Tucson Bankruptcy Blog Arizona Chapter 7

Failing the Means Test:  How to File for Chapter 7 Anyway The Means Test was designed to weed people out of bankruptcy.  Congress feared that people were filing for bankruptcy who could afford to pay off their debts but simply chose not to.  In order to keep such fraud at bay, Congress passed additions to […]

People who find themselves in financial hardship never want to be there. And contrary to the opinions of some politicians, most of them want to make good on their debt. But wanting to do the right thing and making the best decision for you are two different things in some cases. It is important to […]

The trustee is the person appointed to administer your case.  In general, the trustee seeks to make sure that your creditors are protected, and that everything goes according to the laws of the Bankruptcy Code.  But how should you treat your creditor, and why should you avoid irritating him or her? Trustees have some discretion, […]

After a bankruptcy case is completed, the trustee will get paid.  Trustees administer your bankruptcy case, and will be paid according to a commission based on how many assets are sold to pay creditors.  This is an obvious incentive to liquidate assets, but the trustee’s salary will have to be reasonable, also. In this case, […]

If you file for Chapter 7 bankruptcy, you need to pass a “means test” in order for your case not to be converted to Chapter 13.  The idea behind the test is that many debtors used to abuse the bankruptcy system by filing for Chapter 7 bankruptcy and wiping clean their debts when they could […]

Reports estimate that there are somewhere between 7 and 20 million illegal immigrants in the United States.  Many have come to the U.S. seeking work, and are often suffering financial hardships.  Many would like to seek the relief that bankruptcy can provide.  This leads many to ask:  can an illegal immigrant file for bankruptcy, or […]

It is the trustee’s job to administer your bankruptcy case.  He’s the one who will try to figure out how much property you own, what can be sold, and how much to pay creditors.  He challenges anything in the case he does not agree with, and he holds the all-important creditor meeting.  So what’s in […]

Filing for Bankruptcy may seem like a complex process. The average person probably knows very little about bankruptcy. But the process doesn’t have to be scary. There are certified Arizona  Bankruptcy Attorneys who can help you through this process. However, whether you are thinking about filing for bankruptcy or are in the process of filing […]

If you are getting calls from the utility company for past due bills you may wonder how bankruptcy will affect those services. Will my utility company be mad at me for filing bankruptcy? Will they turn of my electricity, water, gas and telephone? No! There are certain restrictions on utility service providers that restrict their […]

No.  Although outside of bankruptcy you can be taxed on the amount of debt that one of your creditor’s discharges for you, inside of bankruptcy the IRS does not consider your discharge of debt as income. But wait a minute! You may be thinking: How can a discharge of debt be considered income? Well, the […]