

6) Notice from Bankruptcy Court

After your bankruptcy petition has been filed with the court, you will receive a notice of hearing within 30 days.

7) Hearing at the Bankruptcy Court

You will need to attend a court hearing where the bankruptcy trustee will ask you a series of questions regarding your case. it is the lawyer’s job to prepare you for this interview and make sure you have answers ready to give to the trustee. From past experience, most bankruptcy court hearings are 10 minutes or less.

Reaffirming your Debts and Keeping Property

Whilst in your interview with the bankruptcy trustee, if there are any debts that you would like to ‘reaffirm’ meaning you would like to keep the property that is secured against those debts, you will need to inform this to the trustee and sign a ‘reaffirmation agreement.’ this therefore means you will have to sign a repayment schedule with that creditor and you will usually be offered a low interest rate if it is your loan or car payment.

9) Bankruptcy Discharge

Two months after your court hearing, you will receive a notice of bankruptcy discharge from the US bankruptcy court. At this point, your case is over and you are relieved of all the debt that was claimed in the petition; except those debts that you choose to reaffirm.

There you go, this is a list of steps you should expect to go through while under your chapter 7 bankruptcy. Please note that each bankruptcy case is unique and you may be required to go through additional steps if your case is more complicated; talk to your lawyer on your specifics.

Ahmed is a publisher at Chapter 7 bankruptcy. this site provides information on filing for chapter 7 bankruptcy, adversary proceedings & bankruptcy discharge, means test, who is eligible to file & lots more.

Article Source: A Timeline of the Process of Filing Chapter 7 Bankruptcy

Wealth Channels » A Timeline of the Process of Filing Chapter 7 Bankruptcy

Wealth Channels » A Timeline of the Process of Filing Chapter 7 Bankruptcy is a post from: Chapter 7 Bankruptcy Information

Minneapolis area bankruptcy attorney David Kelly discusses income and other requirements for filing personal Chapter 7 bankruptcy in Minnesota, from Attorney David Kelly, Minnetonka, near Minneapolis, St. Louis Park, Hopkins, Golden Valley and Plymouth. this is the kind of bankruptcy which is the usually first choice of individuals who are in serious financial difficulty. it is very well suited to consumer debts, but often works well for self-employed individuals and small businesses too. it is commonly called a “straight” bankruptcy, and is also often referred to as a “liquidation.” the bankruptcy court appoints a trustee who reviews what assets the debtor has available for distribution to creditors. Those would be only the assets that the debtor is unable to claim as exempt. If some assets are available, the creditors are notified. Those who submit claim forms will be given their proportionate share of the available assets, but that is ordinarily all they are going to receive. Since this video was made the median income requirements which the video refers to have gone up twice, so those numbers in the video are out of date. up to date numbers for median income in Minnesota can be found on Dave Kelly’s web site at mn-bankruptcy.com Kelly Law Office 1013 Ford rd. Minnetonka, MN 55305 952-544-6356 mn-bankruptcy.com Kelly Law Office represents bankruptcy clients throughout the Twin Cities – Minneapolis, Minnesota area including Bloomington, Edina, Minnetonka, Eden …

[WATCH]: Qualifying for Chapter 7 Bankruptcy in Minnesota is a post from: Chapter 7 Bankruptcy Information

one thing leads to another. with foreclosures on the rise in Plymouth County, bankruptcy filings are skyrocketing, as those who’ve opted for short sales or experienced foreclosure seek shelter from banks that could potentially sue them for the outstanding balances.

Suddenly, some attorneys who specialized in real estate, family or criminal law are beefing up their bankruptcy knowledge to cash in on a growing market.

Plymouth Bankruptcy Attorney William Scannell hasn’t had to do that. He’s specialized in bankruptcy for 17 years and said he has never failed to get his clients relief from debt. but there are many attorneys claiming to specialize in bankruptcy who have less than two years experience, he added.

