Filing for bankruptcy tends to sound like an intimidating and shameful process. In reality, bankruptcy petitioners are often surprised to find how simple and even easy the process can be under the right conditions. While filing for bankruptcy has its fair share of legal hurdles, bankruptcy hearings are often pretty tame. In many cases, petitioners only have to attend a select few hearings. These hearings might not be very complicated depending on which bankruptcy chapter you file under and whether any creditors dispute your petition. However, these hearings might be quite important and contentious if serious disputes arise. One of the most important hearings is actually more of a meeting. The 341 meeting with creditors might set the pace and tone of your case. Other hearings might include status, confirmation, and trustee hearings. Again, these hearings can be smooth and uneventful depending on how you file and whether there are many major disputes. Ideally, bankruptcy hearings should be quick. If your case is not properly prepared or creditors raise significant concerns, the process can be more time-consuming. Schedule a review of your financial situation with our bankruptcy attorneys for no charge by calling Young, Marr, Mallis & Associates at (215) 701-6519. Do I Have to Go to Court for a Bankruptcy Hearing? Before asking what goes on at bankruptcy hearings, you should figure out whether you even need to be present at a bankruptcy hearing. The first thing to know is that the bankruptcy process involves multiple hearings, not just one. There might be hearings to determine the status of your case, to work out disputes with creditors, and to finalize certain aspects of your petition, among others. Petitioners are often not required at bankruptcy hearings, especially when the issues being heard pertain to procedural rules and details. Our bankruptcy lawyers are prepared to represent you at hearings in your absence. If you are needed at a certain hearing, your attorney should tell you. You should also receive advanced notice from the courts about the time and place of the hearing. Most bankruptcy issues are worked out outside of court. Your petition and payment arrangements with creditors are often arranged well in advance of being finalized in court. Court hearings are, more often than not, formalities. If everything is in order before you get to court, the hearing should be smooth and quick. Hearings only become more serious matters if there are major disputes in your case. For example, if creditors believe your bankruptcy claims are fraudulent, a court hearing might be required to settle the issue. Attending a 341 Meeting with Creditors The 341 meeting with creditors is where any major disputes might be raised, if any. The name of this meeting comes from the bankruptcy code section that requires the meeting. At this meeting, you, your attorney, and creditors to whom you owe debts may meet and discuss your situation. What happens at this meeting often forms the basis of other hearings and sets the tone for the remainder of your case. As such, it is important to work with an experienced attorney. At the meeting, you should have documentation of your finances prepared for review. Creditors will also be given the opportunity to raise concerns over the debts they are owed. Often, creditors do not even attend these meetings. If no major issues are raised, your case may quickly move forward. At this meeting, you might have to prove you qualify for bankruptcy. This often involves passing a means test. The means test measures your ability to pay your debts. If you earn too much money compared to your debts, you might be ineligible for bankruptcy. Your competency to follow through with the bankruptcy plans (e.g., liquidation, payment plans) may be evaluated. Other Bankruptcy Hearings and Proceedings There might be numerous hearings involved in the bankruptcy process. For example, quick status hearings might be arranged to determine whether your petition is ready to move on to the next stage. If it is, your case moves forward, and dates for future hearings might be scheduled. If not, you might be given a deadline by which you should be ready. Often, petitioners are not required at status hearings. Confirmation hearings are common in Chapter 13 bankruptcy cases. These hearings are meant to confirm and finalize payment plans devised by petitioners. As long as payment plans are feasible and are not objected to by creditors, confirmation hearings should be fairly simple. Trustee hearings are also held in many Chapter 13 cases. In such cases, a trustee is placed in charge of the case and makes sure petitioners adhere to the appropriate bankruptcy laws and procedures. If there are issues, your trustee might call a hearing. For example, if you have not submitted your proposed payment plan by the deadline, your trustee might arrange a hearing to find out why. If you cannot provide a valid reason for the delay, the trustee might file a motion to dismiss your petition. How Long Are Bankruptcy Hearings? The time it takes to get through bankruptcy hearings varies from case to case. Ideally, many hearings should be quick with little fanfare. If issues or disputes arise, hearings might be more involved and take longer. For example, a 341 meeting with creditors might be fairly quick if no creditors object to your petition. However, if creditors raise concerns over the debts they are owed, this heating might take a while. On top of that, the duration of hearings is often based on how prepared you and your Philadelphia bankruptcy attorney are. For example, suppose you do not have any information about your debts, income, assets, or other important financial details ready before an important hearing. In that case, the hearing will likely be postponed, and your case may take longer to complete. Our team can help you get all necessary forms, paperwork, and information prepared well in advance of all your bankruptcy hearings. Contact Our Bankruptcy Lawyers for Support with your Hearings and Proceedings Arrange for an evaluation of your financial predicament with our bankruptcy lawyers at no cost to you by calling Young, Marr, Mallis & Associates at (215) 701-6519.
