Oak Park Real Estate & Estate Planning Blog

In both Chapter 7 bankruptcy and Chapter 13 bankruptcy cases, the debtor will be required to disclose information about all assets and income to determine eligibility for bankruptcy as well as to determine the course of the bankruptcy case. While assets are treated differently in Chapter 7 and Chapter 13 bankruptcy cases, receiving an inheritance can significantly affect both types of bankruptcy cases. Today, our Oak Park bankruptcy attorneys can explain in more detail how inheritances are handled in Chapter 7 bankruptcy cases. Chapter 7 Bankruptcy and Inheritances First, we want to discuss how inheritances will be treated in Chapter 7 bankruptcy cases. It will be extremely important to know when you become entitled to the inheritance, and whether that occurs before, during, or after your bankruptcy filing. If you find out that you will be entitled to receive the inheritance before you actually file for Chapter 7 bankruptcy, you will need to determine whether the inheritance can be...

If you are planning to file for Chapter 7 bankruptcy , you want to be certain that all—or at least the majority of—the major debts you owe will be discharged in your bankruptcy case. Accordingly, you might be wondering: will Chapter 7 bankruptcy erase all of the debt I owe? To confirm an answer to this question, it is critical to discuss the particular facts of your case with an Oak Park consumer bankruptcy lawyer who can help. Bankruptcy laws in the U.S. are extremely complicated, and there are some types of debt that are not dischargeable. As such, it is important to have an experienced attorney assess your situation before you move forward with your bankruptcy case. The good news is that most consumer debts are dischargeable in a Chapter 7 bankruptcy case, which means that you may indeed be able to erase all of the debt you owe. Yet some types of debt are not dischargeable, and there are some situations in which debt ultimately cannot be discharged even if the type of debt is dis...

During the early stages of the COVID-19 pandemic, commentators and experts in the bankruptcy law field considered the possibility of a surge in consumer bankruptcy cases due to unemployment and mounting debt. Yet with extended unemployment benefits, stimulus checks, student loan forbearances, an eviction moratorium, and mortgage forbearances, many consumers have not faced the kind of financial fallout from the pandemic that was initially expected to occur relatively quickly. However, according to a recent NPR report , a mass move toward bankruptcy filings may be more likely in 2022. It is important for consumers to know about their options, including bankruptcy, and to understand whether personal bankruptcy could be an option for you and whether Chapter 7 or Chapter 13 bankruptcy is the better fit for your needs and circumstances. New Year Could See a “Flood” of Consumer Bankruptcy Filings The COVID-19 pandemic is not over, yet many people remain out of work. Moreover, in some cas...

Many Americans are dealing with overwhelming debt and experience significant anxiety, depression, and grief over their financial situations. While consumer bankruptcy can be an option for many consumers who are struggling to make ends meet while repaying debt, there are far too many people who worry about the stigma of personal bankruptcy . Indeed, concerns about bankruptcy stigma can sometimes prevent people from filing for Chapter 7 or Chapter 13 bankruptcy, which can result in further financial devastation. A recent article in Business Insider discusses the ways in which the stigma surrounding consumer bankruptcy can have a harmful effect on debtors, and emphasizes that we need to destigmatize the bankruptcy process. Our Oak Park bankruptcy lawyers want to discuss some of the reasons that bankruptcy should not have any stigma attached, and that struggling debtors should feel comfortable discussing the benefits of the bankruptcy process with a lawyer. Length of Time Bankruptcy W...

When you are having significant difficulty paying your debts but you are continuing to work and need a long-term solution to getting your finances back on track, Chapter 13 bankruptcy could be a beneficial tool for you. There are different types of personal or consumer bankruptcy, and they have different eligibility requirements. Different kinds of personal bankruptcy also have specific ways of helping consumers with their debt, and some of the solutions are more immediate while others occur over a period of time. To determine the best type of bankruptcy for you, it is important to seek advice from an Oak Park bankruptcy lawyer who can evaluate the particular facts of your situations. In the meantime, however, the following are some questions you can ask yourself to get a head start on determining whether you may be a good candidate for Chapter 13 bankruptcy. Are You Seeking to Have All Eligible Debts Discharged and to Get a Fresh Start? If you are considering filing for bankruptcy...

There are so many different misconceptions about bankruptcy on the internet, and these myths also circulate among friends, family members, co-workers, and other acquaintances. One of the most common misconceptions about bankruptcy we hear is that filing for bankruptcy means you will lose all of your assets and will be left with nothing in order to have your debts discharged. This is simply untrue, and it is critical to understand how different types of bankruptcy affect liquidation, and how bankruptcy exemptions can always allow debtors to protect certain types of property. Our bankruptcy attorneys in Oak Park are here to tell you more. Liquidation Bankruptcy Does Not Mean You Will Lose All of Your Property First, we want to clarify that, even in a liquidation bankruptcy, you will not lose all of your property. Under U.S. bankruptcy law , Chapter 7 bankruptcy is a type of liquidation bankruptcy, and it does result in non-exempt property being liquidated in order for the debtor to ...