Developing A Payment Plan
The next step in the process is creating the payment plan. To create the plan you take your income minus your monthly living expenses. The remaining amount is what you will pay towards your outstanding debt. The Pennsylvania Means Test, determines how much of a debtors income will be used for living expenses, and monthly bankruptcy plan payments.
In a repayment plan not at debt is equal. Secured debt must be paid in full, including past due amounts. Money due to the government, or money ordered to be paid by a government, such as back child support, must also be paid in full. For the most part creditors seeking payments on unsecured debt, will generally settled for much less than is owed.
Once the list of creditors and repayment plan is complete, the official filing can take place. The Eastern District of Pennsylvania Bankruptcy court has locations in Philadelphia and Reading. The filing fee is $310.
We Can Help You File For Bankruptcy In Pa
While you may ask how to file for bankruptcy without a lawyer in Pennsylvania, we believe you will be glad you picked up the telephone to call us. As one client that we filed for said to us, You are the best thing that ever happened to me.She also said the worst mistake she made was waiting over six months to come to our office when she would have been put at ease had she come in much earlier.
Our office has helped over 10,000 individuals and families in the Philadelphia area get a fresh start by filing for bankruptcy and debt relief in PA. You can call The Law Offices of David M. Offen at 625-9600. We will guide you on how to get out of your debts in Pennsylvania and get you a fresh start!
Here Is A Personal Account Of The Steps Taken To File Bankruptcy Without A Lawyer
Or your court might provide information regarding other free services in your area. Bankruptcy forms are available to the public free of charge. Since 2016, its helped relieve over $207 million in debt. Determining whether you can file for chapter 7 bankruptcy without an attorney planning to file for chapter 7 bankruptcy filing for chapter 7 bankruptcy managing the bankruptcy process community q& a. Though you are allowed to file without the assistance of an attorney, it might not be advisable if your chapter 7 bankruptcy issues are complicated. Filing your case without a lawyer and without substantial experience in all the matters and issues involved in a bankruptcy is a recipe for disaster. You may be surprised to learn that u.s. The type of bankruptcy most suited to your needs, and whether individuals typically file for one of two types of bankruptcy: Filing personal bankruptcy under chapter 7 or chapter 13 takes careful preparation and use the forms that are numbered in the 100 series to file bankruptcy for individuals or married couples. Does filing bankruptcy without a lawyer really save you money? From a practical point of view, you can file for chapter 7 bankruptcies not considering the difficulty of your case. How to file bankruptcy without a lawyer. Here is a personal account of the steps taken to file bankruptcy without a lawyer.
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Learning The Definitions: What Is Chapter 13 Bankruptcy
Chapter 13 bankruptcies are often called reorganization bankruptcies. Chapter 13 bankruptcies are frequently used to stop mortgage foreclosure or lower the applicants overall monthly expenses. When an applicant files for Chapter 13 bankruptcy, he or she can repay mortgage arrears and begin to repay unsecured debt. At the end of the Chapter 13 bankruptcy process, most of the applicants unsecured debts will be eliminated, and he or she can begin with a fresh financial start.
Pennsylvania Bankruptcy Means Test
The first part of the means test is to calculate your current monthly income. A Pennsylvania bankruptcy means test calculator can help you estimate whether you qualify for a Chapter 7 below or above the median, which is to say that you may qualify for a Chapter 7 even if your income exceeds the median in Pennsylvania, which is why a means test calculator may help.
If you want to do a ballpark estimate, you can estimate your current monthly income by taking the last 6 months of your income and dividing by 6. You will then be able to compare that figure to the Pennsylvania means testing data for cases filed on or after May 1, 2020. You would add $9,000 to the annual income for any individuals in the household greater than 9 people.
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Repay Your Debts & Rescue Your Assets In West Virginia Ohio & Pennsylvania
In unstable economic times like these, many homeowners find themselves at risk of losing the assets they value most, both financially and emotionally. Filing Chapter 13 bankruptcy in West Virginia, Ohio, or Pennsylvania allows you to keep your property and pay debts over time.
More than 40 percent of the HAMP home loan modifications filed through early 2012 have failed. If you attempted a loan modification and are now facing foreclosure, we can help you rescue your home. As an experienced Weirton Chapter 13 bankruptcy lawyer,Roger A. Isla can help you take the necessary steps to protect your property by developing a plan to repay all or part of your debts.
Contact Isla Law Offices today at to schedule a free consultation with our seasoned bankruptcy attorney.
Getting A Discharge In The Second Chapter 13
If you received a Chapter 13 discharge and want to file Chapter 13 again with the goal of receiving a discharge, then you need to wait for two years from the date that you filed the first Chapter 13 case. As a practical matter, most Chapter 13 cases that receive a discharge last between three and five years, so the two-year time delay is not really a barrier.
