For some people, filing a personal bankruptcy can provide the opportunity for them to reset their finances and give them hope for the future. It can provide a new chapter free from the debts that many times accrue through no fault of the debtor. A bankrptcy doesn’t mean a person is irresponsible; many times, unintended debts can pile up leaving few options. Medical emergencies, natural disasters with not enough insurance, and unforeseen home or car repairs are just a few of the ways unintended debts can pile up.
Bankruptcy is something that attorneys see a lot of in the State of Florida – for example, (as reported by state courts), there were a total of almost 24,000 bankruptcy cases adjudicated at of the end of December last year in United States Bankruptcy Court for the Middle District of Florida; the third busiest bankruptcy court, of the 90 federal districts, in the nation. There are options for Florida bankruptcy.
The rules are clear here in Orlando, Florida and anywhere else: if you’re filing for Chapter 7, you cannot charge your bankruptcy lawyer fees on a credit card.
Any Orlando bankruptcy attorney who reads the bankruptcy code knows that it specifically prevents us from counseling a client to go into debt to pay for a bankruptcy attorney’s fees. Also, when you file for Chapter 7, the court will scrutinize any last-minute credit card debts to determine whether they are dis chargeable, since these charges could be viewed as evidence of bankruptcy fraud. Also, any expenditures for “luxury items” during the 90 days before you file could result in the court denying you a discharge of your debts.
True or false: if I make a lot of money or have a lot of assets, then I can’t file for Chapter 7 or Chapter 13 bankruptcy in the state of Florida.
Don’t fall for that common myth about bankruptcy for millionaires. Even if you have a high net worth, you’re eligible to file for Chapter 7 or Chapter 13. In fact, bankruptcy is a smart solution for many savvy business people whose entrepreneurial ventures fail, or who don’t have enough capital to satisfy their business liabilities. The advantages of bankruptcy can also help employees forced to take early retirement from a well-paying job.
At Orlando’s Badgley Law Group, we help many clients file bankruptcy with their tax refunds. We understand that when finances are tight, using your IRS refund check to pay for bankruptcy proceedings is a simple solution. If you’re considering this route, however, beware of this disturbing trend: electronic tax scams.