Chapter 13 Bankruptcy Blog | Law Office of Robert W. Kovacs, Jr.

Posted By Robert Kovacs 4-Jan-2017

Elizabeth D. Katz Appointed to Springfield Bankruptcy Court

According to a press release released on December 8 th, 2016, Chief Judge Jeffrey R. Howard of the 1 st U.S. Circuit Court of Appeals has chosen Elizabeth D. Katz to fill the vacancy in United States Bankruptcy Court for the District of Massachusetts ...

Posted By Robert Kovacs 27-Oct-2016

Using Chapter 13 bankruptcy to stop foreclosure and pay priority debts

When people are overwhelmed by their debts, bankruptcy may be a good option. Most individual debtors file for bankruptcy under either Chapter 7 or Chapter 13 of the Bankruptcy Code. Chapter 7 is known as a liquidation bankruptcy, and it is ...

Posted By The Law Offices of Robert Kovacs 15-Sep-2016

Chapter 13 Bankruptcy

Bankruptcy is a process designed to allow an individual who has accumulated far more debt than they can hope to repay a method to resolve their debt, reset their finances, and start over with a clean financial slate. At its heart, the basic tenet on ...

Posted By Robert Kovacs 16-Dec-2013

Bankruptcy as an Option for Credit Card Debt Relief

Bankruptcy as an Option for Credit Card Debt Relief Consumers typically go out of their way to avoid getting in trouble financially. Unfortunately, sometimes factors beyond their control create a situation where a consumer can find they need credit ...

Posted By Robert Kovacs 18-Sep-2013

The Top Myths about Personal Bankruptcy

The Top Myths about Personal Bankruptcy Personal Bankruptcy Personal bankruptcy is something most people try to avoid, but there comes a time when you don't have a choice but to file. In situations where there is no chance of recovering from your ...

Posted By Robert Kovacs 19-Aug-2013

Filing for Chapter 13 Bankruptcy Can Stop Foreclosure

Filing for Chapter 13 Bankruptcy Can Stop Foreclosure If you are facing foreclosure, you will want to explore all the options available to you to keep your home. Some financial solutions might include filing for loan forbearance or negotiating a ...

Posted By Robert Kovacs 2-Aug-2013

Small Business Bankruptcy: Why Choosing Chapter Options to Pay Back Debt Is Beneficial

Small Business Bankruptcy: Why Choosing Chapter Options to Pay Back Debt Is Beneficial Some form of small business bankruptcy may be necessary if your business is having debt problems that you can't control. Here are some options: Filing for ...

Posted By Robert Kovacs 26-Jun-2013

Concerns about Chapter 13 bankruptcy and children's education

Concerns about Chapter 13 bankruptcy and children's education Chapter 13 Bankruptcy Filing for Chapter 13 bankruptcy may be the best choice for you, in helping you successfully manage your debts. In general, Chapter 13 bankruptcy can allow you to ...

Posted By Robert Kovacs 29-May-2013

Stripping second mortgages if you have previously filed chapter 7

Stripping second mortgages if you have previously filed chapter 7 The Fourth Circuit Court of appeals recently ruled that a debtor can strip a second mortgage in chapter 13 even if the debtor has filed and received a chapter 7 discharges in the past. ...

Posted By Robert Kovacs 3-Feb-2013

Paying your Chapter 13 Plan -- on-line

Paying your Chapter 13 Plan -- on-line Currently the only way to make your monthly payment to the chapter 13 trustee is through money order or bank check. That is changing, the Kovacs Law Office has been asked to participate in a pilot program where ...

Posted By Robert Kovacs 21-Jan-2013

Worcester County Bankruptcy Filings Decline in 2012

Worcester County Bankruptcy Filings Decline in 2012 The Worcester Telegram and Gazete is reporting that Worcester County has seen a 17% decline in chapter 7 bankruptcy filings and a 27% decrease in Chapter 13 filings. Chapter 7 bankruptcy is a good ...

