Bankruptcy of Memphis

Memphis Light Gas and Water bills are often the reason that people file either Chapter 7 bankruptcy  or Chapter 13 bankruptcy .  If you decide to have your utility services reconnected by filing either type of bankruptcy , MLG & W will close out your old account, and start a new one.  However, they will charge a reconnect deposit, which can be between $150 and $300, and add this to your new bill.  If you are currently in a bankruptcy and make a new bill after you have filed a case, MLG & W will not allow this bill to be added to your bankruptcy .  Also, if the utility bill has been incurred as a result of a “diversion” or stealing services, these charges cannot be paid through your Chapter 13 bankruptcy  plan, and MLG & W will fight the ability to discharge these bills.  You will need to contact a customer service representative at MLG & W to set up arrangements to pay these charges.

If your car has been repossessed , and has not been sold at auction, it is possible to get the car returned by the filing of a Chapter 13 bankruptcy .  This process can take up to two weeks, but most reputable finance companies will return the vehicle within a few days after the filing.  They sometimes want their expenses, such as  car repossession fees and storage fees, paid in order to get the vehicle returned.  However, many will return the car once they have received the notice of the filing of a bankruptcy , and will add the expenses to their claim with the Court.  Quite often, your monthly payment  and interest rates can be reduced by the filing of a Chapter 13 bankruptcy .  If you do not want your car returned, you can eliminate any balance that you owe by the filing of a Chapter 7 bankruptcy  case, and also wipe out other debt.

One of the biggest burdens on individuals filing either Chapter 7 bankruptcy  or Chapter 13 bankruptcy are student loans .  Section 532(a)(8) of the bankruptcy code governs a debtor’s discharge of student loan debt .  The law presumes that such debts are not dischargeable.  There is a very narrow exception if a debtor is able to show that the repayment of the student loan will cause an “undue hardship” on the debtor.  The cases that have been decided By the Courts make it extremely difficult to prove the “undue hardship”, and very few loans are discharged.  There has been some limited exceptions allowed, but very few.  There is discussion that the one of the planks of platform being proposed by the Democrats for this election is some type of relief for burdensome student loans, and hope that the Republicans at least consider a similar plank in their platform.   Student loans cause great difficulties for many young people trying to get start...