Filing for bankruptcy is nobody’s idea of a good time, but it is often a necessary solution to serious debt problems. Chapter 13 bankruptcy is one potential option, and the timeline for filing might vary based on your circumstances. Chapter 13 bankruptcy is a good fit for those with a steady income. You should meet with an attorney and discuss your situation in depth, which might take days, weeks, or longer, depending on your financial situation. The actual signing and filing of your case are relatively fast, usually taking only about a day. Getting a payment plan approved might also take time, depending on whether creditors disagree with our proposed plan. It would be best if you began making payments on your debt payment plan within 30 days of filing your case, and your plan should be final and confirmed within 60 days. Completing the process is also time-consuming, as it takes several months to get a final report from the trustee. Overall, the Chapter 13 bankruptcy process may take 3 to 5 years or more. Schedule an initial case evaluation for no charge with our Pennsylvania bankruptcy lawyers at Young, Marr, Mallis & Associates by calling (215) 701-6519. Who Can File for Chapter 13 Bankruptcy in Pennsylvania? If you are experiencing severe financial troubles and debt, you should speak to our Pennsylvania bankruptcy attorneys about possibly filing for bankruptcy. People tend to think of bankruptcy as something to be ashamed of or a punishment for making financial mistakes. The truth is that bankruptcy is intended to be a solution to debt problems, not a punishment. Chapter 13 bankruptcy is one such option available to many people, although it tends to be a better fit for those with a steady income. Chapter 13 Bankruptcy Debt Limits The great thing about Chapter 13 bankruptcy is that anyone might be eligible. You can file under Chapter 13 whether you are an individual, self-employed, or even operating an unincorporated business. However, restrictions exist on how much debt you can have to be eligible. You may not file for bankruptcy under Chapter 13 if your combined secured and unsecured debts are $2,750,000 or more. To be eligible, your debt must be less than this sum. For many, this is a very high limit that does not pose a problem to their case. However, particularly high earners might be very close to this limit. It might be difficult to determine where your debts fall in relation to this limit. Many people have unfortunately lost track of some of their debts and need help accounting for everything. Even if you are unsure whether you are eligible to file under Chapter 13, you should still meet with an attorney to discuss your situation. What if I Do Not Qualify for Chapter 13 Bankruptcy? If your debts are too great or you do not meet various other eligibility requirements for Chapter 13 bankruptcy, do not despair. There are multiple bankruptcy chapters to choose from, each designed for different kinds of people in different financial situations. Talk to your attorney about which chapter fits your needs the best. Some possible bankruptcy options other than Chapter 13 are Chapter 7 and 11. Chapter 7 is a popular option among individuals filing for bankruptcy, while Chapter 11 is geared more toward business entities. Under Chapter 7, a person may liquidate various assets and properties to help pay debts. For example, if you own vehicles, a home, and other properties or have financial assets, they may be sold off. While losing assets and property is not ideal, the trade-off is that Chapter 7 bankruptcy may be completed relatively quickly. In many cases, petitioners have their assets liquidated and their debts paid or discharged within a few months. Chapter 11 is very similar to Chapter 13 in that they both focus on reorganizing debts rather than liquidating assets. Petitioners filing for Chapter 11 bankruptcy may remain in possession of their business and continue operations as normal while reorganizing and paying debts over time. This might be a good fit if you need to file bankruptcy for a business rather than yourself. Pre-Filing for Chapter 13 Bankruptcy in Pennsylvania You do not simply decide to file for bankruptcy, go down to court, and file your claim. Our Philadelphia bankruptcy lawyers put a lot of work and preparation into your case before it is filed. Bankruptcy cases are often fraught with legal and financial complications, and you should work with an experienced lawyer on your case. How much time is spent during this “pre-filing” stage may vary based on your circumstances. One of the most important aspects of your case you and your lawyer need to nail down before filing for bankruptcy is determining the extent of your debts. People filing for bankruptcy often have numerous, significant debts. Some debts are secured, while others are unsecured. Debts might be a mix of large sums (e.g., student loans, mortgages, medical bills) and smaller debts (e.g., credit cards, utilities, late fees). Your eligibility for Chapter 13 bankruptcy might be in jeopardy if your debts exceed the limit mentioned above, which is why you, your attorney, and possibly a financial advisor should meet and take a full accounting of your debts and assets. Depending on your situation, this might be quick or very time-consuming. You should also consult a Chapter 13 bankruptcy lawyer to determine if bankruptcy is the right option. You might