When you are a homeowner you become aware of other payments that you must make besides just the mortgage payment. These payments can include homeowner associations/monthly maintenance charges, property taxes or property insurance. Sometimes these payments are built into the mortgage payment (through the escrow account), however sometimes these payments must be made individually. If you own a home and you file for bankruptcy you can select to either keep or surrender your home. Ideally it is only best to keep your home if you are current and you know that you will be able to continue to make payments on the residence as well as any other payments associated with the home.
If you choose to surrender your home when you file for bankruptcy then you will not be responsible for the balance owed for your mortgage. If you make separate payments for your property taxes, association fees, or property insurance then you need to list them on your bankruptcy petition and thus you will not be responsible for their debt.
In short if you are filing for bankruptcy in Florida and you surrender your home, you will likely not be responsible for the mortgage debt, the property taxes, the homeowner associations or even the property insurance on the home.
Shmucher Law, PL is a bankruptcy law firm with offices located in Fort Lauderdale, Miami, Plantation, Boca Raton, and Sunrise Florida. Shmucher Law offers a free bankruptcy consultation and appointments can be made by calling 954.309.5559 or 305.741.5553.
One of the most important questions people as me is what is the time frame for a bankruptcy in Florida. While the time frame for each case is different because it depends on how long it takes to draft a bankruptcy petition generally it goes as follows:
- Schedule an appoint for a free consultation at Shmucher Law, PL
- Call 954.309.5559 or 305.741.5553 to schedule an appointment in any of our five office locations: Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.
- Bring all necessary documents to the initial consultation
- Review your case with the bankruptcy lawyer and begin to fill out the bankruptcy petition.
- Approximately seven days or less after the initial consultation the bankruptcy petition will be ready to review, sign, and make any necessary changes. Once all the changes are ready the petition can be filed.
- File the petition.
- Approximately 30 to 45 days after the bankruptcy petition has been filed the debtor will need to appear in court for their meeting of the creditors (341 meeting).
- 60 days after your meeting of the creditors or about 90 days after your bankruptcy has been filed you will receive your discharge in the mail, and all the debts on your bankruptcy petition will likely be discharged.
So in short the timeline for a successful chapter 7 bankruptcy filing in Florida takes about three months from start to finish.
If you are thinking of filing for chapter 7 bankruptcy in south Florida then please contact Shmucher Law, PL for your free initial consultation.
When people lease vehicles in Florida, the lease is typically limited to certain mileage (i.e. 10,000 miles per year). If the lessee goes over that allowed mileage they are forced to pay a penalty of a few cents (usually 25 cents) per mile that they are over when the lease is up and they need to return the car. Furthermore a lessee can be charged for the damages on the car (anything beyond normal wear and tear).
If you are thinking of filing for bankruptcy then you can terminate the lease early by surrendering the car in the bankruptcy itself. If you are over on your mileage or if there is some damage to the vehicle, then you will NOT be responsible for the difference if you surrender the vehicle in your bankruptcy.
The filing of a bankruptcy is a serious decision and one should consult with a bankruptcy attorney prior to filing. If you would like to schedule a free consultation with a bankruptcy lawyer then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We offer free consultations in any of our office locations including Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.
When you file for bankruptcy you need to list all of your assets and their values. For some assets it’s fairly simple to determine their worth however it gets difficult for others. Here are the most common assets and means to determine their worth:
Home – For your home you should use the current year property appraiser valuation for the home.
Vehicle – For vehicles you should use KBB.com private party sales to determine the value of vehicles. If you lease your car this is not necessary.
Bank Accounts – Use the amount in the bank account on the date of filing.
Investment Accounts – Use the amount in the investment accounts on the date of filing.
Furniture – Use garage sale or craigslist.org values.
Jewelry – Use what pawnshops would give you for the pieces of jewelry you own.
Lots of clients come to my office and they have debt on their credit report that someone else has co-signed for, examples are cars and credit cards. When the person files for bankruptcy he must list any co-signer on his/her bankruptcy petition to give the other party notice of the bankruptcy filing. The person who is filing will likely have that debt discharged (wiped out in the bankruptcy).
If you are the person who co-signed the debt for the person that filed for bankruptcy, you will still be liable for that debt. What that means is that the creditor will likely now turn to you to collect the monies owed. This will likely mean frequent calls from debt collectors in an attempt to settle the debt and or eventually a lawsuit against you.
If you are thinking about filing for bankruptcy and would like to schedule a free consultation with a Southern Florida bankruptcy lawyer in any of our office locations:Miami, Plantation, Boca Raton, Fort Lauderdale, or Sunrise , Florida then please contact us at 954.309.5559 or 305.741.5553.
You are relaxing at home on a typical day and then you receive a knock at your door. You open the door and a process server greets you and asks you if you live there, you say you do, and he serves you with a summons and complaint. You look at it more carefully and you see it’s a lawsuit from one of your credit card companies that is suing you for your unpaid balance plus interest plus attorneys fees. You then immediately start to panic.
The filing of a civil lawsuit is just the start of the actions that a credit card company may take against you. You will have twenty days to answer your complaint or the creditor will be able to get a default judgment against you. You most likely have no defense to this lawsuit as you probably spent the money and you stopping making payments to collect. Once they win their lawsuit (and they will), they will begin to attempt to collect on the monies owed. They will begin their collection attempts by freezing your bank account(s), wage garnishing you if you have a job, or levying and selling your property (not including your home).
Fortunately, the filing of a bankruptcy can and will likely cease any actions against you by your credit card company. The filing of the bankruptcy will immediately freeze any on going state court actions and in the case of a credit card lawsuit, will likely have the lawsuit be dismissed. The creditor will not be able to wage garnish you, freeze your bank account, or even levy on your property.
