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February 24, 2012 By Stephen Kass

Frequently Asked New York Bankruptcy Questions

Many times people do not file bankruptcy to get rid of their financial worries because they do not ask the right questions to better understand the bankruptcy process. The following answer frequently asked questions about bankruptcy proceedings:

What is bankruptcy?

Bankruptcy is a proceeding to discharge debt for individuals. Bankruptcy provides a fresh start to debtors by getting rid of old debt.

Bankruptcy filings have increased dramatically since 2008. Some areas in New York have seen a doubling of bankruptcy filings. As the economic downturn continues into 2012 with many Americans still seeking employment, bankruptcy relief may be the only way to get out of credit card debts, medical bills, mortgage obligations, or rental property liabilities.

Where does a debtor get bankruptcy information?

After filing bankruptcy, a debtor’s actions will be examined by the bankruptcy court. To avoid unnecessary complications during the bankruptcy process consult an experienced NY bankruptcy attorney early on. An experienced NY bankruptcy attorney can advise a debtor to follow the guidelines set by the court to ensure a smooth bankruptcy process. These guidelines include not:

• Using credit cards
• Taking cash advances
• Transferring assets with the intent to shelter the assets from creditors.

Will there be a court proceeding?

After signing a bankruptcy petition, a debtor usually worries about having to appear in court. A debtor appears for at least one court proceeding, the 341 hearing. At this meeting, the trustee, usually a self-employed individual, not an employee of the court, questions the debtor under oath about assets, liabilities, transfers, and income. The debtor has to tell the truth in all answers. Creditors may be present in the courtroom or trustee’s office and ask the debtor about circumstances under which the person incurred debts. If a debtor commits fraud, or does not tell the truth, the debts will not get discharged. The debtor needs to pay attention to the trustee’s question and answer only what is asked. If the debtor does not answer the question asked, the trustee may repeat the question until the trustee gets a direct answer.

To navigate through the bankruptcy process, engage an experienced NY bankruptcy attorney.

Filed Under: Bankruptcy, Chapter 13, Chapter 7

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I highly recommend using Steve Kass as an attorney. I had a serious issue with the IRS involving real property, a company I built and sold, and multiple years of taxes which were unfairly and incorrectly assigned to me and had been hanging over my head because my efforts to negotiate...

Sean

Mr. Kass and his professional office staff helped me through every step of the way which without his expert guidance would not have been successful. Mr. Kass was able to a access my situation quickly and advise me. I highly highly recommend making an appointment with Mr. Kass

Vivian

I consider myself very lucky to have found Stephen B. Kass last year. We were drowning in credit card debt and were on the verge of filing bankruptcy. Mr. Kass was able to negotiate with all of our creditors and reduce the balances SIGNIFICANTLY. Within one year we are debt free

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Stephen and legal staff provided superb, accurate, and detailed financial analysis. Stephen has an exquisite knowledge of financial planning and tax law, and was able to make tailored, individualized recommendations that have helped me tremedously with regard to long-term financial planning and resolution of tax issues. Office staff are skilled

John

I had a great experience with Stephen Kass. He took legally complicated case from another attorney and resolved it. Years later, when his assistance was needed, he responded right away, remembering every detail of the case. He is an expert in his field and great person to work with.

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