In many instances, appeals of an order entered in a U.S. Bankruptcy Court here in New Jersey or elsewhere are heard by the U.S. District Court in the same geographic area. Recently, a ruling that approved a Chapter 13 bankruptcy plan was reversed by an out-of-state court. The issue was whether the filer was allowed to pay his attorneys' fees before his mortgage under the plan.
New Jersey music fans might be familiar with rapper Tyga, whose real name is Michael Ray Stevenson. In Dec. 2010, Tyga filed for Chapter 13 bankruptcy. That bankruptcy was dismissed in February of this year for failure to provide required documents to the court. He did not receive a discharge of any of his debts.
When a New Jersey homeowner is behind on his or her mortgage and is otherwise overwhelmed financially, he or she may turn to the bankruptcy court for help. Filing Chapter 13 bankruptcy often allows homeowners the opportunity to keep their homes while reorganizing their financial lives and paying off their debts under the supervision of the court. In exchange, creditors are also bound by certain rules when dealing with these filers.
When a New Jersey resident files for bankruptcy, the first step is to determine under which Chapter to file. This decision is often less about the individual's preference since income level often drives that choice. If a person's income is above a certain level, he or she will need to file a Chapter 13 bankruptcy, and certain debts are treated differently in such a filing than in a Chapter 7 petition.
When a New Jersey resident encounters financial difficulties, it can feel overwhelming. Creditors who are calling you constantly, threatening to foreclose on your home and garnish your wages often compound the concern. Fortunately, filing for bankruptcy can provide a way to get out from under most -- if not all -- of your debt.
A New Jersey resident can quickly become overwhelmed by debt after a divorce, job loss, accident or illness. Under these circumstances, filing for bankruptcy may be an easy decision. However, deciding whether to file a Chapter 13 or Chapter 7 bankruptcy -- the most commonly filed by individuals -- may not be quite as easy.
Most of the attention during the housing crisis rightly went to first mortgages. However, numerous New Jersey homeowners also took out second mortgages in better economic times. In the aftermath of the Great Recession, those second mortgages add to the overwhelming amount of debt threatening to consume some residents. Fortunately, Chapter 13 bankruptcy could eliminate that second mortgage, along with residents' other debt.
In the past, people were supposed to be ashamed of filing for bankruptcy. Fortunately, filing for bankruptcy has become more acceptable -- especially since the recession. Unfortunately, this acceptance has not eliminated misconceptions about life after bankruptcy.
Debt can be an overwhelming burden for any New Jersey resident. It is difficult enough not to be able to pay the bills, but then creditors and collections agents begin calling. Your hardship does not matter to the voice on the other end of the line -- he or she is only interested in getting money from you that you do not have. Filing for bankruptcy can stop harassing phone calls from creditors, along with other creditor actions.
When a New Jersey resident decides to file for bankruptcy, the next step is to determine what type of bankruptcy to file. Consumers most often file either Chapter 7 or Chapter 13. Both chapters have certain requirements, which often help make the decision of which to file for the consumer.