Compare Mortgage Quotes

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

Company Loan Type APR Est. Pmt.

Chapter 7, how many income tax refunds do they garnish?

Posted on: 29th Jul, 2009 09:14 pm
I have more than one question actually. My Fiance filed bankruptcy towards the beginning of the year. He has NOT been "released" yet. What does that mean by the way too?

1) How many Income Tax Refunds will the Trustee garnish? For one year or 5 years? Will the Trustee garnish the Federal and State tax refund?

2) He had a truck, but it went back as part of the bankruptcy... My grandfather has a car that he wants to give as a donation, keeping in mind that my Fiance has no other vehicle to drive, will the trustee seize the car if my Fiance puts it in his name? Is this just until he is "released" (which will be in September) or is this for 5 years?

3) IF we get married within the 5 years, will they garnish my car and property and all too, since it is in my name? Or as long as it is in my maiden name they wont touch it????

I greatly appreciate your time and help. Thanks...
I guess your fiance has not been discharged by the court and the bankruptcy case is still going on. Tax refunds can be garnished by the trustee. But I don't think, the trustee would garnish the tax refunds of last 5 years. The trustee may garnish both state and federal tax refunds.

I don't think it would be a good idea to transfer the truck in your fiance's name now as the bankruptcy trustee may include it as one of his assets. It would be better if the truck is transferred to him when he is discharged of bankruptcy.

Once the bankruptcy is discharged, the trustee will not garnish or sell off any other property of your fiance. As far as your properties are concerned, as they are in your name, the trustee won't even touch them.
Posted on: 30th Jul, 2009 04:02 am
Page loaded in 0.079 seconds.