Is a business based debt of under $2500 considered a priority if it was incurred a month before filing for bankruptcy ?
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Is a business based debt of under $2500 considered a priority if it was incurred a month before filing for bankruptcy ?
In a last effort to get back on my feet i tried to get work. In doing so I was paid a down payment which was eventually reversed. I’m now owing $2000 more than before because the person wants a refund. I want to include this in my filling and I wanna know if this will be discharged, a priority unsecured debt or non priority? This debt was incurred about a month ago while I am contemplating filing this month.
Asked on August 14, 2012 under Bankruptcy Law, Florida
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
All debts owed before the filing of a bankruptcy petition are to be included in the debtor's schedule of assets under federal law. The $2,500 debt would not be deemed a priority debt if it was not secured by some item such as real property or machinery. The $2,500 seems to be a non-priority debt.
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