As of April 1, 2010 there are new debt ceilings for chapter 13.

Secured Debt Limit $1,081,400
Unsecured Debt Limit $360,475

If your debt for either category exceeds the above amounts, then you are not eligible for a chapter 13. You should then consider chapter 7 or chapter 11.

Talk to a local bankruptcy attorney to review your case and help you decide which option would then be best for you. We offer free consultations, so contact us today.

Leeders & Associates, Ltd.
312-427-7400
www.leederslaw.com
we have both city and suburban locations around Chicago.
As always, we offer free consultations and payment plans as well.
Terry

Let's get your car back by filing a chapter 13 bankruptcy

Here is a recent decision involving a case where a vehicle was repossessed prior to a chapter 13 bankruptcy. With Chapter 13 filings, the creditor must return vehicle to debtor, otherwise it is a violation of the automatic stay provisions. Now, a bankruptcy must be filed within 21 days of the repossession or the vehicle is sold at auction, and then it would be too late. But here, the Court, on appeal, ordered that the debtor's motion for sanctions should be granted for failure to give the vehicle back timely.


7th Circuit Cases
Civil - Bankruptcy
Thompson v. General Motors Acceptance Corp., LLC, No. 08-2077 (5/27/09). Appeal, N.D. Ill., E. Div. Reversed and remanded.
Bankruptcy Ct. erred in denying debtor's motion for sanctions based on creditor's retention of debtor's vehicle, which had been seized prior to debtor's filing Chapter 13 bankruptcy petition. Debtor had equity interest in seized vehicle, and creditor's refusal to return seized vehicle prior to debtor establishing ability to provide adequate protection of creditor's interest in said vehicle violated Bankruptcy Code's stay put provisions. As such, creditor was required to immediately return seized vehicle to debtor's estate upon debtor filing Chapter 13 bankruptcy petition and then seek protection from Bankruptcy Court.

Mortgage foreclosure relief is the next item of business....

President Obama is expected to lay out his strategy this Wednesday to help curb home foreclosures through Chapter 13 loan modifications. He is slated to address this and other factors of the housing crisis that sparked the financial sector meltdown.

Foreclosure help?

It will be interesting to see if the bankruptcy law that is being considered in Congress will pass.
It seeks to allow a bankruptcy judge modify a mortgage contract.
It will have a huge impact on many loans, and could push more people into Chapter 13 bankruptcy.
Also, it is being said that Obama may sign a moratorium on foreclosures for 90 days. This will be interesting as well.
http://chicago-bankruptcy.blogspot.com/

Vehicle ownership deduction for means test

This is good news for debtors. Debtors are allowed to take the standard ownership deduction on the means test calculation for vehicles that are paid in full.
7th Circuit Cases
Civil - Bankruptcy
Ross-Tousey v. Neary, No. 07-2503 (12/17/08). Appeal, E.D. Wisc. Rev'd and rem'd.
Dist. Ct. erred in finding in Chapter 7 bankruptcy proceedings that debtors who owned cars outright could not take Local Standard transportation ownership deduction for purposes of calculating means test under sec. 707(b)(2)(A)(ii)(I) when determining under Bankruptcy Abuse Prevention and Consumer Protection Act whether debtors must repay portion of their debt or whether debtors were entitled to complete discharge of debt. Debtors are entitled to said deduction, but remand was required to determine whether under totality of circumstances, debtors' financial situation demonstrated abuse under section 707(b)(30(B).

Bankruptcy Offices around Chicago, Illinois

With the coming new year, we anticipate a surge in business. After all, holiday bills will be coming due, people will make New Year's resolutions to get their finances in order, not to mention tax refund time as well.

I wanted to announce the opening of our new Joliet office location.
16 W. Van Buren, Suite 303, Joliet, IL 6043, which is just down from the Joliet Bankruptcy courtroom. We offer free consultations, so don't hesitate to contact us for a free legal evaluation.

http://www.leederslaw.com

Our other office locations:

20 E. Jackson Blvd. Suite 850 Chicago, IL

10540 S. Western Ave Suite 402 Chicago, IL

2025 S. Arlington Heights Rd. Ste. 113 Arlington Heights, IL 60005

3333 W. Warrenville, Rd. Suite 200, Naperville, IL 60532

228 N. Genesee St. Suite 205, Waukegan, IL 60085

16 W. Van Buren, Suite 303, Joliet, IL 60432

Chapter 13 can help you stay out of foreclosure court

Chapter 13 can consolidate your debt, pay back your mortgage arrears with no interest, and help save your home from foreclosure.

Cook County's foreclosure court has increased the number of judges from 10 to 14, starting their new schedules Monday.

The Chicago Tribune reports that in Cook County, foreclosures are up over 47 percent for the first half of 2008, and total cases are expected to pass 42,000 by the end of the year.

Contact a bankruptcy attorney in your area and they can help stop the foreclosure, eliminate the stress and help get you back on track.