Discharge - A successful filing will result in you receiving a "discharge". The discharge relieves your legal obligation to pay credit card debt, medical debt, pay day loans, lines of credit, old tax debts, most lawsuit judgments and some others. It is the discharge which really allows you to get a fresh start after bankruptcy. Foreclosure - As long as a Tucson bankruptcy filing happens before the actual day of the trustee dale than any foreclosure will be stopped, at least temporarily. If you chose...
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No. You will not. The purpose of making bankruptcy available as an option is not to punish you for whatever circumstances have lead to financial troubles or for getting in over your head. For the vast majority of our clients, they have gotten too deeply into debt through no fault of their own. Maybe they have been ill or have had to cut back their hours at work to care for a family member who has been ill or been laid off or lowered pay...
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When someone files for bankruptcy, they are immediately assigned a "trustee". A trustee is similiar to a referee. They work between the debtor and creditors to ensure that both are treated equally. They are appointed to examine your case, finances and assets. The trustee look over your assets for any nonexempt property that can be sold, handle the sale of it, distribute the liquidated property equally among creditors with valid claims and report this to the court. The trustees are by no means out to get the debtor; they...
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The short answer is yes. However, you should not postpone or be nervous about filing bankruptcy because of the classes. They are short, not graded and can be taken online or over the phone. There are two mandatory bankruptcy classes. You must take one before filing your class known as the debtor education class. At our firm, we have a contract with a company called CIN Legal, after we register you for the course, you can easily access this information on their website and complete the...
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The length of your chapter 13 plan is determined by comparing your gross annual income to your states median income. If your income is above the state median income than your chapter 13 must be five years in length. If it is below than your plan must be at least three years in length.
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Unsecured creditors in a chapter 13 are entitled to receive 100% of your monthly disposable income. Unsecured creditors are owed debts such as credit card debt, medical debt and other debt that does not include any property pledged as collateral. Your monthly disposable income is determined by a formula provided by the bankruptcy law known as "means test". The formula takes your gross income and reduces it by the costs of necessities such as food, clothing, transportation, household expenses, healthcare expenses, withholdings from your paycheck...
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Chapter 13 is most commonly referred to as "reorganization" because you are given the opportunity to rearrange your debt. Rearranging debt offers many different options depending upon the type of debt at issue. Sometimes debt that is secured by collateral can be rearranged to decrease the total amount due for that particular debt. For example, if you purchased an automobile more than 30 months prior to filing an Arizona chapter 13 bankruptcy and the value of the vehicle is less than the amount of the...
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Arizona Chapter 7 Bankruptcy has many nicknames, such as "straight bankruptcy" or "liquidation". Liquidation is a good description because one basic premise of chapter 7 bankruptcy is that your unsecured creditors are entitled to the value of all you non-exempt property. For example, in Arizona if you owned a Mickey Mantle rookie card in mint condition that is worth $1500 when you filed chapter 7 bankruptcy it will be considered a non-exempt asset. Non-exempt means that there are no laws which guarantee that you are...
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More likely than not, if you file bankruptcy in Arizona it will either be a chapter 7 or a chapter 13 bankruptcy. The numbers 7 and 13 simply refer to the laws set forth in those two chapters of title 11 of the United States code. The advice of an expert Tucson Bankruptcy Attorney will help guide your decision.
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Bankruptcy is designed to allow an honest debtor to obtain a fresh start. An “honest debtor” refers to someone who has incurred debts with the intention to repay them but due to intervening circumstances cannot. There are checks and balances in the bankruptcy process to seek out the debtor who incurs a debt that he never intends to pay and then files an Arizona bankruptcy with the hope of receiving a court order called a “discharge” which legally relieves his obligation to pay the debt....
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