Many times we have to tell new clients that they should wait days, months or sometimes even years to file their bankruptcy case for the best possible outcome. Why? Because the timing of recently incurred debt has a lot to do with the outcome of your bankruptcy.

Let’s discuss just a few scenarios:

Credit Card Usage

If you have used a credit card for a luxury good (plane tickets, cruise tickets, hotels that are not work related, restaurants, etc.) in the last ninety days, you may need to wait to file your case.  These purchases will be presumed to be “fraudulent” since it would seem that you were running up the card in anticipation of the filing of your bankruptcy case. Read more in-depth details here.

Transfer of ANY Property

Don’t be fooled into thinking that transferring any form of property to a relative or family member will help in your bankruptcy. It actually has the opposite effect as a transfer of property prior to bankruptcy triggers the “fraudulent transfer” issue and that can be a big issue with the timing of your bankruptcy filing.  Read more in-depth details here.

Too Much Income/Not Enough Income

This is where timing is very important since your income is such a big part of your bankruptcy case. Your income is going to impact how much you have to pay or don’t have to pay to your creditors.  Filing at the wrong time could dramatically affect whether or not you have to pay anything to your creditors, and if you do have to pay your creditors something, how much you have to pay them.  Read more in-depth details here.

The Bottom Line

These are just some of the scenarios where “timing” can significantly affect your case.  Everyone’s circumstances are different so every bankruptcy case is different.  As experienced Bankruptcy attorneys we will evaluate your case carefully to get the best possible outcome for you.

Do you have any other questions on how we can help you file a bankruptcy?  Give us a call at 732-302-9600 or fill out our online consultation form.

In my previous blog, I listed “domestic support obligation” as one of the debts which cannot be wiped out in bankruptcy.

Since a domestic support obligation (such as child support or alimony) is considered a legal obligation made as part of a divorce proceeding, it simply won’t hold up in a bankruptcy claim. Only your state’s Family Law Court has the right to order and change this type of debt. Consequently, you will need to continue paying child and support obligations after you file for bankruptcy.   However, Equitable Distribution may be dischargeable in a Chapter 13 case (Not in Chapter 7).

Equitable Distribution states, as opposed to Community Property states, allow the Court to determine how property and assets are to be fairly divided.  The majority of states follow the Equitable Distribution model, of which New Jersey is one.  In a Chapter 13 case Equitable Distributions obligations may be dischargeable.

For a comprehensive list of non-dischargeable debts which cannot be wiped out in a bankruptcy, please link here.
Contact us if you’d like a free bankruptcy consultation, we’re here to help.


Yes, after you complete your bankruptcy case there will be the “discharge” of most of your debts. This means that you no longer have a legal obligation to pay them. However, there are certain debts that will remain, and not be discharged by your bankruptcy.

The following are some of the debts that will NOT be discharged as a result of your bankruptcy case.

  • Domestic support obligations;
  • Taxes;
  • Student loans;
  • Criminal and quasi criminal fines, penalties and restitution;
  • Claims for injuries caused while driving drunk;
  • Money obtained under false pretenses or by fraud.

For a further explanation of the above debts that will not be discharged through bankruptcy, see my full article here.

What Fresh Start means is that by filing bankruptcy, (liquidating assets to pay your debts or by creating a repayment plan) you can get rid of unwanted debt and start rebuilding your finances on much more stable ground. It’s like starting over — a second chance — a fresh start.

If you are looking to get a Fresh Start with bankruptcy, then complete our 5 Minute Online Consultation. This way, we will already have your basic information and know what to expect when we meet virtually. Even if you can’t be exact, your answers should be as close as possible.

Thank you for contacting us through our online consultation. We look forward to speaking with you about your Fresh Start!

Savings!  You know you should have it, but saving money when you are already on a tight budget is difficult at best.   The standard for an emergency fund is 6 months of savings.  So how the heck do you do it?

Treat Savings Like a Bill

If you have read the rest of this series you have purged your budget of the extra expenses that you didn’t even know you had.  Those are a tough habit to kick.  This will likely take some time.  Some people take weeks, some take months.  Give those changes time to kick in.  In the meantime, treat your savings like an expense.  Something that has to be paid every payday first.  It is now a bill.  If you treat it like a bill you will find yourself a bit more inclined to take saving seriously.

Automatic Transfers to a DIFFERENT bank!

That’s right — automate it to a bank so you have to work to get to it.  I like to use online savings for this.  Ally and Barclays both offer high yield rates, no brick and mortar locations, and no debit cards.  They also offer automated transfers from your checking to your savings.  This means that you will have the money taken out of your account before you even know you have it AND you will have to set up transfers and wait whole days to get at it.

True Emergencies ONLY

Going on a cruise is not an emergency.  You should not be dipping into your emergency fund for this.

I am a big fan of having three accounts in your online savings:

  1. your emergency fund;
  2. our non-monthly expenses fund; and
  3. your fun fund.

You should contribute to these accounts at each pay period.  Want to go on a cruise – grab from the fun fund.  Need to get an oil change on the car – go to the non-monthly fund.  Hospital bill for the emergency room when your kid decided to take a header at the playground and needed stitches – That is an an emergency. You can go to the emergency fund for that.  Got it?

Now if you are drowning in debt, saving is going to be near impossible at best.  Interested in how we can wipe out your debt so you can actually save a few bucks?  Give us a call at 732-302-9600 or fill our our online consultation form and we will call you!

Bruce C. Truesdale, PC

 We can help… “It is possible for you to make a “fresh start”.

  • Save your home;
  • Fix your credit;
  • Stop creditor harassment;
  • Stop wage deductions;
  • Re-establish yourself

New Jersey Bankruptcy lawyer, Bruce C. Truesdale’s goal has been to ensure the complete satisfaction of each and every one of his bankruptcy clients in New Jersey. We deliver experienced bankruptcy services at affordable rates.

Admitted to practice in 1989, Bruce C. Truesdale practices primarily in Chapter 7 and Chapter 13 Consumer Bankruptcy Law in New Jersey.

In addition to Bankruptcy, we also offer vast information on facts you should know regarding Credit Bureaus and we are a Designated Debt Relief Agency under Federal Law and provide legal assistance to consumers seeking relief under the Bankruptcy Code.

Got 5 minutes for a Fresh Start?

Then complete our 5 Minute Cnline Consultation. While we offer a free bankruptcy consultation in person, we do request that you complete our 5 minute online consultation to create a file with us first. This way, we will will already have your information and know what to expect before you even walk through the door. Your answers here do not have to be exact, but they should be as close as possible.

A decision to file for bankruptcy protection should be made only after a thorough review of your financial circumstances and an in depth examination of your alternatives. One of the goals of this site is to help you begin to obtain the information necessary to understand the bankruptcy process and what it can do for you, as well as the alternatives to bankruptcy. Please feel free to contact us by email or telephone if you have questions regarding bankruptcy in New Jersey.

“Fantastic lawyer! “~ By: a Chapter 13 client,

I am so glad I found Mr. Truesdale. He impressed me with his kindness, his knowledge, and his promptness in responding to calls and e-mails. He made a difficult time in my life easier and less stressful. I highly recommend him.




Bruce C. Truesdale
147 Union Avenue, St. 1E

Middlesex, NJ 08846
Tel: 732.302.9600
Fax: 732.302.9066
* Licensed in NJ & PA

Email Bruce C. Truesdale

Serving all of New Jersey