Chapter 7 Bankruptcy
Chapter 7 Bankruptcy questions and answers
Find information on Chapter 7 Bankruptcy at the number 1 bankruptcy information site online, Bankruptcy Says Uncle
Q: How long does a chapter 7 bankruptcy last on your credit report in Connecticut?
I filed for a chapter 7 bankruptcy on December of 2001 and it has since been discharged. I would like to know how long that bankruptcy will be on my credit report. I filed the bankruptcy in the state of Connecticut. Thanks in advance for your help.
A: State does not mater...federal law says 10 years from date of discharge.
Q: Can we transferr a chapter 7 bankruptcy over to a chapter 13 bankruptcy on one company?
We are in the middle of a chapter 7 bankruptcy n are 5 months behind on the house payments. The house place wants a relief from the stay or all of the money from where we are behind in. Can we go to a chapter 13 bankruptcy now in order to save the house n can we do it on only the mortgage company?
A: Why don't you ask your attorney what you need to do...if you wanted to keep the house, you should have reaffirmed the debt and kept paying the mortgage.
Q: How long after filling chapter 7 bankruptcy will i need to wait to buy a car?
We just filed chapter 7 bankruptcy and it will be discharged soon. We are in need of a new car, but when we stopped by to talk with the finance manager at a car lot he said we would have to wait 6 months before any of the banks would touch us. Is this true? Has anyone bought a car soon after they were discharged? Thanks for your answers!
A: Some places like capital one will approve you right after being discharged.
Call around some credit unions and used car dealers. They normally know sub-prime auto lenders first hand. My friend got a car loan 2 weeks post discharge and her rate was 10%. Not too shabby for having a 2 week old discharged bankruptcy on her record!
Q: How long after a discharged Chapter 7 bankruptcy can I refinance?
Hi,
The 2-year ARM on my home mortgage (two mortgages) expires August 2008 (home purchased August 2006). However, I filed a Chapter 7 bankruptcy in 2007 (discharged in July 2007). Will I be able to refinance this year? I've heard that Ch. 7's are different from Ch. 13's in terms of the refinancing waiting time.
A: 1 day if u have reestablished good credit, and have the equity, figure you will be lucky to get 69% of the loan to value, and if you dont have reestablished great credit in excess of 720 scores dont bother because it isnt going to happen for u
Q: How long does a chapter 7 Bankruptcy stay in your credit report?
If I file Chapter 7 bankruptcy how long does it stay in your credit report, and what are other issues those this bring?
A: 10-years from the date of discharge weather you reestablish good credit or not.
As far as repercussions you can expect to pay much higher interest rates and insurance rates for at least the next 2-years.
The most important thing you need to do is reestablish your credit as soon as your BK is discharged. You can do this with credit cards or car loans or a combination of both. If you play your cards right you can have good credit in as little as 12-24 months.
Mine discharged in March of 2001 still shows even though all of the accounts included have dropped off and all of my scores are well over 800.
Q: How long will a chapter 7 bankruptcy delay a foreclosure in Colorado?
My townhome is scheduled for foreclosure sale date May 13th 2009.
My chapter 7 bankruptcy will be filed 3/25/09. How long will this delay the foreclosure sale?
A: It will delay it as long as the bank doesn't take action - however, the bank can pull themselves out of it (almost immediately) and proceed with the foreclosure. They will file (if severely delinquent and not notified that your intent is to let the house go in the BK) a Motion for Relief. Once that is granted they will continue foreclosure proceedings, your credit goes back to reporting delinquent on the house payment, then pre-foreclosure, foreclosure, etc. Now you will have both a BK and a Foreclosure on your credit.
The other thing is that if you would like to keep the house, once you file BK, you will not be eligible for any type of workout from your service or the government. The BK is your workout. Do you really want to go this route, do you have to?? If you want to keep the house but still need to get out from other debt, you can always bring your house-payment current (call your lender to get a reinstatement figure) and then BK the rest of your debt. The mortgage will have to be included however as long as you continue to make your payments on time, the bank/investor will not pursue you to take the home back. The banks don't want to foreclose and won't, as long as you meet your monthly obligation. But, if you do file BK and continue not to pay there are protections for the bank in place as well - they can remove themselves and continue foreclosure, as can car companies and credit card companies (but this is unlikely).
Good Luck
Q: Do I have to claim a Chapter 7 bankruptcy as income on my tax return?
I had to file Chapter 7 in 2007. Most of the percentage of what I filed was penalties on credit cards, therefore what I actually owed, was significantly less than what I filed on. On my income tax return this year, do I have to claim the chapter 7 bankruptcy total as income for 2007? I hope not! Thanks for any help with this!
A: I think I follow your reasoning here but NO, you dont have to claim it as income. You didnt actually receive any money as a result of your bankruptcy - you were just discharged from your debt you owed. However, you are required to report any refund you receive to the bankruptcy court officer/trustee (at least in the Western District you are). If you get back a huge chunk of money, you may have to pay a portion or all of it to the bankruptcy court so they can distribute it to your creditors' as at least a little payment toward the debt they absolved you of. I filed Chap 7 in 2003. I got a refund in 2004 (for 2003) of about $1400 and reported it to the court trustee - they didnt require me to pay a dime. I think they only take part of the money if you get back upwards of a few thousand or more.
And by the way...I had okay credit before filing bankruptcy (a result of being laid off for 7 months). It took a few years to get back in the swing of things but my credit is MUCH better now that it was before even with a bankruptcy on my record but I make sure to use credit responsibly now. There is life after bankruptcy. Dont let anyone tell you there isn't. Donald Trump has filed twice.
Take care.
Q: chapter 7 bankruptcy when do I give my car up?
