November 2015 - Bankruptcy Attorney in Brooklyn, New York

New York Times Editorial on Debt Collectors Makes the Case for Cash

Bankruptcy, Credit cards, Creditors, Debt / By Matt Leichter

On November 17, The New York Times ran an editorial that rambled a little bit but ultimately reached the conclusion that state governments are much too lax when it comes to protecting the public from debt collection agencies. Debt collectors’ harassing—and occasionally illegal—behavior can force people into needless bankruptcy. Among some of the interesting points …

New York Times Editorial on Debt Collectors Makes the Case for Cash Read More »

What Is ‘Disposable Income’ in Chapter 13 Bankruptcy?

Bankruptcy, Chapter 13 Bankruptcy / By Matt Leichter

I’ve stated regularly on this Web site that a chapter 13 plan is paid out of a debtor’s disposable income, some of which must go to the unsecured creditors in New York bankruptcy. But what is the definition of “disposable income”? It’s more technical than one might think, and more surprisingly it won’t be found …

What Is ‘Disposable Income’ in Chapter 13 Bankruptcy? Read More »

Remainder Interests and Exemptions

Bankruptcy, Chapter 7 Bankruptcy, Creditors, Exemptions / By Matt Leichter

A few weeks ago, I wrote about the pitfalls elderly Americans face when bequeathing their property to their children (or grandchildren). One option I didn’t discuss was what the law calls “remainder interests,” which are a class of “future interests.” Both of these terms relate to mechanisms of transferring (almost always) real estate. A remainder …

Remainder Interests and Exemptions Read More »

Are Retirement Contributions Allowed in Bankruptcy?

Bankruptcy, Chapter 13 Bankruptcy, Chapter 7 Bankruptcy, Means Test / By Matt Leichter

Usually debtors will ask whether retirement accounts are protected in New York bankruptcy, but they might also want to know if contributions to those accounts are protected. As far as the accounts are concerned, the answer is yes. As discussed here, the federal bankruptcy exemptions allow debtors to shield more than $1.2 million in retirement …

Are Retirement Contributions Allowed in Bankruptcy? Read More »

Good Math Skills Needed When Amending a Chapter 13 Plan

Bankruptcy, Chapter 13 Bankruptcy, Creditors, Debt / By Matt Leichter

New York bankruptcy lawyers aren’t always known for their math skills. In fact, there are many jokes about lawyers as liberal arts majors who can’t do math or science. The issue of lawyers and math, however, is quite serious in consumer bankruptcy, which can be “numbers intensive.” Unfortunately, easy math mistakes can plague a chapter …

Good Math Skills Needed When Amending a Chapter 13 Plan Read More »

All Parties Must Join to Cram Down Mortgages on Investment Properties

Bankruptcy, Chapter 13 Bankruptcy, Chapter 7 Bankruptcy, Debt / By Matt Leichter

One of the rare benefits of filing a chapter 13 New York bankruptcy is the ability to reduce (“cram down”) the balance of an underwater mortgage on an investment property to its current market value. More commonly, debtors in chapter 13 cram down their cars, as discussed here. Cram-downs are not available for debtors’ principal …

All Parties Must Join to Cram Down Mortgages on Investment Properties Read More »

Supreme Court Might Hear Law School Debtor’s Bankruptcy Case

Bankruptcy, Debt / By Matt Leichter

In the late 1970s, Congress amended the Bankruptcy Code to require student loan debtors to demonstrate that their loans posed an “undue hardship” on them in order to be discharged in bankruptcy. Over time, Congress tightened this restriction, eliminating its seven-year time limit and in 2005 extending the requirement to private student loans. The problem, …

Supreme Court Might Hear Law School Debtor’s Bankruptcy Case Read More »

When Your Debt Collector Is a Lawyer

Bankruptcy, Credit cards, Creditors, Debt / By Matt Leichter

Usually lawyers’ role in debt collection is to represent creditors or debtors. Rarely is the core of their business collecting debts. The big debt collection money comes from buying old debts from banks for a fraction of their value and hoping to recover enough of them to make the purchase worthwhile. It often is. For …

When Your Debt Collector Is a Lawyer Read More »

Low-Wage Jobs and Bankruptcy

Bankruptcy, Debt / By Matt Leichter

The data-driven news site FiveThirtyEight.com recently ran a discouraging article on low-wage workers. To not belabor its point, workers in minimum-wage jobs are much less likely to move to higher-paying jobs than in the late 1990s, when jobs and pay raises were more common. In 1998, for instance, 20 percent of minimum-wage workers were in …

Low-Wage Jobs and Bankruptcy Read More »

Free Consultation

(718) 855-6840

The office is open as per the NYS Covid-19 guidelines. We are now doing both in-person and telephone consultations. Please call the office at 718-855-6840 to schedule a time to speak with one of our experienced bankruptcy attorneys.