Bankruptcy filings in Jacksonville are at their lowest from November to February as no one wants to go bankrupt during holidays. The reason for this is that despite being in debt, people are still bound to buy gifts for friends and family.
There are many ‘Exceptions to Discharge’ listed in 11 U.S.C. § 523. The goods and services which are reasonable and necessary for the support and maintenance of the debtor and his or her dependents are exempted. Presents, even the traditional ones, will be considered a luxury except if they are especially modest. Such pre-filing purchases are non-dischargeable in bankruptcy.
Under 11 U.S.C. § 727(a)(2), it is fraudulent to make purchases without any intention of repaying the debts, and it can lead to the closing of the bankruptcy case without getting a discharge, or even imprisonment.
In a Chapter 7 case, the estate property is decided on the filing date, thus, it is sensible to file a bankruptcy before the holidays. Funds that are used to make purchases after the bankruptcy filing are not considered fraudulent, thus, eliminating the tension of criminal liability or no dischargeable.
To escape the complexity of bankruptcy and for experienced guidance throughout the process, contact the Recovery Law Group at www.recoverylawgroup.com or on 888-297-6203, and hire the best bankruptcy attorney of Los Angeles & Dallas, TX.