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 HAPPENS WHEN A DEBTOR DIES WHILE IN BANKRUPTCY?
Rule 1016 of the Federal Rules of Bankruptcy Procedure addresses what happens to a bankruptcy case when a debtor dies. In Chapter 7 bankruptcy, the case continues. The estate of a Chapter 7 debtor is administered and the case concluded as though the death had not occurred. When a bankruptcy case is filed, property is […]
What is Chapter 7 Bankruptcy?
Everybody has bills. Perhaps you must be late on a payment or miss one entirely. It isn’t ideal for your credit score, but in the present condition of America’s economy, lots of people need to “rob Peter to pay Paul.” If this really is you, you most likely don’t need to think Bankruptcy, not just […]
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 […]