credit card after bankruptcy

Credit Card After Bankruptcy - your questions answered right here...

More About Credit Card After Bankruptcy...



The new bankruptcy law has provisions that make it harder for the people in debt to file bankruptcy. You probably won't lose any sleep over people who abused bankruptcy, but there are people who lose jobs or have uninsured medical expenses who the new law hurts.

You are required to do credit counseling within six months of filing your bankruptcy petition.

There are new residency requirements. In Florida, your home would have been exempt no matter how long you lived there. Under the new bankruptcy law, if you live in a state for less than two years and it has a better exemption than where you lived previously, you can't use the more favorable exemption. It gets more complicated. Under the new law, if information provided in your case is found to be inaccurate, the lawyer is subject to various fines and fees. It will be more difficult to find a lawyer willing to handle your bankruptcy because of the liability and the time and effort it takes to verify all your information.

If you do find a lawyer willing to file, it will cost you a lot more.

See 'Further Changes Brought About by the New Bankruptcy Law' for information on Chapter 13 disposable income and changes regarding personal property. There may eventually be some modifications in the law if it becomes evident it is causing more problems than it solves. It's no surprise these changes will make it harder and costlier to file bankruptcy. Under the old law, you could value your personal property at basically 'garage sale' prices. Since you have to come up with a retail price and your lawyer has to certify it's correct, you just about have to have an appraiser to the valuation. A car is easier because you can just look up the blue book price.

Under the new law, you must live in a state for two years before filing bankruptcy in order to use the state's exemption laws.

More people will be forced to use chapter 13 bankruptcy under the new law. That sounds reasonable to a lot of us. Under the old rules, you subtracted your actual expenses from your monthly income to arrive at your disposable income. Then, instead of subtracting your actual expenses, you use allowed expense amounts set by the IRS. The amount of 'disposable income' left may be more than what you have to spare every month. That means more chapter 13 bankruptcy plans will fail.

There are a lot of changes to the bankruptcy laws. Even if the lawyer will not take you on as a client to file bankruptcy, they may be willing to give you legal advice.



Contact |  Bookmark this page! |  Privacy |  SiteMap |  Credit Card After Bankruptcy (Home)

copyright ©2007 bankruptcystressrelief.com
credit card after bankruptcy | auto loans bankruptcy | bankrupcy law | bankruptcy refinance

Webmasters: this website is hosted by BlueHost, web hosting for professionals, around the world.
bankrupcy law