In many Dallas bankruptcy cases there is confusion about whether money in a bank account is part of the bankruptcy estate. For bankruptcy purposes, money in a bank account is part of your bankruptcy estate if the money in the account is your money. Just because your name is on a bank account doesn’t necessarily mean […]
TEXAS BANKRUPTCY: YOU DON’T HAVE TO BE INSOLVENT
I received an email from a client recently asking if she needed to be “broke” before filing bankruptcy. I have never been asked this question before, and I am surprised, because it is a very good question. The Bankruptcy Code doesn’t require you to be insolvent in order to be eligible to file bankruptcy. Actually, […]
VOLUNTARY DISMISSAL OF CHAPTER 13 BANKRUPTCY CASES
The Bankruptcy Code allows debtors in Chapter 13 cases to voluntarily dismiss their bankruptcy case at any time. The ability to dismiss a case can be useful in many different situations. For example, when plan payments are higher than anticipated when the case is filed, debtors may wish to have their case dismissed. It is […]
WHAT DEBTS CANNOT BE DISCHARGED IN BANKRUPTCY?
There are three common types of debts that cannot be discharged in bankruptcy. The first type of nondischargable debt is income tax liability. The general rule is that if you incurred income tax liability within the last three tax years, the debt will not be discharged in bankruptcy. The second type of nondischargeable debt is […]
WHAT IS THE DIFFERENCE BETWEEN CHAPTER 7 AND CHAPTER 13 BANKRUPTCY?
Chapter 7 bankruptcy is commonly referred to as a “liquidation” bankruptcy, however very few cases involve liquidation of a debtor’s property. Chapter 7 bankruptcy cases are a good option for eligible debtors who have debts they wish to discharge and who are current on their payments to creditors holding a security interest in property the […]