Info about How to File Bankruptcy in Washington DC & Maryland
Supreme Court Rules That Inherited IRAs Are No Longer Protected From Bankruptcy
Washington DC Bankruptcy Lawyer Weighs In on Inherited IRAs Simply put, an IRA is an Individual Retirement Account, or a retirement plan that provides tax advantages for retirement savings. Each month that a person earns a paycheck, a percentage of their pay is deposited into a separate account. Once there, the funds cannot be withdrawn before retirement without incurring a hefty fine. There are several types of IRA, including the traditional IRA, the Roth IRA, the SEP IRA and the SIMPLE IRA. Each type has different rules as to how it works, but they all share an exemption from bankruptcy status. The reasoning is that when one contributes to an IRA for future use during retirement, those funds must be protected in order to assure sufficient funds to live on after passing the age at which one can work for a living. It is quite common for an IRA to be left to a loved one after…
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What is Lien Stripping in Bankruptcy?
Bankruptcy Attorney Explains Chapter 13 for Maryland and Washington DC The United States Supreme Court is reviewing two Bank of America appeals. The bank is hoping that they can convince the court to overturn two rulings, Bank of America v. Caulkett and Bank of America v. Toledo-Cardona, which allow stripping of a lien. In both cases, Bank of America is not the primary lender. Chapter 13 bankruptcy lien stripping helps heavily indebted people find some semblance of relief. In addition, they can keep their house and possibly discharge part of their debt after they fulfill their Chapter 13 payment plan. What Are the Requirements for Lien Stripping? Lien stripping is applicable in Chapter 13 bankruptcy throughout the United States. Additionally, the value of your house must be less than your mortgage and you must have multiple mortgages or lines of credit on the house. Suppose you have a house with…
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How Bankruptcy Can Help Save Your Home from Foreclosure
For many troubled homeowners, filing bankruptcy proves the most effective tool for saving their home from foreclosure. If you are at risk of losing your home, a qualified Washington DC bankruptcy attorney can help you explore all options for dealing with a looming foreclosure and assist you in deciding whether bankruptcy is the best choice for you and your family. Filing Bankruptcy Can Halt a Foreclosure Sale Filing bankruptcy triggers what is known as an automatic stay, which bars creditors from taking collection actions such as repossession, garnishment and foreclosure. In most cases, the stay automatically remains in effect for the duration of a bankruptcy case. However, if one or more prior bankruptcy cases were pending within the previous year, the stay may be limited to 30 days or not go into effect at all. In those situations, a debtor can file a motion to extend or impose the stay….
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Information about the Meeting of the Creditors after Filing for Bankruptcy
About 20 to 40 days after you file for bankruptcy, you must appear in court, though it is not with a judge. This first meeting is the “meeting of the creditors” or a “341 meeting” after the section of the bankruptcy code that requires the meeting. It will be you, your bankruptcy trustee, and your creditors. Not all of your creditors, however, will appear at your 341 meeting. Creditors that suspect fraud and secured creditors are more likely to appear (secured creditors are those that have an interest in your house or car, for example, and can take possession of the item if you fail to pay). With thorough preparation, a Washington DC or Maryland bankruptcy attorney can help ensure that your meeting of the creditors goes smoothly and that you emerge from bankruptcy as quickly and effectively as possible. What Happens at the Meeting of the Creditors The trustee…
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