Category Archives: Chapter 13 Bankruptcy
When Should I File A Chapter 13 In Illinois?
Many mortgage banks begin foreclosure proceedings after just two missed payments. Depending on the circumstances, many creditors allow many more missed payments than that. However, there is no guarantee. Once the pre-foreclosure process begins, it is difficult to stop. After the two missed payments, most banks accelerate the unpaid principal balance. In other words,… Read More »
Protecting Your House In An Indiana Bankruptcy
In many situations, the family home is a debtor’s largest financial asset. The house usually has an emotional value to the family that far eclipses the substantial financial value. So, protecting your family home is the number one priority of most Chapter 13 attorneys. There are a number of ways to accomplish this task,… Read More »
Which Type Of Bankruptcy Is Right For You?
Most families in Illinois and Indiana walk a very thin financial line. About half these households do not have the cash to cover a $400 emergency expense. If even a moderate disaster strikes, like a short-term period of unemployment or a brief but serious illness, the fallout could be devastating. As a result, it… Read More »
Why The Toys R Us Reorganization Failed
Bankruptcy is normally a fresh start for distressed debtors in Illinois and Indiana. However, there are very few guarantees in life. And, there is certainly no guarantee that a consumer bankruptcy will be a financial mulligan for you and your family. Things definitely did not work out that way for the giant toy retailer…. Read More »
The Different Kinds Of Bankruptcy In Illinois
All the types of bankruptcy have the same goal that Supreme Court Justice James Clark McReynolds first articulated in 1915: “to relieve the honest debtor from the weight of oppressive indebtedness, and permit him to start afresh free from the obligations and responsibilities consequent upon business misfortunes.” So, to be eligible for debt relief… Read More »
Why Do Illinois Bankruptcy Judges Use Trustees?
Most baseball games have umpires and coaches. The umpire calls balls and strikes regardless of whether the call helps or hurts one team or the other; a coach pushes for the best interests of a team. Bankruptcy judges are like baseball umpires. In any dispute between the parties, the judge determines who is right… Read More »
Should I File Chapter 7 Or Chapter 13 Bankruptcy In Illinois?
Over the years, several Supreme Court Justices have declared that the Bankruptcy Code gives an “honest but unfortunate debtor” a fresh start. The vast majority of all debtors are honest, although the occasional fraud cases, like the 2016 Dance Moms bankruptcy saga, always make the headlines. Moreover, the vast majority of bankruptcy debtors are… Read More »
The Different Types Of Bankruptcy
The Bankruptcy Code provides for several different types of consumer bankruptcy, but nearly all these voluntary petitions fall under either Chapter 7 or Chapter 13. Both these plans have some things in common. In each case, the debtor must undergo pre-filing debt counselling, as well as a post-filing financial management class. Both types trigger… Read More »
Four Dischargeable Debts In Bankruptcy
The end result of a bankruptcy petition, in almost all cases, is a fresh financial start for the honest yet unfortunate debtor. To get this fresh start, the bankruptcy judge will discharge (legally forgive) many different kinds of debts. Sometimes, debtors want to pay what they owe, or at least most of it, but… Read More »
Exempting Houses And Cars In Illinois Bankruptcies
Whether the voluntary petition is filed under Chapter 7 or Chapter 13, most all common consumer assets are exempt in Illinois, meaning that debtors rarely, if ever, must forcibly surrender their property to the bankruptcy trustee (person who oversees the case for the judge). Bankruptcy protects assets to help fulfill the law’s mission of… Read More »
