Real Property Exemption In Alabama
In Alabama, the Real Property exemption is also known as the Homestead exemption. The homestead exemption protects a specified amount of the value of the personal residence owned by an individual. Presently in Alabama, the homestead exemption is $15,000 for each individual who is an owner of the personal residence. Therefore, married couples who are both on the deed can exempt up to $30,000.
Print Your Bankruptcy Forms
After you have completed all the forms you need to file your Chapter 7 bankruptcy in Alabama, taken the first credit counseling course, and made a game plan on how to handle your court filing fee, it’s time to get everything printed and ready for filing. The court requires that all documents be printed on white paper, with one sheet per page. If you don’t have a printer at home, you should check your local library to see if they allow patrons to print from their computers and, if so, how much it would cost. If possible, it’s a good idea to print two full copies of everything. The clerk of the court will keep the copy you bring in for filing leaving you with nothing to refer back to the information you provided when filing Chapter 7 in Alabama if you don’t have your own copy.
Brock & Stout Can Help
We can get started with filing your chapter 13 bankruptcy for as little as $10.00 $25.00, based on your location. This will cover the cost of your credit counseling course and will allow us to move forward with the initial filing of your Chapter 13 bankruptcy. We hope that you will give us an opportunity to meet with you for a free appointment with one of our attorneys so that we can layout all of your options for you with no obligation whatsoever. We will do everything that we can to help you and your family.
Recommended Reading: Renting Apartment After Bankruptcy
What Must I Do Before Filing For Bankruptcy In Alabama
You must receive budget and credit counseling from an approved credit counseling agency within 180 days before your bankruptcy case is filed. The agency will review possible options available to you in credit counseling and assist you in reviewing your budget. Different agencies provide the counseling in person, by telephone or online. If you decide to file bankruptcy, you will need to file a certificate from the agency stating that you received the counseling along with the bankruptcy forms for your case.
What Are The Benefits Of Chapter 7 Bankruptcy
Filing Chapter 7 bankruptcy allows you to eliminate all of your unsecured debts, meaning debts that are not backed by physical property such as your home or car. These include credit card debts, medical bill debts, and lawsuit judgments. However, you will not be able to discharge secured debts such as student loans or alimony and child support debts.
Chapter 7 is also relatively fast, usually resolving within four to six months. You get to keep your future income, and theres no repayment plan to deal with over the next few years. Best of all, it gives you a fresh start as well as allows you to rebuild your credit over the next few years.
While Chapter 7 bankruptcy is not for everyone, it offers many unique advantages. They include the following:
- Speed: While a Chapter 13 bankruptcy can take up to five years, most Chapter 7 bankruptcies take a matter of months.
- No Payment Plan: You will not have to live with a rigorous payment plan under Chapter 7. Instead, proceeds from the liquidation of your nonexempt assets will pay off your debts. If you do not have nonexempt property, your creditors will receive nothing.
- You Can Discharge More Debt: You will not face limits on the amount of debt you can discharge, like you would in a Chapter 13 bankruptcy.
Recommended Reading: How To File Bankruptcy Yourself In Ohio
Will Filing Bankruptcy In Alabama Erase My Debts
Bankruptcy wipes out many bills, like , overdue utility payments, medical bills, personal loans, and more. You can even get rid of a mortgage or car payment if you’re willing to give up the house or car that secures the debt.
But you can’t discharge all debts. Nondischargeable debts, like domestic support arrearages and recent tax debt, won’t go away in bankruptcy, and student loans aren’t easy to wipe out . You’ll want to be sure that bankruptcy will discharge enough bills to make it worth your while.
How Do You File Bankruptcy In Utah
The first step in filing for bankruptcy is to take a local credit counseling course offered by an accredited provider. Contact your local court to find an accredited service provider who will provide you with a certificate of completion upon request, which you must submit to the court. This course must be completed within six months of filing for bankruptcy.
You May Like: Renting After Chapter 7 Discharge
Chapter 13 Eligibility Requirements
These debtors must be underneath a debt ceiling. As of January 1, 2020, families cannot owe more than $1.3 million in secured obligations or $400,000 in unsecured obligations. These totals include current and past-due debt. Once again, if you are over these limits, a bankruptcy lawyer can offer other debt-relief options.
Chapter 13’s unwritten qualification usually involves Schedules I and J and the debtor’s income/expense balance.
As mentioned, Chapter 13 involves a monthly debt consolidation payment. This payment must be large enough to pay all allowed claims before the repayment period clock hits zero. ââ¬ÅAllowed claims” unusually include administrative costs, secured debt delinquency, and a few other obligations.
If the debtor doesn’t have enough disposable income to make this payment, the trustee might not approve the plan.
