Despite bankruptcy courts in Tennessee having an obvious bias for debtors being represented by attorneys, it is still feasible that you can succeed on your own filing a Chapter 7 bankruptcy in Tennessee.
When filing a Chapter 7 bankruptcy in Tennessee you need to prove that you are qualified to do so. You can show that you are qualified for a Chapter 7 based onthe Means Test. If your current monthly income is below a certain threshold or income cutoffs, you will qualify for a Chapter 7.
Pursuant to Tennessee bankruptcy laws, you will need to complete a credit counseling course prior to filing your Chapter 7 bankruptcy. You will also need to take a second debtor education course later in the process.
Please see below for the top 5 Tennessee bankruptcy exemptions: Homestead exemption - up to $25,000, depending on age and family status Personal Property - $10,000 aggregate value, plus $1,900 in tools of the trade, clothing, health aids, family books, and more Vehicle - none, but you may use personal property exemptions
We choose to offer Zero Down Bankruptcy because we care about struggling Pennsylvanians. We hate to see people miss out on the opportunity to turn their finances around simply because they cannot afford upfront legal costs.
Through the bankruptcy means test, the court looks at 3 things to determine if you are eligible for Chapter 7 Bankruptcy: 1 Your Income 2 Your Expenses 3 Your Family Size
As the name implies, Zero Down Bankruptcy can be filed with no upfront payment. Better still, Zero Down Bankruptcy can be filed without interest payments as well. With Zero Down Bankruptcy, you set up a monthly payment plan, with payments beginning 30 days after you have filed. These payments will even be applied to your court fees. There are several distinct advantages to setting up a payment plan:
If you pass the means test and meet the income and employment requirements, you can pursue Zero Down Bankruptcy. Zero Down Bankruptcy is a great deal, one that provides you with an incredible opportunity–so much so that you might be tempted to think that Zero Down Bankruptcy is “too good to be true.” You can rest assured, however, that this is not the case: as recently as 2019, Clifford J. White III — director of the United States Trustee Program — endorsed Zero Down Bankruptcy.
One question that many Pennsylvanians have regarding Zero Down Bankruptcy is, “Why would a local attorney even offer such a deal in the first place? After all, don’t most attorneys prefer to have their money up front?” To answer this question, yes, most attorneys do prefer to have their money upfront in bankruptcy cases. That said, there are several reasons that Pennsylvania law firms like Siddons Law choose to make exceptions to this rule.
To begin the process for filing Chapter 7 in Tennessee you will need to gather specific documents to assist you in determining whether you qualify for a Chapter 7 ( more on this below), and to fill out the necessary forms to file your case. You will need to have documentation regarding your income for the last six (6) months. You should also make sure you have documents regarding any major financial transactions for the last two years; monthly living expenses; debts ( secured and unsecured ); and property (all assets and possessions, not just real estate). You should also collect your tax returns for the last two years, deeds to any real estate you own, your car (s) titles, and the documents for any loans you may have. It is a good idea to get a copy of your credit report at this point (you can obtain a free copy at AnnualCreditReport.com) so that you can be certain you are including all the relevant information regarding your debts (including collection agencies, if any).
As indicated above, the next step in filing your Chapter 7 bankruptcy in Tennessee is to go to the courthouse to file your case. We highly recommend reaching out to the court clerk in advance ( Eastern, Middle, Western) to make certain you are filing in the proper district and to confirm their open hours.
Usually the best mechanism to protect personal property is through the use of exemptions, which allow you to protect equity in various items up to certain amounts. Tennessee bankruptcy exemptions, however, do not offer a specific vehicle exemption. This means that the only way to protect equity in a car is to include it in the Tennessee exemption § 26-2-103 for other personal property to the aggregate value of $10,000. You can determine the equity in your car by taking the fair market value by using either Kelley Blue Book or National Automobile Dealers Association ( NADA) and then subtracting any lien amounts on the vehicle. If you are still making payments on the car you have three options: (1) Keep the car and continue making payments until it’s paid off; (2) Keep the car by paying it off in a lump-sum payment (this could be less than you owe); or (3) Return the car to the creditor and owe nothing more. If you can afford to keep the secured property and continue making payments, you will be asked to sign a reaffirmation agreement.
The hearing will be set between 20 and 40 days from your petition filing date. You should receive your notice about this hearing within 15 days of filing your Chapter 7 bankruptcy in Tennessee. If you do not receive the notice in that time period, you should reach out to the court clerk right away.
This hearing will take place in front of your Chapter 7 trustee and is generally pretty quick, usually lasting between five and ten minutes.
When you file your Tennessee bankruptcy, or very soon after, you will be assigned a Chapter 7 trustee to oversee your case. Your Chapter 7 trustee will require copies of specific documents in advance of your scheduled 341 hearing, or “ Meeting of Creditors .”.
Tennessee is divided into three federal court districts, the Eastern District, the Middle District and the Western District.
Are you drowning in debt, struggling to make minimum payments, or already in default and facing credit collection actions? Chapter 7 bankruptcy offers you a chance to achieve debt relief. At the Law Offices of James C. Shields, we are adept at handling all aspects of Chapter 7 bankruptcy and guide our clients through the process.
We help people who are overwhelmed with debt. Chapter 7 is also known as liquidation bankruptcy because it liquidates your assets and uses the proceeds to pay back your debts. Remember though, most people who file do not have significant assets to begin with, so there is usually little to lose.
If you have questions about filing for Chapter 7, our Torrance bankruptcy lawyers are standing by to help. Contact the Law Offices of James C. Shields today by calling (310) 626-4404. You can also fill out our free initial online consultation form to discuss the details of your case.
This chapter also helps prevent foreclosure on the property. As with chapter 7, chapter 13 also helps in the discharge of unsecured debts, albeit, unlike chapter 7, in this case, the discharge occurs after the completion of the payments as per the repayment plan.
This bankruptcy is for wage-earners, i.e. people who can make minimum monthly payments towards a merged debt. A number of options are available to filers under this chapter including the ability to retain their personal property and assets up to a certain amount while making monthly payments towards the debt. This chapter also helps prevent foreclosure on the property. As with chapter 7, chapter 13 also helps in the discharge of unsecured debts, albeit, unlike chapter 7, in this case, the discharge occurs after the completion of the payments as per the repayment plan.