In Kansas, certain conditions apply to extraordinary circumstances in bankruptcy. Changes in marital status and ownership of debts play a role in achieving the overall objective. The following are details that consumers should know about Debt Help in Lawrence KS.
How Can Couples Divide Their Debts if They File for Divorce?
If they filed for bankruptcy together, they must petition the court for a modification. They can acquire separate bankruptcy cases based on the debts for which they are responsible. However, each party must define eligibility according to current bankruptcy laws. Essentially, they are petitioning the court in the same manner as they did initially. They must complete the same steps they followed at the beginning of the claim.
Do Modifications in a Bankruptcy Claim Change the Exemptions?
Yes, if a couple separates their bankruptcy claims, they lose the joint exemptions. They don’t get the opportunity to claim a double exemption for their marital home. This could lead to higher costs overall for the claim. It can also increase the monthly payment requirements as well.
Does the Bankruptcy Stop Future Foreclosure or Repossession?
No, it can only stop the foreclosure for the duration of the automatic stay. If for any reason the claim is nullified, the lender retains the right to file for a foreclosure. If the consumer becomes delinquent on their mortgage or consumer loan after bankruptcy, the lender can also take legal action.
Can Consumers Acquire Settlement Offers Before the Bankruptcy?
Yes, the attorney can negotiate and get settlement offers before the bankruptcy. However, in order to include them in the claim, the consumer must acquire the creditor’s permission. If the terms of the settlement were to acquire an immediate payment, the consumer could not include them in the bankruptcy claim.
In Kansas, life events can lead to bankruptcy modifications. However, the claimant must file a petition to achieve these changes. The court must approve any change to the terms of the claim, and the consumers must qualify for the settled chapter. Consumers who need Debt Help in Lawrence KS contact an attorney or Visit the website for further guidance today.
