An Analysis Of Removing Economic Lockdowns

To say the CoronaVirus (CoVid-19) Pandemic has changed everything is an understatement. It's 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 certain cases death. Luckily, in Ventura County, we've not had the amount of carnage that Americans in New York City are having. However, our county next door, Los Angeles County isn't exactly having the exact same stellar results that we have been enjoying in Ventura County.

With financial worries mounting, and everything changing week by week, you could be wondering how all it will affect you if you file for bankruptcy or seem to be in the process of your bankruptcy. There are law offices out there to help. They are carefully following all of the changes because they appear, and they are here to help you throughout the bankruptcy process during these incredibly challenging times. Discuss several of the changes you definitely will be addressing and answer some of your most critical questions.

Are the Bankruptcy Courts Still Open?

Yes, However, most court hearings will be done over the telephone, not face-to-face. Everything you say will be recorded and entered into the official record as if you were face-to-face. If you fail to make yourself available at the prescribed time, it can and probably will be entered into the record as a 'no show' and that's a big no-no with the court.

Can I Still File for Bankruptcy Through the Corona Virus Shutdown?

Yes, the courts are still allowing bankruptcy cases and motions to be filed through 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) have been continued to a later date, most to be determined. see this page order will probably be extended. Everything remains fluid right now.

In a Chapter 13 case, the continuance of the creditor meetings will not relieve debtors of their obligation to commence making plan 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 Through the Covid-19 Financial Crisis?

The bankruptcy trustee will not be seeking the turnover associated with any economic relief payments associated with the coronavirus economic crisis. That money you could use for your most immediate financial needs.

Do I Still Need to Make My Mortgage Payments Throughout the Corona Virus Shutdown?

Yes. You still need to continue to make payments as promised. Under certain circumstances a law practice could be able to get some relief from the court.

If you have not filed nevertheless, a law office could be able to get some relief through your creditor as per the new laws passed by Congress. Of course, your bank holding your mortgage must be notified of your financial challenges or job loss prior to you missing payments.

Will My Bankruptcy Discharge Be Delayed Because of the Corona Virus Crisis?

Your final bankruptcy discharge could be put off if your 341 meeting is rescheduled or continued until further notice. Stay informed with updates from your court or trustee. Updated information could also be sent to you by mail, even with your meeting has occurred. It is vital that you follow all 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 Because of Covid-19?

Not unless your bankruptcy case has been dismissed. Otherwise, the automatic stay will remain in effect unless certain exceptions are met, such as your creditor requests relief from stay. Debtors who file multiple bankruptcy cases in a short quantity of time could be denied an automatic stay as well and also you will not be allowed to use the CoronaVirus as being an excuse.