find that after accounting for all your debts and assets, you have enough assets to cover many of your debts, and bankruptcy might not be necessary. Alternatively, you might find you have no significant assets, and bankruptcy is your only way out. The more complicated your finances are, the longer it might take to sort out your case before you file. Chapter 13 Bankruptcy Signing and Filing in Pennsylvania Once your case has been sufficiently prepared, you and your attorney may file your petition with the court. While people often focus on the actual filing of the lawsuit, this process does not take up much time. Generally, the filing process may be completed in as little as a day. Even so, this process does have a few important steps you should take with your attorney. Certifying and Signing That the Documents Are Accurate After preparing your case, you and your lawyer must review everything and verify that all paperwork, forms, and everything else is in proper order. Certifying your documents is crucial because it can be surprisingly easy to miss small mistakes that come with huge consequences. For example, you might mistakenly leave out information about certain debts or assets. To you, this might be a minor oversight and easily fixable. To the court, this might seem like you are trying to hide important financial information. It is not unheard of for desperate people to try to hide assets from courts during the bankruptcy process, and it never goes over well. Fixing such a mistake might also mean trying to get back into the court’s good graces. File with Bankruptcy Court Filing your case sounds fairly simple. In many cases, the act of filing involves simply dropping off and stamping paperwork with the court clerk. While this seems like a no-brainer, it is a critical step that must be handled carefully. First, you need to make sure you are filing your claims in the right court. You cannot walk into just any courthouse and file for bankruptcy. Since bankruptcy is a federal issue, ordinary state courts have no jurisdiction. You need to make sure your case is filed in bankruptcy court. Your lawyer should know where the court is and how to submit your case. Automatic Stay Goes into Effect Another important part of the filing process is the automatic stay that immediately goes into effect. The automatic stay is implemented to stop creditors from trying to collect on your debts while your bankruptcy petition is pending. Although this is temporary, it is often a huge relief to people being hassled by creditors. Part of the automatic stay means that creditors must cease demanding payment, at least for the time being. If credit card companies, banks, or bill collectors are still trying to contact you, tell your attorney immediately. Another aspect of the automatic stay is that creditors cannot take adverse action against you. If creditors threaten to repossess property, sue you for unpaid debts, or foreclose on your home, they must refrain from doing so until your bankruptcy case is complete. By that time, your debts might be cleared or discharged. Submitting Chapter 13 Bankruptcy Documents to a Trustee Once your documents are filed, they must be submitted to the bankruptcy trustee. The trustee is the person the government appoints to represent your estate in bankruptcy proceedings. Trustees are often in charge of assessing your debts and assets and recommending what to do next. It may take up to 21 days before the trustee has the bankruptcy documents from your filing. Once the trustee has your documents, they can begin working on your case and with creditors to help discharge and eliminate your debts. If more than 21 days have passed since you filed your case and you have not heard from a bankruptcy trustee, talk to your lawyer immediately. Chapter 13 Debtor Starts Making Payments Under Chapter 13, bankruptcy petitioners reorganize their debts and develop payment plans to help reduce them over time. While it might take a while before your case is finalized, you should begin making payments on your payment plan no later than 30 days after you submit your case to the court. The plan might be altered later, but you should make payments sooner rather than later. Creditor Meetings Before your case is finalized, your bankruptcy trustee may have several creditor meetings where they meet with creditors’ representatives to review your potential payment plan. Since creditors have a fairly significant stake in your bankruptcy case, they can weigh in on your tentative payment plan. These meetings often happen about 30 days after you submit your case. Plan Objections As mentioned, creditors who hold your debts may weigh in on your case. Since they have an interest in getting the money they are owed, they may accept or reject your payment plan. Sometimes, creditors might vote on whether to accept a proposed payment plan. Other times, they might voice objections, and we can work with them to make sure everyone is happy. Plan Confirmation Once your payment plan has been discussed and debated with your creditors, it must be approved. Your plan should be approved no less than 60 days after it is submitted if there are no objections. If there are objections, we might have to go back and forth with creditors longer. Chapter 13 Bankruptcy Plan Duration Overall, the time it takes to plan, submit, and discuss your payment plan may take between 36 and 60 