Law Offices of Nicholas Gebelt

Category: Uncategorized


How Student Loans Are Treated In Chapter 13 Bankruptcy

In this article, you can discover… Whether you can discharge student debts in Chapter 13 bankruptcy.  The impact of bankruptcy on student debt interest. How to best manage student debt during and after bankruptcy.  Are Student Loan Debts Secured Or Unsecured? In bankruptcy law, there are two types of debt: secured and unsecured.  Secured debts are secured by a tangible asset, such as an SUV or a house; if you don’t make monthly car loan or mortgage payments, the creditor will take that asset back through repossession or foreclosure.  Unsecured debts are not secured by an asset that can be… Read More →

Overview Of Debt Limits In Chapter 13 Bankruptcy For Los Angeles County And Orange County Residents

In this article, you will learn … The debt limits for filing for Chapter 13 Bankruptcy. The differences between secured vs. unsecured debts. Whether mortgage debt can be included in your bankruptcy filing. Are There Debt Limits For Filing Chapter 13 Bankruptcy In California? The debt limits in California are actually federal, meaning that they apply from coast to coast. The limits are an example of how Chapter 13 is a sort of mirror image of Chapter 7. If your income is too high in a way that can be made precise you cannot successfully file for Chapter 7 bankruptcy… Read More →

Exploring California’s 2024 Updated Homestead Exemption: How It Affects Homeowners In Los Angeles County And Orange County

In this article, you will discover: The 2024 changes to the California Homestead Exemption Law. When it’s necessary to file a homestead declaration. How to maximize the homestead exemption when filing for Chapter 13. What Changes Were Made To The California Homestead Exemption Law In 2024? In January 2024, California increased to the maximum equity exemption for your principal residence from $600,000 to $699,421, if you live in either Los Angeles County or Orange County. This is because the median sale price of a home in each of those counties is more than $699,421. If you live in a county… Read More →

Separating Bankruptcy Fact From Fiction: Debunking Five Los Angeles County Chapter 7 Myths

Bankruptcy is a delicate topic to discuss. Even in Los Angeles country, it may carry a stigma that helps perpetuate myths and misconceptions about the process. This article aims to tackle five of the most common myths about Chapter 7 bankruptcy, including:  Why your spouse will not necessarily have to file for Chapter 7 bankruptcy if you do.  Why unpaid medical bills must be included in your bankruptcy.  The real impact of bankruptcy on your credit score and ability to get a loan. Myth #1: If I File For Chapter 7 Bankruptcy, My Spouse Has To File Too. Answer: No,… Read More →

Avoiding Chapter 7 Bankruptcy Fraud: The Need For Honesty In Financial Disclosures

Chapter 7 bankruptcy offers vital relief for individuals facing overwhelming debt, but navigating the process requires transparency. In this article, we explore how fraud can occur in bankruptcy filings, the legal consequences of dishonesty, and practical steps to avoid accidental fraud. Keep reading to learn more about how to protect your bankruptcy filing and avoid common pitfalls throughout the entire process. In this article, you can discover… How to better understand bankruptcy fraud and its components. Steps you can take to avoid accidentally committing fraud. The consequences of leaving assets out of your Chapter 7 bankruptcy petition. How Is Chapter… Read More →

Payment of Postpetition Interest in Chapter 11 and Chapter 13 Plans

Some creditors are not entitled to postpetition interest on their claims.  For example, general unsecured creditors typically don’t get postpetition interest pursuant to 11 U.S.C. § 502(b)(2). Other creditors are entitled to postpetition interest. I.   Interest On Unsecured Priority Taxes    A.  Chapter 11 For example, in Chapter 11 taxing authorities are entitled to postpetition interest on their unsecured priority claims.  See, e.g., § 1129(a)(9)(c), IRM 20.2.11.6.1.3(6)., and IRS pub. 908 at pages 26-27.    B.  Chapter 13 However, the IRS is not entitled to postpetition interest on unsecured priority claims in Chapter 13, unless the debtor has sufficient disposable… Read More →

Cash Collateral In Chapter 11

What is cash collateral?  Perhaps the best starting point to understanding the concept is with a relatively common example.  Suppose the debtor has a rental property encumbered by a mortgage.  The note undoubtedly has an assignment of rents provision.  This means that the creditor has a lien against the debtor’s stream of rent payments.  That stream of payments belongs to the creditor and is called cash collateral because it serves as partial collateral for the debt — the real property is the other portion of the collateral.  As long as the debtor makes the monthly payments, the creditor will take… Read More →

Lien Avoidance in Individual Cases – Part 4: Lien Valuation

This post assumes familiarity with my last three posts (Part 1, Part 2, and Part 3) this multi-part series.  Thus, while you can certainly read this post without reading those previous ones, you’ll get more out of it if you read those posts first. Lien Valuation We have already discussed motions to value liens.  What good are they? First, if the goal is to strip off a wholly unsecured junior lien, it is important to establish that the junior lien really is wholly unsecured.  Therefore, getting a determination of the value of the senior lien(s) and an appraisal of the… Read More →

Lien Avoidance in Individual Cases – Part 3: Other Issues Associated with Liens

This post assumes familiarity with my last two posts (Part 1 and Part 2) of this multi-part series.  Thus, while you can certainly read this post without reading those previous ones, you’ll get more out of it if you read those posts first. V.  Some Other Issues Associated With Liens A.  Is The Lien Perfected? Suppose the debtor and all the debt’s assets are in Los Angeles County at the time the creditor records a lien in Orange County against the debtor’s principal residence in Los Angeles.  Is the creditor’s claim secured?  No.  The lien must be recorded in the… Read More →

Lien Avoidance in Individual Cases – Part 2: Avoidance of a Partially or Wholly Unsecured Lien in Chapters 11 and 13; The Chapter 7 Context

This post assumes familiarity with my last post (part 1) of this multi-part series.  Thus, while you can certainly read this post without reading that previous one, you’ll get more out of it if you read that post first. III.  Avoidance Of A Partially Or Wholly Unsecured Lien In Chapters 11 And 13 11 U.S.C. § 506 is used to determine the extent to which a claim is secured.  Rather than delving into the wording of the statute, let’s informally say that if the value of the collateral is less than the sum of the liens against it, then at… Read More →

IMPORTANT NOTICE
In light of the COVID-19 (coronavirus), we offer our clients the ability to meet with us via video conferencing and telephone. Please call our office at (562) 777-9159 to discuss your options. We are here for your legal needs now and in the future. Thank you.

Accessibility Accessibility
× Accessibility Menu CTRL+U