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Filing Bankruptcy Article
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Seeing Daylight Through the Eyes of Bankruptcy Laws
from:Bankruptcy laws are very clear about when you can and cannot file bankruptcy. Because of so much misuse of the bankruptcy proceedings in the past, the laws were revised in 2007. In effect the new law made it more difficult to file a chapter 7 than in the past, but once qualified, you no longer have to lose absolutely everything. The law recognizes that people in a severe debt situation need to start with a clean and manageable slate. Losing your home and the car you use to drive to work can only make the situation worse.
As a result the bankruptcy laws now allow people to keep their home and primary cars in many situations. The personal bankruptcy laws are defined under chapter 7 or chapter 13 while businesses can file a chapter 11. The laws vary, of course, depending on which type of bankruptcy applies to your situation.
When you file a bankruptcy it is almost as if a magician performed magic. The credit calls will stop and any financial collection activities are suspended by law. The mortgage company stops threatening foreclosure on your house and the credit card collection companies stop contacting you almost immediately. Even if you do get something in the mail or a phone call, all you have to do is notify your attorney who will make sure the law is followed. You will experience almost immediate relief because now your bank account or other benefits you may be receiving are not under threat of unannounced seizure.
The new bankruptcy laws require that you go through credit counseling which can be done online if you prefer. For a small fee you go through a process which analyzes your current financial status and works through a budget plan that you can follow in order to recover from the bankruptcy as quickly as possible. You also want to learn all you can to avoid having this situation ever happen again.
Bankruptcy laws provide clear rules about which assets you must list and how to value those assets. The value in some cases is replacement value which is normally retail value. You must past a “Means Test” before you are allowed to file for bankruptcy. The “Means Test” determines your true financial status and whether you can pay any of your debt. It then indicates which chapter you qualify under for filing purposes if you meet the Means Test minimum standards.
Bankruptcy laws cover a number of situations. The laws define exempt property, eligible debts that can be included in the bankruptcy filings, payment of creditors, liquidation of assets and a number of other topics. Because of the many bankruptcy law interpretations that must be made throughout the process, it is recommended that you use an attorney if at all possible. The attorney will insure you meet the requirements of the law and that you also get the greatest relief permissible.
Filing bankruptcy is a serious business that should only be undertaken when there seems to be no other options. Though the new laws are tougher than the older laws, the fact is that they do not hinder legitimate consumers and businesses from getting the relief they need.
Filing Bankruptcy Specific links
Filing Bankruptcy News
Gary Busey files for bankruptcy in Los Angeles - Boston.com
 ABC News (blog) | Gary Busey files for bankruptcy in Los Angeles Boston.com February 08, 2012|AP Court records show Gary Busey has filed for bankruptcy and is listing more than $500000 in estimated personal debts. Busey's filing on Tuesday in Los Angeles provides few details but includes more than a dozen potential creditors. Gary Busey Bankruptcy Shocker: Actor Files for Chapter 7 Protection Gary Busey bankrupt, like other 'great American institutions' Gary Busey files for bankruptcy |
Kodak Exiting Digital Cameras, Pocket Videos in Bankruptcy - BusinessWeek
 USA TODAY | Kodak Exiting Digital Cameras, Pocket Videos in Bankruptcy BusinessWeek 9 (Bloomberg) -- Eastman Kodak Co., the photography pioneer that filed for bankruptcy last month, said it will phase out the unit that makes digital cameras, pocket video cameras and digital picture frames. Kodak will seek to license its brand to other ... Kodak to shutter camera business Kodak Closes Camera Business Kodak to Stop Selling Digital Cameras |
Lehman Sues Citi for $2.5 Billion Over Transfers - Wall Street Journal
Lehman Sues Citi for $2.5 Billion Over Transfers Wall Street Journal By JOSEPH CHECKLER Lehman Brothers Holdings Inc. is suing Citigroup Inc. in an effort to recover $2.5 billion transferred to Citi in the months before Lehman's September 2008 bankruptcy filing. In a Wednesday filing with the US Bankruptcy Court in ... Lehman sues Citigroup to recoup $2.5 bln transfers Lehman estate sues Citi for $2.5bn Lehman Sues Citigroup for $2.5 Billion 'Wrongfully' Taken |
Suspected Felon Filed for Bankruptcy Shortly Before Untimely Death - http://www.totalbankruptcy.com
Suspected Felon Filed for Bankruptcy Shortly Before Untimely Death http://www.totalbankruptcy.com An Alabama man who was scheduled to stand trial for allegations of gambling and corruption reportedly filed for bankruptcy four days before police found him dead in his bed at home, according to The Republic, an Indiana newspaper. |
Bay State Personal Bankruptcy Filings Drop 16 Percent In 2011 - Banker & Tradesman
Bay State Personal Bankruptcy Filings Drop 16 Percent In 2011 Banker & Tradesman Personal bankruptcy filings in Massachusetts decreased 16 percent in 2011 from a year earlier, according to a new report from The Warren Group, publisher of Banker & Tradesman. There were 14716 Chapter 7 bankruptcies filed in Massachusetts last year, ... |