Other Bankruptcy Exemptions In Indiana
Many more exemptions existhere’s where you’ll find a more detailed list of Indiana bankruptcy exemptions. Indiana’s Department of Financial Institutions adjusts state exemption amounts every six years. The next adjustment will be made in 2022. To find the statute itself, check the Indiana General Assembly or consult with a local bankruptcy lawyer.
What Is The Reaffirmation Agreement In Chapter 7 Bankruptcy
A reaffirmation agreement is a way for the debtor to keep a secured debt item, such as a vehicle or a home. By signing the reaffirmation agreement, you agree to remain liable for the loan and to continue paying the monthly installments. If you fail to make payments the collateral can be repossessed by the creditor and any deficiency charged to the debtor. The deficiency is the amount still owed by the debtor, minus the amount received from selling the item if the debtor chooses to do so. The decision to sign a reaffirmation agreement should not be taken lightly, and the pros and cons of doing so should be discussed with your bankruptcy attorney.
Do I Qualify For Bankruptcy Part : Filing A Chapter 7 Too Recently To Re
Chapter 7 bankruptcy can only be filed every 8 years. Therefore, every time a person near the Indianapolis area wants to file Chapter 7 for a second time, it is important to check if any previous bankruptcy has been filedwithin 8 years. Remember, you must go from the FILING DATE of the previous case to make sure that the proper 8 years have past. If 8 years have not passed since you filed Chapter 7 bankruptcy previously, you will still very likely be eligible for some form of Chapter 13 bankruptcy. A Chapter 13 case can also be used to stop your creditors and can also be a very powerful solution dealing with debt.
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Northern District Of Indiana Requirements
Indiana’s Northern District covers northern Indiana and has offices in South Bend, Fort Wayne, Hammond and Lafayette. The court’s website has a tool to determine where to file your Chapter 7 bankruptcy in Indiana based on your zip code. If you file in the Northern District after a creditor has sued you in state court, local rules require that you give written notice to the state court once your case has been filed.
Exceptions To The Rules
There are exceptions to the guidelines above, however. For example, time requirements may be reduced if you paid 100 percent of unsecured claims in your Chapter 12 or 13 bankruptcies. On the other hand, Chapter 11 and 12 guidelines might not be as easy and straightforward as stated above if you violated a court order or had a case dismissed during the 180 days preceding your bankruptcy filing. In either of these situations, you may not immediately qualify for another discharge.
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Bankruptcy Is Not A One
For most people, bankruptcy seems like a last-case scenario something you only want to do once in your life, if that. The truth is, though, it is simply a legal tool, and one that can be very beneficial if you find yourself in dire financial straits.
With everything that has happened in the last twelve months, many people are curious as to whether they might be eligible for bankruptcy. Those who have previously filed or had a successful bankruptcy discharge may be concerned about whether they will be eligible to do so again, and what the time frame regarding their right to another filing might be.
Since the goal of bankruptcy is the discharge of debt and the relief from overwhelming financial strain, there are technically no laws regarding how many times a person can seek this relief during their lifetime. When it comes down to it, the question is less of how many times you can file for bankruptcy, but how many times and how often you can receive a discharge of your debts.
Are There Other Types Of Exemptions In Indiana
There is an intangible asset exemption that protects up to $400 per filer in cash or cash equivalents such as money in bank accounts at the time of filing. Indiana also has other types of exemptions that protect specific kinds of assets. An Insurance Benefits exemption can protect life and accident insurance policy values. Pension and retirement benefits can usually be protected, too. Workers compensation and unemployment benefits are 100% exempt in Indiana. You can usually save 75% of earned but unpaid wages, or 30 times the Federal minimum wage. If youre concerned about keeping your wages, benefits and other assets, speak to a bankruptcy attorney as quickly as possible.
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Attend The Meeting Of Creditors
The 341 meeting of creditors and the hearing where all debtors must attend in a bankruptcy proceeding. The meeting often occurs between 21 and 50 days after filing the petition. It generally takes 10 to 15 minutes. The meeting is a recorded conversation between the trustee, your bankruptcy attorney, and yourself about the paperwork you filed. The bankruptcy trustee will ask questions to ensure that you understand the bankruptcy process.
Do Creditors Show Up?
Understand Indiana Court Locations
Many 341 meetings of creditors have been over the phone or over Zoom due to the pandemic. That said, you may want to see where the courthouse is in Indiana if there are any meetings that need to take place in person. Below are the court locations for filing bankruptcy based on the bankruptcy district.
- Charles A. Halleck Federal Building230 North Fourth St., Room 105Lafayette, IN 47901-1322
- Birch Bayh Federal Building & U.S. Courthouse46 East Ohio Street
- Winfield K. Denton Federal Building & U.S. Courthouse101 Northwest Martin Luther King BoulevardEvansville, IN 47708
- Lee H. Hamilton Federal Building & U.S. Courthouse121 West Spring StreetNew Albany, IN 47150
Will Filing Bankruptcy Affect My Credit Rating
Yes. However, most individuals are able to rebuild their credit within a few years. If you are currently contemplating filing bankruptcy, then it is likely that your current credit rating has already been affected. A discharge of your current debt may provide the opportunity to rebuild your credit with steady, regular payments on a new account.