Take Credit Counseling Course
You have to take two mandatory credit counseling courses to complete your Chapter 7 bankruptcy. The Chapter 7 trustee may request the certificate of completion in the meeting of creditors. The first course is a pre-bankruptcy course, and the second is the pre-discharge course.
If you are filing with an attorney, your attorney may have suggestions for both the credit counseling and debt education course. If not, you can see the list of approved credit counseling courses in Alabama.
Don’t Miss: Filing Bankruptcy In Milwaukee Wi
Dealing With Your Car
When you file a Chapter 7 bankruptcy in Alabama, everything you own is an asset, even your car. The question of what happens to your car depends on how much it’s worth and whether you are still paying on a car loan. If your vehicle is paid off, then you get to keep it as long as your car is worth less than the allowed exemption. If you are still making payments on the car, then you can keep it as long as you keep the debt that is on it. You can’t keep the car without paying for it. That is not how it works outside of bankruptcy and, therefore, it’s not something that can be done as part of a bankruptcy. However, if your car’s value is much less than what you still owe on the loan, then you can buy the car for its current value and get out from under the loan that way. This is called a redemption. If the loan terms are manageable, and you know you can make the payment every month without a problem, you can also enter into a reaffirmation agreement to keep things basically the way they were before filing Chapter 7 in Alabama. Finally, if you don’t want your car any more, you can surrender it to the bank without having to worry about the remaining loan balance.
An Experienced Chapter 7 Bankruptcy Lawyer Can Help
If youre having a tough time managing your debt, dont try to tackle the situation yourself. The decision to file bankruptcy is a weighty one. An experienced Chapter 7 bankruptcy lawyer at Carmichael Law Group can help.
We will advise you of your options and help you determine which type of bankruptcy best suits your circumstances. We can also help you file your paperwork with the court and guide you through the bankruptcy process. To learn more about our services, contact us today. We have offices in Alabama and Georgia, and we offer confidential, no-risk consultations.
Contact us today for your FREE initial consultation.
Read Also: Free Bankruptcy Software For Consumers
Speak To An Experienced Gadsden Alabama 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 Dani Bone & Sam Bone to discuss your specific legal situation at .
Complete The Bankruptcy Forms
This is where pen is finally put to paper and all your hard work in getting organized before filing Chapter 7 in Alabama will start to pay off. Since all the forms required for an Alabama bankruptcy are available online for free, you don’t have to worry about paying for them. In fact, you can actually download all of the forms needed in a fillable PDF format that you can save to your computer to work on over time. If you are working with an attorney, they will complete the forms on your behalf based on the information you provide to their office. The most important thing to remember during this step is to go back and double check your answers. Making a mistake on the forms needed for a Chapter 7 bankruptcy in Alabama can have serious consequences, and taking your time now can pay off down the road. If you are proceeding on your own, you should also carefully review this 49-page instruction manual for completing bankruptcy forms.
Read Also: Filing Bankruptcy California
Chapter 7 Bankruptcy Lawyer
Chapter 7 bankruptcy is the quickest way to obtain debt relief and begin rebuilding your credit. Also known as liquidation bankruptcy, this chapter discharges most of your debt and allows you to liquidate your assets to repay your creditors. If you qualify for Chapter 7, chances are you wont have significant assets to liquidate and you will usually get to keep important property like your house, car, and savings/retirement accounts. A Chapter 7 bankruptcy lawyer can help you understand how the process works.
How Often Can You File Bankruptcy In Alabama
Unless a bankruptcy court orders otherwise, there are no limits on the number of bankruptcy cases you can file in Alabama. If your debts were discharged in a previous bankruptcy, you must wait a certain amount of time in Alabama before you will be entitled to a discharge again. If you can file another bankruptcy and receive a discharge depends on:
- the chapter of bankruptcy you filed previously and want to file now
- whether your previous bankruptcy was discharged, dismissed, or dismissed with prejudice, and
- the date you filed the previous case.
If you have filed before and received a discharge then the bankruptcy code specifies when you can file bankruptcy again and obtain a discharge. Understanding all your bankruptcy options will give peace of mind when approaching this challenging time in your life. If you did not get a discharge in your previous bankruptcy case then you can file for bankruptcy again without the below time limits. You can file twice or even three times, even if you have received a discharge. The key is that you will often have to wait a certain period after you have filed and have received a discharge, to file for bankruptcy again and get a full discharge. If you file for bankruptcy again prior the time limits then you will not get a full discharge.
Don’t Miss: Refinancing Car Loan After Bankruptcy
Will Remington Catch Up To Federal And Remington’s Demand
They hope Remington will follow suit for years to come. Summary: It will be some time before Federal, Remington and other manufacturers catch up to the unprecedented need for ammunition. Shooters and hunters have to be patient and in many cases take old cartridges from the stock and shoot for at least a year.
