National and Local Standards Means Test Changes (Effective May 1, 2017)
Beginning May 1, 2017, allowable means test deductions will change.
Median Family Income Data Increases (Effective April 1, 2017)
Effective April 1, 2017, the median family income data used in bankruptcy has changed.
Trump Administration Memorandum: Fiduciary Duty Shouldn’t Extend to Financial Advisors
Learn how the Trump administration's financial management policy favoring quantity over quality could put your retirement at risk.
Federal Bankruptcy Exemptions Increase (Effective April 1, 2016)
Effective April 1, 2016, federal bankruptcy exemption amounts have increased.
Debt Limits Increase for Chapter 13 Bankruptcy Filers (Effective April 1, 2016)
Effective April 1, 2016, Chapter 13 bankruptcy debt limits have increased.
South Carolina Exemption Increases (Effective July 1, 2016)
Effective July 1, 2016, certain South Carolina exemption figures used in bankruptcy have changed.
California Bankruptcy Exemption Increases (Effective April 1, 2016)
Effective April 1, 2016, certain California exemption figures used in bankruptcy have changed.
New Federal Law Allows Families to Deduct ABLE Contributions on the Bankruptcy Means Test
At the end for 2014, Congress created a new tax-free savings vehicle, called an ABLE (Achieving a Better Life Experience) account, designed to assist families in saving money for the support of individuals with disabilities. The accounts work like college savings accounts.
10th Circuit Says You Cannot Discharge Income Tax Debt in Chapter 7 If You Filed a Late Return
In a recent decision, the 10th Circuit Court of Appeals ruled that you cannot discharge income tax debts in Chapter 7 bankruptcy if you filed a late return.
Bankruptcy Filings Decline in 2014
The number of bankruptcy filings in 2014 varied widely by region.
2014 Bankruptcy Audit Reveals Misstatements in 23% of Bankruptcy Cases
Each year the United States Trustee Program (USTP) contracts with independent audit companies to conduct audits of individual Chapter 7 and Chapter 13 bankruptcy cases.
Nolo Author Leon Bayer on Radio April 22, 2015
Leon will talk about consumer bankrutpcy and the other guest, J. Scott Bovitz, will speak about the rights of creditors. Tune in to hear Leon's expert advice, real world tips, and more.
In a unanimous opinion yesterday, the U.S. Supreme Court ruled that when a debtor converts a Chapter 13 bankruptcy case to a Chapter 7 case, any undistributed Chapter 13 plan funds in the trustee’s possession belong to the debtor, and not to the trustee or creditors.
Texas Increases Personal Property Exemption Amounts in Bankruptcy
As of September 1, 2015, Texas has increased its dollar amount cap on personal property exemptions.
Alabama Increases Homestead and Wildcard Exemptions
Effective June 11, 2015, the Alabama legislature increased several of the exemptions that may be used in bankruptcy.
Bankruptcy Filers Must Use New, User-Friendly Forms (Effective December 1, 2015)
Effective December 1, 2015, bankruptcy filers must use revised forms.
Bankruptcy Rule Change: Filing Form 23 Unnecessary in Many Cases
A recent amendment to Bankruptcy Rule 1007 changes the requirements for filing Form 23, Debtor's Certification of Completion of Postpetition Instructional Course Concerning Financial Management.
Rhode Island Bankruptcy Exemptions Increased for Tools of the Trade and Wildcard
Effective July 17, 2013 two of the Rhode Island bankruptcy exemption dollar amounts increased.
Errata: Federal Bankruptcy Exemption for Life Insurance Policy
The dollar amount that may be exempted for "Life insurance policy with loan value in accrued dividents or interest" should be $12,250.
Arizona Bankruptcy Exemptions -- Dollar Amount Changes
The Arizona legislature recently updated the Arizona bankruptcy exemption dollar amounts.
Georgia Motor Vehicle Exemption Increased
Effective July 1, 2013, the dollar amount for Georgia's motor vehcile exemption increased to $5,000.
Increase in Maryland Homestead Exemption in Bankruptcy
The dollar amount of the Maryland homestead exemption in bankruptcy tracks the federal bankruptcy homestead exemption.
Increases in Ohio Bankruptcy Exemption Dollar Amounts
The Ohio Judicial Conference adjusted the Ohio bankruptcy exemption dollar amounts for inflation in April 2013.