Posted By Robert Kovacs 13-Jan-2013

Notable Case - Recent Decision In Re: Mayberry

Notable Case – Recent Decision In Re: Mayberry In 2011 a client came to me to help save her home from foreclosure. This client has limited income and was struggling to survive. A chapter 13 bankruptcy reorganization was filed, which immediately ...

Posted By Robert Kovacs 31-Dec-2012

In re Hoey, 2012 Bankr. LEXIS 5803 (Bankr. D. Mass. Dec. 18, 2012)

In re Hoey, 2012 Bankr. LEXIS 5803 (Bankr. D. Mass. Dec. 18, 2012) Recently Judge Hillman, of the Boston Bankruptcy Court, found that a creditor cannot file a late objection to a bankruptcy plan prior to confirmation without excusable neglect. The ...

Posted By Robert Kovacs 16-Dec-2012

What can a Chapter 13 Plan do §1322 (b) of the Bankruptcy Code

What can a Chapter 13 Plan do §1322 (b) of the Bankruptcy Code A chapter 13 plan is required to do many things as outlined in §1322 (a). Also, there is a list of optional provisions contained in §1322 (b). Here is what you may do: (b) ...

Posted By Robert Kovacs 31-Mar-2012

Recent Bankruptcy Cases from the National Association of Consumer Bankruptcy Attorneys

Recent Bankruptcy Cases from the National Association of Consumer Bankruptcy Attorneys Debtors have been the beneficiaries of some significant appellate decisions in recent weeks, with NACBA and NCBRC (National Consumer Bankruptcy Rights Center) ...

Posted By Robert Kovacs 3-Feb-2012

NACBA's Principal Paydown Plan

Dear NACBA Member, Thanks to the good work of so many members, NACBA’s Principal Paydown Plan to help underwater homeowners in chapter 13 bankruptcy avoid foreclosure, has been endorsed by a substantial number of Members of Congress who in turn ...

Posted By Robert Kovacs 28-Jan-2012

What is an Adversary Complaint?

What is an Adversary Complaint? Federal laws protect an individual from creditor harassment during a bankruptcy case. Sometimes disputes arise during the case and a creditor, the trustee, or the bankruptcy debtor needs the issue tried by a court. In ...

Posted By Robert Kovacs 11-Dec-2011

Stop Foreclose - Fees for Chapter 13 Bankruptcy

Stop Foreclose – Fees for Chapter 13 Bankruptcy Filing of a bankruptcy petition will instantly stop the foreclosure on your home. Often we are asked, how much is the fee? The standard pre-filing chapter 13 bankruptcy fee is $1,900 which ...

Posted By Robert Kovacs 19-Nov-2011

Contested Lien Strip Victory - Second Mortgage Eliminated

Contested Lien Strip Victory – Second Mortgage Eliminated Many people are unaware that in bankruptcy you may complete eliminate second mortgages and equity lines of credit on their home or investment property and keep your home through ...

Posted By Robert Kovacs 19-Nov-2011

Alabama County Files Largest Chapter 9 Bankruptcy

Alabama County Files Largest Chapter 9 Bankruptcy Recently the commissioners of Jefferson County, Alabama, voted to file the largest Chapter 9 bankruptcy in history. The New York Times reports that the county is "roughly $4 billion" in ...

Posted By Robert Kovacs 16-Oct-2011

Are You A Bankruptcy Phoenix?

Are You A Bankruptcy Phoenix? The ancient world has many stories of the firebird, or phoenix. The phoenix is mythical bird of great beauty that lives a very long time. At the end of its life the phoenix builds a nest and then self-combusts, burning ...

Posted By Robert Kovacs 16-Oct-2011

"Support growing among policymakers for NACBA's Principal Paydown Plan"

Dear NACBA Member: On Wednesday, we wrote to bring you up-to-date on activities of NACBA’s Legislative Committee in support of the Principal Paydown Plan (PPP). Just as that email went out, we learned that the PPP figured prominently in a ...

