Legal Question in Bankruptcy in New York

What is a luxury good?

I bought a lot of things for my new home when I bought it two years ago. Now I am upside in my mortgage and having trouble making ends meet. I took a trip to Europe this summer for school and ended up charging it. Can this trip and the new things I bought for my home (flooring, appliances, etc.) be considered ''luxury goods'' if I need to file for Chap. 7?


Asked on 11/17/08, 8:42 pm

1 Answer from Attorneys
Craig Robins Law Offices of Craig D. Robins (www.BankruptcyCanHelp.com)

Re: What is a luxury good?

Two years ago is a long time. Chances are you were in a different position financially.

With regard to the trip, if the purchases and expenses were modest, I wouldn't worry about it. Adversary proceedings are relatively rare. Home improvements are generally NOT luxury goods or services.

I have written several articles about adversary proceedings and dealing with creditors, as well as the changes in the law with regard to the dates and amounts concerning dischargeability of luxury goods, etc. Please see my web site for a wealth of information about this, and the various articles that I have written over the years.

BankruptcyCanHelp.com

If you live on or near Long Island, please call me for an appointment. We help many people discharge their debts who have very similar situations.

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Answered on 11/17/08, 10:31 pm


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