Category Archives: Chapter 13
Personal bankruptcy filings soar during tax season
Many Florida residents use their income tax refunds to pay bills or fund a vacation, but others use the money to cover the costs of filing Chapter 7 or Chapter 13 personal bankruptcies. Taking advantage of the fresh start offered by the nation’s bankruptcy laws involves paying filing and legal fees, and many Americans… Read More »
Rising interest rates may result in more debt
As a result of growing confidence in the economy, the Federal Reserve increased the benchmark interest rate by a quarter of a point earlier in March. For many Florida credit card holders, this is going to result in a potentially substantial increase in what they owe. This is because many credit cards have variable… Read More »
Many Florida residents with medical debt are middle class
While many people assume that individuals with medical debt are poor or don’t have insurance, the reality is that increasing numbers of people who owe doctors and hospitals money are in the middle class. While many people do not get needed medical care because they are uninsured or under-insured, individuals still frequently go to… Read More »
Chapter 13 plans that allocate income for retirement
When Florida residents file Chapter 13 bankruptcies, they enter into repayment plans that last between three and five years. This type of debt relief allows individuals or married couples to retain their assets, but most of their disposable income must be applied to their outstanding debts. Chapter 13 payment proposals are reviewed and confirmed… Read More »
What happens to debt when a person dies
Some Florida residents who are struggling with debt might wonder what would happen if they died while still owing money. This is the case for most people. On average, according to the credit bureau Experian, the average debt without including home mortgages is $12,875. Including mortgage debt, the average is $61,544. While debt generally… Read More »
Foreclosure trustee not bound by FDCPA
Florida residents considering filing for bankruptcy may be interested in learning about a recent ruling the Ninth Circuit Court of Appeals handed down. A foreclosure trustee and others were sued by a borrower who asserted that recording a notice of default and other documents required by law was a violation of the FDCPA, or… Read More »
Court rules incarcerated man’s income too low for Chapter 13
Incarcerated people in Florida who are in debt might be interested in learning that a felon in jail in Illinois was not permitted to file for chapter 13 bankruptcy because his income was insufficient to work out a payment plan. However, the man still had the option of filing for a chapter 7 bankruptcy…. Read More »
Appellate ruling favors lenders in Chapter 13 case
Florida residents may be interested in an appellate court ruling in March 2017 that serves as a reminder to both debtors and lenders about the importance of legal wording and the limits on modifying a loan in a Chapter 13 case. A debtor attempted to argue that $137,000 should be turned into an unsecured… Read More »
Court rules dog barking claim not dischargeable
Florida residents may be interested in a March ruling that set an important precedent for discharges in Chapter 13 bankruptcy cases. The ruling is an example of how certain judgments and debts may not be dischargeable in bankruptcy if they are pursued in court. The case involved a nuisance lawsuit due to the excessive… Read More »
Chapter 13 bankruptcy and a car loan cramdown
Florida residents who have filed for Chapter 13 bankruptcy might qualify for what is known as a loan cramdown on their car. The owners needs to be upside down on the loas. This means that they owe more on the car than the car is worth. There are two other requirements for a cramdown…. Read More »