Bankruptcy Simplified

Bankruptcy gives you alternatives that are legal and moral . Chapter 7 and Chapter 13, and various options under each one.    

What is Bankruptcy?

Bankruptcy is a legal option for dealing with your debts. It enables you to face your financial life in an honest and realistic way. It allows you to put past problems and mistakes behind you, focus your energies on the present, and set goals for the future. Bankruptcy is a personal choice that may be right for you or may not. But if you are financially struggling, it’s wise to find out about it.

Bankruptcy

Thanksgiving for Finanical Options and the Rule of Law in Utah

This Thanksgiving, even in the midst of scary personal financial pressures, there is much for our Utah clients to be thankful for.   We all can make a list of things for which we are grateful.   Here is a short list of what to be thankful for in the world of bankruptcy: 1. The Rule of Law: We’re thankful that we live in a country that, for all of its continuous challenges, is a civil society. Without getting into the politics of it all, we can generally rely on our local, state, and national governments to fulfill their basic functions. We…

Chapter 7 vs. Chapter 13–Unsecured Debts

If you owe much unsecured debts, which of the two consumer bankruptcy options is better for you depends on the kinds of unsecured debts owed.   Unsecured Debts Debts that are unsecured are those which are not secured by anything you own. The creditor has no “security interest” in anything, no right to repossess anything if you don’t pay the debt. In general it’s easier to deal with unsecured debt than secured ones in bankruptcy. Unsecured Debts Turning into Secured Ones Unsecured debts can turn into secured ones if you don’t pay them. A credit card holder or medical provider can…

Chapter 7 and Chapter 13 in Logan Utah — A Utah Home Mortgage Overview

How do these two consumer options help with your Utah home mortgage(s)?   Chapter 7 “Straight Bankruptcy” A Chapter 7 case usually lasts about 3-4 months. It doesn’t reduce your monthly mortgage payment, and doesn’t directly help you deal with your mortgage lender if you’re behind. Instead through Chapter 7 most or all of your other debts are gotten rid of so that you are better able to catch up if you’re behind, and can better afford your mortgage and other home-related debts and expenses overall. Chapter 13 “Adjustment of Debts” A Chapter 13 case usually takes 3 to 5 years.…

Chapter 7 vs. 13–Exempt and Not Exempt Assets

Because most of the time everything you own is exempt, it’s protected in a Chapter 7 bankruptcy. Otherwise, Chapter 13 can protect it.   Our last blog post was about keeping or surrendering assets which are security on a secured debt—such as a vehicle on a vehicle loan, a home with a home mortgage, or a household appliance on a secured store credit card or contract. Today we discuss protecting assets that are not encumbered by any debt. So these assets cannot be repossessed by any secured creditor. However, your creditors would have a right to even these unencumbered assets if…

Chapter 7 vs. Chapter 13

Sometimes it’s obvious which of the two consumer bankruptcy solutions is right for you. But not always. You might be surprised.   7 vs. 13 The two main kinds of consumer bankruptcy are extremely different. Chapter 7 “straight bankruptcy” usually lasts no more than 3 or 4 months. Chapter 13 “adjustment of debts” is seldom completed in less than 3 years and can last as long as 5 years. Chapter 7 focuses on the discharge of debts while Chapter 13 on the payment of (special) debts. Both have trustees involved but in Chapter 7 he or she is a liquidating agent…

Making Sense of Utah Bankruptcy: Chapter 7 or Chapter 13 and Your Utah Home?

Although either kind of bankruptcy will stop an approaching Utah foreclosure, which one should you choose?

 

Today’s blog post is summarized by this sentence:

Generally, file a Chapter 7 “straight bankruptcy” if it buys you enough time, and otherwise file a Chapter 13 “adjustment of debts” if you need  more time, but like so much in life, it really depends on all your circumstances, with some examples of when Chapter 7 would be appropriate and a list of special advantages that Chapter 13 can get you.

The Simplistic Guideline

If you are behind on your mortgage payments, …

Making Sense of Bankruptcy in Utah: The Choice

As Utah Chapter 7 “straight bankruptcy” and Chapter 13 “adjustment of debts” are quite different,  be open-minded about which is better.  

 

Here’s the sentence we're explaining today:

Given how starkly different Chapter 7 is from Chapter 13, choosing between them can be less straightforward than you thinksometimes it IS very obvious which will work better for you, but sometimes the “other” option will help in ways you totally didn’t expect, as an example illustrates—so keep an open mind as you have your initial meeting with your attorney.

Chapter 7 and Chapter 13

Making Sense of Bankruptcy in Utah: The Basics

Bankruptcy empowers Utahns with options, including “straight bankruptcy vs. an “adjustment of debts.”

 

This is the sentence we're focusing on today:

Bankruptcy is a Constitutionally and legally valid option for addressing your debts in an honest and realistic way through (for consumers) two primary choices—Chapter 7 “straight bankruptcy” and Chapter 13 “adjustment of debts (and a couple possible others), within which you usually have some options about how to deal with particular creditors.

Bankruptcy Law

The U.S. Constitution, which was ratified 227 years ago as of this last June, specifically gave Congress the “Power… To establish… uniform Laws …

Making Sense of Utah Bankruptcy: Filing without Your Spouse to Protect His or Her Assets

You may not need to file bankruptcy without your spouse to prevent her or her asset(s) being liquidated.   Here’s the sentence that we’re explaining today:

If you want to prevent your spouse’s separate assets from being potentially taken by a bankruptcy trustee, don’t take the risks of filing a bankruptcy case without your spouse without first finding out if 1) those assets are already protected by available property exemptions, 2) can be protected through a joint Chapter 13 filing or 3) through smart pre-bankruptcy planning.

In the right circumstances it’s sensible for a married person to file…