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What Is The Statement About Your Social Security Numbers For In A Indiana Bankruptcy Case
This document is one of the simplest of the free bankruptcy forms forIndiana. You list your Social Security Number or yourIndividual Taxpayer Identification Number. Only the last 4 digits of your SSN or ITIN will be publicly accessible in the courtâs records. But is important that you list your entire SSN or ITIN accurately because otherwise the court will be unable to verify your identity.
Does Indiana Allow Federal Exemptions
Indiana does not recognize the federal exemptions.
Every state has its own set of property exemptions. And some states also allow you choose between their exemptions and a set of federal bankruptcy exemptions. When they do, they will generally let you to choose the system that is the best fit for you. Although some states allow you to use the federal bankruptcy exemptions, others do not.
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Do I Qualify For Bankruptcy Part : Passing The Bankruptcy Mean Test In Indiana
The bankruptcy means test is the method that determines whether your income qualifies you to file under Chapter 7 or forces you to file under Chapter 13 . The means test was created to limit the filing of Chapter 7 to those who cannot afford to repay their debts. If you can afford to repay a substantial amount of your debt according to the means test, then the bankruptcy code forces you to file a Chapter 13 bankruptcy where you can pay some of your debts back.
Estimate Whether You Will Qualify For Chapter 7 Bankruptcy In Indiana
As stated above, you often have to qualify to file Chapter 7 bankruptcy. Qualification is based on US means testing. The means testing is based on the household income and size of the household for Indiana.
Bankruptcy Means Test In Indiana
The bankruptcy means test in Indiana often changes every 6 months. To help, we built the following bankruptcy means test calculator to help you estimate qualification, understand the cost and compare bankruptcy alternatives.
Indiana Chapter 7 Bankruptcy Income Limits
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What If You Didn’t Receive A Discharge In The First Case
In most situations, you can file again and receive a discharge in the second bankruptcy if you didn’t receive one in the first matter. But that’s not always the case. Also, you lose the full benefits of the automatic staythe order that stops creditors from collectingwhen you file multiple bankruptcies in quick succession.
The court dismissed the first case
- Unless the court orders otherwise, you can file again. A 180-day waiting period may apply if you failed to obey a court order or appear in the case, or you voluntarily dismissed the case after a creditor filed a motion for relief from the bankruptcy stay.
The court denied your discharge
- You might be able to file again, but you probably won’t be entitled to a discharge of the debts listed in your first case. This is another unusual circumstance wherein you would be wise to seek the advice of an experienced bankruptcy lawyer.
What Is Schedule C For In A Indiana Bankruptcy Case
Most people get to keepall their property when they file for Chapter 7 bankruptcy. But keeping your property does not happen automatically when you file for bankruptcy. You need to tellyour trustee why youâre entitled to keep your property. Thatâs what Schedule C of the free bankruptcy forms for Indiana is for.
Schedule C, you list the âexemptionsâthat protect your property. Exemptions are a set of statutes enacted in each state and by the federal government to protect a certain amount of certain types of your property from creditors. On Schedule C, the first question to answer is what set of exemptions are you selecting: state or federal?
If you have resided in your current state continuously for the past 2 years before filing, you can use your current stateâs exemptions. And if that state is Alaska, Arkansas, Connecticut, District of Columbia, Hawaii, Kentucky, Massachusetts, Michigan, Minnesota, New Hampshire, New Jersey, New Mexico, New York, Oregon, Pennsylvania, Rhode Island, Texas, Vermont, Washington, or Wisconsin, you can also choose to use the federal bankruptcy exemptions. If youâve resided in your current state for less than two years, the choice of exemptions becomes trickier, as explained in this article.
Exemptions are tricky to choose correctly. So you may want to consult a lawyer about this section of the bankruptcy forms for Indiana or use a free bankruptcy service likeUpsolve.
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Time Limits Apply To Discharges Not Bankruptcy Filings
Bankruptcy law doesn’t set a minimum period that you must wait before filing for bankruptcy a second time. However, there’s a catch. If you file too soon after wiping out debt in a previous case, you won’t be eligible for another debt discharge .
Although there are times that it makes sense to file for bankruptcy even though you won’t receive a discharge, these situations are rare . Because a bankruptcy filed too soon will end up being a waste of time and money in most cases, it’s essential to know how to time your bankruptcy filing.
Speak To An Experienced Bankruptcy Attorney Today
This article is intended to be helpful and informative. But even common legal matters can become complex and stressful. A qualified bankruptcy lawyer can address your particular legal needs, explain the law, and represent you in court. Take the first step now and contact a local bankruptcy attorney to discuss your specific legal situation.
