Property and possessions that you have a shared interest in can be the kind you don’t think of as yours for bankruptcy purposes.
Inheritances and life insurance proceeds have a special rule when it comes to the timing of your bankruptcy filing.
If you are concerned that in a Chapter 13 case a debt resulting from surrendered collateral will cost you more, often it won’t.
If you want secured creditors to be paid in your Chapter 13 plan, they must file proofs of claim. Let’s use the example of a vehicle loan.
Priority proofs of claim need to be carefully monitored in a Chapter 13 case. Make sure one’s filed so it gets paid, and at the right amount.
Often creditors’ proofs of claim do not affect the amount you have to pay in a Chapter 13 case. But sometimes they make a huge difference.
In most Chapter 7 cases, there is not much practical effect to what creditors put on their proofs of claim.
File your Chapter 13 “adjustment of debts” case at the right time to include all possible tax debts. Then budget right to prevent new ones.
There are various ways of dealing with debts that arise during the course of your Chapter 13 “adjustment of debts” case.
Pre-petition assets are “property of the bankruptcy estate,” part of your Chapter 7 case. Post-petition assets are not.
The timing of your Chapter 7 “straight bankruptcy” case can make a huge difference in dealing with your debts.
During the last 13 blog posts we’ve covered the automatic stay–crucial protection that filing bankruptcy gives you. Here’s a helpful summary.
If there’s a risk you would not get the immediate benefit of the automatic stay, be aware of it and be prepare to prove your “good faith.”