New Jersey Story

[momofthree]

thanks mono!! now that's a list one can bank on......or can one.....interesting enough....this is a FACT....i do know first hand that florida is one that allows either as well....since we filed in florida and had our choice of which we wanted to go....florida or federal...go figure!!!!

helpmeout...well.. of course it's either NOT both...that has never been suggested by me...and i must have done ok with MY notes hence the A+...it's not MY notes it is the information provided with the course.....which doesn't mean it was correct. no need to suggest is was me...i was perfect...LOL!!!

ira...you got that...we LEFT the state and waited to file since nj was so bad and we didn't want to go federal.

Did you live in FL for less than 2 years? FL does not allow federal exemptions. However, if you live in a state for less than 2 years, then there is a way to claim bankruptcy using the federal exemptions. I'd love to see any reputable source showing that FL allows the federal exemptions to be used when one has resided there for over 2 years...In fact, I've yet to see you post ANY references to back up anything you've said, you've just referred to your "notes" from your "paralegal course" while demanding that everyone else post sources. Quite frankly, you come across as condescending.

[tobee43]

thanks mono!! now that's a list one can bank on......or can one.....interesting enough....this is a FACT....i do know first hand that florida is one that allows either as well....since we filed in florida and had our choice of which we wanted to go....florida or federal...go figure!!!!

helpmeout...well.. of course it's either NOT both...that has never been suggested by me...and i must have done ok with MY notes hence the A+...it's not MY notes it is the information provided with the course.....which doesn't mean it was correct. no need to suggest is was me...i was perfect...LOL!!!

ira...you got that...we LEFT the state and waited to file since nj was so bad and we didn't want to go federal.

[helpmeout]

Cchamberlin -- did you file in Newark? Oh, that's right you had a lawyer, so they probably filed electronically. I'm filing pro se, so I was in Newark the other day to file! I had to use the federal exemptions, though, even though I have very few possessions, because New Jersey's are so stingy! I'm waiting now to see if my paperwork had any "deficiencies."

How was the 341??? How was the trustee? Was this in Newark? I'm nervous because without a lawyer it's very difficult. Did you use Pacer? Do tell!

The 341 really isn't that bad. Your imagination of what it will be like will be nowhere near the reality. Just be sure to have your ID and social security card with you. And bring your most recent paystub. While she didn't ask me for mine, she did ask other people for theirs.

[iraevski]

in NJ pretty much everyone chooses the federal exemptions. NJ exemptions are very stingy but the state does let you pick which one you want to use

[helpmeout]

yes, i did rechecked my notes...all say you have a choice....you can either use the federal exemptions or state...whichever suits your personal situation best.

actually, however, this information was current in 2009. once again...can you tell me which states it is mandatory that your file under their guideline exemptions? ....i would really like to know since the information from boston u law school differes from what you say.

once again, i'm not really caring either way. however, when you make such a statement, i'm just asking you to back your statement. and, NOT by having me back up your statemen by me for YOU.... i have never heard any state allowing BOTH exemptions. doesn't mean i'm correct.... you file in file court using a choice of either the state or federal exemptions.

just provide the list of the states you claim this can be done and then i can accept your position, if not, i can't. i am very interested to know as i'm certain those in filing in those states would also like that information.

thanks! looking forward to the list.

First of all, in states that allow the choice,it's either or NOT both.

You are the one who is claiming that ALL states have the choice. YOU back that up. I learned that not all states allow the choice around the time I filed,which was in 2010 from doing a simple search on the exemptions board, which contained a link to other websites regarding exemptions.. It's not that hard.

BTW, you probably should take better notes, because the ones you have about all states having the choice are incorrect.

[momofthree]

A simple 30-second google search brings up dozens of sites that verify the fact that not all states allow the use of federal exemptions. I did not choose this particular site based on it's repute, but simply based on it's easy-to-read format. There are much more reputable sites that state the same information.

Both federal and state laws provide exemptions for certain property that a debtor is allowed to claim as exempt. What property is eligible for exemption status varies from state-to-state; however, some states allow you to choose whether to use the federal exemptions or your state's exemptions. If federal exemptions allow you to keep more property than your state's exemptions, then you should opt for federal, provided your state allows it (not all states allow you to choose between federal and state exemptions).

