A couple in financial distress made the news at Forbes.com when the court ruled in their favor regarding an accusation of fraudulent conversion of assets. The husband was diagnosed with a terminal type of cancer. The couple took $12,000 out of the husbands life insurance to bring the life insurance policy value down to a value to was accepted as an exempt asset under the bankruptcy code. They then took that $12,000 and split it in half. Each $6,000 was then put in individual retirement account (IRA) which are also exempt. The trustee of the case investigated the couple after they declared bankruptcy. The couple ended up able to push the limits of pre-bankruptcy exemptions when the judge found in the couples favor and acquitted them of charges.
Are you considering bankruptcy as a way to get out from unmanageable debt? Contact an experienced Dripping Springs bankruptcy attorney.
According to Uscourt.gov, Texas is one of the states with the lowest bankruptcy filing rate. In 2011 there was over 11,000 non-business bankruptcy filings out of a total of 12, 114 filings for the western district of Texas. There was 5,666 filings under chapter 7 and 5,569 filings under chapter 13. Unfortunately there were over 1.3 million debtors who filed for personal bankruptcy in 2011. Prior filings reports showed that 28% of debtors seeking protection under chapter 13 in 2011, reported that they had filed a bankruptcy petition in the prior 8 years. This is a sensitive and difficult time in our society due to the economical barriers that are present. Bankruptcy has serious consequences and can help many deserving people but many people are constantly investigated for fraudulent filings.
If you are struggling in keeping up with your debts contact a knowledgeable Dripping Springs bankruptcy attorney. Brian Daniel of The Daniel Law Firm can help you understand your bankruptcy options, but he can also explain all of the other options that are open to you. A bankruptcy attorney can educate you on your financial options and help you plan your next steps after bankruptcy. If you have questions and need a consultation consider the experience of The Daniel Law Firm. For more information and a FREE CONSULTATION, contact Brian today at (512)615-3569.