What period of time does the means test look at?
The means test considers the 6 months preceding the filing of the petition. If we file in March, for example, that look back period is September through February. If you wait until April, though, then that look back period is October through March.
If we file bankruptcy and my financial situation changes quickly, what happens?
Once we file the petition with the court, we are tied to the figures as indicated on the means test. Sometimes, tactically, it may be advantageous to hold off filing if someone's income is likely to further decrease. We discuss all of these options with our clients.
Is the bankruptcy trustee going to sell my property?
The vast majority of the time, the trustee never sells anyone's property. The trustee only liquidates property that has equity that is un-exemptable. Each state has separate laws indicating amounts of certain items that are "exemptable," meaning that if equity does exist then it must be lower than a certain amount.
Most of the time (but not always) no property is liquidated by the trustee because all of it is under those amounts. If you purchased a new car, for example, there would not be any equity in the vehicle due to the secured loan. Even if there was equity, it would usually fall under the allowable amount, which is $5,000, plus a wildcard amount that we can apply of $5,600.
Will you review all of my debt options?
We do not file any chapter 7 or chapter 13 bankruptcies without reviewing all potential options with our clients concerning un-exempted assets. It would have to be over our office's objections that a chapter 7 would be filed where a trustee would be liquidating property. There are other options available if that was the case.
There is a lot of rather "sketchy" information out there on bankruptcy. It's easy to come across statements that, if taken without the complete knowledge of the process, would be quite scary.
Do you have too much debt? Is the stress taking a toll? Bankruptcy has helped millions of people to get out of debt, and it can help you. When you need to speak with a bankruptcy lawyer, just call us at (678) 712-8561.
Get out of debt now! Stop worrying!
Attorneys Bill Sherman and Valerie Sherman and the team at the Sherman Law Group will help you navigate the entire bankruptcy court system. We proudly serve the entire Atlanta metro area and North Georgia.