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T-Boz given 180 days to file for Chapter 13 bankruptcy, again

Anyone can fall into financial difficulties, even the rich and famous. However, regardless of who the person is, it’s important to strictly adhere to bankruptcy rules. If not, the entire bankruptcy could end up getting dismissed.

This is exactly what happened to the former lead singer of TLC. T-Boz — whose real name is Tionne Watkins — had her Chapter 13 dismissed by a U.S. Bankruptcy Court judge after she failed to file specific paperwork in her case.

According to the trustee who was appointed to her case, the singer did not file documentation to prove how much her monthly mortgage payments are, nor did she include Mercedes-Benz Financial Services in her proposed Chapter 13 repayment plan.

Aside from missing paperwork, the trustee also reported to the judge that T-Boz had not attempted to go after the $250,000 she is owed in back child support.

After hearing how T-Boz was supposedly not holding up her end of the bankruptcy, the judge went ahead and dismissed her Chapter 13 bankruptcy.

However, looking to the future, there is always the chance that T-Boz will file again. In fact, she already had one Chapter 13 bankruptcy dismissed in July, and with this recent dismissal, she was given 180 days to file again.

In general, with a Chapter 13 bankruptcy, the goal is typically to pay back creditors over three to five years, without having to sell off assets. And while this is one way to deal with crushing debts, as T-Boz’s case highlights, there are very specific rules that need to be followed in order for the bankruptcy filing to go in your favor. Fortunately, an attorney who focuses on bankruptcy can walk you through the process and make sure that you know ahead of time all of the documentation you will need.

Source: The Wall Street Journal, “Judge Scrubs T-Boz’s Bankruptcy,” Feb. 13, 2012

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