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Yearly Archives: 2011

Can a Kansas or Missouri Bankruptcy Save My House from Foreclosure?

If you are behind on your home mortgage filing for bankruptcy may give you the ability to save your home.  There are two different chapters of bankruptcy utilized by most consumers – chapter 7 and chapter 13.  An automatic stay will go into effect on the day your case is filed under either chapter, with a few exceptions for repeat filers.  The automatic stay prevents creditors from enforcing or collecting on your debts.

The automatic stay in a chapter 7 bankruptcy case will stall a foreclosure action against you.  The automatic stay in Kansas or Missouri will force the mortgage company to stop the foreclosure process – as long as your house has not been sold at auction or sheriff sale.  If a foreclosure has already been filed against you, the foreclosure will be put on hold until your bankruptcy case closes.  The mortgage company does have the option of requesting the Judge in your bankruptcy case to lift the automatic stay, so they can proceed with the foreclosure.  The request to lift the automatic stay will take a few months allowing the debtor a brief period to catch up on their mortgage.

The chapter 7 will only help you out if you are able to catch-up on your mortgage during your bankruptcy case.  Otherwise, once your case closes you will be in the same situation as before your case was filed, with the exception that your liability for your mortgage debt has been released if you chose to abandon your home.

A chapter 13 bankruptcy case allows you to catch-up on your mortgage arrears throughout the course of your bankruptcy repayment plan.  A chapter 13 repayment plan will last between 3-5 years depending on your median income level.   Your repayment plan amount is determined by the amount of your disposable income after necessary expenses are deducted from your gross income.  The mortgage arrears amount will be divided by the months in your total repayment period.  If you are attempting to save your home through a chapter 13 repayment plan, you will need to ensure you will be able to afford the ongoing monthly mortgage payments and a payment towards the arrears.

If you are behind on your mortgage and want to discuss your bankruptcy options in a casual, non-judging environment, arrange a consultation with our Kansas City Bankruptcy attorneys.

If you are wondering if you will lose your home simply because you are filing bankruptcy in the state of Kansas or Missouri you will want to read our post If I file bankruptcy can I keep my house?.

Debtor’s Duties : Part II : Do I Have To List ALL Of My Assets and Liabilities in Kansas?

Yes! When you file your Chapter 7 or Chapter 13 Bankruptcy case in Kansas and/or Missouri you will have to list EVERYTHING! As was discussed in Debtor’s Duties : Part I, Debtors have a responsibility to the Court – such as listing ALL their creditors when filing their bankruptcy case. In this series of blogs,… Continue Reading

Bankruptcy Filing Fees Increase Effective November 1, 2011

The Judicial Conference of the United States Bankruptcy Court has announced an increase in bankruptcy filing fees effective November 1, 2011.  The filing fees are paid directly to the court usually in full at the time a debtor’s case is filed.  The filing fee for a chapter 7 bankruptcy case will increase from $299.00 to… Continue Reading

Who Is a Bankruptcy Trustee?

Bankruptcy cases are overseen by the U.S. Trustee Program, which is a part of the Department of Justice.  The U.S. Trustee program oversees the administration of bankruptcy cases throughout the United States.  The states are divided into 21 regions.  The state of Kansas is included in Region 20, with the regional office located in Wichita,… Continue Reading

Why Do I Have To Take A Credit Counseling Course Before I File My Bankruptcy?

Credit Counseling Requirements Before Filing For Personal Bankruptcy In Kansas City As part of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, before you file for bankruptcy relief, you must take a credit counseling course. This is a onetime class which you may take over the phone, online or in person. The certificate… Continue Reading

What Is A 341 Meeting Of Creditors And What Can I Expect At My Bankruptcy Hearing?

Expect your Kansas City Bankruptcy Attorneys to continue to guide you through the Bankruptcy process — You will be fully prepared to meet with the Kansas Bankruptcy Trustee assigned to your Bankruptcy case! After your bankruptcy case has been electronically filed in Kansas, a 341 meeting (Meeting of Creditors) will be scheduled. This meeting will… Continue Reading