Bankruptcy Eligibility In Alabama
We understand that you have bankruptcy questions that need answers. We are here to answer your questions. We offer free consultations to help answer those questions. The bankruptcy lawyers at Ferguson & Ferguson have extensive bankruptcy experience. Our firm has helped thousands of individuals and small businesses find the debt relief they deserve through bankruptcy protection. During your free consultation, we can evaluate your financial circumstances and let you know which type of bankruptcy you qualify for.
Recommended Reading: How Many Times Trump Filed Bankruptcy
Can I File For Bankruptcy Twice
Chapter 7 Bankruptcy-If you have previously filed a Chapter 7 bankruptcy and received a discharge in your previous case then you can file for bankruptcy again and you can be entitled to another discharge in the following situations:
- Chapter 7 Bankruptcy If you need to file for Chapter 7 Bankruptcy after you have filed a previous Chapter 7 bankruptcy and received a discharge then you need to wait 8 years from the date you filed your previous Chapter 7 bankruptcy. If you file prior to the 8 years then you will be denied a discharge. If you are denied a discharge, then you will still be legally responsible for your debts. You start to count the 8 years from the date you filed your previous Chapter 7 bankruptcy. If you filed your previous Chapter 7 bankruptcy in July of 2000, then you are eligible to file again and get a discharge in July 2008.
Chapter 13 Bankruptcy If you have previously filed a Chapter 13 bankruptcy and you received a discharge in your previous Chapter 13 bankruptcy then there are time limits for filing another Chapter 13 or Chapter 7 bankruptcy. You can file for bankruptcy again, but there are time limits in order for you to obtain a full discharge of your debts.
What Different Types Of Bankruptcy Cases Should I Consider
There are four types of bankruptcy cases provided under the law:
- Chapter 7 is known as straight bankruptcy or liquidation. It requires a debtor to give up property that exceeds certain limits called exemptions, so the property can be sold to pay creditors.
- Chapter 11, known as reorganization, is used by businesses and a few individual debtors whose debts are very large.
- Chapter 12 is reserved for family farmers and fishermen.
- Chapter 13 is called debt adjustment. It requires a debtor to file a plan to pay debts from current income.
Read Also: Requirements For Chapter 7 In Texas
File Bankruptcy Petition And Other Forms
To file bankruptcy, your attorney or you must file a variety of bankruptcy forms. For example, you may be required to provide the financial affairs and schedules below:
- List of all the creditors and the amounts of those claims
- Your source of income including frequency and amount
- All of the property you own
- A comprehensive list of your living expenses
There are also local rules and forms that may be specific to Alabama. If you are filing bankruptcy with an attorney, they should help guide you through the local requirements. For example, see the local rules in Alabama based on the district:
Unemployment And Retirement Benefits
Unemployment compensation and workers compensation are both exempt, as are some other public benefits, such as aid to the blind, aged, and disabled crime victims compensation public assistance and coal miners benefits for lung disease.
Retirement benefits that are qualified under federal tax law are exempt in Alabama. These would include usual pensions, IRAs, 401 plans, and any other retirement account exempt from taxation under federal law.
The federal exemptions that Alabama uses are not those in the U.S. Bankruptcy Code itself, but other exemptions throughout federal laws. These include exemptions for retirement benefits for federal employees, federal death and disability benefits, and certain other federal benefits.
You May Like: Cost To File Bankruptcy In Wisconsin
Hiring A Bankruptcy Attorney
Looking at the information about bankruptcy and the various options available is a lot to understand. You want the best help on your side to assist you with making the best choice. Hiring a bankruptcy attorney is a great decision.
A bankruptcy lawyer will explain in detail the types of bankruptcy available for you and if you are a good candidate. They will walk you through the steps and assist you every step of the way.
Information For Bankruptcy Professionals
All bankruptcy related correspondence, including notices of the filing of a bankruptcy case and related motions, and the submission of tax returns for pre-petition periods, should be forwarded to:
Alabama Department of RevenueP.O. Box 320001Montgomery, AL 36132-0001
If you have questions about the pre-petition tax liabilities of your client, please contact the Bankruptcy Section at 334.242.9690. Unless a statutory exception applies, to obtain this information, you will need to submit a Power of Attorney executed by you and your client. Please submit the completed form to the address above or via facsimile to 334-242-9782.
Read Also: Taco Bell Bankruptsy
What Is Involuntary Bankruptcy In Long Island
What is a forced bankruptcy in Long Island? If most people are involved in bankruptcy, it is because they have made the decision to start a business. However, in certain circumstances, creditors can initiate forced bankruptcy of the debtor. Involuntary bankruptcy can happen to individuals as well as businesses, although the debtor has the option to challenge the involuntary bankruptcy filing if he does not wish to participate in the bankruptcy.