Clawbacks of Preferential and Fraudulent Transfers by Bankruptcy Trustee
It is a myth that you can transfer assets to friends and family before filing for bankruptcy without any repercussion. The Bankruptcy law gives Bankruptcy Trustee the power to void or undo such transfers for the benefits of your unsecured creditors. This is known as the "Clawback" of Preferential or Fraudulent Transfer. Payment or Transfer to […]
What Debts are Not Discharged in Bankruptcy
You can find a list of debts that are not discharged in bankruptcy under the Bankruptcy code 11 U.S.C. § 523. The list is too lengthy to go into details here. Here are some examples of nondischargeable debts that are most common: 1. Recent Taxes 2. Alimony and Child Support 3. Student Loans 4. Debt incurred […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – How is Payroll Tax aka Trust Fund Tax Treated in Bankruptcy?
Payroll Tax, aka Trust Fund Tax, are treated as a nondischargeable priority debt in bankruptcy, whether you file for Chapter 13 Bankruptcy or Chapter 7 Bankruptcy. Liability of the Trust Fund Tax is not dischargeable regardless of the age of the tax. Chapter 13 Bankruptcy is a good option in dealing with Trust Fund Tax […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – How Chapter 13 Bankruptcy can provide relief from Tax Debt Liability?
If you owe taxes to the Internal Revenue Services or Franchise Tax Board, Chapter 13 Bankruptcy might be a good option for you. Chapter 13 Bankruptcy can provide relief from tax liability in the following ways: 1. upon filing of your Chapter 13 Bankruptcy petition, the Internal Revenue Services and Franchise Tax Board must stop […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – If One Spouse Files for Bankruptcy, What Happens to the Other Spouse?
It is a myth that both spouses must filed for bankruptcy together. One spouse can file for bankruptcy. However, it might be better for both spouses to file bankruptcy jointly. If one spouse file for bankruptcy, the non-filing spouse does not get the protection of automatic stay or bankruptcy discharge. If both spouses are jointly […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – What if my Life Change during the Chapter 13 Bankruptcy Plan?
It is a myth that when you file for Chapter 13 Bankruptcy, you are in a financial prison where you cannot make any purchases. That is false. If your car breaks down and you need to finance a replacement car or you need a loan to replace the roof on your house, the bankruptcy court usually […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – Why Choose Chapter 13 Bankruptcy over Chapter 7 Bankruptcy?
Chapter 13 Bankruptcy is a "reorganization" plan that allows you to keep your assets while providing you a way to achieve a fresh start. People usually file Chapter 13 Bankruptcy in my Sacramento, Stockton, and Fairfield Bankruptcy Attorney Office for the following reasons: 1. they want to catch up on their mortgage or auto loan in […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – How does Filing Bankruptcy Effect Property Division during a Divorce Proceeding?
When one spouse files for either a Chapter 13 Bankruptcy or Chapter 7 Bankruptcy, "Automatic Stay" immediately comes into effect upon bankruptcy filing. Automatic Stay stops most legal action pending when the bankruptcy case is filed. If you are in a middle of a divorce (aka dissolution of marriage) proceeding and one spouse filed for bankruptcy, […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – Are Child Support and Alimony Dischargeable in Bankruptcy?
A quick answer is "no". You cannot file for bankruptcy to get out of paying your obligation for child support or alimony. If you are owed child support or alimony, bankruptcy is not a threat to your rights to receive those payments. Chapter 7 Bankruptcy will benefits both sides by eliminating creditors competing for the same […]
Ask Bankruptcy Attorney in Sacramento, Stockton, Fairfield, CA – Can I Transfer Title or Ownership before Filing Bankruptcy?
The biggest mistake a debtor can make right before filing for Chapter 7 or Chapter 13 Bankruptcy is transfer a car or real estate title out of his or her name. It is wrong to assume that if you transfer a property out of your name, your property is now safe from the reach of […]