If you have been sued by a credit card company, or believe that a suit against you is imminent and would like to schedule a free consultation to determine if bankruptcy is an option for you, then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. Our office locations include Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.
I hear this question at least twice a week. A client will come into the office and say I have a foreclosure sale in one week, if I file for bankruptcy before the sale, how long will I be able to remain in the home? Unfortunately there is no exact answer to this question, however we can estimate for the client.
The filing of a bankruptcy creates a shield called the automatic stay, once the automatic stay has come into play everything is frozen, including the foreclosure sale. Generally the automatic stay is only good for the life of the bankruptcy (approximately 90 days in a chapter 7), however it can be shortened by an aggressive lender. In order to pursue the foreclosure, the lender will need to do one of two things
- The lender can move for relief from the automatic stay in the bankruptcy case. Basically this means the lender wants the automatic stay lifted before the case is over, ie to shorten the 90 day period. This relief from the automatic stay will likely be granted, and the debtor will then be able to reschedule a foreclosure sale. An aggressive lender will do this.
- The lender can wait till the automatic stay is over (approximately 90 days, or when the bankruptcy case is over). Once the automatic stay is over the lender can continue with their foreclosure process and reschedule a sale date.
So the answer to the clients question – it really depends on the aggressiveness of the lender. Realistically it could be an additional three to six months but there are no guarantees. However there is one major caveat with this, some southern district of Florida bankruptcy trustees have begun collecting rents from the debtors who are surrendering their homes but remaining in them until they are sold. So don’t expect to live there for free.
If you are thinking of filing for bankruptcy in Florida and would like a free consultation to review your situation then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We offer free consultations in any of our offices located in Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.
All my clients seem to get nervous prior to their meeting of the creditors because it will be there one and only time they will ever have to go to “court.” Luckily for my clients the 341 meeting of the creditors isn’t a true court hearing, rather it is a hearing with a bankruptcy trustee. All parties sit at a conference table and the debtor will be asked approximately five minutes of questions. The debtor should have no problem answering any of the questions and if they do, they could always provide paperwork at a later time to answer the question. Here are the most common questions that a bankruptcy trustee will ask a debtor if they filed for bankruptcy in Miami or Fort Lauderdale?
- Do you remember reviewing and signing your bankruptcy petition and schedules?
- Is the information in your schedules true and correct?
- Did you list all your assets and your debts?
- Questions about real estate
- Have you ever owned any real estate in the past five years?
- When did you purchase the real estate?
- Have you refinanced the property in the last two years?
- Have you rented out the property in the last two years?
- What are your intentions with the property? (surrender/keep)
- Are you current on your payments
- If not, how many months are you behind?
- Questions about vehicles.
- Do you still own the vehicle?
- Are you current on payments?
- Do you still have insurance on your vehicle?
- Questions about assets.
- Have you given away or transferred any assets in the past two years?
- Miscellaneous questions
- Can you sue anyone? (personal injury)
- Are you the beneficiary of any will or trust?
Remember that you are answering all of these questions under oath and lying under oath could have severe consequences in your bankruptcy case and/or could include a jail sentence. If you would like a free consultation with a bankruptcy lawyer feel free to contact Shmucher Law, PL at 305.741.5553 or 954.309.5559.
The bankruptcy trustee is what I would like to consider the referee of your bankruptcy filing. The trustee has certain duties including: making sure your bankruptcy petition is prepared correctly, reviewing your assets (specifically valuations), and reviewing your case to determine whether or not you have committed any fraud and or have any assets that are not exempt and can be sold for the benefit of creditors.
The trustee’s primary duty is to find assets, specifically assets that are non-exempt so that the trustee can take and sell/liquidate your assets for the benefit of your unsecured creditors. Examples of assets that a trustee can/will take from a debtor include cars, tax returns, monies in the bank, and personal injury lawsuits. It is imperative to have an attorney that understands bankruptcy to represent you, so that you will likely not have any assets that the trustee will liquidate.
The trustees get compensated (paid) for administering your case. They get paid for selling your assets and turning over the money to your creditors.
It is in your best interest to seek a qualified bankruptcy lawyer to represent you when you file for bankruptcy so as not to have any of your assets administered by the bankruptcy trustee. If you would to schedule a consultation with a Miami Bankruptcy lawyer please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We have five offices located in Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida to serve you.
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Venue determines where a debtor can file for bankruptcy. Under 28 U.S.C. § 1408 a debtor may file for bankruptcy in a district in which the domicile, residence, principal place of business in the United States, or principal assets in the United States of the debtor have been located for the 180 days preceding the filing, or for a longer portion of such 180-day period.
So what does that mean for the debtor? It means that if you moved to Florida yesterday and you tried to file for bankruptcy today your case will likely get dismissed for lack of venue. However if you moved to Florida 91 days ago (the greater part of the 180-day period) and you intend that Florida be your domicile then you will be able to file for bankruptcy in Florida. In order to show that you want to be domiciled in Florida you should switch over your driver’s license to Florida, get Florida tags/registrations on your vehicle, and register to vote here. By doing so you will be able to file for bankruptcy in Florida.
However there is one caveat to filing for bankruptcy soon after moving to Florida, and that is that the debtor may not be able to use the Florida exemptions to protect his or her assets.
If you are thinking of filing for bankruptcy in South Florida and would like to schedule a free consultation with Ofer Shmucher of Shmucher Law, PL then please contact us at 954.309.5559 or 305.741.5553. We offer free consultations in any of our office locations (Boca Raton, Fort Lauderdale, Miami, Plantation, Sunrise, Florida).
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