Tuesday, December 18, 2012

Filing Bankruptcy? Don't Worry About What You Lose But What You Gain

By Bob P Jones

Now that we are once again heading into a holiday season most Americans put a high priority on materialism. As consumer debt continues to rise many Americans will be considering filing bankruptcy once again for their New Year's resolution. Most people take on the attitude that they will have one more outrageous Christmas on their credit cards and then start working on becoming debt-free even if it means filing for bankruptcy. But instead of taking care of business now, the pain is pushed off to 2013.

The good news is a bankruptcy filing can break the bondage of debt and free your soul. When we look at how materialistic and superficial the world has gotten we need to look at what the Bible says about it. In Matthew 16:26 Jesus made a strong statement regarding this, "For what willit profit a manif he gainsthe whole world and forfeits his soul? Basically, he is saying that you can't take the stuff with you, so you need to get your priorities in check. The last time I checked, you never see a hearse towing a U-Haul trailer. Basically, Americans are putting themselves in debt so they can have everything they want. What they give up is the debt ends up owning them. Many families end up breaking up as the debt becomes overwhelming that was created so they could have the big house, the fancy cars and give their kids everything they asked for. We see this scenario played out over and over again in American culture where it ends up in divorce, a foreclosure and a bankruptcy filing.

People especially today should be aware of what's going on economically nationwide and take the steps to put their personal financial future in check. For some people, filing bankruptcy might be the best way for them to put their debt behind them and get a second chance at becoming debt-free in the future. Since the housing market blew up back in 2007, many Americans have been scraping along hoping that things will turn around. While hope is good, there becomes a point in time where common sense has to come into the picture. People really need to take a hard look in what is in the future for the industry they are in and how it will affect their finances. The way it looks now for the economy is this is the new normal. Thinking any differently is utter foolishness.

Being proactive when it comes to financial matters will help alleviate any stress that comes with being behind on bills. When someone gets to the point that they are robbing Peter to pay Paul they should consider seeking the advice of a bankruptcy attorney to see if filing Chapter 7 bankruptcy might have something to offer for their personal situation. It doesn't mean that they have to file bankruptcy immediately, but it might give the individual some information that could prepare them for what is to come whether it be good or bad.

All we need to do is remember that knowledge is power and the more knowledge you have about financial matters including filing bankruptcy will give an individual an upper leg on getting out of debt quickly and get on the road to becoming debt-free. Many famous people have done exactly this and are now successful giants in industry. Instead of waiting around for things to turn around people should be proactive especially in this economy and consult a bankruptcy attorney before it's too late.

The author started DebtFreeBankruptcyAttorney.Com which is a website that helps individuals with debt problems by putting them in touch with a local bankruptcy attorney that specializes in filing bankruptcy under Chapter 7 and Chapter 13 bankruptcy. Check our website for more answers to bankruptcy questions and ideas on how to have a debt free future.

Thursday, December 13, 2012

Useful Information To Know When Considering Personal Bankruptcy Options

By William Born K

Are your debts out of control and you think that your only escape is bankruptcy? Do not worry, because you are not the only one. Many individuals have found personal bankruptcy imperative to solving their financial issues. The tips in this article will show you how to make your bankruptcy work for you.

An excellent bankruptcy suggestion is to make sure you are prepared for the possibility if your bankruptcy claim is denied. Having this in the back of your mind will lessen the shock if you are indeed denied.

Try and get a second job. See if you can renegotiate your payments with your creditors before declaring bankruptcy. Let them know you want to repay your debt. They may agree to it, saving you from having to file.

A lot of people find themselves needing to file bankruptcy when they are unable to pay their bills. When you are faced with this issue, begin to familiarize yourself with your state's laws. Bankruptcy rules vary by jurisdiction. For instance, your home might be protected in some states while you might lose it in others. Make sure you know the laws where you live before you file.

Learn and gain a firm grasp of the differences in applying for Chapter 7 bankruptcies versus Chapter 13 bankruptcies. Get a good grasp of the pluses and minuses each type of filing involves by researching both of them extensively. If you do not understand what you are reading, talk to your attorney before making that serious decision.

Pay attention to how you satisfy any personal debts before filing for bankruptcy. Some bankruptcy rules do not allow you to send money to creditors within three months of filing; this can extend up to a full year if a loved one is involved. So, before you ultimately decide to file a claim, be sure that you understand the rules in place.

Be as honest as you possibly can when filing for bankruptcy; hiding liabilities or assets will only hurt you in the long run. It is necessary to be open regarding both the positive and negative aspects of your financial life. Lay everything out on the table so that you and your lawyer can devise a plan to get you out of this mess.