The following states DO ALLOW you to use the federal bankruptcy exemptions if you want: Arkansas, Connecticut, Washington, D.C., Hawaii, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, Pennsylvania, Rhode Island, South Carolina, Texas, Vermont, Washington, and Wisconsin.

The following states DO NOT ALLOW you to use the federal bankruptcy exemptions: Alaska, Arizona, California, Colorado, Delaware, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, South Dakota, Tennessee, Utah, Virginia, West Virginia, and Wyoming.

Source: http://www.bcsalliance.com/y_bankruptcy2.html

[tobee43]

yes, i did rechecked my notes...all say you have a choice....you can either use the federal exemptions or state...whichever suits your personal situation best.

actually, however, this information was current in 2009. once again...can you tell me which states it is mandatory that your file under their guideline exemptions? ....i would really like to know since the information from boston u law school differes from what you say.

once again, i'm not really caring either way. however, when you make such a statement, i'm just asking you to back your statement. and, NOT by having me back up your statemen by me for YOU.... i have never heard any state allowing BOTH exemptions. doesn't mean i'm correct.... you file in file court using a choice of either the state or federal exemptions.

just provide the list of the states you claim this can be done and then i can accept your position, if not, i can't. i am very interested to know as i'm certain those in filing in those states would also like that information.

thanks! looking forward to the list.

[Maine]

tobee43- it's all that "state autonomy" guaranteed by the Constitution. Our forefathers set us up for an eternity of confusion.

Maine is one of the states that does not use federal bk exemptions. Some in Maine are more generous, others are stingy. I wish there was one set of rules for all, it makes it difficult to find information living in a low population state.

[iraevski]

Cchamberlin -- did you file in Newark? Oh, that's right you had a lawyer, so they probably filed electronically. I'm filing pro se, so I was in Newark the other day to file! I had to use the federal exemptions, though, even though I have very few possessions, because New Jersey's are so stingy! I'm waiting now to see if my paperwork had any "deficiencies."

How was the 341??? How was the trustee? Was this in Newark? I'm nervous because without a lawyer it's very difficult. Did you use Pacer? Do tell!

meeting of the creditors is really not that complex even without an attorney. I am in Newark with clients very often and the trustees are generally not picky about your papers as long as you have filed everything on time etc.

The biggest thing is to actually file the petition. everything after that is much easier. PM me if you have any questions regarding the meeting

Ivan

[BankruptinNJ]

Cchamberlin -- did you file in Newark? Oh, that's right you had a lawyer, so they probably filed electronically. I'm filing pro se, so I was in Newark the other day to file! I had to use the federal exemptions, though, even though I have very few possessions, because New Jersey's are so stingy! I'm waiting now to see if my paperwork had any "deficiencies."

How was the 341??? How was the trustee? Was this in Newark? I'm nervous because without a lawyer it's very difficult. Did you use Pacer? Do tell!

I'll keep this brief. I got a lot of information off of this board most of it usually at times when I knew I was being totally irrational and worrying unnecessarily, but nonetheless this was very helpful to me. I had a hard time finding information about NJ specifically so I wanted to just post my story and experience here so that if someone else is in NJ going through this, this may help them. Feel free to reach out to me directly too.

Anyway, I basically found myself in a situation where I was completely over my head in credit card debt for a number of reasons. I was keeping afloat, never late or missed any payments, but I was struggling. I had a long term relationship end that caused me to move back with my parents temporarily which helped me be able to not be late or miss any payments. After living home for a few months I realized that with my debt load, I would never be able to get back out on my own unless I did something to tackle my debt. In total I owed about 65K in unsecured debt and 20K in student loans. I also have a few loans against my pension. Knowing that my pension loans and student loan payments had to continue, I realized that bankruptcy was really my only option to get out from under this rock and begin again.

