Arizona Bankruptcy Legal Questions

When a Chapter 7 case is filed, the bankruptcy trustee becomes the owner--at least temporarily--of everything the party filing the Chapter 7 case (the "debtor") owns.   Your son presumably owns 100% of the S-Corp.  That interest would be an asset of his Chapter 7 bankruptcy estate.  Whether the corporate assets would therefore be at risk depends on their value, and what exemptions he has under applicable law relating to his case.   For more on exemptions see https://www.bklaw.com/bankruptcy-exemptions.... Read More

If you borrow money the lender has a right to be paid or they can choose to forgive the debt. If they sue they have a right to take any non-exempt property (attached is a list of exempt property for all Arizona residents). If they forgive the debt then they are to file a 1099 with the IRS showing you had income in the amount they forgave. I hope this helps.... Read More

No. Good job for working out an agreement, but be very cautious about following through with the agreement. If you default they can pursue action like garnishing wages, sweeping your bank account (with no notice), etc. If this is not your only debt you might want to learn more about bankruptcy.... Read More

I realize this is a challenging time for you and that you have lots of questions. It is okay to be anxious and overwhelmed; the trick is not fighting it. Instead, you are on the right track in educating yourself about options to deal with your financial situation. Addressing your current financial issues, including possible bankruptcy planning, is often like a Rubic's cube where many competing issues must be solved simultaneously. Issues such as: asset protection (protecting your basic necessities), creditor protection (not running up credit cards before filing), estate planning (inheritance), tax consequences, real estate (pending foreclosure) and your future (survival after bankruptcy).... Read More

If a disability insurer wants five years worth of disability pay back, the only reason I could imagine is that you had defrauded that institution. If you were given disability in either by mistake or by a lie or by an act of omission you obtain this disability and they want you to pay back, this is considered fraud. Bankruptcy has only a few exceptions that cannot be discharged, but lawsuits due to you intentionally attempting to defraud someone or an institution cannot be discharged. Also if this was done to a government institution, and you defrauded them, you cannot discharge that in bankruptcy. Bankruptcy is meant for people who legitimately incurred debt and for some reason could no longer repay that debt in the future. The situation your discussing is someone with the intention of stealing or defrauding, got court and is forced to pay that back. What your talking about is a crime of fraud in such crimes are not dischargeable in bankruptcy. Even if it was a clerical error, the vast majority of these errors are known by the person receiving the money and they just keep their mouth shot hoping it's never court. But it's your responsibility, not the agencies, to catch this. And if they catch it, they will make you pay it back and it will be considered that you committed fraud. Anyway you slice it, you will have to pay that money back in bankruptcy will most likely not work. There may be some situations where the agencies simply does not go after the debt, that is completely plausible, but highly unlikely. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob, #student, #loans, #education, #IRS, #taxes... Read More

If you file for chapter 7 bankruptcy, depending on the status of your car loan, will determine if it is effected by the filing of chapter 7 bankruptcy. If the account is up to date, and you wished to keep the car, chapter 7 bankruptcy will not affect this. For most of my clients, I tell them to write the car off in the bankruptcy and keep making payments, this way if you lose your job you can just walk away from the car or you can simply keep paying it and keep the car. You may choose to reaffirm the debt, but unless the bank is going to give you better terms to your loan, such as lowering your interest, I never suggest my clients reaffirm any of their secured debts. Although reaffirming the debt, is a good way for you to get a lower interest rate on your car loan if the bank is willing to work with you. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob, #student, #loans, #education, #IRS, #taxes... Read More

No, if you file for chapter 7 bankruptcy to discharge your debt your creditors will not be able to garnish your Social Security and VA disability money. When she receive your filing confirmation of your chapter 7 bankruptcy, after that point no further action may be taken against you. And after you receive your chapter 7 bankruptcy discharge, you will no longer be obligated to repay your creditors. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read More

Sorry to hear about your husband. I am sure this is a very difficult time for you. Unfortunately, most debts signed by either spouse is the obligation of the spouse who did not sign. You might contact the security company to determine if there is a way to terminate early. Let me know if you need any other assistance.... Read More

In your chapter 7 bankruptcy, you should never simply discharge second mortgages or equity lines, your attorney should have filed a motion to avoid lean. That motion would of stripped the equity line and the corresponding mortgage or lean it had on your property. Because the lien was not stripped from your title, once you sell the home you must pay back that mortgage or equity line. Many attorneys and law firms that handle chapter 7 bankruptcy, simply do the bare minimum. This is why it is important to get an experience bankruptcy attorney, who can inform you of all the optional motions and practices that can be used within a chapter 13 bankruptcy or chapter 7 bankruptcy. Any attorney can file a simple chapter 7 bankruptcy, but only an experience bankruptcy lawyer knows exactly what to do with your entire case. This is one of those situations usually that, you get what you pay for. In the client calls my office and the first thing they ask for is the price, I will might even give it to them I just tell them to keep searching for the cheapest price. Not all lawyers or law firms are the same, you get what you pay for. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read More

Debtor's prisons were abolished in the 1800s, so you don't need to worry about going to jail.  But the creditor will eventually get a default judgment against you if you don't get your bankruptcy case filed, and that will entitle them to take whatever collection actions are allowed under the laws of your state (such as wage garnishment, seizure of bank accounts, liens against assets, etc.)    ... Read More

Yes you can file for bankruptcy, which will stop a foreclosure sale and within that bankruptcy you may file a 522(f)(2) Motion to Avoid Lien. If this motion is allowed your second mortgage will be wiped out. To determine if your particular mortgage will be wiped out within this process, simply Google the motion I have listed and an almost every post that comes up you will find a mathematical equation that the courts will use to determine if you can stripped the second lien or second mortgage. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read More

You may file for a chapter 7 bankruptcy to stop the garnishment of your pay set by the courts to pay back your car loan. But once the lender no longer can collect from you, they will go after any other people who signed on the loan. If you're ex cosigned the car loan with you, even though you may have been given the car in your divorce, the loan company will still go after your ex for the remaining balance on the car loan. This is true for all debts that have cosigner and the primary file for bankruptcy, the bank or lender will always go after the cosigner for the remaining balance on the loan, which is the whole purpose of having a cosigner is so that bank has someone else to go after if you don't pay. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147... Read More