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Reverse Mortgages In Chapter 13 Bankruptcy In Pennsylvania
People over the age of 62 who own a home outright, or have a small amount left to payoff, often times select a reverse mortgage. In this type of loan, a bank makes monthly payments based on equity in the home. In return for ownership of the property once it is no longer the individuals primary residence.
Reverse mortgages can play a serious role in the Chapter 13 Bankruptcy process. This is because not only is a home an asset, but reverse mortgage payments can be a type of income. This type of income can affect certain calculations during the creation of a payment plan. As a result, this may make repayment plans higher with a reverse mortgage. Further, because of the clauses binding a reverse mortgage, a reverse mortgage loan alone may or may not be enough to qualify for the income required by a Chapter 13 type of bankruptcy.
In addition, some reverse mortgages contain clauses that say filing for bankruptcy is a breach of contract. If you file for bankruptcy it will trigger a foreclosure. Pennsylvania residents with reverse mortgages should consult an attorney before filing for Chapter 13. This will ensure that their situation is handled properly, in a way that does not jeopardize the case or home.
You Received A Discharge In Your First Chapter 7 Bankruptcy
If you have filed a Chapter 7 bankruptcy, which typically discharges all debts that are able to be discharged, and you received a discharge, then you will not be permitted to file another Chapter 7 Bankruptcy Petition for a period of 8 years from the date of the initial filing of the first case before you are eligible to receive a Chapter 7 Discharge in a second Chapter 7 Bankruptcy case.
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How Much Will My Chapter 13 Payment Be
Your Chapter 13 monthly payment is determined by the amount of income that remains in your budget after you pay for your normal and reasonable monthly living expenses. Your Chapter 13 does not need to pay all your unsecured creditors in full, and most of the unsecured debt remaining at the end of the plan is discharged as it would have been in a Chapter 7 case.
Where Do I File For Bankruptcy In Philadelphia Pa
Where to file your bankruptcy case depends on where you live and on whether you have a business close to home. Usually, youll file in the federal district court closest to where youve lived for the past 180 days . But if you run a business in a different district and most of your property is located there, you may have to file in the federal court serving that location.
The reason behind these filing rules is that the bankruptcy court wants the person overseeing your caseâcalled the bankruptcy trusteeâto be able to easily find, evaluate, and, if necessary, sell your property.
If youve moved recently, you may have to file at the bankruptcy court serving the county where you used to live. That will depend on where the greater portion of your property has been for most of the past 180 days. For example, if you lived in Oregon for most of your life, but moved to California a month ago, youll file in Oregon because you lived there for 150 of the past 180 days.
You can handle most interactions with the court, including filing your bankruptcy forms, by mail. However, you will need to visit the courthouse in person at least once, for a meeting with the bankruptcy trustee.
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How To File For Chapter 13 Bankruptcy
Do you think that a Chapter 13 bankruptcy in Ocala is the best type of bankruptcy for you? Filing a Chapter 13 bankruptcy means you need to use your income to repay all or some of what you owe to creditors over three to five years, depending on how much you owe. It is an alternative to the Chapter 7 bankruptcy and is granted if you are earning a regular income and would like to pay your debts but require a certain amount of time. You can determine whether this is the best bankruptcy for you with the help of Chapter 13 bankruptcy lawyers. They can also help you understand what to expect during the process.
Chapter 11 Vs Chapter 13 Bankruptcy
Chapter 11 is another type of bankruptcy. It is similar to Chapter 13 in that debt is restructured and paid back over time, but it was originally designed for large corporations, though small businesses and individuals are eligible.
Chapter 11 bankruptcy can get complicated and expensive, so most debtors choose Chapter 13 or Chapter 7 to avoid the time, costs and risks involved with Chapter 11.
But its a viable option if you dont want to liquidate your assets, as required in Chapter 7, or you have too much debt to qualify for Chapter 13.
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Get Your Credit Card Reports Together With Full Credit Counselling
Once the Means Test has been conducted, you are expected to acquire credit reports from all three credit agencies. You might be wondering as to why you need a report from all three bureaus? The reason for this is because usually most creditors do not report to all the agencies. Therefore, if due to any such reason you are unable to report a debt, it wont be liquidated in bankruptcy.
After this, you have to finish a credit counseling and financial literacy course. You will find these courses online and even in the U.S. Trustee Program.
Experienced Bankruptcy Lawyers In Erie Pa
The Bankruptcy Department of The Marsh Firm provides assistance in a wide range of areas involving bankruptcy, restructuring, reorganization, out-of-court workouts, and creditors rights issues. Our clients include companies, individuals, developers, and financial institutions.
Our attorneys represent secured and unsecured creditors, debtors, debtors-in-possession, adversary proceedings, out-of-court workouts, reorganizations, and related insolvency litigation. Our expertise extends to Chapter 7, Chapter 11, Chapter 12 and Chapter 13 practices in the United States Bankruptcy Court for the Western District of Pennsylvania.
