Avoid Mistakes When Planning and Filing Virginia Bankruptcy Cases

The best-planned bankruptcy cases go unnoticed. A few debtors glide through the system without attracting attention and receive full discharges in record time. Luck is not involved, but rather each successful debtor begins planning strategically a few weeks or months in advance. These debtors know something that you don’t.

Free - 2010 Bankruptcy Strategies Explained

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If you are thinking about filing Chapter 7 or Chapter 13 bankruptcy, you are not alone. Complete the form below to contact a sponsoring bankruptcy lawyer. Ask all questions you deem important without cost or obligation of any kind. Free help is only a few minutes away.

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California Bankruptcy Lawyers - "What is a discharge in bankruptcy?"

Under 11 U.S.C. 727, a discharge is a release of liability in favor of the debtor which applies only to specific debts appearing within schedules filed with the court. these schedules must contain a sworn affirmation, attached to the petition, signed by the debtor, their bankruptcy lawyer, or both. Debts that must be listed within schedules include many common consumer obligations: loans, notes, credit cards, accounts payable, and contractual obligations. Bankruptcy lawyers may be liable for misrepresentations made by debtor/clients, and usually require written confirmation of the accuracy of included debts. A discharge terminates obligations. No further payment are required. Thereafter, an order of the court granting discharge acts as a federal injunction directed to each listed creditor and their bankruptcy lawyers, prohibiting further action to collect the debt, claiming the debt, or representing to any person, bankruptcy lawyer, or organization that the debt remains valid. Lawsuits are banned. All actions for collection are prohibited, including  those of creditors, collection agencies, and bankruptcy lawyers representing creditors. Not even a phone call is allowed.

California Bankruptcy Lawyer & Law Firm Practices - Collateral

Be aware that debts secured by valid liens on collateral are not fully discharged in a California bankruptcy. Creditors and their bankruptcy lawyers retain rights to recover collateral, up to the value of the lien, but may not collect any amount owed beyond the lien value. In the most basic sense, a bankruptcy discharge charges off only unsecured obligations, including the unsecured portion of debts secured by collateralized liens. This fracturing of collateral rights presents a special dilemma for bankruptcy lawyers representing creditors because debtors may selectively choose to repay debts after discharge. Potential post discharge payments are voluntary. A post-discharge payment of a portion of a discharged debt, if made, does not act as a reaffirmation of the debt and no further payments are required.

All prudent debtors have questions about applicable laws before filing. The best source of legal advice is a qualified bankruptcy lawyer with substantial, current experience practicing before federal courts. Because state and federal laws change frequently, the results achieved by bankruptcy lawyers for their clients also change frequently  in direct response to these amendments. Depending upon the personal goals and situation of each debtor, all options may not apply. The best bankruptcy lawyers are intimately familiar with all options, as an assortment of tools, that may be combined creatively to maximize client benefits.

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