After a debtor has completed the bankruptcy schedules and a Chapter 7 bankruptcy has been filed with the court, a debtor must attend a 341 hearing, also known as a meeting of creditors. Several days after the bankruptcy case is filed, a debtor will receive a notice of the 341 hearing. The notice will indicate the date, time and method by which the meeting will occur. Currently, in the state of Minnesota, 341 hearings are conducted virtually, either by telephone or by Zoom. A 341 hearing is also called “meeting of creditors,” however, creditors rarely attend. A debtor’s assigned bankruptcy trustee will conduct the 341 hearing.

     Thousands of Minneapolis, MN residents contemplate filing Chapter 7 Bankruptcy each year. The inevitable question that arises is how will filing a Chapter 7 Bankruptcy in Minneapolis, MN affect my credit score? It is a respectable question and one that I would want to know the answer to myself. So many people think if you file Chapter 7 Bankruptcy, your credit score is sort of doomed forever. Not true at all. In fact, in many instances, it is just the opposite. 

If you are looking at filing bankruptcy in Minneapolis, Minnesota, you may be wondering what steps you have to take and what you need to file. Every case is different, therefore the below is a general guideline and idea. 

    Cars depreciate in value quickly. Your car may have been your pride and joy when you first drove it off of the dealership lot. However, after many miles of wear and tear, you may feel differently. It is not uncommon for people to find themselves in a position in which their vehicle is worth much less than what they still owe on their car loan. This is not surprising when you consider the amount of interest the car loan lenders make you pay (and don’t get me started on all those extra fees the dealerships like to throw in).  However, there is a solution to that expensive eyesore taking up space in your driveway. You guessed it! You can file a personal bankruptcy case.

Life happens, we do not set out to owe our creditors money we cannot payback. If you are in a situation where you owe your utility providers for a current service you use, you may be wondering, can I include my utility provider as a creditor in my bankruptcy?
The answer, is yes. Although, you can include your utility providers, read on to find out requirements for doing so.

Summer in Saint Paul is a thing of beauty. Everywhere you look, there’s trees, rich foliage, and lots of flowers.  The weather is typically sunny and warm, but not too hot. The city is full of people engaging in outdoor activities such as boating, swimming, jogging, and playing in the park. However, one of the best things about the summertime in St. Paul is the sports.  

Once a creditor obtains a judgment against a debtor in order for the creditor to obtain payment from the debtor the creditor will attempt to enforce the judgment. Enforcement of the judgment can be in the form of a bank levy or garnishment but it can also be a lien against the debtor’s real estate. 

LifeBack Law Firm is Minnesota’s most kind and helpful bankruptcy law firm. We recently opened up a new location right where you live in Minneapolis, MN! We are now located at 310 E 38 Street, Suite 111, Minneapolis, MN 55409. We are just south of downtown Minneapolis and located on a bus line with plenty of free parking. If you live in Minneapolis, and you are suffering from overwhelming debt, and you need to file bankruptcy and get your life back, look no further than LifeBack Law Firm. LifeBack has been protecting Minnesotans from their creditors since 1972, and we can protect you too. 

Not all debts in a bankruptcy are dischargeable. 11 U.S.C. § 523 of the Bankruptcy Code provides exceptions to the dischargeability of some debts. This blog will address the nondischargeability of debts encompassed by Section 523(a)(6). 

     It is the age-old question isn’t it? What effect does filing Chapter 7 Bankruptcy have on my credit? It’s not what you think and here is why. Suppose you say to me, I have 50k in credit card debt and I have fallen behind on my payments. The credit card companies have not sued me yet but I am in default on all my payments and I am starting to hear from collection agencies. We all know collection agencies are the last stop before you get sued and your wages garnished and accounts levied by creditors.

Almost every client wants to know where their case will be filed and whether the county they live in is the location for filing. The county you live in does determine where your case is filed, but your case will not be filed in your local county courthouse. 

Welcome back to our series of blog posts on the history and philosophy of the economy, bankruptcy, and debt – today we discuss public benefits, which are today are generally couched as welfare. 

 If you own an LLC or a corporation, and are thinking about filing for bankruptcy, you may have some questions or concerns regarding whether your business debt will be discharged in a Chapter 7 bankruptcy. By owning an LLC or a corporation, you probably have business debt and personal debt. Business debt is debt that arises from the operation of your business. It is money that you owe from running your business. It is debt that is owed by the business entity, which is separate from the debt owed by you as the owner of the business. Personal debts from running a business can come in the form of taking out loans and incurring credit card debt to pay business expenses. It can also come about when you as the business owner, agree to “personally guarantee” a business loan, which means that you as the owner, agree to be personally responsible for repaying the business loan, in the event the business is unable to pay the loan itself.

Bankruptcy law allows debtors to file a personal chapter 7 or 13 bankruptcy case either by themselves, individually, or jointly with their spouse. Typically, when both spouses have a substantial amount of debt, it makes good sense for them to file a joint case together. That way, both spouses can wipe out all of their debt, at the same time, without having to go through the additional time and cost of filing two separate cases (debtors don’t have to pay twice for attorney fees and court filing fees).

    If you are struggling with making your mortgage payments on time, or if you are facing an impending foreclosure on your house, a Chapter 13 bankruptcy may be the type of bankruptcy that will best suit your needs. A Chapter 13 bankruptcy involves an affordable, monthly payment plan. This monthly payment plan can cure mortgage arrears, and at the same time, protect your house from a foreclosure. A Chapter 13 bankruptcy is a structured and organized way to pay back a small portion of your debt, cure mortgage arrears, and stop a foreclosure; meanwhile, you are able to keep all of your assets and come out of the bankruptcy in 3-5 years debt free. In a Chapter 13 bankruptcy, you will make monthly, affordable payments to your bankruptcy trustee’s office, which can be set up to monthly ACH withdrawals from a bank account of your choice. That monthly, affordable payment can allow you to pay down any mortgage arrears that you may have. 

Over my last posts, we discussed the bankruptcy regimes in the United States up to the Chandler Act of 1938. It is worth taking a moment to plot the policy concerns over those periods.