mpool's blog

If you have transferred property or money to a creditor within 90 days or an insider (i.e., relative or friend) within a year of your bankruptcy filing, you should be aware of the 90 day bankruptcy rule.  It is crucial that you discuss any transfers of property that you have made with your bankruptcy attorney so that you may protect any meaningful transfers you have made.

NO, not if you filed in the Middle District of Alabama.

My clients often look at me confused when I mention the presumption of abuse to them when we are reviewing their Means Test.  The presumption of abuse guidelines was established in 2005 when Congress enacted the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA).  One of the primary reasons for this Act was to make it more difficult for consumers who made too much money to be able to file a

This question really depends on where you have filed your chapter 13 petition since the local rules of each court governs how income changes will affect a chapter 13 plan.  In some district, the change will not matter but it others it might.

In a chapter 13, you will make monthly payments to the chapter 13 trustee.  Once received, the trustee will then disburse those funds to your creditors as outlined in your chapter 13 plan.  To be paid, the creditor has a responsibility to file a proof of claim in your case.  If no claim is filed, they will not be paid anything.  In certain circumstances, your attorney may file a claim for the creditor to protect your rights.

The IRS requires lenders to report cancelled debts.  When a lender cancels a debt, the amount cancelled is deemed income to the individual taxpayer who received the benefit of the cancellation.  Thus, an individual taxpayer would have to pay taxes on the income (amount of the cancelled debt). This is NOT TRUE, however, if the individual discharged the debt in bankruptcy.

There are two different types of 1099 forms that you may receive after filing for bankruptcy, they are:

In the majority of cases where the court denies a chapter 13 plan, it is because a debtor did not comply with requirements outlined by your attorney or the court.  In order for your chapter 13 plan to be confirmed, you must:

I often have clients in my office who are worried that they owe too much money to file for bankruptcy.  They believe that they will not be allowed to file because of the amount and types of debts that they owe.  Most of the time worrying about this is futile since the debt limits outlined for chapter 13 are set very high in comparison to most debts owed by individuals.

The answer to this question really depends on you. One of the biggest fears for most individuals who have filed bankruptcy is that they will never be able to buy a house or car in the future. After someone obtains a discharge from bankruptcy, they will be able to reestablish their credit and obtain new loans if they: