NJ Bankruptcy Court
Filing for bankruptcy and taking your case to NJ bankruptcy court can be a difficult task. Deciding to file for bankruptcy is never easy, but it may be your only option if you are only making the minimum payments on your debts or if you cant create a budget to get yourself out of debt in the next five years. While many of your debts may be discharged under your bankruptcy, there are several debts that cannot be discharged through NJ bankruptcy court. You must continue to pay these debts even after your bankruptcy case has been discharged.
Alimony & Child Support
Alimony and child support cannot be discharged under a bankruptcy. With most other debts, collection efforts must cease once a creditor is informed that the debtor is filing for bankruptcy. Alimony and child support collections may continue because they are exempt from this rule. The Bankruptcy Abuse Prevention and Consumer Protection Act made support debts the highest priority debts in a bankruptcy case, even above taxes. If you owe child support or alimony, your ex-spouse may file a proof of claim with the court and you will be held responsible for continuing these payments. An attorney can advise you more on alimony and child support and how they are affected by the New Jersey bankruptcy court.
Back Taxes
In the past, debtors often filed Chapter 13 bankruptcies because they owed back taxes. If they made payments on these taxes as a part of a Chapter 13 repayment plan, this is all that was owed once the bankruptcy process was complete. With the enactment of the Bankruptcy Abuse Prevention and Consumer Protection Act, this changed. Now back taxes that are the result of failing to file a tax return or filing a late tax return can no longer be discharged. This Act has made many changes to the NJ bankruptcy court and how bankruptcy cases are handled.
Student Loans
Unless you were in an accident and are now completely unable to work, student loans are no longer dischargeable. In the past, private student loans could be discharged under a Chapter 7 bankruptcy. With the Bankruptcy Abuse Prevention and Consumer Protection Act, private loans were given the same standing as government-guaranteed loans and are no longer dischargeable. To have student loans discharged, you must prove that repaying them is an undue hardship on you or your family. The only way to do this would be to prove that you can no longer work due to a disability or severe injury. This is just another way the Bankruptcy Abuse Prevention and Consumer Protection Act has changed the workings of the NJ bankruptcy court.
Going to NJ bankruptcy court can cause a lot of frustration and nervousness. If you are working with an experienced and qualified bankruptcy attorney, you will be able to choose the best bankruptcy solution for your particular needs. While filing for bankruptcy does make life harder, it can also give you a fresh start and help you get back on your feet.
Looking for the best NJ Lawyer? Look no further, check out our New Jersey Lawyers website today!
Filing Bankruptcy in Federal Courts
One cannot file for bankruptcy through US state courts, since exclusive jurisdiction is vested with Federal courts. The court charges a certain fee at the time of filing, depending on which category of bankruptcy is being filed for. Specifically, a court fee for filing for Chapter 7 bankruptcy is $274, $1,039 for Chapter 11, $239 for Chapter 12 and...
Bankruptcy Attorney: Questions To Ask
If you have tried every way imaginable to avoid bankruptcy but find that you have no other way out of the situation, the first step you should take before filing is to consult with a bankruptcy attorney. A bankruptcy attorney can be hired or appointed by the court systems to help you through the court proceedings. If you decide to select your own a...
A Brief Insight Into Various Chapters Of Bankruptcy Laws
The Bankruptcy Laws in the United States of America consists of various chapters. These chapters have been designed, keeping in mind the different situations of bankruptcy. In some cases, the bankruptcy court may decide to liquidate all the assets and properties of the debtor, in order to pay off the debts he or she owes to the various creditors. I...
Chapter 13 Bankruptcy - An Overview
Chapter 13 bankruptcy is also known as Wage Earner Plan or reorganization bankruptcy. The bankruptcy as per this chapter of the bankruptcy code, is just opposite to what happens under chapter 7 bankruptcy. Chapter 7 bankruptcy is a liquidation process, where all the assets of the debtor are sold off by the trustee appointed by the bankruptcy court,...
Filing Bankruptcy - Understanding Non-Dischargeable Debts
Many people have the misconception that filing bankruptcy will erase all their liabilities. There would be no obligation to pay the amounts that they owe to their various creditors. However, this not true at all. There are certain kinds of loans that have been considered as non-dischargeable ones. Filing under chapter 7 will eliminate all kinds of ...
Florida Bankruptcy Laws - State Specific Exemptions Vs The Federal Exemptions
The bankruptcy laws in the United States vary from state to state and the Florida bankruptcy laws are also not an exception. If you are planning to file for personal bankruptcy, it is important for you to understand the specific rules that are applicable in the state. In order to make things easier for you, I must clarify that the main difference i...
Bankruptcy Attorneys - Let Them Do The Work
If you are facing financial horrors such as property repossession, debt lawsuits, property liens, foreclosure, or just in some serious debts, you should consider a bankruptcy attorney. A bankruptcy attorney is well versed in the various laws of bankruptcy and can give you advice on the options you may have.By providing legal assistance, bankruptcy ...