In a recent Texas Chapter 13 bankruptcy , the bankruptcy court ruled that a secured creditor who failed to file a timely proof of claim cannot be allowed to collect distribution under the bankruptcy repayment plan. Details of the bankruptcy case: Munger ("Munger" or "Debtor") and 3601 Olsen, LLC ("Olsen") executed a lease agreement in [...]
Most debtors considering bankruptcy prefer a Chapter 7 bankruptcy so that they can discharge unsecured debt and quickly conclude their case. However, sometimes filing a Chapter 13 bankruptcy yields results not possible in a Chapter 7 bankruptcy. Benefits of filing Chapter 13 bankruptcy: Chapter 13 bankruptcy allows debtors more flexibility than Chapter 7 bankruptcy. A [...]
In the recent Chapter 13 bankruptcy case in Texas, a debtor's plan was not approved by the trustee. Because of this, a dispute took place over the distribution of the debtor's assets held by the bankruptcy estate and secured creditors. Prior to dismissal of the Debtor's Chapter 13 case, ASC-as servicing agent for Wells Fargo-received [...]
When most debtors think of bankruptcy, they think of Chapter 7 bankruptcy where they can discharge their debts in a few months and get their fresh financial start immediately. Many above-median income debtors are disappointed when they find out that they only qualify for a Chapter 13 bankruptcy . But their disappointment is unwarranted.How a [...]
In the Chapter 13 bankruptcy case of debtors who owned a property which had two mortgages on it, the bankruptcy court ruled that the second lien (mortgage) be made unsecured. Let's take a look at a chronology of events Chapter 13 bankruptcy: The Plaintiffs filed a voluntary petition under Chapter 13 of the Bankruptcy Code [...]
A request to pay your mortgage outside of the Chapter 13 bankruptcy plan is not generally granted by the trustee unless there is some special circumstance. Under the bankruptcy law, a debtor in Chapter 13 bankruptcy who is in default on their mortgage must pay delinquent mortgage payments plus their regular mortgage payment through the [...]
How to Avoid Tax Problems During Chapter 13 Bankruptcy Chapter 13 allows debtors to repay some or all of their debts in a three to five year period. But in order for a debtor to qualify for Chapter 13 bankruptcy they must be able to make the bankruptcy plan payment and stay current on their [...]
Doing the right thing in your bankruptcy is important because dong the wrong thing can have disastrous results. Things you should never do in a Chapter 13 bankruptcy: Don't fail to notify the bankruptcy trustee and/or your bankruptcy attorney that you've had a change in your financial circumstances. That means that if you lost your [...]
In a recent Chapter 13 bankruptcy case in which a debtor proposed to pay their creditor's (Bank of America) claim in full over the term of their plan, was faced with a challenge by the creditor claiming that the debtor should pay 9.24% interest instead of only 5.25% interest. Bank of America alleges that its [...]
Chapter 13 Credit Reporting Many debtors feel nervous about how a Chapter 13 bankruptcy will impact their credit rating while they’re repaying their creditors. They wonder how damaging it will be to their credit rating. In this article, we’ll try to alleviate some of your stress when it comes to Chapter 13 credit reporting in bankruptcy. There [...]