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The Federal Housing Administration will now allow a bankruptcy debtor to get an FHA backed mortgage in as little as a year after bankruptcy, provided that certain minimal criteria are met. Many bankruptcy experts believe that this is yet another strong sign that bankruptcy is well on its way to losing whatever stigma may have been associated with it in the past.
The FHA will now consider borrowers who have received a bankruptcy discharge or short sale or foreclosure more that one year prior if the borrower can show the following:
- Debtor(s) experienced an “economic event” beyond the debtor’s control that resulted in a loss of household income of at least twenty percent for a period of at least six months; and
- Prior to the economic event, the borrower had good credit and that certain credit impairments were the result of a Loss of Employment or a significant loss of Household Income beyond the borrower’s control;
- the borrower has demonstrated full recovery from the event; and
- the borrower has completed housing counseling.
The FHA seems to be recognizing that in order to fully recover from the economic downturn, many Americans are turning to bankruptcy in order to get a real fresh start and that these people are credit worthy and will want and deserve to be able to obtain mortgages after bankruptcy. Obviously the real estate market is never going to recover if potential buyers are kept out of the market for no good reason. This is good news for everyone.
The original post is titled Federal Housing Administration is Now Making it Easier to Get a Mortgage After Bankruptcy , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
Just read that now that Spring has purchased Clearwire, it will be laying off 161 people in Belleveue and Kirkland, Washington. I don’t pretend to know anything about economics, but I must say that it seems like every time a large company decides to lay people off, it always chooses the Washington or Oregon portion Read MoreThe original post is titled Seattle Area Layoffs , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
I just ran across the website of a non-attorney business that said you don’t need a bankruptcy attorney for consumer cases, and that all consumer bankruptcy attorneys were basically overcharging for services that could be performed for a fraction of the price by non-attorneys. This type of blanket statement is just flat out scary because it’s wrong.
When I interned for the United States Trustee’s Office, I assisted with cases where the US Government pursued individuals and businesses that prepared bankruptcies illegally under the bankruptcy code in violation of 11 USC 110. Not only were individuals commonly overcharged in violation of both local rules of bankruptcy and the federal rules of bankruptcy, many of the cases were prepared improperly. And even worse, some of the issues in the bankruptcy filings were so serious, the debtors didn’t receive a discharge.
On top of that, anyone who is paid even a cent to assist you in preparing a bankruptcy must disclose the fact they assisted you. Many non-attorneys (and yes, even some attorneys) will take your money yet not disclose on the forms that they assisted you. Use your common sense to figure out why that is…
Here’s a few basic examples of why you might just want an bankruptcy attorney’s assistance:
1. I once had a client come in and tell me he needed chapter 13 because that’s what he was told by someone else. I told him chapter 13 fees were higher than chapter 7 in most cases . The client told me that wasn’t an issue because of his circumstances. Upon reviewing his case, I recommended chapter 7 because the client didn’t need to file chapter 13 which requires a repayment of debt. Our chapter 7 case was successful, and the client saved thousands of dollars not only in attorney’s fees, but also fees that he would have otherwise paid into a chapter 13 plan. Yes, the client could have filed a ch13 case with a petition preparer for $200.00. However, it is highly unlikely the case would have been confirmed under the proposed plan, and furthermore, the client would have had to repay money under the plan! Instead, he simply filed a chapter 7 and saved thousands by coming to me instead.
2. I once saved a bankruptcy client almost $100,000.00 through a Chapter 13 Bankruptcy case.
3. Most reputable attorneys actually appear with you at the 341 meeting of creditors. I regularly personally appear with my clients. Most other reputable attorneys appear personally or at least have a reputable attorney colleague appear on their behalf. Beware of petition preparers and even attorneys who won’t appear with you in Court.
4. An actual reputable bankruptcy attorney is trained to see problems that might arise in your case and tell you BEFORE the case if filed. The guys who don’t even disclose they assisted you with the bankruptcy documents could care less since they are violating bankruptcy law under 11 USC Section 110 by not disclosing that you paid them for assistance.
5. People who have car loans need to file reaffirmation agreements (See In Re Dumont 9th Circuit). I don’t charge my clients extra for this assistance and do it as part of my services. People who don’t hire the right attorney get charged EXTRA for this help. And those who go to a document preparer have to tough it out and figure it out on their own.
These are just some examples of how a person can benefit from hiring the right bankruptcy attorney. At JCH LAW FIRM, we are dedicated to our clients and have their best interest at hand. Call or Contact us today for assistance.
I just ran across the website of a non-attorney business that said you don’t need a bankruptcy attorney for consumer cases, and that all consumer bankruptcy attorneys were basically overcharging for services that could be performed for a fraction of the price by non-attorneys. This type of blanket statement is just flat out scary because it’s wrong.
When I interned for the United States Trustee’s Office, I assisted with cases where the US Government pursued individuals and businesses that prepared bankruptcies illegally under the bankruptcy code in violation of 11 USC 110. Not only were individuals commonly overcharged in violation of both local rules of bankruptcy and the federal rules of bankruptcy, many of the cases were prepared improperly. And even worse, some of the issues in the bankruptcy filings were so serious, the debtors didn’t receive a discharge.