“I have not had a Chapter 7 bankruptcy not go through in 17 years,” Scannell said. “It’s really about dedication to the law and staying up to date on all the latest changes and amendments to the U.S. Bankruptcy Code.”

the resounding message Scannell sends to the debt-ridden is that most of what they’ve heard about bankruptcy is a lie, intended to scare them away from filing. Big business and the government push these myths and misconceptions intentionally to deter people from filing, he said.

for instance, most people think filing Chapter 7 will ruin their credit for seven years. That simply is not true, he explained. the bankruptcy may be listed on a credit report for seven years, but that will not prevent the client from obtaining credit and improving their credit score for seven years.

“Chapter 7 only really affects your credit for one or two years,” Scannell said. “and two years after a Chapter 7 discharge, most individuals with regular W-2 employment can get a mortgage at a reasonable interest rate.”

another myth that has been deliberately perpetuated is that when the bankruptcy laws changed in 2005, people could no longer file for bankruptcy to be released from their short sale, foreclosure, lawsuit and credit card debt, he added. but nothing could be further from the truth. the 2005 legislation added a great deal of paperwork to the filing process so the courts could better verify a debtor’s information and set specific income limits on who could file. It also made it more time consuming for debtors and attorneys. the additional work mandated for Chapter 7 and Chapter 13 filings meant attorneys had to charge more for the service.

the credit card industry was very much a part of these legislative changes, which passed in 2005, and successfully doubled the minimum payments on credit card balances. the 1 percent norm jumped to 2 percent. It may not sound like much of a hike, but it doubled the minimum monthly payment, Scannell noted. Credit card companies were also allowed to raise interest rates – even on customers who were paying on time– based on their payment history with another card.

the irony of these changes is that, in time, they led to even more bankruptcy filings, as more and more credit card holders found they couldn’t make their monthly payments. meanwhile, the new laws made it more expensive to file for bankruptcy because the documentation required is now more extensive.

while Scannell has always been a bankruptcy attorney, he used to have time to practice other types of law occasionally. Those days are gone, he said, as his bankruptcy practice now takes all his time. he said he’s proud to be able to provide his clients with an escape route from one of life’s most stressful experiences.

Plymouth Redevelopment Authority Executive Director and HUD agent Laura Schaefer counsels her clients on how to avoid foreclosure, but sends many to Scannell when these measures fail.

 “I used to have a life,” Scannell said, smiling. “I work 12 hours per day, six days a week. People want a lawyer they can contact. How many attorneys do you know who will return every phone call within 24 hours? That’s why people appreciate my staff and me.  Its because we really care about trying to help them.”

Scannell handles every type of bankruptcy, including Chapter 7 and Chapter 13 for individuals, couples, families and businesses. the cost varies, depending on the level of difficulty and amount of work involved. for instance, Chapter 13 is a very complicated filing that helps clients stay in their homes and pay off their outstanding debt over a period of three to five years, in many cases. Chapter 7 is the more typical form of bankruptcy. It wipes out the debt for those who qualify. Bankruptcy costs begin at $1,500 to $1,800.

Scannell also warned those in tough financial straits to beware of debt settlement and debt consolidation companies offering assistance. Almost all of these agencies are frauds, he said. These companies make a fortune tricking people into schemes that leave them in a worse financial state, and they wind up having to declare bankruptcy anyway. Companies offering mortgage modification services for a price, which must be paid in advance of the company actually obtaining the modification for the client, are almost all illegal, he added.  

“the best advice for anyone seeking a mortgage modification is to contact Attorney General Martha Coakley’s office or the HOPE program,” Scannell said. “most importantly, do not ever pay a company in advance for a loan modification, unless the person doing it for you is an attorney licensed in the state of Massachusetts.”

he stressed that different states have different laws pertaining to bankruptcy, banking and foreclosure, so hiring an out-of-state company for counsel or services just doesn’t make sense.

Scannell urged residents to visit his website at wescannell.com for information on bankruptcy and its impacts.

