February 26, 2011 in Bankruptcy, Legal News by jferris

Mortgage Refinancing May Still be Obtained After Bankruptcy Indicates Iowa Bankruptcy Lawyer

Most people think that if they declare bankruptcy they can never get mortgage refinancing. That is not the case, as it is possible to obtain a mortgage loan after bankruptcy.

“A lot of people do not realize that they can get mortgage refinancing after bankruptcy. In fact, there are a variety of options. One of them is using a qualified attorney who specializes in helping borrowers to file that kind of paperwork. It is a good idea to have a skilled bankruptcy lawyer on your side, as they help mediate with your creditors. The ideal attorney is up-to-date and very knowledgeable about legal finance procedures and may be able to assist you in getting a good loan,” said Kevin Ahrenholz, an Iowa bankruptcy lawyer.

It is inevitable that after declaring bankruptcy an individual’s credit rating will affect the kind of loan he or she is able to obtain. A low credit score will put an individual out of the ballpark for some kinds of loans, because creditors view the low numbers with a jaundiced eye. Mortgage refinance loans may also be available, but they may also come with sky-high interest rates, because loaning to someone who has gone bankrupt is viewed as a high-risk venture.

“For this reason, check the refinancing fees first. You may make the decision at that time to wait a few years to prove you are able to handle your debts now. Doing that will put you back in the driver’s seat and you will have a chance to apply for cheaper loans,” Ahrenholz said.

In the crush of information that those who have gone through bankruptcy face, they may not know it is a smart move to pre-qualify before going for a bankruptcy mortgage refinance loan. The long and short of it is that being pre-qualified gives the individual a solid idea of how much he or she can borrow.

“From there, it’s usually just a matter of finding mortgage lenders who offer ‘damaged credit’ programs. It’s not as hard as you may think to still find a way to re-finance your home. With good legal assistance, your bankruptcy should proceed smoothly and you will come out the other side with a new perspective on life. While facing bankruptcy is difficult, it doesn’t need to be when you have the right kind of help,” Ahrenholz said.

Kevin Ahrenholz is an Iowa bankruptcy lawyer and Iowa bankruptcy attorney. To contact him, visit http://www.iowachapter7.com or call 1.877.888.1766.

December 1, 2010 in Bankruptcy, Legal News by jferris

Osenton Says Individuals With High Debt May Wish To Consider Chapter 11

When considering personal bankruptcy, most people consider Chapter 13 and, even more so, Chapter 7. But there is another popular chapter, too: Chapter 11.

“Although originally intended for businesses, individuals can be required to file for this chapter if their debt exceeds the limits of Chapter 13 bankruptcy,” said Reginald Osenton of Osenton Law Offices in Brandon, Florida.

Currently, the limits of Chapter 13 bankruptcy are $1,081,500 for secured debt and $360,525 for unsecured debt. The threshold changes every three years in proportion to the Consumer Price Index.

Chapter 11 bankruptcies can be more advantageous in some cases for individuals. Here are some examples of how:

-Chapter 11 has no debt limits, unlike Chapter 13. As more and more consumers have taken advantage of larger amounts of credit that are being extended, this is an important point.

-Chapter 11 gives the debtor more freedom because there usually is no trustee appointed. This also saves the cost of having to pay for a trustee. There is also more flexibility with proposing a repayment plan.

-Debtors have the ability to modify their secured debts. With Chapter 13 cases, it is necessary to wait a certain length of time before the loan of an item can be reduced to the current value of the product. But with Chapter 11, there is no time limit. So that motorcycle that was purchased 14 months ago and is currently worth less than its loan? It can be reduced to the bike’s present worth.

For Businesses

Chapter 11 bankruptcy is also used by businesses. When a company is going out of business, Florida law provides a process for liquidation. But in the case of businesses that want to continue operating, Chapter 11 can help.

“Chapter 11 helps a business restructure its secured debts so they sometimes are extended and lowered. Also, there are no debts that are considered dischargeable,” Osenton said.

