New York Bankruptcy Exemptions Explained (2025 Update)
Choosing the right exemptions is one of the most important decisions in a bankruptcy case—especially in New York, where state exemptions can far surpass the federal options. This guide explains both the state and federal exemptions, how to pick the best set, and what recent changes mean for your case. 1. 🇺🇸 Choosing Between State […]
🔌 Power Shut Off in New York? What Happens When You File Bankruptcy
If Con Edison, National Grid, or another New York utility company has disconnected your power due to unpaid bills, and you then file for bankruptcy, you may wonder: Can they keep your power off? The answer is no—at least not immediately. Bankruptcy law protects your right to essential services like electricity, gas, and water, even […]
Can You Discharge New York State Taxes in Chapter 7 Bankruptcy?
If you owe New York State income taxes, you may wonder whether bankruptcy can help eliminate that debt. The answer is: yes—but only under strict conditions. In a Chapter 7 case, certain income tax debts can be discharged, but only if you meet specific timing, filing, and good-faith requirements under 11 U.S.C. § 523. Below, […]
Are E-ZPass Penalties Excessive—and Can Bankruptcy Help?
If you’re facing thousands of dollars in E-ZPass penalties for missed tolls in New York, you’re not alone. A single unpaid toll can trigger a $50–$100 violation fee, and if you miss several, the total can become overwhelming fast. These fees feel excessive—but are they legal? Can you challenge them? And can bankruptcy help? Here’s […]
What Happens to Joint Bank Accounts in Bankruptcy?
If you’re filing for Chapter 7 bankruptcy in New York and share a bank account with someone else—such as a spouse, parent, or child—you may be surprised to learn that those funds could be at risk. While joint bank accounts offer convenience in everyday life, they raise complex issues in bankruptcy, especially when ownership is […]
How to Value a Co-Op Apartment in Bankruptcy When the Market Is Soft
If you’re filing for bankruptcy in New York City and own a co-op apartment, determining its value is a critical step—especially when the real estate market is soft. In a downturn, co-op valuations become more complex, and both Chapter 7 trustees and Chapter 13 plan feasibility can turn on how accurately you assess your unit’s […]
Lien Stripping in Chapter 13: Can You Remove a Second Mortgage in New York?
If you’re struggling to keep up with multiple mortgages on your home, Chapter 13 bankruptcy in New York might offer a powerful solution: lien stripping. This legal tool allows qualified debtors to remove a second mortgage—or any junior lien—from their property if it’s completely underwater. Here’s how lien stripping works in New York and when […]
What Is the Latest You Can File Bankruptcy to Stop Foreclosure in NYC?
If you’re behind on your mortgage in New York City, one of the most urgent questions you may have is: “How late can I file bankruptcy and still stop foreclosure?” For many NYC homeowners, the answer can mean the difference between saving their home or losing it at auction. The good news is that bankruptcy […]
Chapter 13 Debtors Now Get Credit Toward Student Loan Forgiveness Under New Rule
If you’re struggling with debt and considering Chapter 13 bankruptcy, you might also be dealing with student loans. Thanks to a major change that took effect on July 1, 2024, the Department of Education has made it easier for Chapter 13 debtors to qualify for student loan forgiveness—even while they’re in bankruptcy. Let’s break down […]
What Happens if I Forget to List a Creditor in Bankruptcy and My Case Gets Discharged?
Filing for Chapter 7 bankruptcy is meant to give you a fresh financial start—but what happens if you accidentally leave out a creditor and your case is already closed and discharged? Are you still protected from that debt? The Short Answer: In most no-asset Chapter 7 bankruptcy cases, forgotten debts are still discharged if the […]