In my 22 years as a consumer and business bankruptcy attorney, I have represented over 5,000 clients. I can honestly say that very few of these clients have had a good financial plan. If they did, they wouldn’t be in my office speaking to a bankruptcy attorney. One of the most common pre-bankruptcy mistakes is…Read more
A Default is Still a Default – Someone Still Has to Come to the Aid of Homeowners Who Can Afford to Pay
Over the past few weeks, I have read tons of rhetoric about robo-signors and gaps in the trail of mortgage assignments and even lost mortgage documents. This is not new news. These issues have existed on and off for the past 20+ years since creation of mortgage backed securities (MBS). As long as mortgages are…Read more
Can I File Bankruptcy If I Am Planning to File for Citizenship and Could It Affect My Immigration Status?
Earlier this year, I wrote a post on the topic of Bankruptcy and it’s affects on immigration, but wanted to address it again, as I frequently get asked about it. I often get to witness firsthand how complicated and exhausting the immigration process can be. Add financial duress to the situation, and it can be…Read more
Mortgage Modification and Chapter 13 Bankruptcy – Do Them In Sequence – Not Simultaneously
Despite the recent revelations regarding the mortgage foreclosure process, I am finding that more and more local homeowners are beginning to make headway in the mortgage modification process. Unfortunately, in many cases, this proves to solve only half the problem. Many homeowners I encounter in my practice are not only facing difficulties with their first…Read more
Am I Required to Turn Over my Tax Refund in a Chapter 13 Bankruptcy Case?
This is a complicated question and the answer depends on your specific Chapter 13 Bankruptcy plan. In general, if your Chapter 13 plan provides for 100% payment to all creditors, you will be able to keep your tax refund. However, if the plan does not provide for 100% payment to all creditors, including general unsecured…Read more
Mortgage Modifications and the 31% Rule
Every day I am hearing more and more horror stories about the mortgage modification process. The most common gripes focus on the length of time that the process has been taking, and that after months and months of going back and forth with their lenders, more and more homeowners are ending up worse of than…Read more
Divorce Attorneys Fees in Bankruptcy – It Depends On Which Side You Are On – Part One
The financial strains that drive clients to consider bankruptcy also create difficulties in relationships, and visa versa. I regularly meet with clients who are either separated from their spouses or who are going through a divorce proceeding. In this post and the post to follow, I will touch on the matter of attorneys fees in…Read more
The Beginning of the End for Debt Settlement Companies
The New York Times reported that, on Thursday, July 29, 2010, the Federal Trade Commission announced restrictions on companies that mislead innocent consumers that they can reduce or eliminate unsecured debt. The new rules, which will take effect this fall, will prohibit Debt Settlement and Debt Consolidation Companies from charging a fee before they settle…Read more
Credit After Bankruptcy – There Are No Longer Any Guidelines
One of the most popular questions that I am asked by both prospective and existing clients is “How long will it take for me to re-establish my credit?” The real answer is – not nearly as long as you may have thought before reading this posting. If you think about it, this is truly an…Read more
Auto Companies Getting Aggressive in Bankruptcy as They Return to Financial Health
When the bankruptcy laws were overhauled in 2005, it became mandatory for a debtor to reaffirm a secured obligation encumbering an automobile whether or not the debtor was current in the remittance of payments at the time of filing. Essentially, the age old concept of “pay and retain” an automobile in bankruptcy was no longer…Read more