Chapter 13 is price controlled by the bankruptcy judges. In August 2023, they set the fee at $6339. We get about half up front, and the rest out of the Chapter 13 payment you make to the court. So up front, $700, $1000, and $1100. Then $3529 from your payments–that works out to $65 a month over a five year Chapter 13. Here’s the Chapter 13 fee Agreement

There are several dozen outfits that are approved to offer the required bankruptcy classes. We recommend Moneysharp.org. Click here for full size. We like Moneysharp because the $10 price is reasonable, and because many people think those classes are actually helpful. (Remember, even if they are not helpful to you, they are still required.) You need to call 866-200-6825 To get this to work, you need to call the 866-200-6825 phone number twice. Call it when you are ready to start, and have them charge it on my account. (That way I get a copy of the approval, that I can upload straight to the court.) You see they print my name right on the coupon. (Typing my name into the coupon code blank on the website isn’t enough; you still need to call.) Then call again after you finish. They want to talk to you for a few minutes to confirm you paid some attention to the class. They make you spend at least two hours on the internet. Some people really get into it, and spend longer. Don’t get bogged down. The bankruptcy classes are like the second grade: you can’t fail, you just have to be there. There Are Two Bankruptcy Classes: You Can’t Take Them Together You have to do the first class before we can send your papers to the court. The second class can’t be done early–you can’t do it before we send in the papers. It should be done during the month right after the papers go to the court, but before we go to the court. Watch Out for Scammers There are scammers who try to scare you into taking their more expensive second class. They send out an official-looking warning, to sign you up for their bankruptcy class, instead. Don’t fall for it. Do both classes with Moneysharp. They’re the people we work with and like best. PS Moneysharp is also available En Espanol. Ask about it when you call.

Your Bankruptcy Papers “Here are the papers we sign and file, to get your bankruptcy officially started. This is a half-hour video.”  

Your Bankruptcy Papers “Here are the papers we sign and file, to get your bankruptcy officially started. This is a half-hour video.”  

When you’re in chapter 13, you don’t want a tax refund. Why? If you get a refund more than $250.00, you have to send it in to the bankruptcy trustee. So you don’t want to over-withhold. You also don’t want to under-withhold. Why? Because on April 15, you’ll owe a tax payment. And you probably won’t have money available to pay it. So you want as far as possible to break even when the taxes are filed. In Chapter 13, as far as possible, you want to break even when you file your taxes. That can be tough to do. In January 2020, the IRS released a new calculator, that they claim will help you be accurate. Here it is. Hope it helps.

What About ….? What about my bank account? Filing bankruptcy does not force you to close your bank account. (Many credit unions will fire you as a customer.) If your credit is already so bad you can’t open an account, try TD Bank, a new bank in Northern Virginia. Another option is Wood Forest Bank, in some of the larger Walmarts, including the one on Liberia Avenue in Manassas.. What about immigration status? Filing for Bankruptcy will not hurt your immigration status. You can still get a green card– you can still become a citizen, exactly the same as before. What about my tax refunds? Filing for Chapter 7 Bankruptcy will not stop your tax refunds. Will my employer know? Filing Chapter 7 Bankruptcy will not involve your employer. Will I be garnished? Filing for Chapter 7 Bankruptcy does not mean you will be garnished– it makes it illegal for your credit cards and medical bills to garnish you. The post Miscellaneous Virginia Bankruptcy Questions appeared first on Robert Weed Bankruptcy Attorney.

Many clients have contacted us regarding defaulted SBA EIDL loans and the period of time in which the SBA or the Government may sue them to collect on the defaulted loan (the statute of limitations). The law and rules, as noted below are complex and vary based on the facts of the case.The Federal Government has 6 years to commence a lawsuit (statute of limitations) against the entity or person that obtained the EIDL loan from the SBA and defaulted.The Federal Government also has 6 years to sue the guarantor of a defaulted SBA EIDL loan.The 6 years runs from the date the borrower defaulted on the debt or the last time the borrower made a payment or otherwise acknowledged the debt in writing.However, the Federal Government also takes the position that the statute of limitations for fraud on an SBA EIDL loan is 10 years.Tax Refund Offsets - The IRS generally has 10 years to collect outstanding taxes, penalties, and interest by offsetting tax refunds. This 10-years starts  from the date the tax return was filed or the date the tax was assessed.Federal Payments Offset - Federal agencies generally have 10 years to refer eligible debts to the Treasury Offset Program for administrative offset of federal payments like Social Security retirement and disability benefits. Salary Offset - Salary offset refers to withholding money from a federal employee's disposable pay to collect a debt owed to the federal government. There is generally no statute of limitations on federal salary offsets.Administrative Wage Garnishment - This is garnishment of pay as a means of collecting defaulted federal debt, even for a non-government employee. There is generally no statute of limitations as long as the underlying federal debt is still valid and legally enforceable.However, only 15% of a person’s pay may be offset thru wage garnishment. This post does not discuss the statute of limitations for criminal penalties or actions by the Federal Government, which is beyond the scope of this post. Individuals or businesses with questions about SBA EIDL loans should contact Jim Shenwick, Esq   jshenwick@gmail.com    917 363 3391Please click the link to schedule a telephone call with me.https://calendly.com/james-shenwick/15minWe held individuals & businesses with too much debt!

