Before your attorney can advise you on debt relief options, they need to know about your financial situation. The bankruptcy consultation gives you the chance to share your financial information and explain what led you to seek bankruptcy. A consultation also lets you meet with an attorney to see if you like and can depend on them. You’ll get...
Continue ReadingOnce you file your bankruptcy petition, the court will appoint a trustee to manage your case. The trustee schedules and presides over the 341 meeting of creditors. It is called a “341 meeting” because Section 341 of the Bankruptcy Code requires the trustee to hold the meeting. During the bankruptcy 341 meeting, the trustee will verify the information in...
Continue ReadingTaxes are not always simple to understand. However, the IRS still expects each taxpayer to know their tax obligations and pay the accurate amounts. For some, that does not happen. Fortunately, the IRS allows for tax debt resolutions as the last resort for taxpayers before it takes severe action, such as garnishing wages. Below, we define IRS tax resolutions...
Continue ReadingWhen you file bankruptcy, the United States trustee assigns a private trustee to monitor the case and manage any assets. The trustee works to prevent fraud and ensures creditors are paid fairly according to the Bankruptcy Code. As a debtor in bankruptcy, you will encounter the trustee during the 341 meeting of creditors and when providing assets or payments...
Continue ReadingChapter 13 bankruptcy is called a “wage earner’s plan” because it requires you to pledge your income toward repayment over the life of the plan. Once you complete all payments under the plan, you’ll receive a discharge of most of your outstanding debts. It’s crucial that you discuss your proposed plan with an experienced attorney before filing for bankruptcy...
Continue ReadingChapter 7 offers a fresh start, but can you secure new credit with reasonable interest rates after bankruptcy? How long it takes to recover from bankruptcies depends on your credit score before bankruptcy and what you do afterward. At Blake Goodman, PC, Attorney, we guide every client through the steps to restore their credit quickly with our 720 Credit...
Continue ReadingIf your debt has been forgiven, you may be wondering if or how it impacts your tax obligations. The IRS considers any cancellation of debt as ordinary, taxable income. Although forgiveness of debt on a Form 1099 comes with tax consequences, there are some exceptions and exclusions. Today, we will take a look at debt forgiveness income and its...
Continue ReadingBankruptcy is a powerful tool for improving your spot in life. If you’re struggling to pay your bills, exhausting your savings, and dodging collection calls day and night, you might have options. For the right individual, there can be several advantages to filing bankruptcy in Hawaii. This can help eliminate the amount you owe and give you a fresh...
Continue ReadingWhat Are the Benefits of Debt Negotiation? Debt negotiation can be an attractive alternative for debtors that do not want to declare bankruptcy. Some of the advantages compared to bankruptcy include: Unlike bankruptcy, it does not require a court filing or financial counseling. You can pick or choose the debts that will be included. A debt negotiator can alter payment...
Continue ReadingFiling bankruptcy is typically a last resort action for most people. It is a process in which individuals eliminate different types of debt they might have. Deciding to file for bankruptcy is a life-altering decision— one of the main reasons why is the lowering of one’s credit score. Consumers usually file one of two chapters of bankruptcy, while others...
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