Changes to Utah Bankruptcy Exemptions
The Utah legislature increased the dollar amounts for several of the Utah bankruptcy exemptions, and added an exemption for wages. The changes, which became effective on May 14, 2013, are as follows: Homestead exemption Real property, mobile home or water rights up to $5,000 if the property is not debtor's
South Dakota Wildcard Exemption Increases
Effective March 21, 2013, South Dakota increased the wildcard exemption.
Bankruptcy Code Dollar Amounts Change April 1, 2013
On April 1, 2013 the dollar amounts listed in the bankruptcy code increased by 6.3%.
State Median Income Figures Change April 1, 2013
On April 1, 2013, the state median income figures for the bankruptcy means test were adjusted.
Ohio Homestead Exemption Increased to $132,900
On April 1, 2013, the Ohio homestead exemption increased to $132,900.
U.S. Trustee Program Has Suspended Random Bankruptcy Audits
The U.S. Trustee recently announced that it will suspend its random bankruptcy audits due to budget constraints.
Fourth Circuit Allows Lien Stripping in Chapter 20 Bankruptcy
In May 2013, the U.S. Court of Appeals for the Fourth Circuit rules that debtors can strip off wholly unsecured junior liens in a Chapter 13 bankruptcy that follows close on the heels of a Chapter 7 bankruptcy (often referred to as Chapter 20 bankruptcy).(In re Davis, No. 12-1184 (May 10, 2013).)
Same Sex Married Couples Can File for a Joint Bankruptcy Petition
Same sex couples that are legally married under state law can now file a joint bankruptcy petition.
Oregon Bankruptcy Filers Can Now Use the Federal Bankruptcy Exemptions
The new law allows those filing for bankruptcy in Oregon to elect to use the federal bankruptcy exemptions instead of the Oregon exemptions.
Bankruptcy Filers in the Fourth Circuit May Keep Social Security Income in Chapter 13
On July 1, 2013, the Fourth Circuit Court of Appeals ruled that people filing for Chapter 13 Bankruptcy can exclude social security income from their "projected disposable income."
No Lien Stripping in Chapter 7 Bankruptcy, Says 7th Circuit
In Palomar v. First American Bank, No. 12-3492 (7th Cir. July 11, 2013), the Seventh Circuit for the Court of Appeals ruled that Chapter 7 bankruptcy filers cannot get rid of unsecured liens on their homes.
Ninth Circuit Says Above Median Income Chapter 13 Bankruptcy Filers Must Have Five Year Plan
If your income is greater than the median income in your state and you file for Chapter 13 bankruptcy, your Chapter 13 repayment plan must last for 60 months. There are a few exceptions.
Bankruptcy Filing Fees Increase
On November 1, 2011 the fees to file a bankruptcy petition increased.
11th Circuit Allows Lien Stripping in Chapter 7 Bankruptcy Cases
On May 11, 2012 the 11th Circuit Court of Appeals ruled that debtors filing for Chapter 7 bankruptcy can strip off wholly unsecured junior mortgages and liens.
6th Circuit Rules That Michigan Bankruptcy-Only Exemptions Are Constitutional
On August 20, 2012, the United States Court of Appeals for the Sixth Circuit ruled that bankruptcy filers in in Michigan may use Michigan’s set of bankruptcy-only exemptions.
Bankruptcy Filings Up 9% in 2010
According to a recent National Bankruptcy Research Center report, bankruptcy filings increased by 9% in 2010 (versus 2009).
Bankruptcy Car Ownership-Cost Deduction Limited by U.S. Supreme Court
On January 11, 2011 in Ransom v. FIA Card Services, MBNA, America Bank, U.S. (2011), the United States Supreme Court held that in a Chapter 13 bankruptcy, a debtor cannot use the car-ownership deduction to deduct ownership costs if the debtor does not make car loan or lease payments.
Bankruptcy Means Test Numbers Change
Median income figures for each state, which help determine eligibility for Chapter 7 bankruptcy, changed on March 15, 2011. The new median income figures can be found on the website of the U.S.
Same-Sex Couple Files Joint Chapter 13 Bankruptcy Petition
On February 24, 2011, a same-sex couple filed a joint Chapter 13 bankruptcy petition in Los Angeles, California.
Michigan's Bankruptcy-Only Exemption System Struck Down
The Sixth Circuit Bankruptcy Appellate Panel has held that Michigan's bankruptcy-specific exemptions (found in Mich. Comp. Laws §600.5451) are unconstitutional.
Dollar Amounts Changed: Presumption of Fraud for Credit Card Charges and Cash Advances
In Chapter 7 bankruptcy, certain credit card debts are presumed to have been incurred through fraud, and are therefore not dischargeable.