Bankruptcy Law

Bankruptcy law questions? Ask a bankruptcy lawyer.

Ask a Lawyer,
Get an Answer ASAP!

I am married and file a joint tax return. I am also self…

Customer Question
I am married and file...
I am married and file a joint tax return. I am also self employed and have a small business with and LLC business structure. I have a ton of credit card debt and am in the process of consulting with local BK attorneys to discuss my options. My first attorney advised me he could get me a chapter 7 bk. My question was that 2 of my many credit cards have both my business name and my personal name on the account, Holding us both responsible. I asked the attorney that if I file chapter 7 would the lenders still come after my LLC. His response was if they do then it was no big deal as I could just disolve my LLC. I guess Im concerned in that I dont want to disolve my LLC but if I must then how long before I can re-open under a new name which Im sure that may have legal issues as well. What happens in the case where both business and personal name are on credit care and I file BK? Is chapter 7 the best option here. If I do have to disolve my LLC then can I open a new one under a new name and if so at what point can I do that. I am in healthcare and people arent going to wait for me to get my personal and business affairs in order if you know what I mean.
Submitted: 2 years ago.Category: Bankruptcy Law
Show More
Show Less
Ask Your Own Bankruptcy Law Question
Answered in 17 minutes by:
2/12/2016
Bankruptcy Lawyer: Terry L., Attorney replied 2 years ago
Terry L.
Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2,951
Experience: Better Business Bureau. 18yrs bankruptcy experience. Chicago Bar Assoc. American Bankruptcy Institute member.
Verified

Hi thanks for your question. yes, the bankruptcy will get rid of the consumer debt for you and the business guarantees you provided. The LLC must dissolve and close to clear it's obligations, which entails liquidating the assets of the business to pay off the creditors as much as possible. This forum cannot advise you on how to avoid your creditors and if you can do so legally or not. There are fraudulent conveyance rules to prevent assets to be moved to the new company. Creditors can file suit for fraud, if you are basically doing the exact same thing with the new company. Also, the new company may have issues if you need to use the same vendors, as they all will pull your personal and business credit history when deciding to open a new account for the new LLC. So, you should work with an attorney who handles business formations and dissolution to properly advise you based on the individual facts in your case and in your field. I'm not saying it can't be done, but there are a lot of risks involved. thanks for your question, good luck .

Ask Your Own Bankruptcy Law Question
Bankruptcy Lawyer: Terry L., Attorney replied 2 years ago

let me know if you have any questions. if not, please rate my answer. thanks

Ask Your Own Bankruptcy Law Question
Bankruptcy Lawyer: Terry L., Attorney replied 2 years ago

question is still showing open. Please rate answer for it to close. thanks

Ask Your Own Bankruptcy Law Question
Bankruptcy Lawyer: Terry L., Attorney replied 2 years ago

question is still showing open. Please rate answer for it to close. thanks

Ask Your Own Bankruptcy Law Question
Was this answer helpful?
Ask Terry L. Your Own Question
Terry L.
Terry L.
Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2,951
2,951 Satisfied Customers
Experience: Better Business Bureau. 18yrs bankruptcy experience. Chicago Bar Assoc. American Bankruptcy Institute member.

Terry L. is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises!

Gary B.Edmond, OK

My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer.

EricRedwood City, CA

I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight.

MichaelWichita, KS

PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent.

Three H.Houston, TX

Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!!

ElaineAtlanta, GA

It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem.

TonyApopka, FL

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

< Previous | Next >

Meet the Experts:

Terry L.

Terry L.

Attorney

2,951 satisfied customers

Better Business Bureau. 18yrs bankruptcy experience. Chicago Bar Assoc. American Bankruptcy Institute member.

cortrightlaw

cortrightlaw

Attorney

511 satisfied customers

Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.

JoeLawyer

JoeLawyer

Attorney

376 satisfied customers

Attorney in the practice of Bankruptcy Law since 1996

A.J.

A.J.

Attorney

262 satisfied customers

Experienced consumer bankruptcy attorney.

Fritz

Fritz

Attorney

209 satisfied customers

Florida attorney with extensive experience in Chapter 7 and Chapter 13 consumer bankruptcy cases

Law Girl

Law Girl

Attorney

153 satisfied customers

I am an attorney.

Paul K, Esq.

Paul K, Esq.

Attorney

141 satisfied customers

10 years Exp., Great customer service, Prompt responses.

