Bankruptcy

Call: 888-297-6203 If you thought handling debts were difficult, you have not looked at the documents required in bankruptcy. Los Angeles based bankruptcy law firm Recovery Law Group lawyers inform that there are four chapters under which individuals can file for bankruptcy. However, determining which chapter will work best for you is something you cannot decide. This is done by experienced bankruptcy lawyers. They ask you questions related to your debts, assets, etc. and depending on your answers, suggest the best chapter for filing for bankruptcy. Since every case is different, there is no fixed way to suggest [...]

Call: 888-297-6203 It often happens that people filing for bankruptcy jointly owe debts with other people. Whether these people are Authorized users or Co-debtors, determines their rights and obligations. A co-debtor is a person who signs a debt with another person. This means that a co-signer is a co-debtor. There is a separate section for co-debtors in all the bankruptcy petitions. In bankruptcy, your personal liability on a debt can be removed but the liability of your co-debtor remains the same. Thus, the co-debtors get a notice when a bankruptcy is filed and their obligation to pay remains [...]

Call: 888-297-6203 The effect of a raise on your bankruptcy depends on the bankruptcy chapter you file for and also on the amount of raise. In the legal world, the term “Material” is often referred to. In a legal sense, it means “Significant”. The term “Material Witness” can be used for describing a raise. A raise can affect your case if it is big enough to have a “material” effect on your income. To qualify for Chapter 7, apart from a few exceptions, you will have to prove that your income is less than the average income for [...]

Call: 888-297-6203 It is difficult to avoid car payments. A drop in the value of a used car is inevitable and thus, many people, driving financed vehicles, owe more to the lender than the worth of the asset. However, you can pay the actual worth of the vehicle rather than the amount you owe on it. According to 11 USC 722, a bankruptcy debtor is allowed to pay the secured portion of the car debt for satisfying the lien. A “Security” (physical asset) has to be given for a loan which can be exchangeable for satisfying a lien. [...]

Call: 888-297-6203 One of the greatest effects of the changes in the bankruptcy code in 2005 was the Means Test. This amendment was so misunderstood and terrifying for the people that they were in a hurry to file for bankruptcy before the scheduled enactment of this amendment. Some people thought that the Means Test will make it impossible to file for Chapter 7 bankruptcy. Of course, not all the rumors were completely accurate. The Means Test takes the number of members in the debtor’s household, into account and compares the debtor’s income with the income of the average [...]