Bankruptcy
Free Consultation Available
CHAPTER 7 and 13
We are dedicated to providing expert legal representation and guidance to individuals financial difficulties. With our extensive knowledge and experience in consumer bankruptcy, we help our clients navigate through the complex legal process and achieve a fresh start. Our team of professionals are committed to providing personalized attention and tailored solutions to each client’s unique situation. At Ginsburg Law Group, PC, we strive to alleviate the stress and burden of financial challenges and work diligently to help our clients regain control of their financial future.
Contact our Bankruptcy Team: [email protected]
We work with most major legal services and legal insurance plans. Some cover your legal fees for bankruptcy services. Give us a call today to see if your bankruptcy is covered!
EDUCATIONAL RESOURCES
Before filing, educate yourself on both the Chapter 7 and 13 process.
Chapter 7 Basics: CLICK HERE
Chapter 13 Basics: CLICK HERE
Bankruptcy Information Sheet: CLICK HERE
MEANS TEST
Now that you understand more about the two options – find out if you qualify to file a Chapter 7 petition by using the calculator below to see if you meet the means test.
What is the means test? A means test is a financial assessment that determines a debtor’s eligibility for Chapter 7 bankruptcy. The test assesses the debtor’s ability to pay their debts and afford basic necessities. The means test compares the debtor’s income and expenses to the median income and expenses for a household of similar size in their community. The means test considers income, expenses, household size, valuable assets, and consumer debts. The means test prevents debtors from abusing the bankruptcy system by filing Chapter 7 when they could afford to pay some of their debts. If you fail the means test, you may only be able to file a Chapter 13 bankruptcy.
U.S. Trustee Info on Means Testing: CLICK HERE
WHAT BANKRUPTCY CAN DO FOR YOU
What Bankruptcy CAN do for you as a debtor:
– Eliminate the legal obligation to pay most or all debts. This is done by the granting of a “discharge” at the close of a successful bankruptcy case.
– Stop foreclosure on a home and allow the debtor an opportunity to cure a default.
– Prevent repossession of an automobile or other personal property, or force the
creditor to return property even after it has been repossessed.
– Stop garnishment of wages or a bank account (and get back money taken in the 90
days before filing), debt collection harassment, and other similar collection activities.
– Prevent termination of utility service or restore service if it has already been
terminated.
– Prevent government agencies from recovering public assistance or Social Security
overpayments, unless the overpayment was obtained by fraud.
– Lower the monthly payments on some debts, including some secured debts such as car loans.
WHAT BANKRUPTCY CAN’T DO FOR YOU
Bankruptcy, however, cannot cure every financial problem, nor is it an appropriate step for every individual. In bankruptcy it is usually NOT possible to:
– Modify rights of certain secured creditors. Although the debtor can force secured
creditors to take payments over time in the bankruptcy process to cure a default,
some secured creditors are afforded protection from other modifications of the loan
terms.
– Discharge certain types of debts singled out by the Bankruptcy Code for special
treatment, such as child support, alimony, most student loans, court restitution
orders, criminal fines, and most taxes.
– Protect all cosigners on their debts. When a relative or friend has cosigned a loan
and the debtor discharges the loan in bankruptcy, the cosigner may still have an
obligation to repay all or part of the loan. However there are certain protections for
cosigners if the debtor files a chapter 13 bankruptcy.
– Discharge debts that are incurred after bankruptcy has been filed.
EDUCATIONAL REQUIREMENTS
Credit Counseling must be completed 180 days prior to filing your bankruptcy petition. You have many options for completing this requirement. Credit counseling can be done in person, over the phone, or online, and typically takes about two hours. There is usually a fee for the course, which varies by agency. If you don’t complete this requirement your case could be dismissed. CLICK HERE
If you have a Chapter 13 case that will be proceeding in the Newark Vicinage, the Trustee’s office offers a free course. CLICK HERE
After filing bankruptcy, you will need to take a Debtor Education Course before you can receive a discharge. The course focuses on budgeting and managing money after bankruptcy. It can be taken in person, by phone, or online. Courses are typically two hours and cost less than $50. CLICK HERE
PAY ATTORNEY’S FEES AND COSTS
We provide several options for paying attorney’s fees and costs. Please check out our Payments page for more information. Please note for bankruptcy matters you can not pay your attorney’s fees and filing fees using a credit card. PAY HERE
CASE INFORMATION AND DOCUMENTS
You can access information regarding your bankruptcy 24/7 on the National Data Center website. This includes tracking claims and staying on top of your payment plan. Please request your case number and trustee name from our office if you don’t see it on your paperwork in order to sign up. CLICK HERE
We will need lots of documents throughout your case. You can submit them through your secure Clio portal, email, or at the following link. CLICK HERE
GATHERING INFORMATION
Get Property Value: CLICK HERE
Credit Reports: CLICK HERE
Judgment Search (NJ): CLICK HERE
MEETING WITH YOUR ATTORNEY
During the course of our representation we will need to meet with you on a few occasions: to conduct initial intake, to review and sign your petition, to review your plan if you in a chapter 13, to discuss modifications or revisions that may come up throughout the process, to prepare for your 341 meeting, among other occasions. We welcome all clients to come to our office in Blue Bell, but understand that this may not be possible for all clients. We are happy to meet via Zoom. Please always make sure you are in a private and quiet area where you can meet with your attorney without disruption. The link for our Zoom meeting room can be found here. The password is Ginsburg. CLICK HERE
For our first meeting, please make sure you have the following available:
– Proof of Identification (driver’s license, state-issued ID, military ID, passport, or birth certificates)
– Six months’ worth of pay stubs and two years of tax returns (if you are self-employed please discuss this with us prior to the meeting)
– Information regarding assets and value
– List of ALL debts no matter the amount, including secured debts (i.e. home and car), and unsecured debts like medical bills, credit cards, personal loans, as well as debts owed to friends and family members. Please also list all student loans.
