Bankruptcy Chapter 7 And 13

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Chapter 7 and 13 bankruptcy is the most commonly filed forms of bankruptcy in the United States. Chapter 7 bankruptcy is often called a straight bankruptcy or a straight liquidation. For most of our clients who file Chapter 7 bankruptcy, however, there is no liquidation of their assets. For most forms of bankruptcy, including Chapter 7 and Chapter 13, the debtor or debtors are able to employ what are called exemptions. Exemptions are assets that the debtor is able to exempt or exclude from the Read More +

Reaffirmation Agreements In Bankruptcy

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The primary thrust of Chapter 7 Bankruptcy cases is to deal with consumer debts in such a manner as to ultimately “discharge” them – i.e. eliminate the obligation to pay certain types of debt and get a “financial fresh start”. While not all debts are subject to “discharge”, many of them – primarily “consumer debts” – are. There are some circumstances where a debtor opts to continue to service certain debts that may be otherwise dischargeable in Chapter 7 bankruptcy proceedings. Being involved in a Read More +

Chapter 13 Case Permits Cramdown Of Mortgages

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Debtors In Bankruptcy in Tampa Area May Pay Only The Actual Value Of Their Homestead In Bankruptcy Provided Their Mortgage Terminates Before Five Years The 11th Circuit of the United States Court Of Appeals Ruled in American General Finance versus Richard W Paschen that the plain language of the Bankruptcy Code allows Debtors in Chapter 13 Bankruptcy to pay only the Secured Value or Fair Market Value of their Residential Property through the Chapter 13 Plan. The Unsecured portion of the Mortgage, which is the Read More +

Cramdown Of Mortgages On Principal Residences In Bankruptcy

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Argument For Allowing Debtors To Pay Secured Value Of Homestead Through Chapter 13 Bankruptcy For Debtors who file Chapter 13 Bankruptcy, the Bankruptcy Code permits them to Cramdown or pay only the Secured Value of Fair Market Value of an Investment Property or Non Homestead Property through the Chapter 13 Bankruptcy Plan. However, Bankruptcy Code Section 1322(b)(1) states the “plan may modify the right of holders of secured claims, other than a claim secured only by a security interest in real property that is the Read More +