Preference Payments and Property Transfers Prior to Bankruptcy
Many people struggle with the idea of filing for bankruptcy. Some fear losing a family heirloom because it is not covered under the property exemptions. Others want to make sure that certain debts are paid in full rather than having those creditors take their chances through regular repayment channels.
While these types of concerns are completely understandable, they would be considered fraudulent transfers under the law. For example, if you knew you were in financial trouble and transferred the title to your prized 1957 Chevrolet to your brother in anticipation of filing for bankruptcy, you could be required to get the title back so it can be included in your list of available assets. Similarly, if you paid your father back the $5,000 that he loaned you to start a new business, you could be required to get that money back.
Walton Legal Services: More than 30 years | More than 30,000 bankruptcies filed
The Look-Back Period
In every bankruptcy case, the trustee will look back in an attempt to identify any inappropriate property transfers or preference payments that you might have made, sometimes referred to as bankruptcy avoidable transfers. In general terms, the look-back period is typically 90 days, but it can go back further if the trustee feels that it is appropriate.
At Walton Legal Services, our Indianapolis avoidable transfers attorneys provide comprehensive consumer bankruptcy services to clients throughout the area. We can help you understand the rules regarding transferring property or repaying debts prior to filing for bankruptcy.
Contact a Columbus Fraudulent Transfers Attorney Today
If you are looking for an Indianapolis debt-relief lawyer to help you understand your rights prior to filing for bankruptcy, call one of our Indianapolis law offices, call our Columbus, Indiana, office or contact us online. We offer free initial consultations, and we give you detailed up-front information about our fee arrangements, so there will be no surprises.
We are a debt relief agency. We have helped more than 30,000 people file for bankruptcy relief under the Bankruptcy Code.
