In this case, debtor filed a Chapter 7 bankruptcy seeking to discharge his unsecured obligations. The debtor listed over $55,000 of unsecured debts on his bankruptcy schedules, including a $9,500 loan from a credit union. The bankruptcy Trustee reviewed debtor’s monthly budget and found that debtor could afford to repay some of his obligations (such […]

In this case, the Bankruptcy Court held that a Chapter 7 debtor, who was not in default under the obligations of a consumer loan agreement, was not limited to redemption, reaffirmation, or surrender of the collateral. Here, in the Matter of Windham (Bkrtcy.M.D.Fla., Judge Thomas E. Baynes, Jr.), the court held that a Chapter 7 […]

Here, debtor applied for and received a loan from Shawmut Bank. Debtor’s loan application represented that the debtor was the sole owner of certain real estate; in fact, the debtor’s wife was also titled on the property. Debtor filed an individual Chapter 7 bankruptcy and listed the bank’s debt in the bankruptcy schedules. The bank […]

In this case, Capital City First National Bank held a properly perfected secured interest in the debtor’s Mazda vehicle. The debtor filed a Chapter 7 bankruptcy and, although he owed more than $10,000.00 on his loan to the bank, he did not reaffirm that obligation or redeem the collateral. The debtor did, however, continue to […]

In this case, the debtor borrowed substantial funds from Barnett Bank of Marion County as a long time customer without any account problems. The debtor’s continued good terms with the bank allowed him to obtain several loans. Each time the debtor borrowed money, the bank required the debtor to complete a new financial statement disclosing […]

In this case, the debtors’ Chapter 7 bankruptcy was dismissed due to debtors’ “substantial abuse” of the intent of the Bankruptcy Code. Here, the debtors’ bankruptcy schedules for estimated monthly expenses disclosed that debtors had approximately $950 excess income each month after their monthly expenses were paid. Chapter 7 cases may be dismissed by the […]

Here, debtor failed to prove “undue hardship” in order to obtain a discharge in bankruptcy for his student loan. This debtor owed less than $1,800 on a student loan at the time he filed a Chapter 7 bankruptcy and sought to discharge the loan and extinguish that liability. A debtor may discharge a student loan in […]

A Chapter 7 debtor, who was not in default under the obligations of a consumer loan agreement, was not limited to redemption, reaffirmation, or surrender of the collateral. Here, the the court held that a Chapter 7 debtor could keep his vehicle pledged as collateral to the creditor, even though the debt was not reaffirmed, redeemed […]

Court Dismisses Bankrutpcy Cases for Substantial Abuse. Here, the debtor initially filed a Chapter 13 Bankruptcy that was dismissed. Thereafter, debtor filed a Chapter 7 Bankruptcy in an attempt to cause substantial delay to a creditor who sought to collect a valid debt against this debtor. A Chapter 7 Bankruptcy can be dismissed by the court […]

 The Bankruptcy Code provides, in part, that a student loan issued by a nonprofit institution, such as a credit union, and insured by the federal government, shall not be discharged in bankruptcy, absent a showing by the debtor(s) of true hardship. The Bankruptcy Code further provides that a Chapter 13 repayment plan may not unfairly […]