Archives for February 2015

In Anticipation Of Your Meeting Before The Bankruptcy Trustee

Trustee’s Meeting With Debtor Once your bankruptcy case is filed, the clerk of the United States Bankruptcy Court will send a notice of your upcoming 341 meeting of creditors. The notice will be sent to all creditors, the debtor and the debtor’s attorney. This meeting of creditors is an opportunity for the panel trustee to examine you under oath with regard to your income, assets, expenses and debt. It is also an opportunity for creditors to appear and ask questions if they so choose. In order for the meeting to be held, the trustee must have received in advance of your meeting your most recent federal tax return as well as your most recent two months’ worth of pay advices. The problem is + Read More

How To Legally Unfreeze A Frozen Bank Account

Powerful Collection Tool A very powerful collection tool is for a creditor to freeze a debtor's bank account. Most large creditor law firms and other collection lawyers have the ability to find out where you work and where you bank. Once a creditor has obtained a judgment and has knowledge as to where you bank, the creditor can send a third-party citation to discover assets. This citation is served upon the bank and inquires as to what monies you may have on account at that financial institution. If you have an account at that bank, pursuant to the citation, the Bank is obligated to freeze twice the amount of the judgment for a short period of time. This gives the creditor an opportunity to + Read More

Credit Bureaus Should Reflect Payments For Non-Reaffirmed Mortgage Debt

Credit Score Concerns Everybody is concerned with their credit score these days. Everybody wants to rebound as quickly as possible after a bankruptcy case. A better credit score will indicate that you are a better risk for future credit opportunities. The interest rate that you can garner will be better if your score is better and your overall financing opportunities will be better. Now if you make your payments on time each month, you should be rewarded with either a better score or at the least reported evidence of those timely payments. Unfortunately, this is not the case for a mortgage debt which is not reaffirmed in a bankruptcy case. Reaffirming Mortgage Debt The bankruptcy code is + Read More

Extending The Time In Your Home Through Bankruptcy

Foreclosure I think it's safe to say that the peak of the foreclosure crisis is behind us. Many people have already lost their homes, sold their homes, walked away from their homes or reorganized their debt through chapter 13 bankruptcy. Others have received modification offers from lenders, offers for deeds in lieu of foreclosure, relocation assistance and in some cases releases of liens. However, even though the worst is behind us, we still see many people who are struggling to either save their home or to stay in their home for as long as possible. Filing bankruptcy is a method by which some people can extend the time in their home for either a small duration or permanently. It really + Read More

Protecting Your Privacy Through The Bankruptcy Consultation Process

Most bankruptcy attorneys utilize an intake questionnaire to gather information about the potential client. This information is critically important to determine whether or not chapter 7 or chapter 13 would apply. It is also important to know what type of assets are involved, what type of debts are involved, and importantly, the income and expense budget analysis. Without this critical information, there is no way for a bankruptcy attorney to advise a potential client. Just this morning, I received an email from a potential client with regard to the bankruptcy intake questionnaire that's located at the top right-hand corner of my website. Her concern was a novel one. She basically felt + Read More

Filing Your Chapter 13 Bankruptcy Case Is Just The Start

Major Events It takes a lot for some people to take action. It takes a major event sometimes before someone will pick up the phone and seek help. Sometimes it's in the form of a lawsuit served by a Sheriff to the front door. Other times, it's a notice from the Secretary of State that the driver’s license is about to be suspended. Other times, it's a notice from the city of Chicago stating that the vehicle is going to be booted, towed, and impounded if debts are not paid. Whatever the motivation behind the filing is, meeting with your attorney and getting your case filed is really just the start. Meeting The Bankruptcy Trustee You must make it to your 341 meeting of creditors. You would be + Read More

Has Your Overspending At Christmas Come Back To Bite You?

There is no bigger shopping season than the time between Thanksgiving and New Year's Eve. The Main Street marketing firms are getting you to purchase as early as Thanksgiving, all the way through Christmas and even after Christmas until the first of the year. Many Americans make those purchases on credit. Usually the first credit card statement after Christmas is a little bit of a sticker shock but manageable by making minimum payments. When the February statement comes, and another minimum payment is required, there is very little movement with regard to the outstanding balance due. This inability to see the numbers move to the downward can cause one to panic. There are options + Read More

Bankruptcy Talking Points Memo

Setting Up The Bankruptcy File Correctly To conduct a successful bankruptcy case, you have to have your file set up correctly from the outset. I'm talking about having every detail covered so that you don't fall into any of the open man holes and potholes that lie ahead of you. Of course there is the simple stuff like having the debtor's name, address, telephone number and email address properly set up in the file. You also need to make sure you have the right Chapter indicated, the right jurisdiction and the right color coordinating that goes with that particular file. Just as important and probably even more critical are the particular nuances that must be itemized for + Read More

Are You Still Worried About Filing Bankruptcy?

Are you still one of the many people who have this notion that filing for bankruptcy will bring the end of the world for you? Do you consider it a total failure? Are you afraid that friends, family and co-workers will find out about your filing? Are you worried about being able to buy a house in the future? Are you worried about being able to finance a vehicle? Are you thinking that your credit score is more important than your current financial situation? Are you just plain scared to make a move? These and other questions are ones that I hear dozens of times a day in my practice as a bankruptcy lawyer. And I love getting the opportunity to refute some of the misconceptions that are floating + Read More

Bankruptcy Filings Continue To Drop

The total number of bankruptcy filings dropped 14% from January to January of the prior year. In fact, the year over year filing totals have been declining for over four years, specifically for 50 consecutive months. You would think that by four years of decreased filings that things in the United States would be great. However, this is obviously not the case. The unemployment rate still remains relatively high. The amount of take-home pay that a family receives per year has dropped by approximately $2000 in the last six years. The housing market has lifted itself off of its bottom however the gains are very moderate at best. The only anomaly is the stock market which seems to be doing well + Read More