Our attorneys seek the most cost-effective and creative solutions for creditors with respect to the enforcement of their rights, and for debtors in dealing with major liabilities, business downturns and/or cash-flow problems.
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Filing Bankruptcy In Pennsylvania
Youll notice from the table of the contents that we focus specifically on Chapter 7 and Chapter 13 bankruptcy. Why? Because these two types of bankruptcy are the most common bankruptcy in America . There are other types such as the Chapter 11 and Chapter 11 subchapter 5 bankruptcies, but these are far less common for consumers .
Chapter 7 bankruptcy is also known as the liquidation bankruptcy. Chapter 13 bankruptcy is also known as wage earners plan. We will cover these in greater detail
What Is Chapter 20
There is no such type of Bankruptcy listed under the Bankruptcy Code. Chapter 20 is the name for the following procedure:
- Filing Chapter 7 to receive a discharge of debt:
- FIling Chapter 13 immediately thereafter to catch up with mortgage, auto loan arrears, support arrears, or past-due taxes.
The process of filing for Chapter 7 Bankruptcy and then filing Chapter 13 Bankruptcy can be used to allow a person to qualify for Chapter 13. For example, if their debts are too large to file for Chapter 13, but the debts are discharged under Chapter 7, then an individual or couple can then meet the debt limits and be qualified to file for Chapter 13.
The Chapter 20 procedure can also be used by an individual or couple who felt they could not afford to save their home since they were out of work and first filed a Chapter 7 Bankruptcy Petition to clear their debts. After filing for Chapter 7 Bankruptcy and obtaining a discharge, the individual or couple obtains a job or position or otherwise develops the ability to make plan payments through their a Chapter 13 case. In this situation, the filing of a Chapter 13 bankruptcy petition following a Chapter 7 discharge makes perfect sense.
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Filing A Chapter 13 Bankruptcy After A Chapter 13 Bankruptcy
You can file Chapter 13 immediately after receiving a Chapter 13 discharge, but you will not be eligible to receive a bankruptcy discharge in the new case. However, the discharge may not be your goal. Instead, you may just need the protection of the Bankruptcy Court.
A perfect example is the case where someone receives a Chapter 13 discharge of debts. They then fall six months behind on their mortgage. Their goal in filing another Chapter 13 is to save the house.
Other examples include:
- Missing car payments and wanting to avoid auto repossession, and
- Owing non-dischargeable taxes and wanting to prevent the IRS from garnishing your paycheck.
Pennsylvania Bankruptcy Filing Process
The bankruptcy filing process in Pennsylvania is similar to other states. Generally, the process is as follows for Chapter 7 bankruptcy:
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Filing A Chapter 13 Bankruptcy After A Chapter 7 Bankruptcy
If your Chapter 7 Petition was properly discharged, but you have come into new financial difficulties which necessitate the filing of another bankruptcy case, you can immediately file a Chapter 13 Bankruptcy petition even on the day after you have received your Chapter 7 discharge.
Under these circumstances, you will not be eligible to receive a discharge in the Chapter 13 case. In order to get a discharge youll need to wait at least four years from the date of the initial Chapter 7 filing in order to receive a discharge in your new Chapter 13 case.
When You File For Bankruptcy In Pennsylvania An Automatic Stay Goes Into Effect
Most people will file for Chapter 7 or Chapter 13 bankruptcy. Each chapter will be discussed below. However, no matter what chapter you pick or which one is most beneficial in your situation, a court injunction goes into immediate effect. Commonly called an automatic stay, this injunction creates a legal barrier between you and your creditors.
An automatic stay will prohibit your creditors from acting to collect the debts you owe. The importance of this injunction cannot be understated. When a creditor is notified of your bankruptcy filing, they must stop all phone calls, letters, bills, and automatic deductions from your bank account. It applies to all creditors, including credit card companies, collection agencies, utilities, and secured creditors. More importantly than merely stopping phone calls, a stay will prohibit any legal action against you. This means that collection lawsuits will be put on hold, foreclosures stopped, and sheriff sales halted. Filing for bankruptcy freezes your debt while it is addressed in the bankruptcy.
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Pay Back Only A Portion Of Your Unsecured Debt
Many unsecured debts are entitled to a much smaller amount than secured or priority debts. In many cases, debtors pay only pennies on the dollar on unsecured debts. How much you pay back depends upon your disposable income, the length of the Chapter 13 plan, and the value of any non-exempt property.
How Our Debt Relief Firm Can Help
Lansing Roy, P.A. represents clients filing for Chapter 13 bankruptcy who live in Georgia and the Middle District of Florida, Jacksonville Division. Asbankruptcy lawyers in Jacksonville, we have the skill and experience to assess your individual financial situation, examine all of your options and help you take control of your financial life.
For more information, please call our Jacksonville Chapter 13 bankruptcy lawyers at orcontact us online to schedule a free initial consultation.
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