Posted By Robert Kovacs 5-Oct-2011

Bankruptcy's Means Test

Bankruptcy's Means Test In 2005, Congress changed the Bankruptcy Code and added a means test to prevent wealthy debtors from filing Chapter 7 Bankruptcy. The means test is a calculation designed to identify debtors who can afford to pay some of ...

Posted By Robert Kovacs 9-Sep-2011

Is your Bank Account Half Full Or Half Empty? 5 People Who have filed Bankruptcy

Is your Bank Account Half Full Or Half Empty? 5 People Who have filed Bankruptcy It's funny how perspective can shape reality. For instance, some Massachusetts debtors view a personal bankruptcy filing as the final step in a long road of ...

Posted By Robert Kovacs 9-Sep-2011

Tax Returns After Filing Chapter 13 Bankruptcy --

Tax Returns After Filing Chapter 13 Bankruptcy YOU CAN KEEP YOUR TAX RETURN!!! A Massachusetts Chapter 13 bankruptcy case lasts between three to five years. That is three to five New Years, three to five Fourth of July fireworks, and three to five ...

Posted By Robert Kovacs 31-Aug-2011

Eighth Circuit BAP Allows Strip Off of Wholly Unsecured Lien in Chapter 20

Eighth Circuit BAP Allows Strip Off of Wholly Unsecured Lien in Chapter 20 The Eighth Circuit BAP found that a chapter 13 debtor may strip off a wholly unsecured lien on his principal residence even where the debtor is otherwise not entitled to ...

Posted By Robert Kovacs 8-Aug-2011

Can I Keep A Credit Card If I File Bankruptcy?

Can I Keep A Credit Card If I File Bankruptcy? Many Massachusetts bankruptcy debtors need a credit card for work. Whether it is necessary for business purchases or travel, it is common for clients to ask, "Can I keep one of my credit ...

Posted By Robert Kovacs 7-Aug-2011

Tax liens

Tax liens will "ride through" your bankruptcy case. If you have an otherwise dischargeable tax claim and a lien has been recorded against your real or personal property the lien will remain after your bankruptcy. The IRS or state taxing ...

Posted By Robert Kovacs 30-Jul-2011

"RECENTLY FILED AMICUS BRIEFS." and "OTHER NEWS" -- From the National Association of Consumer Bankruptcy Lawyers

"RECENTLY FILED AMICUS BRIEFS: Exemption for Inherited IRA NACBA has filed an amicus brief in the case of In re Chilton, No. 11-40377 (5th Cir.). That case addresses the issue of whether a debtor may exempt an inherited IRA from his bankruptcy ...

Posted By Robert Kovacs 27-Jul-2011

Your Personal "Debt Ceiling"

Your Personal "Debt Ceiling" On July 25, President Obama addressed the country asking the American public to encourage their Congressmen to raise our nation's debt ceiling. The debt ceiling is the legal limit on the amount of money the ...

Posted By Robert Kovacs 21-Jul-2011

When Can I Stop Paying Credit Cards?

When Can I Stop Paying Credit Cards? Many of my Massachusetts bankruptcy clients ask, "When can I stop paying on my credit cards?" The answer seems obvious: "immediately." If you are filing bankruptcy and discharging your credit ...

Posted By Robert Kovacs 20-Jul-2011

Bankruptcy Can Provide Leverage to Underwater Homeowners

Bankruptcy Can Provide Leverage to Underwater Homeowners The Washington Post recently reported that the Obama administration is not planning another large federally funded program to relieving the troubled housing market. This news comes despite the ...

Posted By Robert Kovacs 5-Jul-2011

Life Happens: Bankruptcy Conversion or Dismissal During Chapter 13

Life Happens: Bankruptcy Conversion or Dismissal During Chapter 13 Much of an individual's bankruptcy case revolves around the date the case was filed, also called the petition date. On that date the debtor submits a financial snapshot of his ...

