Miami Bankruptcy Law Blog

As a nation, we are eternally grateful for the bravery shown and the sacrifices made by the men and women serving in our armed forces. While we can never truly repay them for their efforts and their commitment, we nevertheless try our best through the provision of healthcare, education, employment and other benefits.

Indeed, another way in which the nation, or more specifically Congress, has expressed its gratitude to our armed forces personnel is through the passage of the Servicemembers' Civil Relief Act or the SCRA.     

Once an individual facing serious financial difficulties makes the important decision to seek the protection provided by personal bankruptcy, he or she will immediately be confronted by another important decision. Specifically, they'll need to decide whether their fresh financial start will come courtesy of Chapter 7 or Chapter 13 bankruptcy.

If they are able to pursue the former, they will be granted a discharge after a trustee liquidates some of their non-exempt assets and divides the proceeds among their creditors. If they pursue the latter, they will be granted a discharge after completing a three- to five-year repayment plan in which their disposable income is divided by the trustee among their creditors.

Last time, our blog discussed how those who are filing for Chapter 7 or Chapter 13 bankruptcy will more than likely be entering uncharted territory, such that they have little to no familiarity with the hearings, the parties or even the terms.

In recognition of this reality and the need to help bankruptcy filers form a core foundation of knowledge, we began taking a closer look at the role played by the United States Trustee in the consumer bankruptcy process. Having established their historical background and general duties, today's post will focus on their duties as they relate to Chapter 7 and Chapter 13.

It's a truly exciting time of the year for young people throughout Florida and across the nation. That's because many will be -- or perhaps already have -- marched across a stage to receive their college diploma, the culmination of years of hard work and, for many, a major financial commitment.

Indeed, statistics show that as many as seven in ten college students graduate with an average of roughly $30,000 in student loan debt. Despite this reality, at least one survey showed that most recent college graduates were unaware of the interest rate they were paying or even how much they owed.