341 MEETING INFORMATION
A 341 meeting, also known as a meeting of creditors, is a mandatory meeting that takes place at the beginning of a bankruptcy case. The meeting is a chance for creditors and the trustee to question the debtor about their financial situation. It also confirms the facts stated in the debtor’s bankruptcy filing.
Prior to the 341 Meeting, Attorney Ginsburg will meet with you to prepare for this meeting. Below is a list of sample questions asked at the 341 meeting, as well as some information from the US Trustee about 341 meetings.
Sample 341 Questions: CLICK HERE
341 Information: CLICK HERE
Preparing for Your 341: CLICK HERE
Most Trustees conduct 341 meetings via Zoom. You are expected to know how to use Zoom. If you need help using it, just give us a call and we can practice with you in advance. Most clients will have met with Attorney Ginsburg via Zoom prior to the 341 meeting, but we understand that sometimes family or friends may have helped you get onto Zoom for those meetings, and may not be available for another meeting date. Don’t be embarrassed – trust us, you are not alone! We are here and happy to help- just call! We also have some helpful videos below on using Zoom.
Trustee Info on Zoom: CLICK HERE
Test Zoom: CLICK HERE
CHAPTER 13 INFORMATION
Chapter 13 Payments: CLICK HERE
Trustee Website Links: CLICK HERE
IMPORTANT THINGS TO KEEP IN MIND:
– Your first payment to the Trustee is due within 30 days of filing your petition, even if your plan is not yet approved. If you are not sure how to make your payments, please contact us or visit the website for the Trustee assigned to your case.
– You cannot sell, refinance, gift or dispose of any of your property during your Chapter 13 case without the approval of the Bankruptcy Judge. Please contact our office if you need to sell any property so we can discuss the appropriate course of action.
– In Chapter 13, you are not permitted to borrow or use any other form of credit unless you have written permission from the Bankruptcy Judge or the Chapter 13 Trustee. Examples include: buying or leasing a car, incurring student loans for yourself or others, refinancing your house, getting an advance on your pay, leasing furniture, cosigning on a loan with someone, and taking a loan against your 401k.
– To keep your home in a Chapter 13, it is important you must continue making regular mortgage payments to your lender during your bankruptcy. In most bankruptcy jurisdictions, you continue to send your mortgage directly to your lender outside of the bankruptcy. This means you would pay the trustee AND make a mortgage payment. However, some courts require debtors to pay mortgage payments to the bankruptcy trustee as part of their Chapter 13 plan. If you don’t make timely ongoing mortgage payments, your lender can ask the court for permission to foreclose, and the court will likely grant it. The lender makes the request by filing a motion asking the court to lift the automatic stay that prohibits collections when you file for bankruptcy. Once this is approved, the lender can move forward with foreclosure proceedings.
PRIOR BANKRUPTCIES
If you previously filed bankruptcy, please let us know. There is a waiting period between filings. The waiting period between bankruptcies depends on the types of bankruptcy you’ve filed and the type you plan to file next. The waiting period can range from two to eight years.
General rules:
If you previously filed a Chapter 7 and plan to again file a Chapter 7 you must wait 8 years after date that the prior bankruptcy case was filed per Bankruptcy Code Section 727(a)(8).
If you previously filed a Chapter 7 and now plan to file a Chapter 13 you must wait 4 years after date that prior bankruptcy case was filed per Bankruptcy Code Section 1328(f)(1).
If you previously filed a Chapter 13 and now plan to file a Chapter 7 there are a few potential scenarios that could apply:
– No mandatory waiting period if 100% of claims were paid in the prior Chapter 13 bankruptcy – Bankruptcy Code Section 727(a)(9)(A);
– No mandatory waiting period if 70% of claims were paid in the prior Chapter 13 bankruptcy and the Chapter 13 Plan was proposed in good faith and was the debtor’s best effort – Bankruptcy Code Section 727(a)(9)(B);
– 6 years after date that prior bankruptcy case was filed, if less than 70% (and up to 100%) of claims were not paid in the prior Chapter 13 bankruptcy case – Bankruptcy Code Section 727(a)(9).
If you previously filed a Chapter 13 and plan to again file a Chapter 13 you must wait 2 years after the date that the prior bankruptcy case was filed per Bankruptcy Code Section 1328(f)(2).
The waiting period is calculated from the filing date of your previous bankruptcy, not the date of the discharge.
BANKRUPTCY TEAM
AMY GINSBURG – [email protected]
GRACIE KLEIN – [email protected]
ALICIA RISPOLI – [email protected]
BRYAN TABAMO – [email protected]
GROUP EMAIL – [email protected]
TEAM INFORMATION – CLICK HERE