Many clients, attorneys, and accountants have asked where they can find our blog posts on SBA EIDL loans. To make their search easier, they are listed below. If you would like to speak with Jim Shenwick, Esq regarding your SBA EIDL loan, please click the link to schedule a telephone call with me.https://calendly.com/james-shenwick/15minSBA EIDL Penalties if an SBA EIDL Loan is Not Repaidhttps://shenwick.blogspot.com/2023/12/sba-eidl-penalties-if-sba-eidl-loan-is.htmlMisuse or Misapply SBA EIDL Loan Proceeds and Chapter 7 Bankruptcy Filingshttps://shenwick.blogspot.com/2023/08/misuse-or-misapply-sba-eidl-loan.htmlSBA EIDL HARDSHIP PROGRA Mhttps://shenwick.blogspot.com/2023/07/sba-eidl-hardship-program.htmlDefaulted SBA EIDL Loans, Limited Liability Company (LLC) and Cancellation of Debt Income (COD) under Section 108 of the Internal Revenue Codehttps://shenwick.blogspot.com/2023/07/defaulted-sba-eidl-loans-limited.htmlOffers In Compromise ("OIC") for Defaulted SBA EIDL loans and Section 108 of the Internal Revenue Code ("IRC"), Relief of Indebted Income, a Trap for the Unwary!https://shenwick.blogspot.com/2023/05/offers-in-compromise-oic-for-defaulted.htmlEIDL LOAN WORKOUTS AND BANKRUPTCY    https://shenwick.blogspot.com/2022/07/eidl-loan-workouts-and-bankruptcy.htmlEIDL Loan Default Questions & Answers https://shenwick.blogspot.com/2022/10/eidl-loan-default-questions-answers.htmlEIDL LOAN DEFAULT DOCUMENT REVIEW, WORKOUT, BANKRUPTCY FILING & OFFER IN COMPROMIS Ehttps://shenwick.blogspot.com/2022/07/eidl-loan-default-document-review.htmlEIDL Defaulted Loanshttps://shenwick.blogspot.com/2022/07/eidl-defaulted-loans.htmlNew Relief Program for SBA EIDL Borrowers Who are Having Difficulty Repaying EIDL Loans " Hardship Accommodation Plan"https://shenwick.blogspot.com/2023/05/new-relief-program-for-sba-eidl.htmlEIDL LOANS and SBA OFFER IN COMPROMISE PROGRA Mhttps://shenwick.blogspot.com/2022/07/eidl-loans-and-sba-offer-in-compromise.htmlPPP & EIDL Fraudhttps://shenwick.blogspot.com/2022/08/ppp-eidl-fraud.htmlBetter to connect-What small business owners need to know about repaying loans tied to pandemic relief from the SBA EIDL Loanshttps://shenwick.blogspot.com/2022/11/better-to-connect-what-small-business.html

 IRS waiving $1B in penalties for people, firms owing back taxes — here’s who qualifiesNY Post has article discussing the IRS waiving $1 billion in penalties for certain tax years. The article can be found at https://nypost.com/2023/12/19/business/irs-waiving-1b-in-penalties-for-people-firms-owing-back-taxes-for-2020-or-2021/?utm_source=gmail&utm_campaign=android_nypJim Shenwick, Esq  917 363 3391  jshenwick@gmail.com Please click the link to schedule a telephone call with me.https://calendly.com/james-shenwick/15minWe held individuals & businesses with too much debt!

The New York Post published an article stating that consumer spending through "buy now, pay later" services has increased as consumers struggle with growing debt obligations. This trend could lead to a rise in bankruptcy filings after the holidays. The article is available below. https://nypost.com/2023/12/18/business/holiday-debt-hangover-poised-to-be-particularly-nasty-this-year-analyst-says/?utm_source=gmail&utm_campaign=android_nypJim Shenwick, Esq  917 363 3391  jshenwick@gmail.com Please click the link to schedule a telephone call with me. https://calendly.com/james-shenwick/15minWe held individuals & businesses with too much debt!