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William P. Turner

William Turner’s Answers

26 total

  • Can a 2nd mortgage, that was not reaffirmed with Chpt 7 bankruptcy, foreclose on our home if we are current on our 1st mortgage?

    We filed in 2009, the 1st and 2nd mortgages were not reaffirmed. Our home value, according to county appraisal is $105,000. Our 1st mortgage is right under $80,000 and our 2nd is $42,000. However, if we sold our home, it is very unlikely that we w...

    William’s Answer

    Yes, they can, but it is unlikely they will. Their lien survived your bankruptcy, although by not reaffirming the debt your discharge means you are not personally liable on the debt. If he second forecloses, it would lead to a sheriff's sale, where the first mortgage holder will be bidding the full amount owed to them. The second would have to bid higher, pay off the first in full with hard cold cash, and then try to sell the house for at least more than the first mortgage bid. Foreclosed homes tend to sell for 60-80% of fair market value. So, yes they can foreclose, but they might be bluffing, which in turn may be fair debt collection act violation.

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  • Can I add x"s attorney fee if i decide to file bankruptcy

    on a fixed income SSI serious illness

    William’s Answer

    You must list all debts when you file bankruptcy, so you would list any debt to an attorney for fees. I am not too sure who x"s is, but some attorney are not dischargeable while most are.

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  • Can I keep my car if I file bankruptcy?

    I live in Kansas and I'm thinking about filing bankruptcy, but I'm worried about losing my car. Different people have told me different things about this

    William’s Answer

    In Kansas, you can protect up to $20,000 in equity in a vehicle against a Chapter 7 Trustee. If you owe money on the car, you will have to pay for the car one way or another to keep it.
    Most people who are current on their car loans before they file bankrutpcy are able to keep their cars by continuing to pay for them.

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  • I'm getting mixed signals about whether my Military Disability is usable in a chapter 7 bankruptcy, does anyone know for sure ?

    I receive Social Security and Military Disability and I'm just needing to know if they are usable in filing a Chapter 7. I know Social security is not used and I did not incure any of the debt while in the military, I was discharged in 1971. My ...

    William’s Answer

    • Selected as best answer

    Income from Military Disability will count as income on the means test. Benefits from the Social Security Act are exclued from said income, but military disability, as contrasted with social security disability, is not a a benefit from the Social Security Act. If your wife is 30k above median income, than you are taking the means test in any case.

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  • Do they keep my tax return if I file chapter 7 bankruptcy

    Chapter 7 bankruptcy would it be better to file on January do they keep all my tax return

    William’s Answer

    Kansas does allow you to exempt the portion of your refund that is due to earned income credit. Otherwise, the trustee would be entitled to the majority of your 2012 refunds as you would be filing late in 2012. Kansas trustees often do not take any non-exempt property unless they receive more than $1,000.

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  • I am a 60 % Disabled Vietnam Vet. ready to file Chapter 7 with my wife. Also receive SS. Debt was not incured in service.

    Will I need to include my Military Disability and Soc. Security along with my wife's salary, she makes more than the states median allowed. Everything I've read, says the debt must have accured during some sort of service. For me that was over 4...

    William’s Answer

    Just because your household income puts you above median income, that does not mean you cannot file a 7. Social Security income is not counted; the disability income will be. I doubt the exception for debt incurred while in the service woud apply, but there remains a solid chance you will still qualify for a 7. Clearly, you should meet with an experienced bankruptcy attorney.

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  • When a parent is put in an assisted living unit, are the children responsible for outstanding debts?

    The parent only receives social security and has no other assests.

    William’s Answer

    No, not just because they are your parents. You could be liable only if you agreed to be liable.

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  • If you have title loan & file Chapter 7 can the interest charged on what you owe be discharged?

    I have gotten behind on payments & owe alot of interest.

    William’s Answer

    If your car lender holds a properly perfected lien on the title of your car, then they hold a claim that includes all interest and fees allowed by the note you signed. There are different ways to keep a car in a Chapter 7. One way is to redeem, where you pay the lender in full what your car is worth regardless of what you owe. Then, the difference is discharged in bankruptcy and you do not have to pay it. This usually requires a new loan right after filing but before your bankruptcy is over, which under the circumstances is usually at 24% interest. Sometimes it is better to pay 24% on $5,000 than 0% on 10,000. Another way to keep a secured car in a 7 is by a reaffirmation agreement, which theoretically could waive some of the amount that is owed, which includes interest. It is fairly rare for a creditor to agree to this, as they usually want the debtor to agree to the original terms. A Chapter 13 would allow you to keep the car by paying what it is worth over a 3-5 year period. You should consider either redemption in a 7 or a 13.

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  • I am getting a divorce and my wife has credit cards in her name only. Am I responsible for them if she doesn't pay them?

    Am I responsible for her debt after divorce if the cards are only in her name? My wife and I are getting divorced soon. She will be in debt after our divorce. She has been using her credit cards and keeps going deeper into debt. She hasn't paid...

    William’s Answer

    In Kansas, one spouse may incur debt in their own name that the other spouse is not liable for. One exception is the doctrine of necessities, which means if one spouse incurs a debt for a necessity, such as warm coat in winter or medical expenses, then the other spouse can sometimes be held liable for the debt after divorce. Credit card companies rarely make this argument.
    One thing that could change the answer is if the divorce decree orders you to pay her debt after you divorce. Then you are liable to her for damages. You will have to comply with the decree and pay her debt after your divorce. This obligation to her is not discharged in a 7, but is discharged in a 13. This is a reason to either do a joint bankruptcy before the divorce, or do your individual bankruptcy after the divorce is final.
    You could have consumer claims against debt collectors who are calling your cell phone, and should consider meeting with a consumer law attorney.

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  • Do I owe the ex Bankruptcy over payment?

    My wife and I divorced one year after beginning our chpter 13 bankruptcy. The entire amount of it was garnished from My check. well it is now over and my ex wants half the over payment money. Do i owe it to her?

    William’s Answer

    An interesting question to which I am not sure I know "the answer". But, the 13 Trustee is the one who is going to refund the overpayment. He or she would I think make a check out to both the Debtor and the Joint-Debtor, as the refund from the joint bankruptcy belongs to the two persons in the joint bankruptcy. Thus, I would expect the trustee to pay the over payment to both of you in one check, unless you ask them to issue two 1/2 checks. As to whether you owe the money to her, I would think not unless the divorce decree so directed.

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