Chapter 7 Bankruptcy filing and Exemptions

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Message

sid

Post subject:

I am planning to file Chapter 7 bankruptcy because of the huge debts that I’ve incurred. Can you tell me if I file bankruptcy, will it affect my wife’s credit?

Niicss
Niicss

Joined: 03 Oct 2005
Posts: 2579
Location: New Jersey

402.93 Dollars($)

Post subject:

Hi Sid, You haven't mentioned whether your wife has joint debts with you or not. However, if you do not have joint debts with your spouse, then her credit will not be affected. She may even take a loan in order to purchase another property. But if there are any joint debts, then your bankruptcy will appear on her credit report as well. It will affect her credit score also. Thanks. _________________ Good is the Enemy of Great.

Vicky989

Guest

0.10 Dollars($)

Post subject: inheritance after filing

2 weeks after filing for chapter 7 my mother-in -law passed away. My husband is getting $5,000 from her IRA. Is this exempt in Ohio from the Trustee taking it from us?

Guest

Post subject:

I think, as your husband have inherited it after his mother has passed away, it will be exempted and the trustee will not be able to claim from you. Better consult a lawyer in this regard.

Peet123

Guest

0.10 Dollars($)

Post subject:

I'm pretty confused regarding my plans of filing bankruptcy…I will be filing chapter 7 if that helps. I have heard that collectors can force me to dispose of property other than my house and one vehicle and other allowable goods or belongings. But I do not find the law stated clearly as to who will be made responsible for the disposal or what can they really take... What can they really take if I file for ch7? Will it do me any good if I sell off my property now and pay off the debts of the collectors? Also my wife's name is not on the mortgage and property…so will her credit be ruined or will the collectors take her things??? We are planning to buy a property later on depending upon her credit and income so will my declaring bankruptcy prevent her from buying a home or car in the future?

jerry

Moderator

Joined: 17 Oct 2005
Posts: 1754
Location: MICHIGAN

260.24 Dollars($)

Post subject:

Hi Peet, In case of chapter 7 bankruptcy, the trustee generally liquidates your property in order to pay off the creditors. To know about what assets are included in the chapter 7 bankruptcy, check out the given link: http://www.mortgagefit.com/bankruptcy/chapter7.html#assets Moreover, you should also note that you may be able to save your property if you can afford to reaffirm your mortgage debts once you are discharged from Chapter 7 bankruptcy. As you have mentioned that your wife's name is not on the property deed neither on the mortgage, then her credit will not be affected neither will the bankruptcy trustee has the right to take away her properties. As you are filing bankruptcy, it will not prevent her from getting a mortgage or a car loan. The lender will check her credit report and income history while approving a loan to her. Thanks, Jerry

tstar

Guest

0.10 Dollars($)

Post subject: chapter 7 and follwing years tax returns

my spouse and I filed a chapter 7 in sept of 08. We recived a discharge with an approved Order Approving Trustees report of no distribution and closing estate. All final and signed by the judge. How will this affect the filing of my tax return in Feb of 09. Can they take it?

Guest

Post subject:

Tax refunds or a portion of it are considered as a part of the debtor’s assets and are taken up by the trustee to pay your creditors. However, there are exemptions on them and it differs from state to state. But as your bankruptcy has been discharged, I don’t think they should claim the refunds from you.

friend of Chap 7 claimant

Guest

0.10 Dollars($)

Post subject: auto exemption

I bought a friend an auto for $4,000 without listing a lien on the title. The individual filed Chapter 7, Federal court 3 months later, Dec, 2008 in Michigan . He was told his home with a mortgage lien is protected n(equity $10,000) but his auto is not without a lien. I understand there is a $2500 federal auto exemption- should this amount not apply to reduce his liability? The vehicle may only be worth $3000 now to further reduce the bancrupcy trustee's claim. PJC

Guest

Post subject:

Yes, he should get the $2500 federal auto exemption and this should reduce his liability.

Guest

Post subject:

Hello community!... I'm in some serious mess and would like to ask some questions…Just hope someone can answer them. There's a lien on my property. Right now, I'm also planning to file bankruptcy as well. So my question is…Will my filing bankruptcy remove the lien from my property??? Or does the lien still remains on the property forever??? There's another question for you guys as well… I am divorced and live in community property state so my question goes… will this bankruptcy filing of mine wipe my community debts as well? I hope someone soon answers my question…Sorry for being long winded…but can't help it…I'm in desperate need of help…

jerry

Moderator

Joined: 17 Oct 2005
Posts: 1754
Location: MICHIGAN

260.24 Dollars($)

Post subject:

Hi Guest, As far as I know, under some conditions, you may be able to file a special motion to remove some of your liens. The creditors will not remove the lien from the property until they get an order from the bankruptcy court to remove them. You will have to consult your bankruptcy attorney and check if you can file the special motion for removing the liens. As far as the question regarding the community debts are concerned, you can be discharged from all the community debts which are dis-chargeable according to bankruptcy law. But remember that if you are discharged from the community debts, then it makes your ex-spouse liable for the entire debt. Thanks, Jerry

Marti1212

Guest

0.10 Dollars($)

Post subject: chapter 7 dismissal

i did not have the funds to pay for my court fee installments and I have a dismissal hearing coming up. The trustee took my tax return which is the only thing i was counting on to pay my rent...so it comes down to bankruptcy or a place to live...will my 09 refund be returned to me in the case of my dismissal?

sara

Moderator

Joined: 05 Jul 2006
Posts: 1651
Location: New Brunswick, New Jersey

308.83 Dollars($)

Post subject:

I guess the refund should be returned to you after the dismissal.

dmack

Guest

0.10 Dollars($)

Post subject: chp 7 discharge

The debtor never finished paying for the ATV 1128.38, I have a valid UCC filing, I dont know if he even still has the ATV or if he sold it and chose not to pay it off. Can a debt that was Sold out of Trust SOT be discharged. How can I find out if he still has the ATV. (1200 miles away)