Category Archives: Debt Listing

Are My Co-Signers Affected By Bankruptcy?

Your Chapter 7 or Chapter 13 bankruptcy filing will not negatively affect the credit reports of any co-signers on your debt, but neither it will discharge their joint liability for the debt.

Click here to read more about how co-signers are affected by bankruptcy on the new Michigan bankruptcy blog of Michigan bankruptcy attorney The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident and are interested in discussing your options for bankruptcy, please feel free to contact me at (866) 674-2317 or john@hillalaw.com to schedule a free, initial consultation.

I Signed an Auto Loan Reaffirmation Agreement in my Chapter 7 Bankruptcy, So Now What?

A reaffirmation agreement is, as I’ve written here before, a separate agreement that you may have the option to sign in a Chapter 7 bankruptcy that, essentially, puts you back on the hook for the “reaffirmed” debt as if you had never filed for bankruptcy at all. A Chapter 7 bankruptcy discharges ALL debts owed (except for those deemed to be non-dischargeable by the US Bankruptcy Code, such as child support arrearages or most tax debts, among others), flat-out, unless a debt is “reaffirmed.”

The reaffirmation agreement is a form document with contractual terms of the loans filled in that is provided by a creditor after filing and which requires the your signature, your attorney’s signature IF there is no “undue hardship” (more on this below), and the creditor’s signature. Once signed, it is provided to the creditor, and it is the creditor’s job to file it with the court. If filed and approved, you will be obliged to pay the debt regardless of the bankruptcy.

In most cases, I do not recommend that my bankruptcy clients here in Michigan sign reaffirmation agreements.

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Can I Discharge Attorney Fees in Bankruptcy?

Debts owed to attorneys for services rendered prior to a Chapter 7 or Chapter 13 bankruptcy is usually just as dischargeable as any other unsecured debt.

However, there are situations in which this is not so cut-and-dry.

Click here to read more about whether you can discharge attorney fees in bankruptcy on the new Michigan Bankruptcy Blog of Michigan bankruptcy attorneys The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident considering filing for bankruptcy, please feel free to contact me at (866) 674-2317 to schedule a free initial consultation.

Do I Need to List Every Debt in my Chapter 7 or Chapter 13 Bankruptcy? (Revisited)

I’ve written before on the subject of whether all debts must be listed in a Chapter 7 or a Chapter 13 bankruptcy petition as an answer to the very commonly asked question, “Can I leave my favorite credit card out of the bankruptcy?”

The answer to that question is an easy, “No, you cannot leave a debt out of the bankruptcy; the US Bankruptcy Code requires that all assets and all liabilities (debts) must be listed in either a Chapter 7 or Chapter 13 petition—and treated in a Chapter 13 payment plan one way or another.

However, there are additional reasons why you would want every debt listed, even if you otherwise desired to leave it out of the bankruptcy:

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Business Debt and the Chapter 7 Bankruptcy Means Test

Chapter 7 bankruptcy may be available to prospective filers whose debts are mostly business debts rather than consumer debts regardless of their actual income.

Click here to read more about business debt and the Chapter 7 bankruptcy means test on the new Michigan Bankruptcy Blog of Michigan Bankruptcy Attorneys The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident and are considering filing for bankruptcy, please contact us at (866) 674-2317 or john@hillalaw.com to schedule a free, initial consultation.

Are Property Taxes Priority Debts in Bankruptcy?

Property taxes are not paid in Chapter 13 bankruptcies filed in Michigan if you are surrendering the home. But, if you are retaining the home and have back taxes owed, how are those taxes paid in the Chapter 13 payment plan?

Click here to read more about property taxes in Chapter 13 bankruptcy in Michigan on the new Michigan Bankruptcy Blog of Michigan bankruptcy attorneys The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident and are considering filing for bankruptcy, please contact us at (866) 674-2317 or john@hillalaw.com to schedule a free, initial consultation.

Is My Social Security Overpayment Dischargeable in Bankruptcy?

Social security overpayments are dischargeable in Chapter 7 or Chapter 13 bankruptcy so long as no fraud was engaged in when the overpayment occurred.

But, if you just received a check in the mail and used it, how do you know if the SSA or State of Michigan might thing you’ve engaged in fraud?

Read more about the dischargeability of Social Security and other governmental overpayments here on the new Michigan Bankruptcy Blog of Michigan Bankruptcy Attorneys The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident and are considering filing for bankruptcy, please contact me at (866) 674-2317 or john@hillalaw.com to schedule a free, initial consultation.