Bankruptcy Property Taxes and the Chapter 7 Conversion

Aug. 2, 2010 - PRLog -- Property taxes can be paid through your chapter 13 plan for the years that you are delinquent. After your case is filed, you, as a Debtor are responsible to pay for the property taxes directly. You will not be able to add them later, because the attorney’s for the property taxing authority will not allow us to do so. The other option is to make arrangements with the taxing authorities to get the property taxes paid.

Many people get confused about received tax statements from the taxing authority. Even though you are in bankruptcy and even though you may have an escrow that allows for your mortgage company to pay the property taxes, they are entitled by law to make you aware of the property taxes.

If you don’t have an escrow, you may want to consider a savings plan to help you get these property taxes paid or think about refinancing with an escrow. Many people find themselves in trouble when they don’t have an escrow. For more answers to your questions about property taxes, please consult your attorney.

Many Chapter 13 bankruptcy cases will decide to convert case to Chapter 7 if they have surrendered secured property. Debtor must contact Attorney office to see if they qualify to convert bankruptcy case from Chapter 13 to Chapter 7 based on current income and budget status.

This will also apply if Chapter 13 case has termination of automatic stay on secured homestead property and had made arrangement to keep home with mortgage company. If debtor qualifies to convert then debtor will no longer have monthly plan payments to Chapter 13 Trustee and will receive discharge within 4-6 months after conversion.

Debtors should set appointment to meet with Attorney to see if conversion is the best option in their case.

For more information visit http://www.bankrupcy-alternative.com/information-help.html or call directly. Here is another bankruptcy article http://www.prlog.org/10827941-bankruptcy-credit-cards-and... and here is another http://www.prlog.org/10827933-bankruptcy-termination-of-a...  for your reading enjoyment.

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