Consumers may be able to retain their homestead and vehicle when filing for bankruptcy in Illinois, but specific conditions apply. Whether a certain property is exempted depends on the value of the property and the exemptions that are available. Read More
Declaring bankruptcy does not mean a person needs to surrender all of his or her assets or possessions to satisfy debts. Under Illinois and federal law, there are numerous exemptions that help give individuals the opportunity to make a fresh start following the conclusion of bankruptcy proceedings. Read More
There are no restrictions on how many bankruptcy cases a person can file, but there are restrictions on the time between filing. A bankruptcy attorney can explain the bankruptcy process and the required waiting period between filings. Read More
Some economists are predicting that rampant student debt (i.e. “tuition debt”) is the new speculative bubble that could sink the economy. Speculative bubbles are periods of rapid, unsustainable economic activity in a particular industry or service. These rapid buildups result in “bubbles” which continue to expand until they reach a tipping point when they are no longer sustainable. Once the “bubble” bursts, it results in an economic recession. Read More
People who choose to file for bankruptcy protection in Illinois must be honest, and if they are not, they could face criminal charges and have their bankruptcy petitions dismissed. While criminal charges are not always filed, bankruptcy courts may still impose other penalties against people who try to hide or conceal assets or who lie on their schedules. When a person is honest with his or her bankruptcy attorney and with the trustee, then it will pay off in the long run when the person obtains financial relief through his or her bankruptcy discharge. Read More
Bankruptcy can affect people from all walks of life. Even celebrities and politicians aren’t exempt from bankruptcy. Anyone can face financial troubles, and bankruptcy lawyers can provide guidance for a smooth process.
In April 2016, the debt limits for Chapter 13 bankruptcy increased for people filing after that date. A bankruptcy attorney can explain qualification requirements and other restrictions that impact Chapter 13 bankruptcy filers.
Thorough planning and preparation are required when filing for bankruptcy. Individuals preparing to file bankruptcy must complete several steps in order to ensure that best outcome of the proceedings. A bankruptcy lawyer can help prepare the necessary documentation that shows the financial position of the individual and their inability to pay the debts they owe.
The rights of creditors under the Fair Debt Collection Practices Act are being reviewed by the United States Supreme Court. Currently, the law prohibits creditors from filing claims for time-barred debts. However, a recent split between the Circuit Courts means that this may change.
Chapter 7 bankruptcy is a useful tool for some individuals to discharge most of their debt. Chapter 7 bankruptcy, or “straight bankruptcy,” allows the filer to keep certain property exempt, while the rest is liquidated to satisfy the debt. Liquidation is the forced sale of an asset to satisfy an obligation, like loans or credit. The Bankruptcy Trustee would liquidate all of the filer’s non-exempt property to satisfy outstanding debts.
The credits then accept the payments in satisfaction of the debt; often it can be pennies on the dollar. Anything that is unpaid is discharged by the bankruptcy court.