What if I didnt list all of my debts in bankruptcy

TRANSCRIPTION OF VIDEO

The question is: What happens if I don’t list all of my creditors on my bankruptcy schedules? The answer to this question can vary a little bit. It depends on what type of Chapter 7 case that you have as designated by your Chapter 7 trustee. There are two types of cases. There’s no asset cases and then there’s also asset cases.

If your case is a no asset case, that means that there’s no distributions that are going to be made to your creditor. In the Ninth Circuit, which is the Circuit in which Nevada bankruptcy cases are filed, there’s a rule or case law which is a decision that a judge made which says that even if you fail to list all of your creditors in a no asset case, those debts are still discharged. The reasoning is that those creditors wouldn’t have had an opportunity to receive any better treatment had they known about the bankruptcy.

The exception to that rule is that if it was a non-dischargeable type of debt, then even if it’s a no asset case, it wouldn’t have been dischargeable in that case anyway. If your case was an asset case and you failed to list that creditor, then yes, the answer is that that creditor may not be subject to your discharge and they’ll have the right to pursue collection action against you after your case has been closed and discharged.

What if my name is on my moms bank account in bankruptcy

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The question is: What if my name is on someone else’s bank account? Is that a required piece of information to disclose to the court? Yes, the answer is simply yes. If your name is on a bank account that you judge not to be a bank account that you use primarily even though it’s not an account that you’re  using, your name is on it so there is some legal interest in the bank account.

Now, an experienced attorney can help you plan for this and advise you of the ramification of this type of account and the particular circumstances. However, you need to err on the side of disclosure. You don’t want to run afoul of failing to disclose a required piece of information and having it come back to haunt you and prevent you from getting a discharge.

When do I get my discharge in a Chapter 13 – Video

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The question is: When do you get a discharge order entered in a Chapter 13 case? Chapter 13 cases vary in their time length. There’s three year plans and there’s five year plans, and in some cases you can submit plans that are in between that time frame. In order to receive a discharge in a Chapter 13 case, you have to have completed all payments required under your Chapter 13 plan.

Now, depending on whatever time length you’ve decided upon with your attorney, that will dictate when the discharge order can be entered. Once you’ve completed all the plan payments whether it be three years or five years or somewhere in between, the Chapter 13 trustee that has appointed over your case will do a final accounting of your case and it will typically be entered within a short time frame thereafter, usually about three months after you’ve completed plan payments.

What is a discharge in bankruptcy

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The question is what is a discharge in bankruptcy? A discharge in bankruptcy is simply a fancy way of referring to the order that the court enters that wipes out the debt that a person owes at the time that they file bankruptcy. Now a discharge order is pretty powerful. A discharge order prevents creditors from taking any further action to collect against that particular debt. That includes phone calls, it includes legal action, it includes letters. Any of these harassing types of actions are prohibited once the discharge order is entered. The discharge order is entered at the end of a successful bankruptcy.

 

When do I get my discharge in a Chapter 7 – Video

TRANSCRIPTION OF VIDEO

The question is, when does a discharge occur in a chapter 7 bankruptcy? The answer to this question is pretty simple.  When you file a chapter 7 bankruptcy, what’s called the 341 meeting the creditors is set at approximately 30 to 40 days after the filing date.  Now, after that hearing there’s a 60 day timeframe in which creditors can file an objection to your discharge order.  That’s where creditors can make some sort of complaint with the court saying that you’re not entitled to have their particular debt wiped out.

If they’re doing the math with me the 30 to 40 day timeframe plus the 60 days after your 341 date would 90 to 100 days as a typical timeframe in which discharge orders entered in a chapter 7 case.  Assuming that you’ve completed all of your obligations as a debtor in the chapter 7 bankruptcy case you can anticipate that the discharge order will be entered around that time.

Are all my debts discharged in bankruptcy? – Video

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The question is: Are all of my debts discharged in bankruptcy or are only some of them discharged? The answer is, it depends on what kind of debts you have. There are certain cases in which certain types of debt are considered non-dischargeable in your bankruptcy case. That’s a fancy way of saying that those debts can’t be eliminated or wiped out. Types of non-dischargeable debt often include recent taxes that are owed to the IRS or other governmental agencies. Student loans are often non-dischargeable.

Now in certain circumstances, those types of debts can be dischargeable so it’s important you speak with an experience bankruptcy attorney that can advise you whether or not your type of debt is dischargeable but generally speaking, credit cards, payday loans, common types of consumer debt will be dischargeable in your bankruptcy case.

 

Bankruptcy Helps Good People

Last year a man I’ll call David walked into my office to talk about bankruptcy.

The first thing he said was “I want to pay people what I owe them.”

David was the kind of guy that seemed to have everything in his life worked out. He was successful in his business, earning over 80,000 dollars annually, and had met many of his personal life goals. Yet here he was, talking with an attorney about something that he thought shouldn’t be possible: declaring bankruptcy. The first thing he said was “I want to pay people what I owe them.”

He felt it was difficult to even consider it. Like most of us, David had been raised to believe in taking care of himself and paying back debts. He believed in doing what was right, and he wondered if bankruptcy should even be considered. After all, wasn’t that “cheating?” Should responsible people even consider bankruptcy?

David’s Story

David had been doing fine with his life, paying his bills on time and being a model citizen. One day, though, he recognized he would need just a little extra money to take care of an unexpected expense. So he did what many people do every day: he went to a payday loan center and took out a two-week loan. Like many payday loan consumers, he felt that the two-week timeframe would allow him to avoid long-term debt and not burden his family. Instead, this loan would prove to destroy his finances.

When the loan came due, he paid what he could, but found he simply didn’t have enough to pay it all back that quickly. He had to take out another loan to pay off the original debt. Then another. And another.

Interest on the Payday Loan had climbed to $4000 per month.

In a matter of months, what had started as a manageable payment had spiraled out of control. No amount of belt tightening was enough. Interest on the payday loans had climbed to 4000 dollars a month. The payday loan was sinking his family finances. David wondered how somebody in his position, making a decent earning, taking care of his obligations, could have got into this situation. More importantly, how could he get out?

Freedom

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First, we took a look at that loan system. Some quick calculations on the payments, time frame, and principal showed that they were charging him over 400% interest on his loans. This predatory practice made it impossible for David to ever escape.

With that in mind, and with his sincere desire to pay back his debts, we talked about a “Chapter 13 bankruptcy.” The Chapter 13 bankruptcy let us strip the interest from the payments and let David set up a straightforward payment plan to pay back not just the payday loan company, but all of his creditors.

With a road map laid out, and approval from the courts, David is now on the path to even greater financial security. He didn’t have to lose any of his property. He didn’t have to burden his relatives. He was able to create a solution that let him keep his promises and take care of his family.

Bankruptcy Can Be a Tool for Responsible People

I know there are many more people like David out there. Maybe you’re one of them. Maybe you are trapped in a payday loan. Remember: You are not a bad person if you can’t pay them back. The reality is that their predatory lending practices are designed to trap and enslave people. But there is help.

Bankruptcy isn’t a cure-all for financial woes. But it can often help people find the breathing room they need to get back on their feet.

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We are excited to announce the creation of the Clear Counsel Law Group.  We are a group of Southern Nevada lawyers who are eager to make a difference in our community.

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