Will going off of disability impact my bankruptcy? 12 Answers as of June 15, 2011

I've been on disability since Dec 31, 2010 and filed chapter 7 bankruptcy in April. I recently had my court date and was asked if I knew when I would be returning to work. I don't know but I will be re evaluated next month by the doctor. If I am cleared by the doc to return to work do I have to report it and will it mean I have to convert to a chapter 13?

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Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
Safest bet is to check with the bankruptcy Trustee on a reporting requirement. In most cases, future employment may be inconsequential, but if it is a high wage-earning position, your case may be dismissed for lack of good faith.
Answer Applies to: Indiana
Replied: 6/15/2011
Bankruptcy Law office of Bill Rubendall
Bankruptcy Law office of Bill Rubendall | William M. Rubendall
Earnings after filing bankruptcy are what is referred to as "property not of the estate." This means you keep what you earn after bankruptcy.
Answer Applies to: California
Replied: 6/15/2011
Law Office of Maureen O' Malley
Law Office of Maureen O' Malley | Maureen O'Malley
It should have no impact. Usually bankruptcy refers to the immediate time of filing. If you had a very high-paying job that you knew you'd be returning to it might make a difference. You should check with your lawyer.
Answer Applies to: Virginia
Replied: 6/15/2011
Law Office of Asaph Abrams
Law Office of Asaph Abrams | Asaph Abrams
The bankruptcy petition requires that you state whether at the time of filing you reasonably-anticipate increase in income within the year after filing. Potential resumption of work does not necessarily imply a sudden windfall that would permit meaningful repayment of debt. The bankruptcy "fresh start" implies that new opportunities that materialize after filing bankruptcy permit the debtor to progress to a better future-rather than regress and reckon with stale debt.
Answer Applies to: California
Replied: 6/15/2011
Greifendorff Law Offices, PC
Greifendorff Law Offices, PC | Christine Wilton
It depends on whether you increased income would leave you with any money left over at the end of each month, and if so, whether or not your attorney properly advises you in these matters.
Answer Applies to: California
Replied: 6/15/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Maybe. I don't know how much you make when you work. You passed the "means test" to file Chapter 7, but they can reevaluate your income to see if it would be "abusive" to get a Chapter 7 discharge. If you don't have a lawyer, get one.
    Answer Applies to: California
    Replied: 6/14/2011
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    This will depend on your chapter 7 trustee. If you were not asked to report back, then you should not have to if you return to work. However, if the trustee asked for you to report once you get a job, then you should report to him. That could affect your chapter 7 filing.
    Answer Applies to: California
    Replied: 6/14/2011
    Burnham & Associates
    Burnham & Associates | Stephanie K. Burnham
    Not necessarily. Even going back to work may not force you to convert. It depends on what stage you are in with the Bankruptcy, you should speak with your bankruptcy attorney.
    Answer Applies to: New Hampshire
    Replied: 6/14/2011
    Bankruptcy Law Office of Robert Weed
    Bankruptcy Law Office of Robert Weed | Robert Weed
    The law is that your Chapter 7 eligibility depends on the six months BEFORE you filed bankruptcy. So going back to work after should not matter unless you are in a very mean court.
    Answer Applies to: Virginia
    Replied: 6/14/2011
    Jackson White, PC
    Jackson White, PC | Spencer Hale
    I'm not sure how you answered the question at the meeting of creditors, but you probably should have disclosed the fact that you would be reevaluated next month is you knew that at the time of the meeting. Without knowing what you will be making I cannot say for sure shagged your increased income could cause you to have to convert to a thirteen, but I highly doubt you will have a problem.
    Answer Applies to: Arizona
    Replied: 6/14/2011
    Symmes Law Group, PLLC
    Symmes Law Group, PLLC | Richard James Symmes
    Whether you are a chapter 7 or chapter 13 bankruptcy is primarily based on your income the previous 6 months before filing bankruptcy. If you have already had your meeting of creditors and the trustee did not indicate that he wanted you to report further income information, you are probably in the clear and will get a chapter 7 discharge of your debt.
    Answer Applies to: Washington
    Replied: 6/14/2011
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    The fact you are asking this tells me that you made the very bad mistake of filing without a lawyer. You may have made a dangerous blunder in your paperwork if you did not already disclose the possible change of income in your filing. And yes, if your income is about to change that must be disclosed and may cause your case to need to be converted. This is why people need attorneys. The timing of your case, and what you file, matter. Retain a lawyer immediately,determine what you need to disclose and determine if your 7 is appropriate. It MAY be, depending on details we don't have.
    Answer Applies to: Georgia
    Replied: 6/14/2011
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