Look for a local bankruptcy lawyer whose reputation is great. Find out if the attorney you are interested in offers a free consultation. If they do, make an appointment to see them and get all pertinent financial documents or statements together, so you will have them ready to take with you. They can give you details on the process.

Determine the type of bankruptcy that is best for you and your situation. A lot of people do not realize that there is more than one form of bankruptcy. Research each type before you decide to file. Discuss the benefits and downsides of both with a financial professional to help you make your decision.

As you know by now, many other people have had to file for bankruptcy before you. Having read this article, you should feel better prepared to navigate this process. Use these tips to have a smooth bankruptcy.

William Born K is a professional writer for Bankruptcy Lawyer. This site provides Bankruptcy Attorney information for debtors considering filing bankruptcy under Chapter 7 and Chapter 13 bankruptcy and helps individuals stop foreclosure and eliminate their debt by putting them in touch with a local bankruptcy lawyer and also provides financial loans. For more information and to get a free bankruptcy evaluation from an experienced professional in your area, please visit our web site at http://www.bankruptcy24hour.com

How Long Does A Chapter 7 Bankruptcy Take?

By Matthew E Johnson

The low level of time and effort necessary to discharge most of your debt through Chapter 7 bankruptcy (with an attorney) is another great benefit to the bankruptcy system. Note, this article discusses Chapter 7 bankruptcy time frame, and not Chapter 11, 13, or any other bankruptcy filing.

A Chapter 7 bankruptcy is a complete discharge of a unsecured debt. In order to qualify for a Chapter 7 bankruptcy, your income from the last six months must be at or below the median income for a household of your size. The exact numerical value differs depending on the number of dependents you have, and median income in the area where you live.

For the client, the full process usually takes no more than an afternoon and a couple hours for a discharge meeting at the courthouse.

First, the client usually needs to have a meeting with an attorney. These meetings are typically scheduled for an hour, and depending on the depth of the conversation and how talkative the attorney and client is, the meeting can last as little as 15 to 30 minutes.

Second, the client needs to fill out an information packet that is very robust but can be done in a few hours in an evening. Running through bills and reviewing paperwork to find every debt you have can be tedious and the time it takes can differ depending on how organized you are and how many debts you have. For debts missing, a few calls and most creditors have no problem sending you your information.

Next, you need to attend two online debtors courses, each taking about 45 minutes apiece. These can be done at home or your local library.

Finally, the only steps left for those with attorneys is to review their documents before filing (10 to 20 minutes), read a two page information sheet (5 minutes), and to attend their 341 meeting - a court appearance where you answer a few yes/no questions on the record and the trustee declares your debts discharged. Absent a challenge from a creditor, that's it. The meeting can be very quick or can take a while to get through depending on the last name of your attorney. Clients are called based on the alphabetical order of the attorneys. Depending on how talkative the trustee is, each client really only takes about 5 minutes at the most. For those trustees who talk more, and like to hear the stories of talkative clients, it might take a bit longer.

So that's it. For those who choose to not use an attorney, it can take weeks and months to learn the necessary paperwork, the correct exemptions, how to do a "means test"; and since most non-attorneys mess up quit a bit, it will take several attempts in order to get a filing through - and that's if you don't mess up and get our case dismissed.

So use an attorney - paying a little over $1,000 (most attorneys permit you to do a payment plan over several months) will save you a ton of time and hassle. More importantly, you'll get all of your debts erased and you won't run the risk of inadvertently getting your case dismissed or providing the court with incorrect information - which might result in jail time.

Matthew Johnson - Seattle Bankruptcy Attorney
http://www.johnsonlg.com/

Don't Feel Guilty About Filing Bankruptcy, See What the Bible Says

By Lisa Michelle Jones

Until recently, filing bankruptcy has carried a stigma of failure and being dishonest. Many people have avoided filing for bankruptcy, even to their own demise, because of the stigma. No one really wants to file for bankruptcy, at least those of us that are honest, but sometimes circumstances make the process unavoidable. It's interesting to see how this stigma questioning someone's honesty and labeling them a failure even came about. While no one will really come out and say that they started this negative label, I suspect it was perpetrated by the credit industry. They know that once a person hires a bankruptcy lawyer, they probably will not get paid back anything. Initially, a debt collection company will call to make arrangements for payment and tried to befriend the individual in financial trouble. Most people don't realize it, but they will feel guilty if they don't pay their new friend. When a person hits the end of their rope and doesn't have anything to give them the gloves come off and the character assassination begins. Debt collectors are paid based on what they collect so they don't have a problem being the ones that try and destroy a person's character with threats and berating them.

