Recap of 11-02-06

Recap-11-02-06 

1. Remember it cost $299 to file a Chapter 7 Bankruptcy
2. Time periods - http://docs.google.com/View?docid=dcbqv9sm_21cj3fnj
3. Cover the General principles of Bankruptcy - http://bklaw.pbwiki.com/principles
4. Dischargeability - Dischargeability - BAPCPA also provided more protections to creditors because it expanded the exceptions to discharge. The presumption of fraud in the use of credit cards was expanded. The amount that the debtor must charge for “luxury goods” to invoke the presumption is reduced from $1,225 to $500. The amount of cash advances that would give rise to a presumption of fraud has also been reduced, from $1,225 to $750. The time period was increased from 60 days to 90 days. Thus, if a debtor purchases any single item for more than $500 within 90 days of filing, the presumption that the debt was incurred fraudulently and therefore non-dischargeable in the bankruptcy arises. Prior to BAPCPA, the presumption would not have arisen unless the purchase was for more than $1,225 and was made within 60 days of filing (§523(a)(2)(C)). BAPCPA amended §523(a)(8) to broaden the types of educational loans that can not be discharged in bankruptcy absent proof of “undue hardship.” The nature of the lender is no longer relevant. Thus, even loans from “for-profit” or “non-governmental” entities are not dischargeable.
5. case number what is it - http://docs.google.com/View?docid=dcbqv9sm_33g9hkkq
6. __Order of priority__ - order-priority - http://lawdog.com/bkrcy/bkcp7g.htm
7. furniture - motion to void liens - http://www.debt-relief-bankruptcy.com/faq-browse11-10/bankruptcy-guide.asp - http://www.moranlaw.net/lien.htm - non-possessory
8. are disability payments regular income - disability-payments
9. payment to Amy Hardluck's mother Bonnie - $3500 towards $5000 they borrowed - unsecured? - voidable transfers - http://www.moranlaw.net/preferences.htm
10. __luxury goods__ - 90 days - purchase of vacation - luxury goods
11. __lien avoidance__ - Lien avoidance - Some types of liens may be avoided through a chapter 7 bankruptcy case. However, BAPCPA limited the ability of debtors to avoid liens through bankruptcy. The definition of “household goods” was changed limiting “electronic equipment” to one radio, one television, one VCR, and one personal computer with related equipment. The definition now excludes works of art not created by the debtor or a relative of the debtor, jewelry worth more than $500 (except wedding rings), and motor vehicles (§521(f)(1)(B)). Prior to BAPCPA, the definition of household goods was broader so that more items could have been included, including more than one television, VCR, radio, etc…
12. __household goods__ - Household Goods – Liens on household goods securing loans that were NOT used to purchase the items CAN be avoided (you can keep the household goods without paying the creditor the value of each item) on clothing; furniture; appliances; 1 radio; 1 television; 1 VCR; linens; china; crockery; kitchenware; educational materials and equipment for minor dependents; medical equipment and supplies; furniture for children and elderly or disabled dependents; personal effects (including toys and hobby equipment of dependent children and wedding rings) of the debtor and the dependents of the debtor; and 1 personal computer and related equipment, AND CANNOT be avoided on other household goods and furnishing, including most works of art; most electronic entertainment equipment; antiques with aggregate fair market value of more than $500; jewelry with an aggregate fair market value of more than $500 (except wedding rings); and a computer, motor vehicle, boat, or a motorized recreational device, conveyance, vehicle, watercraft, or aircraft.' Which means that if you file a Chapter 7 bankruptcy you may have to pay a creditor to keep some items, or surrender them. If you file a Chapter 13 case, to keep some items you may have to pay a reduced amount to a creditors through the plan.
13. __fraud discharged by a chp. 13__ - In a Chapter 13 bankruptcy, you can’t discharge:

You may be able to discharge debts incurred by fraud or intentional wrongdoing in a Chapter 13 bankruptcy unless a creditor files and prevails in an action to have these debts declared nondischargeable.

The ability to get a "super discharge" - or a broader discharge under Chp. 13, unlike Chp. 7 or 11, is allowed, however the debtor does not receive the discharge until the debtor completes making his or her plan payments under the confirmed Chp. 13 plan, unless there is a "hardship discharge" by the court.

1. In Chp. 13 you an get rid of some liens by paying the value of the collateral under the plan, and not the value due.