I moved very quickly. I met with my attorney at the very beginning of April and filed on April 29, 2010. I was over the median but with some help from my attorney I was able to file a chapter 7. It was not a clear cut case and I think had the trustee looked hard enough or an audit occurred I would have been converted to a 13, but I made it through.

I have a car lease with VW that I surrendered through this process. I have continued to make my payments and they continue to send me a statement. This is ideal for me because I am significantly over the mileage and would have to pay a fortune at the end of the lease. Now I just give them the car and walk away with no liability.

I had my 341 mid June, 2010 and it was painless. A few basic questions but that's all. My attorney was also served as a trustee so he was very good friends with the trustee overseeing my case. I can only assume that helped a little.

The last day for objections was August 10, 2010 and I received my discharge on August 13, 2010.

Overall, a very smooth process. My credit score at the time of filing was around 730; I don't know what it is now, but I know it's lower. A week prior to discharge I started to receive offers for new credit cards from capital one. no annual fee, 0% APR for 6 months. I haven't applied, but it made me feel a little better about potential credit after bankruptcy.

If I can help anyone else, I'd love to do so.

[helpmeout]

really....since i went to bu for my national paralegal cert....in the bankruptcy section which was like 5 months..YUCKKKKKKKK...hated that and hated family law...anyway...we were advised over and over anyone has a choice of either federal or state....maybe things changed since last year??

which states is it that you HAVE to file federal..and which states make you file state??? just wondering??????

my understanding was clearly that this is a FEDERAL court situation, however, there may be state guidelines that may best suit ones needs...however, always via the federal courts and must comply with US Bankrupcy Laws...etc.

i guess the law professors could have been incorrect?????....i got an A+ in the class...guess it should have been an A-...LOL!!!!!

They were incorrect. Not all states allow the choice and the bankruptcy laws do state that you can only use federal exemptions if the state gives that option. Do a search on exemptions. Most of the posts that address it list the states that allow both or only allow the state exemptions.

[tobee43]

really....since i went to bu for my national paralegal cert....in the bankruptcy section which was like 5 months..YUCKKKKKKKK...hated that and hated family law...anyway...we were advised over and over anyone has a choice of either federal or state....maybe things changed since last year??

which states is it that you HAVE to file federal..and which states make you file state??? just wondering??????

my understanding was clearly that this is a FEDERAL court situation, however, there may be state guidelines that may best suit ones needs...however, always via the federal courts and must comply with US Bankrupcy Laws...etc.

i guess the law professors could have been incorrect?????....i got an A+ in the class...guess it should have been an A-...LOL!!!!!

[helpmeout]

you can chose to go federal anywhere in the US that you live.

Uh, you can only use the federal exemptions if the state you live in allows it. NJ does. Some states, you have no choice but to go with the state's exemptions.

[tobee43]

I live in NJ. While the state exemptions are very stingy, the federal law in regards to bankruptcy applies to all states. And all bankruptcy cases go through the federal bankruptcy court. Don't confuse the exemptions with the ability to file for bankruptcy.

I had a positive DMI of over $1K and my Chapter 7 case was recently closed after having been discharged in May.

oh...no, please don't misunderstand what i was "trying" to say..... that is why i mentioned you have a choice....in nj i'm only referring to the exemptions and the lack of being able to homestead.

also...and i should have further explained all bankruptcy's go via federal court...however, you have a choice on whether you want to apply the federal or state's bankruptcy exemptions to your filing.

you can chose to go federal anywhere in the US that you live. it's just being from nj i would never use nj for my bankruptcy, i would chose the later...that being federal had i filed there.

[helpmeout]

well...most likely you would not be able to go bankrupt in nj...they are so terrible....

however, in nj, as in all states you have the choice to go either "state" or "federal" bankrupt....using one or the other's guidelines....in your case i figured it had to be federal.

and you also lucked out getting a "good" attorney in nj...since they are really crooks there.

I live in NJ. While the state exemptions are very stingy, the federal law in regards to bankruptcy applies to all states. And all bankruptcy cases go through the federal bankruptcy court. Don't confuse the exemptions with the ability to file for bankruptcy.

I had a positive DMI of over $1K and my Chapter 7 case was recently closed after having been discharged in May.