For individuals who are considering filing for Chapter 11 for business or personal reasons, or for information on another form of bankruptcy, it is important to speak with an experienced attorney who can answer any pertinent questions.

To learn more visit, http://www.brandonlawoffice.com.

October 13, 2010 in Bankruptcy, Legal News by jferris

How Do I Know If I Should File for Bankruptcy?

Filing for bankruptcy can be a daunting task, to be sure. There will be lots of questions about how to actually file the paperwork, what type of bankruptcy will be best and what the lingering effects of this action will be.

First, it’s important to ask whether this is the answer to your financial problems. Filing for bankruptcy is a serious decision and should only be undertaken if there are no other alternatives. Having a bankruptcy on your credit file can affect buying a house or car in the future and will remain on your records for years to come.

“To file, the U.S. Bankruptcy Code also requires that a filer obtains some credit counseling from a court-approved counseling agency before submitting a bankruptcy petition,” said Reginald Osenton of Osenton Law Offices in Brandon, Florida.

The next step is to determine what type of bankruptcy is right for your situation. There is Chapter 7 bankruptcy, which offers immediate relief, but it is not available to all debtors under bankruptcy law. The other alternative is Chapter 13 bankruptcy, which is a restructuring of debt typically over a 3 to 5 year period.

While there are some people who file bankruptcy paperwork without the assistance of an attorney, this is highly discouraged. Bankruptcy is a serious and complex matter that can have ramifications for years to come. It is best to seek an expert attorney on this decision.

The lawyer should meet with you to go over your options and financial matters. If your initial meeting is with a paralegal or assistant, and not an attorney, you should seek another law firm. After discussing your situation, the attorney should inform you what the legal fee and court costs would be to proceed.

Once you retain a lawyer, refer all creditors to him or her. After you file the bankruptcy petition, the court will set the first meeting of creditors, which is a time for the bankruptcy trustee and creditors to ask you questions about your case. In most cases, this is the only time you will appear in court. The creditors then have a certain time period to respond to your request of a discharge or restructuring of debt.

Again, choosing to file for bankruptcy is a serious matter. “It is imperative to seek the advice and guidance of a competent attorney with experience in bankruptcy,” Osenton said.

To learn more visit, http://www.brandonlawoffice.com.

October 13, 2010 in Bankruptcy, Legal News by jferris

How Bankruptcy Affects Spousal and Child Support

Consumer bankruptcy filings for the first half of this year are currently at record levels. There is evidence to suggest that a good number of these scenarios include divorce situations where a spouse is receiving or paying for child support and/or alimony.

Think filing for bankruptcy will absolve child or spousal support payments? Not so.

“Child support payments and spousal support payments generally cannot be discharged in bankruptcy,” said Reginald Osenton of Osenton Law Offices in Brandon, Florida. “This means that a parent who owes child support cannot usually escape meeting those obligations, no matter whether it is Chapter 7 or Chapter 13 bankruptcy.”

Section 523 of the United States Bankruptcy Code states that an individual debtor may not be discharged from debt “to a spouse, former spouse, or child of the debtor, for alimony to, maintenance for, or support of such spouse or child, in connection with a separation agreement, divorce decree or other order of a court of record, determination made in accordance with State or territorial law by a governmental unit, or property settlement agreement.”

Spouses who file for bankruptcy often are behind in support payments. Bankruptcy law even mandates that the nonpaying spouse be among those creditors first in line to be paid. Nonpaying spouses are also to be kept apprised of the status of the bankruptcy proceedings.

“But there are some exceptions, however,” Osenton added. “Discharges in spousal or child support may be granted if the debt, for example, is assigned to a third party such as the state or federal government.”

With the rising number of bankruptcies this year, there is more concern than ever about how this will affect child/spousal support payments. According to the Administrative Office of the U.S. Courts, the number of total filings is up 14 percent during the first half of 2010 when compared to the first half of 2009.