I am going to file a chapter 7 bankruptcy, and I will surrender my cars. I am up to date with both payments, but will not make March 1st payments on them. When should I expect to surrender them to the banks?
A: If you want to get rid of them as soon as possible, you or your attorney can arrange for the surrender as soon as the creditors receive the Statement of Intentions indicating that you intend to surrender them... which would be about 2-5 days after the Statement of Intentions is filed in your bankruptcy case.
If you want to be able to drive them longer, you can usually manage to wait about 45 days after your Statement of Intentions has been filed.
Sometimes arranging the surrender can be problematic. If the vehicles are not properly licensed and insured (or if not in drivable condition) most attorneys advise requiring the lender to pick them up rather than you taking them to the lender's place of business (if you get in an accident on the way to surrender the vehicle, you may be legally liable for any damages to, or caused by, your vehicle -- not to mention that it may be illegal for you to drive a vehicle that is not properly licensed, insured or inspected).
If the vehicles are licensed, insured and operable, and you can legally operate them (you are properly licensed, etc.) it may be as simple as driving the vehicle to the lender's place of business and dropping off the keys. But if it is any more complicated than that, talk to your bankruptcy attorney about arranging for the surrender.
In some cases, lenders may neglect to pick up the vehicle for months (or years) on end. This can be a problem (for example, if your municipality declares them to be "junk" and requires you to remove them from your property). If this could be an issue in your case, talk to your bankruptcy attorney about ways to resolve.
Q: How do you remove recorded judgements after Chapter 7 bankruptcy case is discharged and closed?
I filed Chapter 7 and before we had the chance to remove the recorded Judgements, the court discharged the case and closed it. I wonder how to remove the judgements without re-opening the case. We know that the judgements were wiped out in the bankruptcy, but not sure how the recording can be voided and removed?
So if I attempt to purchase real estate in a couple of years, the escrow and title companies wouldn't bother asking me to deal with those judgements???
A: You can file a dispute with the bureaus, tell them that debt was discharged in your bankruptcy (you might provided them with a copy of your discharge papers). The bureaus should note the judgment as "Judgment in Bankruptcy". But it will not be removed -- it will remain on your credit report for 7 years from date of entry.
Q: Can bankruptcy court chapter 7 in michigan take your federal and state refunds?
i am researching for a person who has filed bankruptcy chp 7 for credit card debt due to gambling? the person has massive credit card debt and had to file for chapter 7 bankruptcy. she has a 2008 federal refund of $2400 due to her? will she see this refund?
A: Maybe. It depends on state exemption laws. She needs to consult her attorney about this.
Q: what is chapter 7 bankruptcy and how is it different from the others?
Look, I just have about 800 dollars in debt. I don't know what to do, I have no job, and I don't know which chapter bankruptcy would be the best method to go with?
A: That is WAY too little debt to attempt BK. It would cost you more than that just to file.
Get a job, then start paying.
Q: How long does the Chapter 7 Bankruptcy process in Georgia take?
I am considering filing for chapter 7 bankruptcy and wanted to know roughly how long the process would take if I had everything in order.
A: Tell us why you want to file maybe we can help save your credit?
Q: In a chapter 7 bankruptcy, is a property that I own free and clear with a partner considered exempt?
I am considering filing for chapter 7 bankruptcy. I qualify based on the means test, but I purchased an investment property with a business partner 2 years ago. there is no mortgage on the property and it's only worth about 40k. How would a trustee normally handle this property since there is another owner who is not filing for bk and is not my spouse? does that make that property exempt?
A: No, neither the fact that you own it with a partner nor the fact that you own it "free and clear" makes it exempt. Florida (which your screen name seems to indicate you may be from) has an exceptionally generous homestead exemption, but that is for a homestead in which you are living.
See a local bankruptcy attorney to discuss how this property may be affected by your bankruptcy filing, and also to discuss other options if the Ch 7 option does not sound feasible.
Q: How can I get a mortgage with a chapter 7 bankruptcy?
I have a chapter 7 bankruptcy on my credit report, it was discharged almost 2 years now. My credit score is low and so is my husbands. How could we get a loan for a house?
A: Dear Stacy,
If your credit score is below 620, you will need a down payment. IF you have not had any lates AFTER your bankruptcy, AND you can prove ALL income in the same profession at least 2 years, AND you meet certain income guidelines for your area, you MAY qualify for what is called a MY COMMUNITY loan. If you can NOT qualify with the my community, you MAY qualify for an FHA loan provided you have about $ 1000.00 to pay towards closing costs.
Best advice, sit down with a real mortgage professional that has access to these types of programs. Some programs require a 4 years (48 months) out of BK 7 before they will issue a mortgage over 80%. Spend some time with a mortgage professional.
Shoot me an e-mail, I can offer some suggestions if youlike.
Hope this helps.
Q: Chapter 7 Bankruptcy dismissed all my debts, why then is there still a judgement lien on my house?
Chapter 7 Bankruptcy dismissed all my debts, then why is there still a judgement lien on my house from one of my creditors whose debt was dismissed in my bankruptcy, the lien was put on before my bankruptcy, should it still be there, and how can I remove it before my settlement date of my sale on 12/28/2007?
A: Liens do not magically disappear after a bankruptcy discharge (which I assume is what you mean rather than dismiss because a bankruptcy dismissal results in none of your debts being discharged which defeats the purpose of filing). You are no longer personally liable but they have a perfected lien on the house. You may be able to get it avoided, BUT talk to your bankruptcy attorney, because this is dependent on a few factors (value of the house, homestead exemption, and amount of equity available). Whether you can get it done by that date depends on your attorney and the bankruptcy court schedule between now and then.