As more banks say ‘no,’ more people turn to bankruptcy for relief is a post from: Chapter 7 Bankruptcy Information

The number of consumers filing for bankruptcy in federal courts grew by 8 percent in 2010, as more than 1.5 million consumers sought protection from creditors.The total number of bankruptcy filings for the year was up slightly from the 1.4 million observed in 2009, continuing a trend of growth that dates back to 2006.Overall, 9 percent more consumers filed for bankruptcy in 2010 than in the previous year, according to the Administrative Office of the U.S. Courts. By comparison, business filings were down 7 percent, falling to 56,000 from the nearly 61,000 seen in 2009.Despite the overall growth in filings, the pace with which consumers were seeking protection during the last three months of 2010 showed improvements, the report said. Chapter 7 bankruptcy filings were the most common, representing more than 1 million of the total court claims.however, there the number of Chapter 7 and Chapter 13 filings each grew by 8 percent over the previous year's figures. The findings were consistent with recent releases from many local bankruptcy courts, which have seen reductions in the bankruptcy rate of late. 

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These articles are all written by BankruptcyHome.com’s great editors and contributors. if you would like to write articles for BankruptcyHome.com, please email editor[at]bankruptcyhome.com.

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<a href="http://www.bankruptcyhome.com/bankruptcy-news/800410247/Growth-of-consumer-bankruptcy-filings-slows-in-2010–tag:news.google.com,2005:cluster=http://www.bankruptcyhome.com/bankruptcy-news/800410247/Growth-of-consumer-bankruptcy-filings-slows-in-2010–Thu, 17 Feb 2011 16:10:00 GMT 00:00″>Growth of consumer bankruptcy filings slows in 2010

Growth of consumer bankruptcy filings slows in 2010 is a post from: Chapter 7 Bankruptcy Information

If you’re considering of retaining one of the numerous registered Ohio bankruptcy lawyers, keep in your head that the common cost will be about $2,040. the area of bankruptcy laws has become so unbelievably complicated that lawyers mostly are specialists. so, even if you have had an attorney for some time, if you are thinking of filing bankruptcy, you’re better off with one of the bankruptcy lawyers in your county than the business or family attorney. You can ask your attorney if he or she has any recommendations. You can check out the National Association of Consumer Bankruptcy Attorneys or NACBA.

Professional Manners

Actually, low cost bankruptcy attorneys are under the same code of professional conduct as are other kinds of legal professionals in Ohio. as bankruptcy attorneys, they will not need to work with you so intensely for as long as would a defense attorney or even a divorce lawyer. You need to have a relationship at least as professional as you would your dentist. like dentists, bankruptcy lawyers need to be easily contacted and be able to explain what they are doing to your satisfaction.

And, unlike dentists, Ohio bankruptcy lawyers are not permitted to work for their families or co-habitors. this is considered unethical behavior, as there becomes a conflict of interest and a lot of snickering after court, among other things. You are not legally required to give your lawyer a Christmas gift, or even to hold the door open for her or him when their hands are full. You are, however, expected to be honest with them and to give their fees.

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Finding Ohio Bankruptcy Lawyers : HughesGlobal.com

Finding Ohio Bankruptcy Lawyers : HughesGlobal.com is a post from: Chapter 7 Bankruptcy Information

With the new bankruptcy regulation in impact as of October 17, 2005, there is quite a lot of confusion with regard to the brand new “means test” requirement. the means take a look at will likely be utilized by the courts to determine eligibility for Chapter 7 or Chapter 13 bankruptcy. the purpose of this text is to explain in plain language how the means test works, so that buyers can get a greater concept of how they are going to be affected underneath the brand new rules.

when most individuals think of bankruptcy, they assume by way of Chapter 7, where the unsecured money owed are usually discharged in full. Bankruptcy of any selection is a tough ordeal at finest, however not less than with Chapter 7, a debtor can wipe out the money owed in full and get a recent start. Chapter 13, nevertheless, is one other story, for the reason that debtor should pay back a good portion of the debt over a three-5 12 months interval, with 5 years being the usual below the new law.