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How To File A Motion To Extend The Automatic Stay
If you want to extend the automatic stay, you must file a motion with the court. In your motion, you’ll explain why your previous bankruptcy was dismissed and why the court should extend the stay in your current case. You’ll have to prove that you filed the subsequent bankruptcy in good faith .
The specific procedures for filing a motion to extend the automatic stay depend on the rules in your jurisdiction. But the following are typically the most common steps you must take:
Find and complete the appropriate forms. Each bankruptcy district has forms for specific motions and notices. Check with your local bankruptcy court to find all paperwork related to motions to extend the automatic stay. But be aware that your jurisdiction may not have a standard form to fill out. In that case, you will have to create the motion and declarations. You can find your court’s website using the Federal Court Finder tool.
Obtain a hearing date and file the motion. In most cases, you will need to obtain a hearing date from the court before filing the motion . Keep in mind that the filer must complete the hearing before the stay expires, so typically you must file your motion immediately after filing your case. You’ll tell the court why your first bankruptcy was dismissed and explain why this case is filed in good faith. Then you’ll serve the paperwork on the bankruptcy trustee and your creditors .
Preventing Bankruptcy Exemption Problems
Exempt your property carefully. The “bankruptcy trustee“the court-appointed official assigned to manage your casewill review the exemptions. A trustee who disagrees with your exemptions will likely try to resolve the issue informally. If unsuccessful, the trustee will file an objection with the bankruptcy court, and the judge will decide whether you can keep the property.
Example. Mason owns a rare, classic car worth $15,000, but the state vehicle exemption doesn’t cover it entirely. Believing that the car qualifies as artat least in his mindMason exempts it using his state’s unlimited artwork exemption. The trustee disagrees with Mason’s characterization and files an objection with the court. The judge will likely decide the vehicle doesn’t qualify as art.
Purposefully making inaccurate statements could be considered fraudulent. Bankruptcy fraud is punishable by up to $250,000, 20 years in prison, or both.
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When You’ve Taken Advantage Of The Bankruptcy Process
If you do something wrong intentionally , the bankruptcy court can punish you by prohibiting you from filing another bankruptcy case for a specific amount of time. In such cases, the court dismisses your case “with prejudice”
Failing to obey a court order will likely result in the court dismissing the case with prejudice. Filing multiple matters with the intent to delay creditors, voluntarily dismissing a bankruptcy after a creditor filed a motion for relief from the automatic stay, or otherwise trying to abuse the bankruptcy system will also be problematic. Expect the court to order you to wait 180 days before refiling another case in these situations.
What You Can Protect During A Bankruptcy
Certain states allow the debtor to choose between their specific state exemptions and the federal bankruptcy exemptions, but Indiana is not one of those states. In Indiana a debtor must use the Indiana state bankruptcy exemptions. However, in Indiana, married couples who are filing together in joint bankruptcy are permitted to double the state exemption amounts.
Two common questions/concerns for individuals who are contemplating filing for bankruptcy are: will I lose my home and will I lose my car? The Indiana exemptions do protect those two vital assets.
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A Indiana Trustee Is Assigned To Your Bankruptcy Filing
A bankruptcy trustee is assigned to your bankruptcy case to review the paperwork and look for non-exempt belongings that you may own. You have to submit such forms as a recent tax return to the trustee. If you have non-exempt belongings, the trustee may manage the sale and liquidation of those belongings.
See the Chapter 7 and Chapter 13 trustees in Indiana for bankruptcy district, name and contact information. As a Chapter 13 bankruptcy is much longer, you may have more interaction with the Chapter 13 trustee or someone from his/her office.
How Often Can You File For Bankruptcy
During your lifetime, you can file for bankruptcy protection as many times as you need it. There is no limit to how many times you can file, but there are time limits between filing dates.
You could file but not receive any debt discharge in some cases, so you need to be careful.
The U.S. Bankruptcy Code determines the time limits based on what Chapter you file under. The clock starts on the day you filed the previous bankruptcy case . These time limits refer only to bankruptcies where you have received a discharge of your debts.
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Indiana Chapter 7 Bankruptcy Information
In a Chapter 7 bankruptcy you wipe out your debts and get a Fresh Start. Chapter 7 bankruptcy is a liquidation where the trustee collects all of your assets and sells any assets which are not exempt. The trustee sells the assets and pays you, the debtor, any amount exempted. The net proceeds of the liquidation are then distributed to your creditors with a commission taken by the trustee overseeing the distribution.
Certain debts cannot be discharged in a Chapter 7 bankruptcy, such as alimony, child support, fraudulent debts, certain taxes, student loans, and certain items charged. In most Chapter 7 cases, the debtor has large credit card debt and other unsecured bills and very few assets. In the vast majority of cases a Chapter 7 bankruptcy is able to completely eliminate all of these debts.
Reaffirmation agreements can be set aside during the earlier of 60 days after the agreement is filed with the Court, or upon the Courts issuance of an Order of Discharge.