A New Look At Removing Economic Lockdowns
To say the CoronaVirus (CoVid-19) Pandemic has changed everything is an understatement. It really is estimated that 1/3 of businesses and rental unit tenants did not pay their rent on-time in March or April. That number is expected to climb as the lockdown of our businesses and people continues amid the CoVid-19 risks of infection and serious illness, in some cases death. Luckily, in Ventura County, we've not had the level of carnage that Americans in New York City are having. Still, our county next door, Los Angeles County is just not exactly having the same stellar results that we have been enjoying in Ventura County.
With financial worries mounting, and everything changing week by week, you might be wondering how all this tends to affect you if you file for bankruptcy or are actually during the process of your bankruptcy. There are actually legal firms out there to help. They are carefully following all of the changes because they appear, and they are here to help you over the bankruptcy process during these incredibly challenging times. Discuss some of the changes you definitely will be managing and answer several of your most critical questions.
Will be the Bankruptcy Courts Still Open?
Yes, However, most court hearings will be done over the telephone, not in person. Everything you say will be recorded and entered in to the official record as if you were face-to-face. If you fail to make yourself available at the prescribed time, it can and most likely will be entered in to the record as a 'no show' and that is a big no-no with the court.
Can I Still File for Bankruptcy Through the Corona Virus Shutdown?
Yes, the courts are nevertheless allowing bankruptcy cases and motions to be filed during the CoronaVirus crisis. The only real difference is bankruptcy and court appearances will be observing these new CoronaVirus pandemic protocols.
Will My 341 Bankruptcy Meeting be Postponed
All pending 341(a) meetings of creditors (initially scheduled for March 25, 2020, through April 10, 2020) are already continued to a later date, most to be determined. This order will probably be extended. Everything remains fluid right now.
In a Chapter 13 case, the continuance of the creditor meetings isn't going to relieve debtors of their obligation to commence making plan to reopen Americas economy payments to the Trustee not later than 30-days after the date the petition was filed. Debtors may make these payments electronically on TFS (dot) com.
Can I Keep the Financial Relief Payments I Receive Throughout the Covid-19 Economic Crisis?
The bankruptcy trustee will not be seeking the turnover of any economic relief payments associated with the coronavirus economic crisis. That money you might use for your most immediate financial needs.
Do I Still Need to Make My Mortgage Payments Through the Corona Virus Shutdown?
Yes. You shall need to continue to make payments as promised. Under certain circumstances a law firm could possibly be able to get some relief from the court.
If you have not filed nonetheless, a law practice might be able to get some relief from your creditor as per the new laws passed by Congress. Keep in mind, your bank holding your mortgage must be notified of your financial challenges or job loss ahead of you missing payments.
Will My Bankruptcy Discharge Be Delayed As a result of the Corona Virus Crisis?
Your final bankruptcy discharge could possibly be put off if your 341 meeting is rescheduled or continued until further notice. Stay informed with updates through your court or trustee. Updated information might also be sent to you by mail, even after your meeting has taken place. It is important that you follow all of the requirements communicated to you, there are no excuses for missing hearings, or court dates.
Will My Bankruptcy Automatic Stay Be Impacted by These Changes Due to Covid-19?
Not unless your bankruptcy case has been dismissed. Otherwise, the automatic stay will remain in effect unless certain exceptions are met, for example your creditor requests relief from stay. Debtors who file multiple bankruptcy cases in a short quantity of time might be denied an automatic stay also and also you will not be allowed to use the CoronaVirus as being an excuse.
