Exempt Property - Assets That Are Protected (Part 2 of 3) Exemptions are provided under state law. The Federal bankruptcy laws allow each state to determine which assets a person is allowed to keep when a bankruptcy case is filed. California is one of the most generous of all states when it comes to exemptions. [...]
Legal Snapshot: A Quick Overview (Part 4 of 4) Exclusion waiver for “special circumstances.” The court does have discretion to waive this rule in the case of special circumstances. The law defines special circumstances to mean situations such as aserious medical condition or a call to active duty in the U.S. military. It remains to [...]
The Chapter 7 Bankruptcy Discharge of debt. The basic premise behind Chapter 7 is that the debtor is deeply insolvent and wants to gain a discharge of debts. Most Chapter 7 debtors today are primarily concerned with credit card debts. It is not uncommon to see Chapter 7 cases for individuals that have credit card [...]
Legal Snapshot: A Quick Overview How bankruptcy works. Bankruptcy begins with the filing a Petition in the Federal bankruptcy court, seeking relief under one of the various chapters of the Bankruptcy Code. As soon as the Petition is filed, the bankruptcy law imposes an automatic stay, which operates as a restraining order against the creditors. [...]
Legal Snapshot: A Quick Overview (Part 3 of 4) New bankruptcy laws. A “new” bankruptcy law (called BAPCPA) took effect on October 17, 2005. The new law contains many significant, complicated changes which affect individuals who seek bankruptcy protection. Among other things, the new law has revised the eligibility standards by excluding people who might [...]
Before considering bankruptcy, shouldn't I first try to seek out some consumer credit counseling? Consumer Credit Counseling agencies of Los Angeles offer debt consolidation plans that only helps about 30% of the people who seek them out. Many such agencies claim to be non-profit, however many receive most of their funding in commissions called "fair [...]
Legal Snapshot: A Quick Overview (Part 1 of 4) Always get expert help. Bankruptcy is too complicated for you to jump into this without getting expert help. Many people do try file on their own, without an attorney. However, many of the “do it yourselfers” will make serious, costly mistakes that could have been avoided [...]
Isn't bankruptcy immoral, and just taking the easy way out? Bankruptcy is a gut-wrenching experience that most people would rather avoid if they could. It is not easy. And it is not immoral. Bankruptcy is the law of this land, not a gimmick or loophole. Bankruptcy is a law enacted by the U.S. Congress, called [...]
Is it moral? Morality is not for us to decide. With regard to your legal rights, Bankruptcy laws are the first and most important line of consumer defense. It is your right to have relief, and you should have an experienced attorney on your side to make it happen successfully.Back to Previous Page
Would a debt consolidation company be better? It really depends on your situation – and on the consolidation company.Frequently, debt consolidation plans are phony deals that enrich the company at your expense. At the end of the day, your credit will be just as bad as or worse than if you had filed bankruptcy and [...]