The above information about bankruptcy and how it can impact child and spousal support obligations is offered as general advice. If you are currently experiencing difficulty in either paying or receiving child support or alimony, however, contact your divorce attorney for more in-depth advice and counseling.

To learn more visit, http://www.brandonlawoffice.com.

July 1, 2009 in Bankruptcy, Legal News by admin

Avoiding Business Bankruptcy

If you’re a small business, it’s easy to understand why you would want to try and avoid declaring bankruptcy. Your whole life is pretty much tied up in your business.

While running a small business may be a joy, and the very thing you have always wanted to do with your life, sometimes economic reality hits hard. The reality these days is that the overall economy of the nation is suffering so badly that people have all but stopped buying things they consider to be a luxury or unnecessary.

If you own a business that caters to people who had disposable income prior to the recession, you will be feeling the economic pinch now. Unless your clientele is high end, rich and famous people who always seem to have money, your business may be in deep trouble. Many entrepreneurs try to make it against all odds and will juggle payments madly to keep from going under.

Interestingly, especially these days, is the fact that many banks, etc., are willing to barter the debt down, particularly if there is help from a credit counselor. This type of intervention will often make the difference to the enormous debt small businesses are facing by reducing it to perhaps as little as a few cents on the dollar.

While the bottom line here is that the bank does not get back its full initial loan, they are getting some return on the dollar, and this is a much more equitable solution to both parties rather than the final knell of bankruptcy. With a bankruptcy, the banks would lose the full debt owing, thus any return on their initial investment may be a welcome solution to a difficult situation, thus allowing the business to continue and the bank to recoup some of their funds.

If this kind of solution does not work because the businessperson was unable to make the negotiated payments, then all the assets of the business are sold and the cash is given to the bank(s). There are other solutions to ride out the worst of the recession, and those include snagging low rate loans, divesting yourself of expendable assets, finding an Angel investor, and asking employees if they are willing to take a pay cut to still have a job.

Patrick Warwick is the lead content contributor for Chicago bankruptcy firm, The Law Office of Jay F. Fortier, P.C.. To speak with a Chicago bankruptcy lawyer or learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com

July 1, 2009 in Bankruptcy, Legal News by admin

Personal Bankruptcy Is a Tough Call

Making the decision to declare personal bankruptcy is a tough one and one people do not take lightly.

Most likely, if you are seriously thinking about declaring personal bankruptcy, it took a lot to get you to that point. You have concerns about that appearing on your credit history and making a mess of your credit. It’s not like you “planned” to go bankrupt. It just snuck up on you as a series of incidents you weren’t expecting that made a significant change in your financial situation.

You may be faced with some astronomical medical bills, have been laid off work or are in the throes of a divorce. Bankruptcy is never an easy decision and it’s best that you know some things about the process before you make the final decision.

Declaring yourself bankrupt is a hassle and nothing will change that, but if you don’t do that, the hassle from the debt collectors could be even worse. While many people regard bankruptcy as a negative resolution to a problem, it may actually be considered a positive step towards clearing up your financial future.

Don’t be concerned about having a completely destroyed credit rating for the rest of your life. This is a myth. When you have cleared your bankruptcy, usually a 7 to 10 year process, your credit history is cleaned up and you may start all over again. Yes, it may seem like a long wait, however in the meantime you will have learned some valuable money management lessons and will be in a good position to re-establish your credit.

Many people also think that you can only file bankruptcy once in a lifetime. This is not the case either. You may file Chapter 13 every time you find yourself in need of doing so. If you are referring to a Chapter 7 bankruptcy, you would have to wait 8 years to file again should you find yourself in the same boat twice.

The idea behind filing personal bankruptcy is that it protects you (the debtor) from losing all of your possessions while working your way out of debt. This is one of the first things you and your bankruptcy attorney will discuss when you meet to talk about filing bankruptcy.

With the assistance of a competent bankruptcy attorney, filing for bankruptcy, while still difficult emotionally, is a made a lot easier by the solid advice you will receive from the lawyer. Your lawyer will be able to advise you every step of the way and make the whole process much less stressful.

