The Rules for Time Required between Bankruptcy Filings How long you must wait to file a bankruptcy case after you’ve filed a previous one depends on both which Chapter the earlier bankruptcy was filed under and the Chapter of the new case being filed: 2 years from an earlier Chapter 13 case to new Chapter 13 one 4 years from earlier Chapter 7, 11, or 12 case to new Chapter 13 one 6 years … [Read more...]
Potential Traps in Surrendering an Out-of-State Home
If you have moved recently to New Jersey and own or recently owned a house in the state you lived in before, and you are surrendering that home to the mortgage company, that house could possibly still be a source of significant problems. Those problems can continue after you thought that the house was foreclosed. Also, there are important issues to keep in mind even after you file a bankruptcy … [Read more...]
Choosing Between Chapter 7 and 13 if You Have Student Loans
Discharging—legally writing off—student loans is quite difficult under either Chapter 7 “straight bankruptcy” or Chapter 13 “adjustment of debts.” The pertinent law, Section 523(a)(8) of the United States Bankruptcy Code, says is that a student loan is not discharged unless it “would impose an undue hardship on the debtor and the debtor’s dependents.” “Undue Hardship” Congress did not define … [Read more...]
Choosing Between Chapter 7 and 13 if You Owe Money to Your Ex-Spouse
The Main Differences Here between Chapter 7 and 13 Child and spousal support CAN’T be discharged (written off) under EITHER Chapter 7 “straight bankruptcy” or Chapter 13 “adjustment of debts.” But other kinds of divorce obligations—sometimes called “property settlement” debts—CAN be discharged, but ONLY under Chapter 13. Also, if you are behind in your support payments, Chapter 7 CANNOT stop … [Read more...]
Choosing Between Chapter 7 and 13 while Continuing to Operate Your Business
Chapter 7 and Chapter 13 Are Quite Different “Straight bankruptcy” Chapter 7 is a “liquidation” procedure. Your assets are reviewed, mostly by you listing them by categories in the bankruptcy “schedules,” with the help of your attorney, and being asked questions about them by the Chapter 7 trustee, both while you’re under oath. The trustee determines whether you have any assets that are not … [Read more...]
How Chapter 13 Helps If You’re Behind on a Vehicle Loan
Falling behind on a vehicle loan is a scary experience, especially if you are rely on your vehicle to get to work (or to find work!), and to take care of life’s other necessities. It is all too easy to get your vehicle repossessed—vehicle lenders’ contracts usually let them to do as soon as you are late on your payment. Limitation under Chapter 7 “Straight Bankruptcy” Once you have fallen … [Read more...]
Choosing Between Chapter 7 and 13 after Closing Your Business
If you’ve already closed down your unsuccessful business, or are thinking of closing one you are now operating, you no doubt are wondering about the best way to deal with the debts that are now saddling you from that business. The answer depends on many factors, including the type of debts that you owe. Here are the main types of business debts, and how Chapter 7 and Chapter 13 would each deal … [Read more...]
Stop Support Enforcement’s Actions against You through Chapter 13
Chapter 13 is an extraordinary legal tool for protecting you from the aggressive civil law collection methods of your ex-spouse and the local support enforcement agency, allowing you to catch up while under this protection. Child and Spousal Support (Alimony) Collections New Jersey state law allows ex-spouses and support enforcement agencies to be extremely aggressive in their methods for … [Read more...]
Catching up on Your Mortgage Arrearage under Chapter 13
One of the major reasons that people file the Chapter 13 "adjustment of debts" type of bankruptcy is because of the many tools it provides for saving their homes. One of the most important of those tools is the option of taking three to five years to catch up on back mortgage payments. Compared to Chapter 7 "Straight Bankruptcy" First, you get much more protection under Chapter 13. In a Chapter … [Read more...]
NATIONAL COLLEGIATE STUDENT LOAN TRUST (NCT): NOT IN NEW JERSEY!
Who is NCT? That’s complicated. Your student loan probably originated with a private bank. Over time, the bank transferred the promissory note to the National Collegiate Funding, LLC. National Collegiate Funding, LLC then creates and packages the loans into series of trusts pursuant to Delaware statutory law. They then sell the loans to investors as asset backed securities. NCT claims to own … [Read more...]