The interesting facts are the most common reasons for someone filing for bankruptcy are unemployment, a medical illness that causes loss of work with large medical bills, and family problems like divorce. So when a debt collector calls a person and accuses them of being dishonest for not paying their debts, it seems to me that all of these reasons are beyond their control and there is nothing wrong with filing bankruptcy. People need to understand the source of the information that is making them feel bad about themselves. A quick way to remove the guilt is to speak with a bankruptcy lawyer and they will be able to set the individual straight about their situation. For someone who needs to feel better about themselves all they need to do is look at the recent study they came to the conclusion that the average American family is only three weeks away from having to file bankruptcy. This conclusion was based on the amount of debt that the average American household has and compares it with their savings and income. In most households, debt is on the rise, a savings account is nonexistent and income is on the decline.

For those that still feel the guilt and shame of filing bankruptcy, all they need to do is open the Bible and use it for a moral compass. It is true that the Bible sets it straight that we are expected to pay are just debts. I don't think anyone would argue this point, even those filing for bankruptcy. However, the Bible talks about the balance between the moral and legal obligation to pay those debts and to consider the need for compassion and the requirement that those debts must be canceled at periodic intervals. This comes from Deuteronomy 15 in the Old Testament of the Bible and is the basis for how Congress created the Bankruptcy Code. The cancellation of debts every seven years was spoken clearly in the Scripture. Deuteronomy 15:1-2 says " At the end of every seven years you shall grant a release. And this is the manner of the release: every creditor shall release what he has lent to his neighbor, his brother, because the Lords release has been proclaimed."

So the next time a debt collector calls and starts berating the individual, they should break out their Bible and let the debt collector know the truth about filing bankruptcy and how it should be treated morally and legally.

The author is a professional that formed FilingBankruptcyPros.Com which provides information for debtors considering filing bankruptcy under Chapter 7 and Chapter 13 bankruptcy and helps individuals stop foreclosure and eliminate their debt by putting them in touch with a local bankruptcy lawyer.

Too Many Bills? Too Little Money? Consider Personal Bankruptcy

By William Born K

Although it is sometimes needed, deciding to file for bankruptcy is hard. It is always best to go forward, armed with the best information and assistance you can find. You need to know what you are up against. Keep reading for information that can help you get through this trying time.

Check the accuracy of all information before it is filed. Just because you have told him something of importance that he will remember it. This is your future in their hands, so don't be scared to mention it.

Check each debt to be sure everything can be cleared through bankruptcy to avoid any excessive filing. There are debts (e.g. student loans) that will stay listed within your credit history even if you file for bankruptcy. For that kind of debt, attempt going to a loan consolidation service or credit repair agency.

Seeking out additional employment can be a way to handle your debts. Try discussing your situation with your debtors. Let them know that you're making a good faith effort to repay them and that you need more time. They may agree to it, saving you from having to file.

If you acquire a new job prior to filing for bankruptcy, keep moving forward with your filing plans. Bankruptcy might still be in your best interest. The timing of your bankruptcy is important. If you file prior to a change in your income, your ability to repay debts will be measured by your former earnings.

Interview several attorneys before you hire one and ask questions about education and experience. There are numerous attorneys available to assist you with your case. It's tempting to get it over with and hire the first one you talk to, but you'll want to ensure that they have the necessary experience.

Do not omit any information about your finances, assets or debts when filling out your bankruptcy paperwork. If you forget to add these, your petition could be delayed or dismissed. No sum is too small to be included; err on the side of caution and include everything. Some things to be included are: current loans, valuable vehicles and side jobs.

You can find a wealth of information concerning personal bankruptcy by searching for websites which offer information about it. The United States Run a quick Internet search to find out all the different agencies you should be contacting or visiting via the web to find out what you can. The more you know, the better prepared you will be to make the best decisions and ensure that your bankruptcy goes smoothly.

Make sure you know how to differentiate between Chapter 13 and Chapter 7. Do some research about these options so you can choose the best one. Learning about bankruptcy is not simple, so call a bankruptcy attorney to make an appointment to ask questions.

Nobody wishes to file for bankruptcy, but there are cases where it is simply necessary. Having read the preceding piece, you now possess critical insight and knowledge offered by those with actual prior bankruptcy experience. You will find that every journey in life goes more smoothly if you heed the advice of those who go before you, and this one is no different.

Suggestions Of Other Options Besides Personal Bankruptcy

By William Born K

Just thinking about bankruptcy can frighten people. A lot of debt and not being able to support your family can be real frightening. If you have any fear or apprehension about bankruptcy, the advice found in this article will be of help to you.

