Cherry Hill Bankruptcy Blog

There may be more than one place where you can file your bankruptcy. The statute indicates you can file where you reside, where you are domiciled or where your principal assets are located. Lets say your permanant address is in Willingboro New Jersey. That is where you have lived and that is where you intend on living. Willingboro NJ is therefore your domicile. But what if you have an ill mother living in Northeast Philadelphia Pennsylvania and you moved in with her for the last nine months to help her. The Philadelphia address is your residence and you could file in either place. If you own, for example, a vacation home in North Carolina and that is your most valuable asset, you could also use North Carolina as the venue to file and file there. For most people they can only file in one place. But as you see, that is not always the case.

People find themselves struggling with debt for all kinds of reasons. Maybe they wound up unexpectedly divorced which depleted their financial resources and savings while simultaneously creating an obligation to pay child support. Maybe they got hurt on the job or in a car crash and can't go back to work yet. Severe illnesses like cancer can also lead to individuals accruing huge amounts of medical debt.

Sometimes, debt slowly builds over time, as people charge a little bit to credit cards every month that they simply can't pay off in full. Regardless of how you found yourself struggling with debt, for many people, bankruptcy is the most effective solution. Unlike payday loans or debt consolidation programs, bankruptcy gets rid of the underlying debt that directly causes your financial hardship instead of simply pushing the repayment date out or slightly reducing the interest rate you pay.

Common recommendations for keeping your finances in good order include budgeting and self-restraint. While this may seem to be wise and good-intentioned advice, it is not of much use to those whose income can barely cover essentials like food and shelter.

Many people in the United States, unfortunately, are not paid a wage that makes living with a disposable income possible, and this is one of the reasons why debt issues are so common.

"Am I eligible to file a Chapter 13?" is a question I am often asked. Bankruptcy code section 109, entitled "Who may be a debtor" provides many of the requirements. To file a Chapter 13 you cannot have more than $1,257,850.00 in secured debt nor more then $419,275.00 in unsecured debt. Since this is Federal law these rules apply regardless of whether you file bankruptcy in New Jersey, Pennsylvania or anywhere else. In addition you must have completed a credit counseling course within 180 prior to the filing. You must be an individual. Also, you are not eligible to file a Chapter 13 you had a Chapter 13 within the prior 180 days and your prior case was dismissed for willful failure to obey court order or to appear in proper prosecution of a case. In addition, if you dismiss a chapter 13 bankruptcy after the creditor has filed a motion for relief from the automatic stay, you cannot file another Chapter 13 for 180 days. However, if your prior bankruptcy was dismissed by the court, and not at your request, you can refile. There are other rules that come into play, such as good faith. It is best to consult with an experienced bankruptcy attorney to confirm eligibility