Oak Park Real Estate & Estate Planning Blog

If you are considering the possibility of filing for consumer bankruptcy , you are probably wondering how your bankruptcy filing will affect your property. Indeed, many consumers are worried that filing for bankruptcy will mean that they will lose all of their assets, or that all of their property will be liquidated. This is not how consumer bankruptcy works, and our Oak Park bankruptcy attorneys want to make sure you have the information you need. The following are three key things to know about asset liquidation in personal bankruptcy cases. 1. Assets are Only Liquidated in Chapter 7 Bankruptcy Cases First, you should know that assets will only be liquidated in a Chapter 7 bankruptcy case if you are an individual or married couple filing for bankruptcy. In Chapter 13 bankruptcy cases, assets are not liquidated. Instead, in a Chapter 13 case, the debtor creates an approved repayment plan through which she or he repays debts over a period of three to five years and is able to get caug...

When you are considering consumer bankruptcy , our experienced Oak Park bankruptcy attorneys know that you probably have a wide variety of questions about the bankruptcy process. Indeed, we often work with clients in the early stages of bankruptcy planning who want to know more about bankruptcy exemptions, types of assets they will be able to retain if they file for bankruptcy, and how different types of personal bankruptcy affect both debts and assets. One question we frequently receive from debtors concerns the bankruptcy process in relation to staying in your home or your condo. So, if you file for bankruptcy, can you keep your house? The answer to that question will depend upon several different factors, and we want to provide you with some of the key information you will need to answer that question for yourself. Ultimately, you should seek advice from a bankruptcy attorney who can assess the particular facts of your case to determine whether or not you are likely to be able to...

If you file for personal bankruptcy , can your bank freeze assets in your account to ensure they are there to repay your creditors? That is a question that big banks like Wells Fargo have been dealing with across the country, and a recent decision on the east coast held in the consumer’s favor. According to an article in the New York Post , after several victories for Wells Fargo in other bankruptcy courts, Bankruptcy Court Judge Cecilia G. Morris held that Wells Fargo cannot freeze a debtor’s assets and control access to them. Banks Freeze Your Funds to Preserve Them for the Bankruptcy Estate Before we can think carefully about the significance of the recent bankruptcy court decision that went against Wells Fargo, it is important to understand why the bank would freeze a debtor’s assets in the first place. In general, there are two reasons a bank might freeze a debtor’s assets when she files for Chapter 7 bankruptcy : 1) the bank wants to protect the money because the d...