After filing a personal bankruptcy, remember to be careful of the debt that you try to take. There are plenty of lenders out there peddling credit cards and loans designed for people coming out of a bankruptcy filing. Often, these offers come with very high interest rates. Bankruptcy is meant to give you a fresh start, not a chance to make the same mistakes over again.

Pick you bankruptcy attorney judiciously. Because of the increase in bankruptcy filings, this field attracts a lot of newer, inexperienced attorneys. Be certain your attorney has enough expertise and has a valid license. A basic Internet search can turn up client ratings and relevant background information.

Filing for bankruptcy should not be done on a whim. Instead of rushing into bankruptcy, a good idea is too speak with an attorney who may be able to get your interest rates reduced or help get you on a debt repayment program. You can apply for a modification of your mortgage if your home is going into foreclosure. Your lender can adjust your loan in many ways including extending the time you have to pay, reducing your interest rate, or canceling some of your late fees. Many times creditors are happy to work with you to ensure that you will repay your loan.

Personal bankruptcy filings are a great way to finally escape the stress caused by incessant calls from bill collectors. Shouldering the burden of insurmountable debt can cause a great deal of stress. Bankruptcy is usually a good way to keep you sane while you work out your issues.

Know what you're getting into. You may think it's possible to file for personal bankruptcy on your own if you cannot afford to hire a lawyer. If you do, remember to educate yourself on things that you should know. Those who do their own bankruptcies often make mistakes that interfere with their ability to secure a discharge. Double- and triple-check your filings so this doesn't happen to you.

Unfortunately, if you're attempting to file a bankruptcy claim due to outstanding student loans, then you may encounter some difficulty. Even though laws are different in different states, debt from student loans are some of the most difficult kinds of debt to be discharged. Understand that you will probably have to show how some sort of catastrophe made it impossible for you to pay your loans.

After you have declared bankruptcy, you may have a hard time being approved for unsecured credit. If that's the case, it is beneficial to apply for one or even two secured cards. This demonstrates to creditors that you are making a good faith effort to repair your credit. After using a secured card for a certain amount of time, you might be offered an unsecured card once again.

People who are afraid of bankruptcy have good cause to be; the process can be scary and stressful. That said, the best antidote to fear is information, and this article has given you that in spades. Apply what you've learned here, and get a fresh start for you and your family.

Reasons Why Personal Bankruptcy Might Be Your Best Option

By William Born K

Filing for bankruptcy can relieve you of one kind of financial stress, but it provides you with new stresses, too. On one hand, having people go through all of your personal financial information can be formidable. By contrast, once your bankruptcy is complete, you will have the freedom to rebuild your credit without being hounded by debt collectors. The following article will give you advice to make filing for bankruptcy simpler.

If you've committed yourself to filing bankruptcy, find out all you can about the federal code and the laws in your state. The future of your financial health is on the line, so educating yourself the best you can, and proactively working with your lawyer through the process, can give you better protection for your financial future, and help bring about a more positive outcome.

If you need to file a bankruptcy claim, do not wait around to do so. Waiting to file will not make things easier. Waiting will put more stress on you and will only make the financial situation much worse. This may have a lot of bad effects on the way you live. It is best to file as quickly as possible.

You should never assume that all debts are covered under a Chapter 7 bankruptcy. Some secured debts might have to be reaffirmed. This means that you may need to create a new agreement in planning to repay them and some debts are not dischargeable at all. For instance, child support debts, court fines and alimony obligations cannot be discharged in Chapter 7 cases.

You can take steps to hang onto your house. Filing for bankruptcy does not mean you have to lose your home. It may be possible to keep your home if the value has depreciated, or there is a second mortgage. You may also want to check out the homestead exemption because it may allow you to keep your home.

Do not put off filing for bankruptcy. It is all too common for people to hope that their financial difficulties will disappear if they don't give them any attention. If you have failed to make payments for several months but have continued making purchases on credit, your petition may be denied. As soon as you know that you are too far over your head, make the move to call an attorney skilled in bankruptcy court, to weigh your options.

Never shirk on the truth in your petition for bankruptcy. Resisting the temptation to hide income or valuable assets from the bankruptcy trustee is a smart way to avoid potential complications, penalties, and the possibility of being barred from re-filing in the future.

Filing bankruptcy has its good and bad points. Regardless of your reasons for filing for personal bankruptcy, remember that it is a process that can be extremely helpful if you are well informed. This article should help you learn more about personal bankruptcy. You should experience much less stress during the bankruptcy process when you heed this sort of good advice.