Posted By Robert Kovacs 23-Jun-2011

Keeping Your Vehicle During Chapter 13 Bankruptcy

Keeping Your Vehicle During Chapter 13 Bankruptcy While some Massachusetts debtors are able to get by without a personal vehicle, having reliable transportation is necessary to most. Whether it is a means to get to work, or to school, or to take the ...

Posted By 2-Jun-2011

Your Massachusetts Fresh Start Bankruptcy

Your Massachusetts Fresh Start Bankruptcy An individual's lifetime is filled with highs and lows. Take for example the life of auto maker Henry Ford. Ford worked for years as an engineer for Thomas Edison's company, where he experimented with ...

Posted By 30-May-2011

Rental Property - Mortgage Cram Down - Reduce your principle balance on your mortgage loan

Rental Property - Mortgage Cram Down - Reduce your principle balance on your mortgage loan In a chapter 11 or 13 bankruptcy you may be able to reduce the outstanding principle balance on your mortgage loan to the current value of the property. In ...

Posted By 20-May-2011

The Tough File Bankruptcy

The Tough File Bankruptcy Massachusetts native Joseph P. Kennedy, Sr., patriarch of the Kennedy clan, was fond of saying, "When the going gets tough, the tough get going." If you are struggling with overwhelming debt, the kind that keeps getting ...

Posted By 16-May-2011

Top Five Bankruptcy Provisions

Top Five Bankruptcy Provisions Many of my Worcester and Farmington bankruptcy clients report that filing bankruptcy was the best choice they ever made. The Bankruptcy Code provides powerful relief for Massachusetts residents struggling with debt. ...

Posted By 5-May-2011

Discharging Tax Debt in Bankruptcy

Discharging Tax Debt in Bankruptcy Certain debts have been given special status by the Bankruptcy Code and are generally excluded from the debtor's bankruptcy discharge. Child support obligations, student loans, and income tax debts are three of the ...

Posted By Robert W. Kovacs,Jr. 17-Aug-2010

What are typical fees in bankruptcy?

Every bankruptcy case is different fees will vary from case to case. Typical fees in consumer cases are as follows: Chapter 7: Legal Fee: $1,000 - $1,500 Filing Fee: $299 Bankruptcy counseling: $100 Homestead Recording Fee*: $35 Chapter 13: Legal ...

Posted By Robert W. Kovacs,Jr. 17-Aug-2010

Bankruptcy is almost always cheaper than debt negotiation, settlement or consolidation

In most bankruptcy cases you will pay back nothing to your creditors. In other cases you will pay back what you can afford. Debt negotiation typically works by you making a payment to a company and then those companies asking your creditor to accept ...

Posted By Robert Kovacs 1-Jun-2010

HAMP Loan Modification Changes – Modification can NOT be denied because of active bankruptcy

Starting today, June 1, 2010, HAMP Home Loan Modifications cannot be denied because you are in an active chapter 7 or 13 bankruptcy. This is significant for many consumers. Many consumers facing foreclosure need both bankruptcy and a modification. A ...

Posted By Robert Kovacs 31-May-2010

I am facing foreclosure – Can Bankruptcy Help?

Bankruptcy can save your home from foreclosure! The moment a bankruptcy case is filed with the bankruptcy court the automatic stay comes into effect. The automatic stay prevents creditors from taking certain actions against you including foreclosing ...

Posted By Robert Kovacs 15-Feb-2010

What is Bankruptcy Counseling? Pre-Discharge Education

Individual debtors filing bankruptcy are required to complete both pre and post discharge counseling courses. Pre-filing counseling or “Credit Counseling” must be completed before the filing of bankruptcy. After the filing of bankruptcy debtors must ...

