By Ed Boltz, The Law Offices of John T. Orcutt, P.C. (Durham, NC) and Sarah Beth Withers, Inner Banks Legal Services (Washington, NC)
DISCLAIMER: This article is not meant to provide specific advice about the formation of a 501(c)(3) non-profit corporation or the tax or other consequences of such. At most, this is intended to encourage Chapter 13 trustees and their staff to investigate this option.
Identity theft is a serious crime that can destroy your financial life.
Consumer Affairs reports that between 7-10% of the U.S. population are affected by identity theft every year; 21% of those are repeat identity theft victims.
The TPD Application states that substantial gainful activity means a level of work performed for pay or profit that involves doing significant physical or mental activities, or a combination of both. This is a rather vague and nebulous definition, which I suspect leaves doctors without much guidance or confidence in making a certification.
Got a new job after you filed bankruptcy?
Image Source: StockSnap.io
One of the most common reasons why North Carolina consumers file Chapter 7 bankruptcy is job loss. Nearly one-fourth of bankruptcy filers have experienced unemployment that ran them behind on their bills and led them to turn to bankruptcy to get out of debt. But what if you lose your job, file Chapter 7, and then get a new job? How will this affect your case?
Ed Boltz, partner at the Law Offices of John T. Orcutt, has been representing clients in North Carolina and in developing policy and legislation on a nation level. Attorney Boltz is a leader in the discussion on how to help borrower being crushed by the $1.5 trillion in student loans in the United States.
What $0 Money Down Bankruptcy Can Do For You!
You can add debts to your bankruptcy in some cases
Image Source: FreeImages.com
Bankruptcy, whether you choose Chapter 7 or Chapter 13, is a great way to dig yourself out of a financial mess. But it's pretty much a one shot deal. Think of it as a garage sale for your debt – you have that one day to unload your stuff – and you can't go back and retroactively add anything to that garage sale. That's a broad idea of how debt in a bankruptcy works. All the debt you had when the bankruptcy is filed can be part of the bankruptcy and you can't go back and add any, as a rule. However, there are some exceptions.
You can now pay traffic fines and fees in NC with your credit card or debit card
Image source: Chris Yarzab via Flickr Creative Commons
We wrote a few days ago about newly enacted legislation that allows the North Carolina courts to accept credit cards for court fines and fees. However, today we talk about the possible outcome of doing this and why you should think carefully before you do. If your finances are already on the brink and you can't pay your credit card bills, adding more debt to the pile is a risk. Tickets and court costs can be quite costly and can easily put you at or over your credit limit. Here's what you need to know about credit card use before a bankruptcy, no matter what you're using them to do.
Check this out before you file taxes or Chapter 13.
Image Source: Flickr user Chris Potter.
Yesterday, we wrote about Chapter 7 bankruptcy, taxes and your income tax refund. Today, we dig into the tax consequences of filing Chapter 13 bankruptcy in North Carolina. Chapter 13 takes much longer than Chapter 7 to complete—it’s a matter of years versus a matter of months, but is a better fit for some than liquidation bankruptcy. Here’s what you must know about Chapter 13 and income taxes.
Can you file Chapter 7 bankruptcy? Rules to know
Image Source: Flickr User Alan Levine
It’s 2017 and a good time to think about doing some cleaning in your life. Chapter 7 bankruptcy may help you. The new year is the perfect time to reorganize your home, your life, and your finances. If you’re struggling with debt you can’t afford, living paycheck to paycheck, and being hounded by debt collectors, bankruptcy might be the best way out of your financial mess.
Want to keep your car or truck, stop the repo man, and pay less...sometimes a lot less?
Right now, there are some 7 million Americans living in fear that their car or truck will be lost to the repo man.
Why? Because they know that only bad things happen when you lose your car or truck.
No car, no way to work.
No work, no income.
Chapter 13 repayment plans can change during your bankruptcy
Image Source: Flickr User Uli Matheus
Chapter 13 lasts much longer than a Chapter 7 which is usually filed, processed and discharged within just a few months. A repayment plan will last, at a minimum, three years, and five years at a maximum. Most repayment plans will run the full five years to make plan payments the most affordable and to allow you to get caught up on past due balances on your secured debt and service a portion of your unsecured debt as well. But you should know that the repayment plan approved won't necessarily stay the same through those three to five years – particularly if your salary changes.
How is disposable income calculated in Chapter 13?
Image source: Flickr user Tax Credits
When you get behind on your bills, it can be hard to catch up. And, unfortunately, some creditors won't work with you to let you get caught up on back balances. If this is the situation you find yourself in, filing Chapter 13 bankruptcy may be a good solution for you. There is no income cap on a Chapter 13 filing, nor is there a means test you have to pass to be able to file. But what is important to getting your Chapter 13 repayment plan approved is your disposable income in comparison to your debts.
What happens when time runs out on debt?
Image Source: Flickr User Kat
Most all debt has a statute of limitations – with the exception of federal student loans. A statute of limitations sets the time limit for how long a creditor can sue you over a debt. In North Carolina, most consumer debt has a statute of limitations of three years from the date of last activity. The last activity would typically be the last time you charged something on the account or the last time you made a payment on the account. Here’s what you need to know about debt that has expired the statute of limitations – known as “time-barred debt” – so you don’t get taken advantage of by unscrupulous debt collectors.
Should you keep or toss your paperwork?
Image Source: Flickr CC User Camilo Rueda Lopez
It seems like life is full of papers we don’t need – junk mail, receipts for things we won’t return, school papers, paycheck stubs. For a society that’s trending toward paperless, we’ve got a long way to go. But what about bankruptcy papers, including your petition, discharge, and schedules? How long should you keep those? Here’s a hint – they are as important as your will!
Introducing 0-0-0-0-0-0-0 Bankruptcy
Or, as we like to call it…
…the Seven 0’s of Delight.
$0 for the initial consultation.
$0 money-down, if you qualify, and lots of people do.
And…after you file:
0 nasty calls from bill collectors.
$0 left owing on lots of bills.
and 0 choice for your creditors, because the law gives your creditors 0 choice.
Done right and it's also:
0 worry,
0 stress, and
0 loss of sleep
Want to feel "won"derful, "won"drous and "one" with the world?
Want to feel like you "won" that "1" in a million lottery?
Be that "one".
File just "1" bankruptcy case, "one"time and likely you have "won"…the battle against those “one”rous and life-sucking debts.
Wouldn't it be "won"derful if you did not have more bills than “one” can possibly pay?