< Previous | Next >

Related Bankruptcy Law Questions
BANKRUPTCY: Debtor filed Chapter 7 bankruptcy and included
BANKRUPTCY: Debtor filed Chapter 7 bankruptcy and included Garnished wages as their assets in SCH A/B, and claimed as exempt in SCH C. The funds were garnished within 3 months of filing.Is there a for… read more
Terry L.
Terry L.
Attorney
2,951 satisfied customers
I converted chapter 13 bankruptcy to chapter 7. will the
I converted chapter 13 bankruptcy to chapter 7. will the bankruptcy stay on my credit report for ANOTHER 10 years? … read more
Mark Anderson
Mark Anderson
Attorney
Doctoral Degree
10 satisfied customers
I filed chapter 7 the day before my home was to be sold in
i filed chapter 7 the day before my home was to be sold in foreclosure on the court steps to stop that from happening. Now if the trustee says i have no equity in my home and abandons it and discharge… read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
If I file for chapter 7 or 13 can the courts take/garnish my
if I file for chapter 7 or 13 can the courts take/garnish my state retirement pension. its all I will have to live off after this ??????? … read more
Terry L.
Terry L.
Attorney
2,951 satisfied customers
Filing chapter 7 bankruptcy in Des Moines Iowa- Regarding
Filing chapter 7 bankruptcy in Des Moines Iowa- Regarding credit card judgements that have been placed on you; what form(s) do you include these on. How do you list them?… read more
KLAW
KLAW
Juris Doctorate
2,102 satisfied customers
I may have to file chapter 7 bankruptcy. My debt is
I may have to file chapter 7 bankruptcy. My debt is primarily non consumer debt.[87%]. I was reading US Code 547 c 9 and was also told that since it a non consumer debts chapter 7 that i could transfe… read more
Mark Anderson
Mark Anderson
Attorney
Doctoral Degree
10 satisfied customers
In form Form 106A/ for Chapter 7. In any of the sections
In form Form 106A/B for Chapter 7.In any of the sections when they ask you : 1.) Current value of the entire property? 2.) Current value of the portion you own?What do I put for part 2?Example : Singl… read more
Mark Anderson
Mark Anderson
Attorney
Doctoral Degree
10 satisfied customers
How can I file bankruptcy on 4500.00 in credit card debt? I
how can I file bankruptcy on 4500.00 in credit card debt? I have a very low income. … read more
Damien Bosco
Damien Bosco
Attorney
Doctoral Degree
4,483 satisfied customers
I may have to file chapter 7 at some point in future. Both
HelloI may have to file chapter 7 at some point in future. Both my daughter and my son saved and I helped them buy vehicles. They paid for them. They are older used cars worth 2500 and 3500. Can I tra… read more
Alex Esquire
Alex Esquire
Managing Attorney
Doctoral Degree
153 satisfied customers
In a chapter 7 bankruptcy if there is both a discharged tax
In a chapter 7 bankruptcy if there is both a discharged tax liability and a current tax liability and assets that the trustee will sell. Which tax liability will the proceeds from the sale go to first… read more
Terry L.
Terry L.
Attorney
2,951 satisfied customers
Another question? If a person filed chapter 7 bankruptcy and
Ok another question?If a person filed chapter 7 bankruptcy and remAins paying on vehicle through discharge on bankruptcy, if at some point I stop paying will they repo the vehicle. I know it's not on … read more
Ray
Ray
Lawyer
Doctoral Degree
32,562 satisfied customers
This is a chapter 7 question...the Debtor currently has a
This is a chapter 7 question...the Debtor currently has a garnishment that will be extinguished by the chapter 7 discharge...Does that garnishment still go on Schedule I? How would it be treated on th… read more
Terry L.
Terry L.
Attorney
2,951 satisfied customers
My bankruptcy chapter 7 was discharged in Feb, 2018. I am in
hi - My bankruptcy chapter 7 was discharged in Feb, 2018. I am in a process of getting a mortgage broker license. I wonder that will be an issue? … read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
I hired an attorney in IL to file a Chapter 7 for me. Most
I hired an attorney in IL to file a Chapter 7 for me. Most of my LLC's are based in GA. I had since moved to IL for six months so filed in that state. I had a couple items that were sold and the credi… read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
My wife filed for chapter 7 recently she forgot to include
My wife filed for chapter 7 recently she forgot to include my income in the means test, and now that we add it it she does not pass … read more
Ray
Ray
Lawyer
Doctoral Degree
32,562 satisfied customers
We filed Chapter 7 five years ago (credit card debt). Would
We filed Chapter 7 five years ago (credit card debt). Would we be able to file Chapter 13 to save our home? Or are there other options to consider? Thank you.… read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
If a husband files Chapter 7 bankruptcy, can the husband
If a husband files Chapter 7 bankruptcy, can the husband borrow money from the wife, after the 341 hearing but before the chapter 7 is discharged? … read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
Can credit card debt be listed on schedule j under other
can credit card debt be listed on schedule j under other question 21 … read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
11,115 satisfied customers

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).

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).

Show MoreShow Less

Ask Your Question

x