Category Archives: Bankruptcy

Facts about Personal Bankruptcy

Personal bankruptcy comes into focus when you as an individual admit to being unable to pay up your debts thereby asking a bankruptcy court to relieve you of your obligations or offer you better terms for repayments. Most people prefer declaring their inability to pay up debts so as to get a chance to start all over again even though it means that they have to give up most of their assets to settle the outstanding debts.

Personal bankruptcy can also be termed as a legal procedure allowing individuals to pay their debts and start afresh financially, saving them lots of embarrassing moments. You can either declare yourself bankrupt, also referred to as debtor’s petition or a creditor can put up a petition against you declaring you to be bankrupt. It is important to note that there is a specific amount of money that when you owe someone, he or she has the right to declare you bankrupt. This is also known as creditor’s petition and the amount varies from one place to another.

Soon after the court declares you bankrupt, all your creditors will be hindered from colleting any debts from you awaiting the decision of the court. In most cases the assets you own will be taken over and sold to help settle the debts that you owe your creditors. If the asset value tends to be below what you owe people, you will be issued with a repayment plan you have to abide by in paying the remaining debts.

With bankruptcy claim, you could be exempted from fines that have been incurred with your failure to pay your debts. However, there are cases where you have to pay every single cent you owe your creditors including the fines incurred within the period if you have failed to pay according to the terms agreed on. You could remain in personal bankruptcy for up to three years depending on how much your assets are able to settle. This is because there are certain payments you need to make on a regular basis to settle every single debt that is still outstanding. Failure to follow the court’s directive could lead to the amount being forcefully deducted from your income.

Claiming bankruptcy is a relatively simple process which can be done professionally with the help of experts in the field. The Bankruptcy credit report law may vary from one state to another .For more information about personal bankruptcy lawyer visit .

BANKRUPTCY – A SIGN OF THE TIMES

With today’s economy, people face many economic challenges such as job loss, resulting in foreclosure, repossession, and lawsuits. Many experts equate these tough economic times to the Great Depression of the 1930’s preceding World War II. As a result of these tough economic times, bankruptcy has truly become a sign of the times. More and more people have no alternative but to file bankruptcy. The good news is bankruptcy is a fresh start, it alleviates a lot of the financial stress that people are under, and it is easy to re-establish your credit afterwards. Unemployment rates are also at record highs. According to the U.S. Bureau of Labor Statistics, -The share of families with an unemployed person rose from 12.0 percent in 2009 to 12.4 percent in 2010, the highest level since the data series began in 1994.- With the unemployment rate being so high, employers are able to be very picky about who they hire. Many employers are requiring candidates to have a degree for positions that did not previously require a degree. Even employers such as local stores, McDonalds, and other fast food chains will not hire people who have previously held higher paying jobs but who are without work.

Not only did the unemployment rates hit record highs, but consumer prices have increased by at least .5 percent over the past year, with several areas increasing substantially more such as gasoline prices (19.2%).

According to MSNBC, in early 2010, foreclosure rates surged the first part of 2010 reflecting the largest increase in the past five years. -The number of U.S. homes taken over by banks jumped 35 percent in the first quarter- from the previous year. -In addition, households facing foreclosure grew 16 percent in the same period and 7 percent from the last three months of 2009.-

Additionally, more and more banks and creditors are repossessing vehicles and filing lawsuits as a result of the tough economic times.

Furthermore, many people who own their own small business, especially in a service related area, are struggling as a sign of the times, causing these small business owners to have to close their businesses.

Today, it is very common for bankruptcy to be the only option and the only way out. It is no longer an embarrassing thing to have to file. In fact, most people understand, and are even sympathetic. People who own their own business can even get rid of both their business debts and their personal debts when they file. In addition, bankruptcy alleviates a lot of the financial stress that people are under, not to mention, in most cases, it improves your credit score. Bankruptcy is a fresh start and it is easy to re-establish your credit afterwards.

Arizona Bankruptcy Lawyer- What Steps To Take Before Hiring A Bankruptcy Lawyer

You need an Arizona Bankruptcy lawyer. You have made the decision. You decided to file for bankruptcy in Arizona. What steps should you take before going to see a lawyer?

Planning is crucial for bankruptcy and people need to educate themselves about their debt and plan for their financial future. Bankruptcy is definitely a part of that.

So planning is the first step.
How much do you make? Ask yourself that question. And more to the point go and gather up six months of paycheck stubs. Do the math on that. How much do you really earn?

The other thing you want to look at is your tax returns. Find them. Track them down. File them if you need to. Sometimes in some bankruptcies, mainly Chapter 7, you can discharge, meaning you can get rid of, some of your taxes depending on how old they are.

