When it comes down to consumer bankruptcy, the official forms do a pretty good job of setting forth the facts of the case, the assets involved in the case, the liabilities in the case, and the debtor's statement of financial affairs. However, there is a very important document that is missing from the official forms, in my opinion, in a chapter 13 bankruptcy filing. That form is known as a payroll control order or payroll control authorization. Here's how this could work: The Payroll Control Solutions In any chapter 13 bankruptcy filing where the debtor is going to be on payroll control, the official forms should have a check box which indicates whether a payroll control or payroll + Click Here For Read More

This may be the season for giving. However, the city of Chicago is looking to do some taking. What I'm talking about is an expanded effort to attack those who have outstanding parking tickets. If you have three or more outstanding parking tickets, you are subject to the boot. If you are unable to pay the amount necessary to remove the boot, your vehicle will be towed and impounded and you will continue to incur storage fees. There is nothing worse than going out to your vehicle and noticing that you have a boot on it.  So what do you do if you can't pay it? Well, this has become such an epidemic in the city of Chicago that there are now advertisements specifically targeting those that + Click Here For Read More

If you are thinking on spending extravagantly on Christmas, just remember that you may lead yourself toward the verge of filing bankruptcy. One of the main causes of bankruptcy filings is overspending via credit cards. There is no greater use of credit cards than during the month of December. Many people don't realize that high-volume spending in December may come back to bite them in February, March and April. Before you spend this Christmas, please keep a few things in mind: Don't spend more than you have. If you are putting all your Christmas gifts on credit cards, you're going to have to pay that debt at some point. If you don't pay quickly or within the grace period, the interest on + Click Here For Read More

For nearly 10 years or so, there was a document filed in every bankruptcy case known as an electronic filing declaration. This declaration was signed by the debtor and it basically said that the case was being filed electronically and that the signature on such document was the equivalent of a signature on all the documents. This assured the court that the debtor had met with the bankruptcy attorney and had signed the document. Without the original signature, the bankruptcy court could not be assured that the debtor ever saw the petition that was filed on his or her behalf. This system was working well. Skipping forward a few years, the bankruptcy clerk's office and the bankruptcy judges + Click Here For Read More

Exemption Amounts Every homeowner who is considering filing chapter 7 bankruptcy, understandably wants to know whether or not their house is going to be protected if they file for bankruptcy. In most cases, the home is going to be protected through the process. This is mostly due to the fact that there is not significant equity in the real estate. Equity equates to the ownership portion of the property. For example, if you have a house with a market value of $400,000 and an outstanding mortgage balance of $300,000, then you have $100,000 worth of equity in the property. In Illinois, you as an individual filer are able to protect up to $15,000 worth of equity in your real estate. In the case + Click Here For Read More

As a bankruptcy attorney in Chicago, I meet with countless people every year who are often more concerned about their credit scores then actually getting out of debt. There is a fear that filing bankruptcy will take the credit score to the point where the person will not be able to obtain credit in the future. It is at that point where I looked the client directly in the eye and ask, “How good is your credit score right now?” Most often, they reply that their credit is not very good. Thus, filing a bankruptcy and eliminating debt should be more of a priority then wondering whether credit will be available in the near future. The Calculations Most people have no idea how their credit score + Click Here For Read More

It is true that filing bankruptcy in some instances will allow you to regain your driver’s license. There are a few scenarios where this is definitely the case. The first of which is driving with no insurance. If you are caught driving with no insurance and your license is subsequently suspended, you can have that situation reversed by filing either a chapter 7 or chapter 13 bankruptcy case. The same is true if your license is suspended for failure to pay parking tickets. You could either file a chapter 7 and have your license unsuspended for approximately 4 months and then work out a payment plan with the city or municipality that you owe the money to or you can file a chapter 13 and repay + Click Here For Read More

Searching for a bankruptcy lawyer can be a lot tougher than one might think. One of the main reasons for this is that people do not readily refer bankruptcy attorneys to other people because they don't want to advertise to their friends, family, and co-workers that they had to file for bankruptcy. Thus, people are often left to their own means when searching for a bankruptcy attorney. I have come across several obstacles throughout my 23 years of practice that clients have expressed to me over the years. Number one: Do not go with a bankruptcy attorney simply based on the lowest price quoted. When you're hiring a bankruptcy attorney, you are hiring that person's knowledge, skill, + Click Here For Read More

Bankruptcy Provides Instant Relief When you file chapter 7 bankruptcy, the relief is instant. An automatic stay is created which is then sent to all of your creditors notifying them that you have filed for bankruptcy protection. Most collection efforts must cease from that point forward. You will have a meeting of creditors also referred to as your court date which you must attend approximately 4 to 6 weeks after your bankruptcy case is filed. Your attorney will appear with you as you answer a series of simple, yes/no questions from your chapter 7 panel trustee. The trustee's duty is to determine whether or not you have any non-exempt assets which can be sold for the benefit of your + Click Here For Read More

It seems that just about every month or so a lender or a towing company is withholding the debtor's vehicle despite the fact that a chapter 13 bankruptcy case had been filed. Most lenders are now up to speed on the Thompson case which governs cases in the state of Illinois with regard to repossessed autos and chapter 13 bankruptcy law. However, it seems that certain towing companies and repossession companies are still getting up to speed. This is true in a most recent case where the towing company actually had the advice of counsel. The towing company was claiming that they had a possessory interest or possessory lien in the debtor's vehicle. The towing company also claimed that the + Click Here For Read More