months. You should be working to keep up with payments even if your plan still needs to be finalized. The plan may be modified, and your attorney can help you prepare for various possibilities and eventualities. People with higher debts that creditors do not want to let go of might spend more time trying to get the plan finalized. Completion of Pennsylvania Chapter 13 Bankruptcy Plan Once your payment plan has been fulfilled and completed, we need to formally complete your case so you can finally move on. The trustee should issue a final report regarding the completion of your payment plan. The report might take time to assemble, and you might have to wait a few weeks to a few months, depending on the situation. Once the court has the final report, it might discharge certain debts. Often, courts are willing to discharge certain debts if petitioners have faithfully adhered to the payment plan, made timely payments, and creditors have approved the plan and potential discharge. The final decree and closing often occur within about 2 weeks of the last discharge. How Long Does the Chapter 13 Bankruptcy Process Take to Complete in Pennsylvania? The entire bankruptcy process for those filing under Chapter 13 takes about 3 to 5 years in many cases. However, if your case presents certain complications, it might take longer. For example, if creditors are uncooperative and refuse to approve a payment plan, we might spend more time working out that issue before your case can move forward. Although spending several years working on a bankruptcy case might seem daunting, remember that the outcome is in your best interest. Once your case is over, your remaining debts should be under control while others are discharged. The biggest advantage of Chapter 13 is that petitioners often do not have to liquidate assets, so they can keep their homes, vehicles, and other properties. Contact Our Pennsylvania Bankruptcy Attorneys for Assistance with Your Case Schedule a confidential case review for no cost with our Bucks County, PA bankruptcy attorneys at Young, Marr, Mallis & Associates by calling (215) 701-6519.
Imagine getting stuck in a financial storm. Debt is swirling around you, creditors are knocking at your door, and it feels like there’s no way out. Then, you catch a glimmer of something in the distance. Could it be a lifeline? You’ve heard of Chapter 7 Bankruptcy, but is it the right choice for your+ Click Here For Read More The post How To Navigate Chapter 7 Bankruptcy in Chicago appeared first on David M. Siegel.
AP News is reporting that billions of COVID19 relief was stolen or wasted. Should we be surprised? The story can be found at https://apnews.com/article/pandemic-fraud-waste-billions-small-business-labor-fb1d9a9eb24857efbe4611344311ae78Jim Shenwick, Esq 212 541 6224 jshenwick@gmail.comWe help companies & individuals with too much debt!
Student loan payment restart: Here’s the official date you’ll have to start paying again Aug 29, 2023 according to AL.com AL.com is reporting that the official date when student loan payments will commence is August 29, 2023. The article can be found at https://www.al.com/news/2023/06/student-loan-payment-restart-heres-the-official-date-youll-have-to-start-paying-again.htmlJim 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!
Losing your home in a sheriff’s sale can be a painful process. A sale is almost always permanent, as many homeowners won’t be able to redeem their property once sold in Pennsylvania. The right of redemption is reserved for homeowners whose property has been sold in a sheriff’s sale because of unpaid real estate taxes in Pennsylvania. If your home was foreclosed upon and sold because of unpaid mortgage payments, you will not have a right of redemption. Because of this, it is important to stop a sheriff’s sale before it happens by declaring bankruptcy. You can then exempt your home from liquidation or consolidate all debts in a repayment plan. Bankruptcy provides a way for debtors to keep their homes and re-establish their financial security. To schedule a free evaluation of your case with Young, Marr, Mallis & Associates, call (215) 701-6519 to speak with our Pennsylvania bankruptcy lawyers today. What is a Right of Redemption for a Pennsylvania Sheriff’s Sale? If your home was taken in Pennsylvania and subsequently sold in a sheriff’s sale, you might be able to redeem it if you act quickly enough. This only applies to homeowners whose properties have been sold at tax lien sheriff’s sales. In Pennsylvania, the right of redemption is only reserved for those with delinquent property tax payments. Property cannot be redeemed if a home has gone through a mortgage foreclosure. This means that if your home was foreclosed upon and sold off in a sheriff’s sale because you missed mortgage payments, you will not be able get your property back. In Pennsylvania, eligible homeowners have nine months from the date their property is sold in a sheriff’s sale to redeem it. Unfortunately, the process is not so simple. Suppose you want to redeem your property after it has been taken and sold. In that case, our Philadelphia bankruptcy lawyers can help you create a plan to address your financial situation and repay debts associated with your home. Typically, debtors have nine months from the recognition of the deed of a property, or when it is transferred to a new owner, to pay back all unpaid