QUESTION
How would I know if I needed to file for chapter 7?
Asked on Oct 02nd, 2012 on Bankruptcy - California
More details to this question:
I have around $85,000 debt in medical bills and credit cards. I get a structured settlement. I don’t want to lose the home. I pay. Everything is in my daughter’s name. I couldn’t get loan so I pay house payment, taxes, and insurances.
7 ANSWERS
Daniel James Wilson
You sound like a good candidate for BK. Please schedule a consultation with a BK attorney. You sound like your case has lots of issues.
Answered on Oct 04th, 2012 at 8:26 PM
Bankruptcy Attorney serving Myrtle Beach, SC
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Law Office of Margaret L. Evans, PC
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Question: How would I know if I needed to file for chapter 7? Question Detail: I have around $85,000 debt in medical bills and credit cards. I get a structured settlement. *- from what? that will make a BIG DIFFERENCE in whether or not its a protected asset or not ........* I don't want to lose the home. I pay. Everything is in my daughter's name. I couldn't get loan so I pay house payment, taxes, and insurances.* - would have to review what's in her name, how long, etc.; this is too general without enough information to answer accurately*
Answered on Oct 04th, 2012 at 7:45 PM
As a general rule, if you owe more than half your annual income in unsecured debt, bankruptcy can provide an enormous help to eliminating debts. However, your structured settlement may or may not be eligible to be protected by filing bankruptcy. An attorney would need to review the settlement paperwork in order to say "yea or nay" and since I suspect keeping this settlement is important to you, you will want to be sure this issue receives attention before you make a decision. Debt settlement may be another attractive option for you.
Answered on Oct 03rd, 2012 at 6:46 PM
Bankruptcy Law Attorney serving Livingston, NJ
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Law Office of Stuart M. Nachbar, P.C.
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You need to get into a Bankruptcy Attorney in your state. If the house is not in your name, there is no issue. If it is in your name and no mortgage in your name, then you will need to file a Chapter 13 to protect the house. The structured settlement will not be an issue, it really will depend on where it came from (underlying reason for a structured settlement). Also, you would need to show the attorney any other forms of income over the last six months and last three years of tax returns.
Answered on Oct 03rd, 2012 at 6:40 PM
Bankruptcy Chapter 7 Attorney serving Fort Collins, CO
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The Salas Law Firm LLC
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You have a fairly complex situation and I would strongly advise that you seek an attorney. I believe that you are in a good position, but you do face several potential pitfalls.
Answered on Oct 03rd, 2012 at 6:40 PM
You should consult with a bankruptcy attorney to conduct a "means test" which will determine whether or not you qualify for a Chapter 7 bankruptcy. Many of us do not charge for initial consultations, including conducting the "means test."
Answered on Oct 03rd, 2012 at 4:16 PM
Bankruptcy Attorney serving Petaluma, CA
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Law Office of Andrew Kern
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In my opinion, $85,000 of debt is enough to consider bankruptcy. I would need to understand the payout of your structured settlement to analyze your case.
Answered on Oct 03rd, 2012 at 4:15 PM