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cfortunato
cfortunato, Attorney
Category: Bankruptcy Law
Satisfied Customers: 8023
Experience:  Bankruptcy professor.
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yes i filed chapter 7 bk.was approved but not yet finalized

This answer was rated:

yes i filed chapter 7 bk.was approved but not yet finalized but about a tear ago had applied for long term dis. and know it has been approved do i need to notify any one of this.

cfortunato :

Hi - my name is XXXXX XXXXX I'm a Bankruptcy attorney here to assist you.

cfortunato :

Will you be receiving a retroactive sum of money?

Customer:

yes


 

cfortunato :

Is the disability from Social Security?

Customer:

no from my job

cfortunato :

Did you indicate on Schedule I that your income may increase in the coming year because of your disability application?

Customer:

no

cfortunato :

Last question:


Will the addition of the disability income put you over the state median for your household size - so that you would not pass the Means Test if your monthly disability income was taken into account.

Customer:

not sure what you re saying

cfortunato :

Sorry!


How much will your total monthly household gross income be after you start receiving the disability payment?

cfortunato :

And how many are in your household?

Customer:

3500.

Customer:

on me and my wife

cfortunato :

Thank you for your responses.


 


Given the information you provided, your disability will not affect your Bankrupty, because your income will still be low enough. Additionally, as disability income is exempt (protected) from the Bankruptcy court, you would be able to keep your retroactive payment.


However, the information regarding the disability application should have been reported on your Bankruptcy petition. Since your case has not yet been closed, you or your attorney (if you have one) should report this information to the trustee. The reason is if the trustee finds out about the award on his or her own, the trustee can try to have your case dismissed.

Customer:

thank you

cfortunato :

Many Bankruptcy filers inadvertantly leave out information that is supposed to be included - and the Bankruptcy court does not mind this if the Bankruptcy filer provides the information after the Bankruptcy is filed.

cfortunato :

You're welcome!


 

cfortunato and other Bankruptcy Law Specialists are ready to help you

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