Debt Limits for Chapter 13 and Subchapter V Bankruptcy Cases Are Set to Decrease Without Congressional Action
In order to aid debtors and small businesses struggling during COVID, the debt limits for Chapter 13 and Subchapter V (of Chapter 11) bankruptcies in the Bankruptcy Code and Small Business Reorganization Act (SBRA) were raised by the CARES Act. The increased limits were then continued by the COVID-19 Bankruptcy Relief Act of 2021, and […]
What Is Consumer Debt in Bankruptcy?
When someone is struggling with debt, filing for bankruptcy may be the best option to get a financial fresh start. However, the type of debt that a person has may affect what bankruptcy chapter they are qualified to file for. Title 11 U.S.C. § 101(8) defines consumer debt as “debt incurred by an individual, primarily […]
How Long Does Bankruptcy Stay on a Credit Report?
One common question we often receive from our clients is how long does a bankruptcy stay on a credit report? The answer depends upon which chapter of bankruptcy a debtor files. A Chapter 7 bankruptcy typically falls off a credit report within ten years, while a Chapter 13 bankruptcy is generally removed from a credit […]
New Means Test Figures for Bankruptcy Cases Filed after April 1, 2024, in New York
There is good news for debtors considering filing for bankruptcy in New York. The Office of the U.S. Trustee Program (USTP) has released new Means Test income figures, and those figures have gone up. This means that more debtors will be able to qualify for Chapter 7 bankruptcy and for those debtors in Chapter 13, […]
Options When Struggling with Merchant Cash Advances
When a small business is struggling financially, they may find they are unable to obtain credit from traditional lenders. In order to obtain the capital to keep the business operating, they may procure a Merchant Cash Advance. In this blog, we will look at Merchant Cash Advances and the debt relief options available to business […]
What Is the Marital Adjustment Deduction?
The Means Test and the Marital Adjustment Deduction Since the Bankruptcy Code was amended under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), a debtor needs to determine if they are subject to the Means Test before they can file for Chapter 7 Bankruptcy. See 11 U.S.C. § 707. The Means Test […]
What Are the Federal Bankruptcy Exemptions?
When a debtor files for bankruptcy, they do not have to give up all their property and assets. The U.S. Bankruptcy Code contains a series of exemptions for different types of property that a debtor can keep when they file for bankruptcy. See 11 U.S.C. § 522. The property covered by these exemptions are referred […]
Can I Keep a Credit Card When Filing for Bankruptcy?
When someone is struggling with credit card debt or personal loans, one of their best options is to seek advice from an experienced bankruptcy attorney. Bankruptcy can provide debtors with an opportunity to eliminate their debt, get a fresh financial start and still allow them to rebuild their credit. One of the most frequently asked […]
Small Business Debt in Personal Bankruptcy
Running a small business can be extremely challenging, especially when there is economic turmoil. According to the U.S. Small Business Administration, approximately 50 percent of U.S. small businesses fail within their first five years. This can be due to insufficient capital, poor credit arrangements, or having an unmanageable amount of debt. Just like individual debtors, […]
Holiday Debt Resolutions
Credit Cards Trends This Holiday Season The holiday season has now passed, and during the holidays many people tend to overspend and use credit to pay for both gifts for friends and family as well as for food and drink for holiday gatherings. We want to share some recent trends in holiday credit use as […]