Patrick Warwick is the lead content contributor for Chicago bankruptcy firm, The Law Office of Jay F. Fortier, P.C.. To speak with a Chicago bankruptcy lawyer or learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com

July 1, 2009 in Bankruptcy, Legal News by admin

An Important Part of Life – Estate Planning

Usually the last thing on people’s minds is estate planning, when in reality, it needs to be something done on a regular basis as your wishes and circumstances change.

It’s not easy to do estate planning, and the very thought of sitting down with a lawyer and telling him or her what you want to do with your assets when you die just gives you an odd feeling. Often it’s also hard to know where to start, what to give to whom, how to gift it, and whole raft of other burning questions you need to ask your attorney.

If you don’t know what estate planning is, it’s sitting down and getting your finances in order for those left behind when you pass on. While you might not enjoy doing this, it will make people’s lives easier later. It’s not a lot of fun dealing with an estate that no one took the time to pre-disburse in accordance with the principles of sound estate planning.

If you want a certain someone to have something of yours, this is the time to enshrine that wish in your will. If you wait or don’t do it, that gift may wind up in probate and not go to the person you wanted to have it. Sure, it’s natural to want to put this kind of planning off because it’s hard to think about dying. However, the best time to begin this kind of task is when you start to amass assets – like your home, investments, real estate, etc. Planning now is the smart thing to do.

Perhaps you might think you don’t have enough assets to be put into a will. That isn’t the point though. The point is that you want certain things to go to your family and not to the government. All our lives we give to the government, in death it is time to gift our families. This means you may have any wish you want expressed in your will and legally your family is bound to abide by your wishes later.

The will acts as the central point to estate planning and actually does the deed of tying all the finances and other estate details together. So once the will is done, it’s time for some down to earth and clever planning, dealing with assets such as annuities, investments and retirement funds. Choose your beneficiaries, and make sure they know they are being named in that capacity, and, if you wish, what you plan to leave them. This is a personal decision, and you may also choose not to divulge your plans.

Be aware that there are many kinds of tax implications that go hand-in-hand with estate planning, so make sure the attorney you are consulting gives you the full run down so you are totally informed. Don’t attempt to do estate planning on your own. The chances of failing miserably are quite high, not to mention the fact that there are way too many gray areas in this area of the law that may ultimately trip you up later.

Patrick Warwick is the lead content contributor for Chicago bankruptcy firm, The Law Office of Jay F. Fortier, P.C.. To speak with a Chicago bankruptcy lawyer or learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com

July 1, 2009 in Bankruptcy, Legal News by admin

Lawyers Collecting Debt

There aren’t a lot of people who know that some law firms make it point of collecting outstanding debts for various clients. In instances like this, the creditors need help with collections and send their business to a law firm.

The whole debt collection usually kicks into gear when someone (the borrower) defaults on payment owed to a creditor. Even though the creditor may have tried various routes of getting the money back, trying to get blood from a stone just didn’t work. The decision was made to use either a debt collection agency or a debt collection lawyer. On reflection, the debt collection lawyer was the ultimate choice for their ability to be versatile in the debt collections process.

Debt collection attorneys are able to help a client with things like student loan collections, credit cards being delinquent, stalled installment loan collections and consumer debt collections. After taking a good hard look at the collection file, it’s the attorney’s job to figure out which route will best achieve a collection judgment result for their client.

Like debt collection agencies, debt collection attorneys are required to meet the rules and regulations of the federal Fair Debt Collection Practice Act. The Act simply governs the actions a debt collector may take while attempting to collect on a debt. This service does not tend to come cheaply and may cost the creditor an hourly fee, one-third the amount recovered or perhaps even both. Speak to your attorney about how s/he handles these kinds of cases.

If you have any doubts about how to proceed on a collection after exhausting all your usual routes, make it a point to discuss your collection needs with a highly skilled debt collection attorney. It only makes good business sense to get some return on your initial billing, rather than have nothing to show for it in the long run. In other words, in cases like this, if you have done what you could and did not recover the outstanding debt, it’s time to spend money to recover money.

