What happens when a corporation or LLC files a Chapter 7 bankruptcy case?

In the case of a corporation or LLC (limited liability company), the filing of a Chapter 7 bankruptcy case means that the business will not be permitted to continue its activities. The Court will appoint a Bankruptcy Trustee, who will literally shut down the business. In most cases, however, the business has already closed or the owners are contemplating closure. … Read More

What should I bring to meet with a bankruptcy attorney?

Basically, in order to adequately assess your debt problems and prospects for filing bankruptcy, any bankruptcy attorney would need to review the past six months of paystubs, along with as many of your bills as possible. If you are married, then paystubs for both spouses (whether you are intending to file a joint bankruptcy case or not) would be needed. … Read More

Can I modify my mortgage loan while in bankruptcy?

If you’re in a Chapter 13 bankruptcy, it is possible, although tricky, to modify the terms of a mortgage loan during the bankruptcy case. You and your attorney must navigate past your mortgage company’s bankruptcy department and seek out the Loss Mitigation Department of the mortgage company. It is likely that the two departments do not communicate with each other. … Read More

My case has been filed and I forgot to add a creditor.

The general rule in bankruptcy law is that you must list all of your creditors on your bankruptcy schedules that are filed with the Court. If your case has already been filed however, and you realize that you’ve forgotten a creditor, you may amend your schedules by adding a creditor. You will have to pay a court filing fee of … Read More

How long does personal bankruptcy take?

Let’s start first with Chapter 7 bankruptcy. If you filed a bankruptcy case today, then your Meeting of Creditors would take place in approximately 30-45 days. The law states that the case must remain open for 60 days from the date of the Meeting of Creditors. If you filed a Chapter 7 petition then on January lst, your Meeting would … Read More

How will filing bankruptcy affect my credit?

The fact that you have filed bankruptcy will remain on your credit report for 7 years if you’ve filed Chapter 13, or for 10 years if you’ve filed Chapter 7. This period of time starts from the date of your bankruptcy filing. Despite this however, just because your bankruptcy filing remains on your credit report doesn’t mean that you won’t … Read More

Can You Keep Your Property After Filing Bankruptcy in Pennsylvania?

The vast majority of individuals who file bankruptcy protect all of their property and do not “liquidate” their property. The mechanism to protect the property is known as the system of “exemptions”. In Pennsylvania, we use either the Federal list of exemptions, or, rarely, the Pennsylvania exemptions. Essentially, no one would want individuals who file bankruptcy to lose all of … Read More

What Actually Happens at a Chapter 7 Meeting of Creditors?

One of the requirements of Chapter 7 bankruptcy is that you must eventually appear to answer questions under oath at a hearing. That hearing is called the Section 341 “Meeting of Creditors” . For the average Chapter 7 Meeting of Creditors, there are not a lot of creditors. In fact, if you have filed Chapter 7 bankruptcy and you don’t … Read More