Posted By Robert Kovacs 8-Feb-2010

If you are filing chapter 13 bankruptcy with careful planning you may be able to reduce your payment

Chapter 13 bankruptcy is a payment plan. In chapter 13 the debtor makes a reasonable monthly payment based on his or her income and expenses. Whatever does not get paid back to creditors through the plan is discharged and you never have to repay ...

Posted By Robert Kovacs 3-Feb-2010

If you owe the IRS or DOR filing bankruptcy will put you in an interest free payment plan

If you owe the IRS or the Massachusetts Department of Revenue (“DOR”) back taxes then filing bankruptcy may help. Filing bankruptcy under chapter 13 or 11 will put you into an interest free repayment plan. Yes, you will have to pay the IRS or DOR ...

Posted By Robert Kovacs 3-Feb-2010

If you file Bankruptcy you can keep your tax return

For most debtors filing under chapter 7, 11, 12, or 13 you are able to keep your tax return without surrendering it over to the case trustee or the estate. In bankruptcy you are able to exempt certain asset from your creditors and the bankruptcy ...

Posted By Robert Kovacs 1-Feb-2010

Common Bankruptcy Mistake – Transferring an asset out of your name

In order to protect an asset a person thinking about filing bankruptcy may transfer an asset out of her name and into the name of another. This can include a home, vacation home, car, boat, plan, motorcycle, or even cash in the bank. This is a huge ...

Posted By Robert Kovacs 25-Jan-2010

You can still file chapter 13 bankruptcy while on un-employment

Chapter 13 bankruptcy is often called a payment plan. In chapter 13 bankruptcy the debtor will make a monthly payment for either 3 or 5 years. The amount of the payment is reasonable based on the debtor’s income and expenses and not on how much debt ...

Posted By Robert Kovacs 24-Jan-2010

You can file bankruptcy and keep your home

If you file bankruptcy you will keep your home; unless you want to surrender it to the bank. In order to keep your home you will need to at a minimum be able to make the current monthly payment on the first mortgage. If you are filing chapter 7 ...

Posted By Robert Kovacs 17-Jan-2010

I filed Bankruptcy; Can I get a new credit card?

If you filed bankruptcy under chapter 7 you will be able to obtain a new credit card very shortly after filing. Most banks will want your business, because (1) you have reduced your debt, (2) cannot get another bankruptcy discharge for 8 years, and ...

Posted By Robert Kovacs 17-Jan-2010

I am currently in a chapter 13 plan; Can I get a new car loan?

Yes, you can but you will need permission of the Court. While you are in chapter 13 bankruptcy you are prohibited from incurring new debt without permission of the Court. This means no new credit cards, home loans, car loans, or other sorts of debt ...

Posted By Robert Kovacs 15-Jan-2010

HELP! My home is going to be foreclosed on.

Filing bankruptcy will automatically stay any foreclosure proceeding. So long as your bankruptcy case is filed prior to the actual foreclosure sale. If your intention is to permanently save your home from foreclosure then you will need to catch-up ...

Posted By Robert Kovacs 12-Jan-2010

I can no longer afford my car. What happens if I give it back to the bank?

If you are unable to afford your car loan you may chose to voluntarily surrender the car to the bank. After the bank has the car they will sell the car at an auction. They will apply the proceeds of the sale to the outstanding balance you have on the ...

Posted By Robert Kovacs 10-Jan-2010

What is Discharge?

The goal for most individuals in bankruptcy is to receive a discharge of their debts. A discharge is a release of your legal obligation to repay your debt. With limited exception the discharge will discharge all your debt including credit card bills, ...

Posted By Robert Kovacs 21-Dec-2009

What Happens if I Cannot Make my §341 Meeting

With the snow that fell this weekend I cannot help but think now may be a good time to mention what happens if a debtor cannot make their assigned time and date for their §341 meeting. The §341 meeting is often the only meeting a debtor has to ...

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