This is NOT true. In fact, nothing could be further from the truth.
The minute you file bankruptcy, the Bankruptcy Court issues an order telling all of your creditors to leave you alone. No more phone calls. No more collection letters. No more lawsuits. No garnishments....
There exists something referred to as the "wild card" exemption. This is a very useful exemption and what allows most bankruptcy debtors to keep all their property. Section 522(d) of the Bankruptcy Code states, in relevant part:
The following property may be exempted [...
There are two main federal bankruptcy exemptions for "unmatured" insurance contracts; 11 U.S.C. § 522(d)(7) and (d)(8):
(7) Any unmatured life insurance contract owned by the debtor, other than a credit life insurance contract.
(8) The debtor's aggregate interest, not to exceed in value $11,525 less any...
One of Benjamin Franklin's most famous quotes is: "Certainty? In this world nothing is certain but death and taxes." However, the death of a Debtor does not automatically meant the death of his or her case.
The Bankruptcy Code permits the continuation of both Chapter 7...
Co-signing a loan is a dangerous thing. Too many people end up in bankruptcy due to debts they just co-signed for, so here are a few points worth considering before co-signing for a friend or family member.
There is a reason they need a co-signor....
The current economic situation has put a strain on many people. This is resulting in an increase in mortgage foreclosures.
The best way to stop mortgage foreclosures is to work proactively with your bank. So, what is going on with mortgage foreclosures?
Mortgage Foreclosures in PA Are...
Bankruptcy's automatic stay stops most lawsuits once the bankruptcy is filed. Typically, you will not be able to file a lawsuit if it relates to certain debts which include: personal loans, credit card balances, medical bills, utility bills, unpaid rent, unpaid car payments, home foreclosures or accidental personal injury cases.
Every year, thousands of Americans file for bankruptcy to achieve a fresh start with their finances. If you have little income and significant debt, you could be eligible for a Chapter 7 bankruptcy. At the end of a Chapter 7 bankruptcy, the bankruptcy court will effectively eliminate most of your unsecured debts. Not everyone qualifies for a Chapter 7 bankruptcy, however. Those who do not qualify for a Chapter 7 bankruptcy can apply for a Chapter 13 bankruptcy.
Do you receive late notices and collection letters in the mail? You probably opened them at first, but now do you just throw them in an unopened pile, hoping to deal with them later - and later never comes?
In a Chapter 13 bankruptcy, a person must pay all of their disposable income into their Chapter 13 repayment plan. Disposable income is any income that is not used for reasonable and necessary expenses such as shelter and food. When you receive a tax refund during a...
