Wednesday, October 19, 2011

If you cant file A Chapter7 you will file chapter 15

This is case that one company has bankruptcy proceeding in USA and their assets and other financial assets are settled in overseas. That will bring law proceedings in both the places. The USA has felt to create the financial law and then US bankruptcy code came in 1978. They had created a special section in that law and named as Chapter 15. This was mainly focused on overseas financial connections. Chapter 15 became handy tool for most of the MNC (multi national companies) for their overseas bankruptcy legal judgment.
The United Nations Commission’s internation business law wing had suggested to adapt such legal codes for handling the foreign financial affiars. The chapter 15 law provides all possible tools to guide for solving bankruptcy cases which has direct connection with overseas.
The court proceedings is would be very adjective and cheaper way. This law has special prevention for establishing joint operation between two overseas bankruptcy courts and same company owner would be addressed. The special designated court may appoint industry specific knowledgeable persons as well, whose report should be taken in consideration.
The law is designed in such a way that both debtors and creditors. It is known matter that so many unexpected matters would come up during the court hearing so, this special law got everything to deal with.
The law commission had specially suggested the tribunal to add better preventions to save the debtors interest and lets crediotrs get whatever amount they owned. This is going to be win – win business for both parties. Chapter 15 has everything to protect both local investments and their overseas interests well.
It becomes uncontrollable when overseas financial instition try to debt from each invested countries, because every country has different financial laws and operating proceduces. Sometimes such companies operating power doesn’t come under US regulations. It becomes more complicated if filled instition operates in so many countries.
Chapter 15 codes does allow the foreign instition to repay the debts under court appointed supervision. The government role have become vital in such cross border debts repay system and establish proper negotiation with overseas governments.
This law works as business saving pill for such financial institution facing bad repay debts and let them be on their own foot so they can make fresh start doing business in states. They gets a golden chance to prove themselves if they are trustable institution and US citizens can relax with their investments with them.

Tuesday, August 23, 2011

Things to consider when filing a chapter 7 BK

 In a Chapter 7 bankruptcy, the individual is allowed to keep certain exempt property. Most liens, however (such as real estate mortgages and security interests for car loans), survive. The value of property that can be claimed as exempt varies from state to state. Other assets, if any, are sold (liquidated) by the interim trustee to repay creditors. Many types of unsecured debt are legally discharged by the bankruptcy proceeding, but there are various types of debt that are not discharged in a Chapter 7. [5] Common exceptions to discharge include child support, income taxes less than 3 years old and property taxes, student loans (unless the debtor prevails in a difficult-to-win adversary proceeding brought to determine the dischargeability of the student loan), and fines and restitution imposed by a court for any crimes committed by the debtor. Spousal support is likewise not covered by a bankruptcy filing nor are property settlements through divorce. Despite their potential non-dischargeability, all debts must be listed on bankruptcy schedules.
A chapter 7 bankruptcy stays on an individual's credit report for 10 years from the date of filing the chapter 7 petition. This contrasts with a chapter 13 bankruptcy, which stays on an individual's credit report for 7 years from the date of filing the chapter 13 petition. This may make credit less available and/or terms less favorable, although high debt can have the same effect. That must be balanced against the removal of actual debt from the filer's record by the bankruptcy, which tends to improve creditworthiness. Consumer credit and creditworthiness is a complex subject, however. Future ability to obtain credit is dependent on multiple factors and difficult to predict.Like ive said in an earlier post I was able to get a car loan with low interest rate 6 months after my BK was discharged.

Sunday, July 3, 2011

Stop liens,judgements,garnishments file chapter 7,13 yourself!

My name is John,Two years ago I was 30,000 dollars in Debt. I had judgements,poor credit,and was about to face a large garnishment from my check. I had made a visit to a local Bankruptcy attorney for information regarding filing ch7 Bankruptcy. He quoted me a price of 1600.00 to handle the proceedings. Before I left his office,I made a deposit of 200.00 to secure his services. As I was leaving,he gave me a packet of papers to start filling out. It was information about all my creditors,and judgements. As I was driving home I was looking over all the paperwork I had to do.I thought isn't this his job to be doing the work? I was just overwhelmed and anxious to get the ch7 started,I couldn't afford to have money garnished from my pay. The next morning I woke up and a thought came to me,can I file Bankruptcy myself? So I went to my computer and searched,can a bankruptcy be filed without a lawyer? I was astounded with the answer. Yes ,its called filing Pro se. I began researching this Pro se. At first it was overwhelming,but I continued on. I learned that If you owned a home that was facing  foreclosure, it isn't a good idea without a lawyer. I just had a car loan,rented an apartment,and had a lot of debt. After more research I decided to go for it. Learning That after downloading forms from the internet,I had judgements stopped,garnishments halted. Phone calls from creditors would be halted in a matter of days. I could breathe again. After two months I went to the 341 hearing,also called meeting of creditors,my Bankruptcy was granted. So the answer is yes ,you can file a Bankruptcy without an attorney. Trust me,I have no legal training,and I was able to do this. At the 341 meeting,I was in front of the judge for 4 minutes,and he looked at me and said "someone did his homework". I am writing this Blog because I want everyone that is in debt,facing liens,garnishments and is getting harassed by creditors to know you can file a Bankruptcy ch7 which dismisses all of your debt,or a chapter 13,that puts you on a payment plan that helps you pay back the debt over time. Go ahead and do a chapter 7 means test,this will calculate if you qualify financially to file a ch7,or ch13. Do not be intimidated to explore this option! I filed Pro se in a NY Bankruptcy court,most states have different BK laws. Remember,after you do the means test which you can use the link at the top on my page and figure if you qualify for a ch7,or ch13 BK,you go file at the closest Bankruptcy court clerks office. You can file chapter 7 for 299.00,they will let you make installments. you can file even  before you start doing the work. The court will then give you a time line for the certain paper work to be done,filed. Find the court in the region that you reside.The clerks office I dealt with in NY were very helpful. Altogether filing myself cost me around 545.00 dollars,that was the 2 counseling sessions you are mandated to take,filing fees. Once you get your filing number,you call whoever is garnishing,or has a lien against you and they must stop,advise any creditor calling you that you  are in the process of a BK,and they must stop. After you file this is when your work starts. Get all three credit reports ,experian,trans union,equifax asap. This is where you are going to get all the information on creditors that you want discharged. I have a link to more info on where to download the different schedules,ie ,paperwork for the BK, and instructions on top of my blog. If you are in New York you go to which district court website and you can download the schedules for free. I actually hand wrote all my schedules. Before you file you need a pre-filing credit counseling certificate,the session costs about 100.00. I took mine online. I will be posting the rest of the process I went through soon. IF YOU HAVE ANY QUESTIONS  *** DISCLAIMER: I in no way shape or form acknowledge I have any legal training,and this information is for fictional purposes only. I am not responsible for any outcome from this information.***