At some point, if it believes it will never be repaid, the original bank that makes a loan will sell it to a debt collection company. The loan will be bundled with numerous other ones in the sale, and the price will be a fraction of the total value of the loans. In one example, the . . . → Read More: How to Deal with “Zombie Debt” Collectors in New York

Like all chapters, Chapter 7 of the Bankruptcy Code requires petitioners to list their assets, liabilities, and creditors. Part of the purpose of doing so is candor, but importantly, it tells the Trustee of your bankruptcy estate what he or she can liquidate to pay off creditors before your discharge. One asset people must list, though . . . → Read More: How to Ensure You Don’t Lose Your Car in a New York Chapter 7 Bankruptcy

It doesn’t happen often, but when it does people don’t complain: sometimes, Social Security overpays recipients.

How can this happen?  Here’s a possible scenario:

A person files for disability payments from the Social Security Administration (SSA). The payments come in, and the person, now the recipient, deposits them. The recipient’s health improves allowing him or her to work . . . → Read More: When the Social Security Administration Is a Creditor in Your New York Bankruptcy…

The short answer is, “Yes, but…”

The automatic stay is one of the most important protections bankruptcy petitioners receive, so in practice, very few creditors can actually successfully argue a “motion for relief from stay,” also called a, “motion to lift the stay.”

Unsecured creditors can almost never convince the bankruptcy court to . . . → Read More: Can creditors ask the Bankruptcy Court to lift the Automatic Stay?