Patrick Warwick is the lead content contributor for Chicago bankruptcy firm, The Law Office of Jay F. Fortier, P.C.. To speak with a Chicago bankruptcy lawyer or learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com

April 23, 2009 in Bankruptcy, Legal News by admin

Bankruptcy Debt Woes for Small Businesses

Small businesses need business planning for the future, and that planning needs to include what to do in the event of a bankruptcy.

Filing for a bankruptcy is one of life’s more challenging moments, guaranteed to be a gut-wrenching experience. It’s a tough decision to make when someone’s hopes and dreams have been incorporated into a business. It’s a very personal decision as well and goes to the heart of how a person was striving for success and failed.

While some regard the bankruptcy process as a way to get out of debt, there are things that people don’t know – things in the fine print they need to be well aware of before acting too precipitously. Last year’s small business bankruptcy statistics are a bit on the dismal side, clocking in at a high rate of roughly 65% of small businesses going under. Sure, some of it might have had something to do with the economy, but that is just the tip of the iceberg when it comes to reasons.

The real reason for most of the small business bankruptcies is that the owners came face to face with a major cash crunch. Debts outstripped their income and they had no money to pay off the bills. While this can happen to any business, it hits a small business even harder, as they tend to have more of their personal resources invested in their enterprise.

By the time things have gotten too overwhelming to handle, the owner would have the option to declare Chapter 11 or other applicable chapter suitable for a small business bankruptcy. To do this requires the services of a skilled bankruptcy attorney.

At this point, the attorney and client sit down and discuss what kind of company the owner operates; e.g. if the company a sole proprietorship or not. If it’s a sole owner, s/he doesn’t need to ask for anyone else’s consent to file for bankruptcy. On the other hand, if there is a partnership agreement in place, joint consent is needed to file. In any event, the services of a skilled bankruptcy attorney are crucial in order to file bankruptcy under the proper chapter and in the proper manner.

To speak with a Chicago bankruptcy lawyer or to learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com.

April 23, 2009 in Bankruptcy, Legal News by admin

Juvenile Crime Is a Societal Issue

Juvenile crime, while on the rise and a real concern, has its origins in societal issues.

For the most part, juvenile crime is considered to be criminal acts that are carried out by minors, and while we seem to “get” why adults commit crimes, it’s harder to figure out why juveniles do. This means society is at a loss for what the causes seem to be and therefore, what to do about this type of crime.

Most often the types of crimes juveniles (teens) are involved in involve drug use, illegal drug sales, bullying, vandalism, assault and battery, and gang violence. Evidently statistics show there are a number of possible factors that would encourage teens to commit crimes; e.g. drugs present in the teens environment, domestic violence, family alcohol problems, and dysfunctional families.

If there is violence at home, it’s not too much of a stretch to imagine that what teens see at home will be repeated on the streets. This is normal behavior for them and they have nothing to compare. If firearms happen to be in the home, this kicks the risk factor up another notch. Add into the mixture all the gratuitous violence in the media and there is a recipe for disaster.

Politicians are often pressured to make a difference in the juvenile crime rate: to stop it, to deal with gang violence and the drug problems. The difficulty is, most programs that exist today to deal with “juvies” are programs that kick in after an offense has taken place. There is nothing effective that deals with at risk youth prior to them offending.

Generally speaking juvenile crime starts at home, which then makes this whole issue one that needs to be addressed by society as a whole. Where to start remains the burning question of the day, with rumblings that youth need a suitable alternative to gangs. What those alternatives may be remains vague. In the meantime, juvenile crime continues to be an issue, and attorneys who deal with this area of the law strive to do the best they can for their clients.

If ever there is doubt about how to proceed when a youth has been charged with a crime, make it an immediate point to contact a highly skilled juvenile attorney and find out what rights the youth has in the criminal justice system.

To speak with a Chicago bankruptcy lawyer or to learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com.