Active Duty Military May File Bankruptcy
Des Moines, IA (Law Firm Newswire) August 16, 2012 – Bankruptcy lawyers are often asked if active duty military may file for bankruptcy. The answer is yes.
There are a lot of people who believe that active duty military personnel are not allowed to file for bankruptcy. While military personnel are held to a higher standard of conduct than regular citizens, they do not have to give up the right to declare bankruptcy indicated Kevin Ahrenholz, an Iowa bankruptcy lawyer.
Even dedicated military personnel may run out of money before they have come to the end of the month, and if this continues for a sustained period of time, the individual may need to consider filing for bankruptcy protection. It does not matter if they are in the military at the time they file, and it does not matter what Chapter they elect to file under. They have the same rights as all U.S. citizens when it comes to declaring bankruptcy.
Filing for bankruptcy while on active duty may have other consequences for members of the Armed Forces, such as a negative effect on security clearance and promotions. However, they are still entitled to file and have legal protection accorded to them if their duties get in the way of attending bankruptcy court hearings
To file for bankruptcy, the service member needs to determine which state to file in. Federal law mandates they file in the state where they have lived for the greater part of six months. Since military personnel are frequently transferred, they need to check the bankruptcy filing requirements of where they currently live suggested Ahrenholz.
Military personnel must also get credit counseling within the six month period before they file, and the Department of Justice has a list of counselors on its website. While the counselors do not get involved with the bankruptcy case, they will outline the process and answer any questions. The next step is to determine which Chapter to file. The choices for personal bankruptcy are either Chapter 7 or Chapter 13. The Chapter is dependent on the median average for the individual’s state of residency and whether his or her salary falls above or below the median.
Kevin Ahrenholz is an Iowa bankruptcy lawyer and Iowa bankruptcy attorney. To contact an Iowa bankruptcy attorney, Iowa bankruptcy lawyer, or set up an appointment, visit http://www.iowachapter7.com or call 1.877.888.1766.
309 Court Ave., Suite 805
Des Moines, IA 50309
Offices in Des Moines, Cedar Rapids, Waterloo, Mason City, and Vinton.
Consumers in debt need to be aware of a scam that is taking place in this country by offshore criminals in the Far East, perhaps India. This may be some of the fallout from the disclosure of personal information at Target in recent weeks. Anyone who used a credit card at Target between certain dates in November and December may be at risk for having their personal information accessed and provided to offshore criminals who perpetrate these scams. One such scam involves someone from the Far East with a thick accent placing a call to a consumer who might be […]
- Debt May be Added After Bankruptcy is Filed Indicates Iowa Bankruptcy Lawyer
When a debtor files for personal bankruptcy, it only addresses pre-bankruptcy debts. Some types of post-petition filing debt may be added later. There are two routes to declare personal bankruptcy: Chapter 7 and Chapter 13. Chapter 7 is a liquidation plan that sells your assets to pay creditors and Chapter 13 is a re-payment plan, with money paid to the trustee on a biweekly basis. Those funds are then paid to creditors. Chapter 7 and Chapter 13 cover all debts prior to filing. However, only some types of debt may be filed later. If you have hired a bankruptcy lawyer, […]
- When the Debt Load is Too Much, Bankruptcy Protection May Be the Best Answer
It’s always good to pay your debts, if you can keep up with them. But if your debt is simply overwhelming, it may be time to file for bankruptcy. These days the main trigger for someone filing for bankruptcy is that they have lost their job. There are other reasons which may lead to bankruptcy, such as health issues, divorce, death, poor business decisions, a bad economy, foreclosure and following bad advice. No matter what the reasons are that lead someone to file, the process for bankruptcy remains much the same for everyone. The differences lie in the circumstances that […]
See other news sources publishing this article. BETA | Tags: Iowa bankruptcy attorney, Iowa bankruptcy lawyer, Iowa chapter 11 bankruptcy lawyer, Iowa chapter 12 bankruptcy attorney, Iowa chapter 13 bankruptcy attorney, Iowa chapter 7 bankruptcy lawyer, Waterloo Bankruptcy Attorney, Waterloo Bankruptcy Lawyer