Peoria Illinois bankruptcy lawyer Archives - Peoria Bankruptcy Lawyer Charles Covey

Personal Bankruptcy Likely to Increase in 2021

July 28, 2020

Many are predicting that personal bankruptcy filings will increase in 2021 as debt problems accumulate in the fallout of Covid-19. Although many Americans were in a holding pattern during the early months of the pandemic aided by government programs and forgiving creditors, those who have experienced periods of unemployment during the shutdowns, or had debt problems prior, are beginning to explore what debt forgiveness options exist as the economy opens back up. Fortunately, bankruptcy offers … [Read more...]

Bankruptcy Filings Up for Seniors

November 20, 2017

Bankruptcies for people 65 and up is on the rise, making up roughly 8 percent of all bankruptcy filers - an increase over previous years. A few factors likely contribute to the fact that older Americans are turning to bankruptcy for debt relief. For one, the recession of 2008 hit the demographic hard. Many Americans who were poised to retire were instead looking at their savings to make ends meet or trying to return to the workforce to weather the unanticipated financial hit, sometimes … [Read more...]

Rebuilding Credit After Bankruptcy

November 7, 2017

If you have visited any of the credit reporting agencies' websites following bankruptcy, you may have seen a warning stating that, "Having a bankruptcy in your credit history will seriously affect your ability to obtain credit for as long as it remains on your report." Of course, in real terms this means that filers may have trouble qualifying for a loan, an apartment, utilities, or even employment. This leaves many wondering, “Just how long will a bankruptcy affect my credit so I can get on … [Read more...]

Creditor Proof of Claims in Chapter 7 & 13 Bankruptcy

September 8, 2017

A proof of claim is a written statement notifying the bankruptcy court, the debtor filing chapter 7 or 13 bankruptcy, and the trustee handling the case, that a creditor has a right to a distribution from the bankruptcy estate. All unsecured creditors must file a proof of claim and, as of December 1, 2017, secured creditors and equity security holders must also file if they want to get paid through the debtors bankruptcy as part of an update to Federal Bankruptcy Rule 3002. In addition to … [Read more...]

Will I Be Able to Purchase a Car After Declaring Chapter 7 Bankruptcy?

September 26, 2016

Bankruptcy can provide an opportunity for people struggling with a difficult financial situation to get a fresh start. Clients often wonder if they can qualify for a car loan following bankruptcy in order to get back and forth to work or to get their kids to school. How Will Bankruptcy Impact My Ability to Get Credit Often times bankruptcy is seen as a responsible step to getting your finances in order, but, of course, there is a period of time where you will have to reestablish your … [Read more...]

Debts You Cannot Liquidate in an Illinois Bankruptcy

March 3, 2016

If you are struggling with debt challenges, bankruptcy can be a positive step in order to get a fresh start. While many debts are dischargeable in bankruptcy, some are not. The following debts typically cannot be discharged in either a Chapter 7 or Chapter 13 bankruptcy: Child Support and alimony arrears Many fines, penalties and judgements for violating the law Student loans in most cases Various tax debts Debts you neglected to include in your … [Read more...]

Will Everyone Know I’ve Declared Bankruptcy?

February 26, 2016

One of the many reasons that people choose not to file for bankruptcy, even if it would benefit them greatly, is the perceived stigma associated with it. This is truly unfortunate as it prevents individuals from seeking out the best option to address financial troubles. You may be worried that if you decide to declare bankruptcy, your records will be visible to all. Although you would probably prefer to keep your bankruptcy filing private, the reality is that the records are indeed public. … [Read more...]

Keeping the Essentials – Your Home and Car in Bankruptcy

January 23, 2016

A Chapter 7 bankruptcy, otherwise known as a liquidation bankruptcy, wipes out debt completely and appeals to many who cannot afford to pay their bills. But what about people who have non-exempt property that they do not want to give up? Chapter 13 is a reorganization bankruptcy and offers an opportunity for debtors to keep their property by agreeing to make monthly payments toward their debt over the course of three to five years. Chapter 13 bankruptcies may allow you to restructure your … [Read more...]