Records of total Hawaii bankruptcy filings fell to 288 last February from 291 in February last year. There was nearly a 4 percent drop in bankruptcy liquidation cases filed under Chapter 7 from 239 in 2010 to 230 in 2011 while filings under Chapter 13 increased nearly 14 percent. Recorded Chapter 13 bankruptcy filings in 2010 are 51 while there is a total of 58 in 2011. Under Chapter 11 for Business reorganization there was no recorded filing in 2011 with 1 filing in 2010 according to the US Bankruptcy Court Records of the District of Hawaii.
If a homeowner is threatened with foreclosure, as a wage earner he can file bankruptcy under Chapter 13 to work out a plan to pay his loans over a period of three to five years. A Hawaii bankruptcy lawyer is the best person to advice you on your options regarding filing for Chapter 13 bankruptcy. Usually the banks find it costly to modify loans, so going to the bank is not a good option. The federal government has been trying to reduce foreclosures but have not been very successful.
Bankruptcy courts are part of the federal court system and although the bankruptcy code is the same throughout the US, each bankruptcy district controls the procedure for filing documents, calculating deadlines and paying fees. The state median incomes by household size varies per state and each state can choose to use the standard federal property exemptions or drawing up a list of its own exemptions. In Hawaii there is a federal bankruptcy court district located in downtown Honolulu.
The median income for a single wage earner in Hawaii is $52,784 in 2009 and $66,337 for a family of two. An applicant for Chapter 7 bankruptcy must have an income below the median annual income for the corresponding household size under according to a table published by the U.S. Census Bureau. In Hawaii, an initial bankruptcy petition can be filed and the other required documents filed within 15 days. Failure to do so may cause the petition to be dismissed and this cannot be re-filed for 180 days. Then the list of all interested parties and/or creditors has to be submitted and they will get notified.
- Little Known Facts About Claiming Bankruptcy (debt-consolidation-2u.com)