Skip to main content
John J Scura III

John Scura’s Answers

8 total

  • 1.Do I have to prove at the court my monthly expenses,like rent,or the maximum allowed deductions apply for everyone in BK?

    I will have to file for BK ( 7 I hope ) and I completed a free on line means test but I would like to know if can deduct $ 1842 ( that is the standard and net allowance allowed in NJ where I live , for mortgage or rent ) for rent even if my ...

    John’s Answer

    On the B22 form (means test) you can take the standard rent deduction for NJ and the amount depends on household size and county. You would not even get into means testing if your income is under the median income level, which again depends on household size. On schedule I and J, which is the actual budget you would list the amount of the actual rent. Give our office a call if you have further questions and to discuss your median income level, household size and other issues related to a potential chapter 7 case. Thanks.

    See question 
  • Can I continue to use my HELOC during bankruptcy proceedings if the loan is current and is not included in the Chapter 7?

    I am current on my mortgage and HELOC and am not forfeiting my property in Chapter 7. It is possible as part of the Chapter 7 they may cap my HELOC where it is but can I continue to use it before the Ch 7 is final and the account is capped?

    John’s Answer

    To use the HELOC during the Chapter 7 you would need court approval because it would be continued post petition financing. Once your case is closed and if you obtain your discharge, you could start using again. That being said, the bank may discontinue your ability to use it as typically the standard HELOC will have language in the loan agreement that they can cap it in the event of certain circumstances. If you are keeping the house, just remember to keep current on the HELOC or work something out with the bank if you are having trouble doing so.

    See question 
  • Filing for Bankruptcy Subsequent to a Final Order of Foreclosure

    Would filing for bankruptcy stop or delay the sale of my home after there has already been a final judgement in favor of the pliantiff (the mortgage company) for forclosure. I am told I will have 60 - 90 days to move out. Mu other question is: h...

    John’s Answer

    If there is only a final judgment of foreclosure, you can still file a chapter 13 and save your home. By filing a Chapter 13, the original mortgage is reinstated and you can catch up on any arrears (amount you are behind) on the mortgage and pay those arrears over a 60 month or five year plan.

    By way of answer to your other question, you should have received a copy of the motion to enter final judgment.

    As long as you file the Chapter 13 prior to a sheriff sale in NJ you can save the home. Our law firm site has many pages explaining chapter 13 in detail. Please feel free to call our firm with any questions.

    See question 
  • Can a mortgage be included in a bankruptcy?

    Home is about to go into foreclosure, if I file bankruptcy, can I include the mortgage?

    John’s Answer

    You can include the mortgage and in fact would have to include the mortgage in the bankruptcy as it is a debt of yours. You have to list all of your liabilities and assets in your bankruptcy petition when you file bankruptcy.

    You can file a Chapter 13 bankruptcy and try to save the home or file a Chapter 7 bankruptcy and just wipe out the mortgage obligation provided you are eligible. You must speak to a lawyer in your state in order to determine your best options and give all of the facts of your present situation.

    You can visit our site for a general discussion of many of the issues dealing with mortgages in Chapter 7 and Chapter 13 bankruptcy cases. You should speak to a lawyer in your state immediately. Good Luck.

    See question 
  • Can a debt collector empty your account?

    is a debt collector allowed to go into your bank account and empty out your account?

    John’s Answer

    A debt collector cannot empty your account. A creditor has to sue you and obtain a judgment against you before a bank account can be levied. Then, only the sheriff or a court officer in special civil part can levy on the bank account. Even after the account is levied, you still have the right to object to the levy.

    Good luck.

    See question 
  • Can a hospital send me a bill one year later?

    I live in NJ and had knee surgery 2/13/09 and received a bill on 2/15/10 from the hospital. I had Cigna at the time and when I spoke to them, they told me that was my 20% I was responsible for. The amount is $234.41. I don't understand why wait ...

    John’s Answer

    In NJ, the statute of limitations on a contractual obligation is six years. An agreement to provide medical services is a contract between you and the hospital so the hospital has six years to come after you for the debt. That being said, there may be other defenses that you have to the outstanding bill. There also may be something you can do as to the insurance company to have more of the bill covered.

    See question 
  • If I claim bankruptcy on my small business which is an LLC, will this effect me personally (i.e. credit)?

    I recently had to close my business location to rising costs in my lease and other expenses. I have been considering filing bankruptcy but am concerned how this will effect me personally?

    John’s Answer

    Filing the LLC - business in bankruptcy could affect you personally. If you personally guaranteed some business debt, such as a business credit card, the creditor could still come after you on the guarantee.

    It depends on the situation, but many times filing the LLC in bankruptcy will not help much at all. The LLC does not receive a discharge and the appointed trustee will liquidate assets, if any, to pay creditors. You should really consult with an attorney in New Jersey to at least discuss your options and the effect on you personally. Another potential alternative is an state court Assignment for the Benefit of Creditors.

    See question 
  • I have a credit card debt and a judgement has already been issued. can i file for bankruptcy evn though i filed for it 10yrs ago

    filing for bankruptcy again?

    John’s Answer

    You can definitely file another Chapter 7 Case. The rules with respect to time frames between cases is as follows:

    8 Years between Successive Chapter 7 Cases

    6 Years between Prior Chapter 13 Bankruptcy and New Chapter 7 Bankruptcy

    4 Years between Prior Chapter 7 and New Chapter 13 Bankruptcy

    2 Years between Prior Chapter 13 and New Chapter 13 Bankruptcy

    You should speak to an attorney about your income and asset situation for which Chapter is best for you. Our office offers a Free consultation. I have a web page devoted to the Timing Between Bankruptcy Cases for your review if you would like to visit our site.

    See question