Prior to the appearance of the “Chapter Abuse Prevention and Shopper Protection Act of 2005,” the commonest motive for somebody to file below Chapter 13 was to avoid the loss of fairness of their residence or different property. and whereas fairness protection will continue to be a giant reason for people to choose Chapter thirteen over Chapter 7, the new rules will power many people to file beneath Chapter 13 even when they’ve NO equity. That’s because the means test will bear in mind the debtor’s earnings level.

to use the means check, the courts will have a look at the debtor’s average revenue for the 6 months previous to filing and evaluate it to the median income for that state. For example, the median annual earnings for a single wage-earner in California is $forty two,012. If the revenue is below the median, then Chapter 7 remains open as an option. If the earnings exceeds the median, the remaining elements of the means take a look at can be applied.

that is where it gets somewhat bit trickier. the subsequent step in the calculation takes earnings less living bills (excluding funds on the debts included in the bankruptcy), and multiplies that figure occasions 60. this represents the quantity of earnings obtainable over a 5-yr period for repayment of the debt obligations.

If the revenue available for debt repayment over that 5-yr interval is $10,000 or more, then Chapter thirteen might be required. In other phrases, anyone incomes above the state median, and with at the least $166.67 monthly of accessible income, will automatically be denied Chapter 7. so for instance, if the court determines that you’ve got $200 per thirty days revenue above residing bills, $200 times 60 is $12,000. Since $12,000 is above $10,000, you’re stuck with Chapter 13.

what happens if you’re above the median income however do NOT have at the very least $166.sixty seven per thirty days to pay towards your debts? then the ultimate part of the means check is applied. If the accessible revenue is less than $100 per month, then Chapter 7 once more turns into an option. If the out there income is between $a hundred and $166.66, then it’s measured against the debt as a share, with 25% being the benchmark.

In other words, as an instance your earnings is above the median, your debt is $50,000, and also you solely have $one hundred twenty five of available month-to-month income. we take $one hundred twenty five occasions 60 months (5 years), which equals $7,500 total. Since $7,500 is lower than 25% of your $50,000 debt, Chapter 7 is still a possible possibility for you. In case your debt was only $25,000, then your $7,500 of available revenue would exceed 25% of your debt and you’d be required to file below Chapter 13.

to sum up, first figure out whether you are above or beneath the median revenue in your state (median revenue figures can be found at new-bankruptcy-law-info.com). You’ll want to account on your partner’s income if you’re a {two}-revenue family. Subsequent, deduct your common monthly dwelling expenses out of your month-to-month revenue and multiply by 60. If the result’s above $10,000, you’re caught with Chapter 13. If the result is beneath $6,000, you should still be capable of file Chapter 7. If the result’s between $6,000 and $10,000, examine it to 25% of your debt. above 25%, you’re taking a look at Chapter 13 for sure.

Now, in these examples, I’ve ignored a very important facet of the brand new bankruptcy law. as acknowledged above, the amount of month-to-month earnings accessible towards debt reimbursement is decided by subtracting residing bills from income. nevertheless, the figures used by the court docket for living bills are NOT your actual documented living expenses, but relatively the schedules utilized by the IRS in the collection of taxes. a big problem here for most shoppers is that their household budgets will not reflect the harsh actuality of the IRS authorized numbers. so even in case you assume you are “protected,” and can be able to file Chapter 7 as a result of you don’t have $100 monthly to spare, the courtroom could rule in any other case and nonetheless pressure you into Chapter 13. some of your actual expenses could also be disallowed. what remains to be seen is how the courts will deal with instances the place the price of mortgages or dwelling leases are inflated nicely above the government schedules. Will debtors be expected to maneuver into cheaper housing to satisfy the court docket’s required schedule for residing expenses? No one has any solutions to these questions yet. it is going to be up to the courts to interpret the brand new regulation in observe as circumstances proceed through the system.

Check: Bankruptcy Laws, Wisconsin Bankruptcy Laws, Delaware Bankruptcy Laws

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Tags: Bankruptcy~Chapter, Law~Regulation~Legislation, means Related Articles

The New Bankruptcy Legislation

The New Bankruptcy Legislation is a post from: Chapter 7 Bankruptcy Information