Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
Hi and thank you for your question. In the future, you can request me to answer any further questions.
Unfortunately, chapter 13 may be the best option to protect these assets.
If she does nothing,the bankruptcy trustee can liquidate her share of the assets to pay the creditors in the bankruptcy case.
if she transfers the assets to others, the trustee can void those transfers as either preferential transfers or fraudulent transfers if she does not receive fair market value in exchange for them.
If she does transfer them,and say she does get fair value in return, the cash would then be an asset, that would need to be spent down on necessites before a chapter 7 should be filed to avoid liquidation of that.
Preferences can go back 2 years.
Other transfers and payments are generally a year lookback.
Chapter13 is a debt repayment , where you would pay back enough of the unsecured debts to protect these assets.
You and your wife should go meet with a local bankruptcy attorney to review all these issues to help set you up on the proper course. (most offer free initial consultations)
good luck and thank you for your question.
what if we did get fair market value and applyed it to our home loan before fileing bkprt.
if you make a large payment over $600 to a creditor before filing, the bankruptcy trustee can make them turn it over to pay creditors.
so that would unlikely work, as well you would create more equity in the home, and depending on exemptions available, may create equity in the home then which the trustee would then liquidate
dam and this applys to ca law
all states, yes
i would look to chapter 13
bummer, well thank for you time sir.
you are welcome. come back after you meet your lawyer if you have any other questions.
i will thanks bye
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).