And in Chapter 13 you can repay and that may be the only thing that you’re repaying is lost taxes.

So taxes are crucial. Find the last two years of tax returns and file them if you need to.

The other thing that you should be looking at is making a list of all your debts. Do you have debts that are owed on the car or house? Do you have a boat that you need to pay on or a RV? Separate the debts that are credit cards and personal lines of credit versus those debts that are secured.

Cars are usually secured by a loan. That’s secured debt. House’s are secured by a mortgage. That’s more secured debt. So make a list of your secured debts.

The next thing you want to do is look at any law suits. Do you have any legal proceedings that are pending? What are the dates on those law suits? Have they already gone to judgment? Have they been recorded? Gather up all that information.

And start making phone calls. Start talking to those creditors. You may not be willing to pay them obviously, but find out what your deadlines are. Those are going to be important in your bankruptcy.
Finally, there’s a lot of information on the Internet. The internet is a really important source. So again with planning, there are a lot of free Chapter 7 and Chapter 13 bankruptcy tests. Take one. There’s one on the Arizona Legal Advocacy site at ArizonaLegalAdvocacy.com. You’ll find it on the bankruptcy home page. Take a look at that. Fill that out. Tinker with it if you choose to.

Do you qualify for Chapter 7 or would you want to repay under a Chapter 13?

Finally, you probably have a car. You might even have more than one, which you can have in bankruptcy. The key question is what’s it worth? How do you find that out, Kelley Blue Book. Another great source on the Internet.

Do you have a house? Think about that. Is there any equity in that home? You can protect it. But first find out how much. Or, a more pressing problem for a lot of people right now in Arizona is their house is upside down, they owe more than it is worth. Find out how much your home is worth and a great source for that is Zillow.com. Take a look and find out.

All this is about educating yourself and planning just like you do anything in life. Planning to buy a house? That’s a big expense. You plan to do that. Planning for retirement? You plan to do that as well, and finally, planning for your bankruptcy.

If you’re going to file in Arizona, it’s a good idea to brush up on the Arizona bankruptcy court website. It’s got a lot of information there about your household goods, your jewelry, and your watch. Maybe you have personal belongings. Maybe you have art. Maybe you have valuable things.

Check out the Arizona bankruptcy court website. I suggest it because they have a frequently asked questions section with lots and lots of very valuable information there. It is completely worth taking a look at.

Finally, let’s say you’ve looked at the Arizona bankruptcy website and you realize you can only have one watch worth no more than $150. Maybe you have a couple more, find out how much they’re worth.
Bankruptcy court has an interesting way of determining the value of things. They actually use a very simple formula. Garage sale prices, yard sale prices, a tag sale. What maybe that item might be worth to say the Salvation Army or Goodwill. I always suggest people go to e-Bay for things that they think are valuable.

Take a look because that’s what the court is going to rely on. Not what you hope to get for the item or what you think it may be worth but what you have to get for it if you sold it right away.

Pros and Cons of Filing Chapter 7 Bankruptcy

Deciding whether to file for Chapter 7 bankruptcy can be a difficult decision. Chapter 7 bankruptcy is a type of bankruptcy that enables individuals and businesses to eliminate certain unsecured debt. Although Chapter 7 bankruptcy can provide necessary debt relief, it can also negatively affect your credit, your self-image, and your reputation. Consider the following list of pros and cons when determining whether Chapter 7 bankruptcy in Memphis is right for you.

Cons

Filing for bankruptcy is a serious decision that comes with severe financial consequences. The following are some of the most common negative consequences associated with Chapter 7 bankruptcy:

Ruins credit: Chapter 7 bankruptcy will remain on your credit report for up to 10 years and can seriously affect your ability to obtain any type of credit, including a mortgage.

Lose property: Chapter 7 bankruptcy is commonly referred to as -liquidation bankruptcy- because it requires debtors to sell nonessential property and luxury possessions in order to pay creditors. Lose credit cards: Declaring Chapter 7 bankruptcy will cause the debtor to lose all current credit cards.

Non-qualifying debt: Unfortunately, Chapter 7 bankruptcy does not discharge all types of debt. Student loans, mortgage liens, and alimony and child support payments do not qualify as dischargeable debts under bankruptcy law. Debtors will still be held responsible for all non-qualifying debts after filing for Chapter 7 bankruptcy.

Filing limits: All chapters of bankruptcy have filing limits to help prevent abuse of the law. Individuals cannot file for Chapter 7 bankruptcy if they have completed the process for Chapter 7 or Chapter 13 bankruptcy within the last 6 years.