real estate taxes and other costs associated with the sale. If you are eligible for the right of redemption but are unable to repay taxes out of pocket, Chapter 7 bankruptcy may allow you to do so within four to six months. Because your home was already sold in a sheriff’s sale, you would not have to protect it using liquidation exemptions. That said, other assets might be liquidated in order to repay debts and redeem your home in Pennsylvania. What if I Don’t Have a Right to Redemption for My Property in Pennsylvania? When your home is threatened with foreclosure and a possible sheriff’s sale because you have missed mortgage payments, it is crucial to stop the proceedings immediately. You will not have a right of redemption if unpaid mortgage payments are why your property is sold in a sheriff’s sale in Pennsylvania. Get an Automatic Stay An automatic stay can stop a sheriff’s sale in its tracks. When debtors declare bankruptcy in Pennsylvania, an automatic stay takes effect. This stops any debt collection efforts, including sheriff’s sales. This is an important step to take for debtors at risk of losing their homes because of mortgage foreclosure, as they won’t be able to redeem their property if it is eventually sold in a sheriff’s sale. Most debtors are eligible for automatic stays. If you have filed for bankruptcy several times in the recent past, an automatic stay might not last for the duration of your bankruptcy proceedings. File for Chapter 13 If your main goal is keeping your home, it may benefit you to file for Chapter 13. This type of bankruptcy allows debtors to keep their assets, including their homes, while they repay their debts. While the means test will determine the bankruptcy chapter you can file for, you might be able to choose Chapter 13 if your income permits. Although debtors can use federal liquidation exemptions to protect certain property when filing for Chapter 7 in Pennsylvania, Chapter 13 all but ensures that your home remains in your ownership during bankruptcy. Make a Repayment Plan Instead of having to repay your debts in nine months to redeem property, debtors can do so over a period of three to five years with a repayment plan. Furthermore, a repayment plan will consolidate all of your debts under the same low-interest rate, meaning you can address your financial situation fully with a repayment plan, not only outstanding mortgage payments. Repayment plans must be submitted for approval within two weeks of declaring bankruptcy in Pennsylvania. While it may take you several years to complete a repayment plan, your home will be protected during that time because of the automatic stay. Discharge Debt If you choose Chapter 13 bankruptcy, eligible debts will be discharged only after you complete your repayment plan. In rare cases, there might be an exception, allowing debts to be discharged their debts at the beginning of the bankruptcy process. When a debt is discharged, it is effectively erased, meaning a debtor no longer have to repay it. In Chapter 13, dischargeable debts include medical bills, credit card payments, and personal loans, among others. Knowing that your other debts will eventually be discharged can allow you to focus on repaying debts associated with your home so that you can retain it once you exit bankruptcy and avoid a sheriff’s sale, where you would not have a right of redemption had your property been sold because of mortgage foreclosure. Stop Foreclosure on Your Home in Pennsylvania Call (215) 701-6519 to get a free case analysis from the Warrington, PA bankruptcy lawyers at Young, Marr, Mallis & Associates today.
Globe Newswire is reporting that Commercial Chapter 11 Filings Doubled Over Same Period Last Year. The article can be found at https://www.globenewswire.com/news-release/2023/06/02/2681388/0/en/Commercial-Chapter-11-Filings-Doubled-Over-Same-Period-Last-Year.htmlJim Shenwick, Esq 917 363 3391 jshenwick@gmail.comPlease click the link to schedule a telephone call with me. https://calendly.com/james-shenwick/15minWe held individuals & businesses with too much debt!
Here’s How You Can Make Your Chapter 13 Payments in the Alexandria VA Bankruptcy Court The bankruptcy law tells you to make your first Chapter 13 payment one month after your bankruptcy case is filed. If you forget, or bounce, your first payment, the Chapter 13 trustee can dismiss your case. (That means DO NOT […] The post Chapter 13 Payment Information by Robert Weed appeared first on Northern VA Bankruptcy Lawyer Robert Weed.
Here’s How You Can Make Your Chapter 13 Payments in the Alexandria VA Bankruptcy Court The bankruptcy law tells you to make your first Chapter 13 payment one month after your bankruptcy case is filed. If you forget, or bounce, your first payment, the Chapter 13 trustee can dismiss your case. (That means DO NOT […] The post Chapter 13 Payment Information by Robert Weed appeared first on Northern VA Bankruptcy Lawyer Robert Weed.
The Motley Fool has an article about Here's What Happens When a Company You've Invested in Goes Bankrupt.The article can be found at https://www.fool.com/the-ascent/buying-stocks/articles/heres-what-happens-when-a-company-youve-invested-in-goes-bankrupt/Jim Shenwick, Esq 917 363 3391 jshenwick@gmail.comPlease click the link to schedule a telephone call with me. https://calendly.com/james-shenwick/15minWe held individuals & businesses with too much debt!