Pros

Filing for Chapter 7 bankruptcy provides numerous benefits for individuals overwhelmed with serious debt. The following are some of the most common benefits associated with Chapter 7 bankruptcy:

Quick debt relief: Although a bankruptcy filing stays on your record for several years, it is the quickest way to obtain freedom from overwhelming consumer debt. From filing to relief, Chapter 7 bankruptcy only takes about 3 to 6 months. Failing to file for Chapter 7 bankruptcy may result in additional missed payments, defaults, repossessions, and lawsuits that can further injure your credit and financial future.

Stops debt collection: Filing for Chapter 7 bankruptcy effectively stops all debt collection, harassing phone calls from creditors, wage garnishments, repossessions, and restores any utility services that have been cut off.

Property exemptions: States provide exemptions that allow the debtor to keep a specific amount of property after filing for Chapter 7 bankruptcy. These exemptions typically allow the debtor to keep most essential property items and all wages and property acquired after filing for bankruptcy.

Secured credit cards: Although individuals that have filed for bankruptcy may not be eligible for a traditional credit card, they can obtain a secured credit card. These cards require a refundable security deposit to be submitted prior to use, but work exactly like a standard credit card. Payments on secured cards are reported to the 3 major credit bureaus, allowing the cardholders to improve their credit score as they make on-time payments.

Fresh start: Chapter 7 bankruptcy offers a fresh financial start for individuals that are overwhelmed with consumer debt. Declaring bankruptcy also provides that debtor with useful financial instruction, peace of mind, a clean financial slate, and the opportunity to rebuild your credit.

Is Chapter 7 Bankruptcy Right for You?

Because everyone’s financial situation is different, it is important to consult an experienced bankruptcy attorney when considering Chapter 7 bankruptcy in Memphis. Bankruptcy attorneys are considered experts in the field of bankruptcy law and can evaluate your financial situation to determine if bankruptcy is the right option for your individual needs.

Hurst Law Firm, P.A. Hurst Law Firm in Memphis TN can help you when it comes to dealing with chapter 7 bankruptcy. Contact us today to get the help you need! Visit our page on to see our page today!

Filing for Bankruptcy in San Antonio

Admit it – you’ve been thinking about bankruptcy. Perhaps you have credit card debts that are out of control. Maybe you are attempting to save your home from foreclosure or keep your car from being repossessed. The bills are piling up and the stress is killing you. The phone is ringing off the hook with bill collectors. Many people do not know where to turn for help. Radio and television ads promise instant debt relief but don’t deliver. There is only one sensible way to dig your way out of severe debt problems. The process begins by contacting a San Antonio bankruptcy attorney. There have been changes in bankruptcy law and you are required to follow all the rules you file for bankruptcy. A San Antonio bankruptcy lawyer can advise you on these requirements and let you know how the bankruptcy process works. Making a fresh financial start can only begin when you discuss bankruptcy with an attorney. Filing bankruptcy may free you from your terrible credit card debts, stop frightening home foreclosure and allow you to keep your family home. However, filing for bankruptcy has become a very complex process. It begins with making up your mind which method of bankruptcy makes sense for your personal debt situation.

Working with a San Antonio bankruptcy attorney will allow you to focus your energy on bettering your financial situation and work on rebuilding your personal credit history. You will not have to worry about meeting the various legal requirements or filling out paperwork. A bankruptcy attorney can also ensure that you do not anything or act in a way that would make the court dismiss your case and ruin your changes at starting again with clean financial slate. Your attorney can also advise you regarding which debts cannot be erased by bankruptcy. Child support, support of a former spouse, and most tax debts cannot be wiped away by bankruptcy. Student loans are also not wiped away during the bankruptcy process.

Here are a few items that a San Antonio bankruptcy attorney will tell you are big mistakes. They will lower your chances of getting a bankruptcy from the court. Make sure you don’t make any of these usual bankruptcy mistakes. Do not run up your credit cards just before filing. This looks very bad to the court. They will know you went on a spending spree that your never planned to repay. Do not attempt repay personal loans to your friends. Every creditor deserves an equal chance at getting repaid. You must give complete and correct information to the attorney and the court on your bankruptcy forms. Even if mistakes are made or things are left out by mistake, they can work against you in your San Antonio bankruptcy filing.

Author Bio: Malaise Law Firm has experienced San Antonio attorneys who are serving San Antonio bankruptcy, Dallas bankruptcy and social security cases.To know more about San Antonio bankruptcy attorneys, please visit .