On top of that, anyone who is paid even a cent to assist you in preparing a bankruptcy must disclose the fact they assisted you. Many non-attorneys (and yes, even some attorneys) will take your money yet not disclose on the forms that they assisted you. Use your common sense to figure out why that is…
Here’s a few basic examples of why you might just want an bankruptcy attorney’s assistance:
1. I once had a client come in and tell me he needed chapter 13 because that’s what he was told by someone else. I told him chapter 13 fees were higher than chapter 7 in most cases . The client told me that wasn’t an issue because of his circumstances. Upon reviewing his case, I recommended chapter 7 because the client didn’t need to file chapter 13 which requires a repayment of debt. Our chapter 7 case was successful, and the client saved thousands of dollars not only in attorney’s fees, but also fees that he would have otherwise paid into a chapter 13 plan. Yes, the client could have filed a ch13 case with a petition preparer for $200.00. However, it is highly unlikely the case would have been confirmed under the proposed plan, and furthermore, the client would have had to repay money under the plan! Instead, he simply filed a chapter 7 and saved thousands by coming to me instead.
2. I once saved a bankruptcy client almost $100,000.00 through a Chapter 13 Bankruptcy case.
3. Most reputable attorneys actually appear with you at the 341 meeting of creditors. I regularly personally appear with my clients. Most other reputable attorneys appear personally or at least have a reputable attorney colleague appear on their behalf. Beware of petition preparers and even attorneys who won’t appear with you in Court.
4. An actual reputable bankruptcy attorney is trained to see problems that might arise in your case and tell you BEFORE the case if filed. The guys who don’t even disclose they assisted you with the bankruptcy documents could care less since they are violating bankruptcy law under 11 USC Section 110 by not disclosing that you paid them for assistance.
5. People who have car loans need to file reaffirmation agreements (See In Re Dumont 9th Circuit). I don’t charge my clients extra for this assistance and do it as part of my services. People who don’t hire the right attorney get charged EXTRA for this help. And those who go to a document preparer have to tough it out and figure it out on their own.
These are just some examples of how a person can benefit from hiring the right bankruptcy attorney. At JCH LAW FIRM, we are dedicated to our clients and have their best interest at hand. Call or Contact us today for assistance.
I just ran across the website of a non-attorney business that said you don’t need a bankruptcy attorney for consumer cases, and that all consumer bankruptcy attorneys were basically overcharging for services that could be performed for a fraction of the price by non-attorneys. This type of blanket statement is just flat out scary because it’s wrong.
When I interned for the United States Trustee’s Office, I assisted with cases where the US Government pursued individuals and businesses that prepared bankruptcies illegally under the bankruptcy code in violation of 11 USC 110. Not only were individuals commonly overcharged in violation of both local rules of bankruptcy and the federal rules of bankruptcy, many of the cases were prepared improperly. And even worse, some of the issues in the bankruptcy filings were so serious, the debtors didn’t receive a discharge.
On top of that, anyone who is paid even a cent to assist you in preparing a bankruptcy must disclose the fact they assisted you. Many non-attorneys (and yes, even some attorneys) will take your money yet not disclose on the forms that they assisted you. Use your common sense to figure out why that is…
Here’s a few basic examples of why you might just want an bankruptcy attorney’s assistance:
1. I once had a client come in and tell me he needed chapter 13 because that’s what he was told by someone else. I told him chapter 13 fees were higher than chapter 7 in most cases . The client told me that wasn’t an issue because of his circumstances. Upon reviewing his case, I recommended chapter 7 because the client didn’t need to file chapter 13 which requires a repayment of debt. Our chapter 7 case was successful, and the client saved thousands of dollars not only in attorney’s fees, but also fees that he would have otherwise paid into a chapter 13 plan. Yes, the client could have filed a ch13 case with a petition preparer for $200.00. However, it is highly unlikely the case would have been confirmed under the proposed plan, and furthermore, the client would have had to repay money under the plan! Instead, he simply filed a chapter 7 and saved thousands by coming to me instead.
2. I once saved a bankruptcy client almost $100,000.00 through a Chapter 13 Bankruptcy case.
3. Most reputable attorneys actually appear with you at the 341 meeting of creditors. I regularly personally appear with my clients. Most other reputable attorneys appear personally or at least have a reputable attorney colleague appear on their behalf. Beware of petition preparers and even attorneys who won’t appear with you in Court.
4. An actual reputable bankruptcy attorney is trained to see problems that might arise in your case and tell you BEFORE the case if filed. The guys who don’t even disclose they assisted you with the bankruptcy documents could care less since they are violating bankruptcy law under 11 USC Section 110 by not disclosing that you paid them for assistance.
5. People who have car loans need to file reaffirmation agreements (See In Re Dumont 9th Circuit). I don’t charge my clients extra for this assistance and do it as part of my services. People who don’t hire the right attorney get charged EXTRA for this help. And those who go to a document preparer have to tough it out and figure it out on their own.
These are just some examples of how a person can benefit from hiring the right bankruptcy attorney. At JCH LAW FIRM, we are dedicated to our clients and have their best interest at hand. Call or Contact us today for assistance.
The post Don’t Need a Southern California Bankruptcy Attorney? Think Again! appeared first on JCH LAW FIRM.
I just ran across the website of a non-attorney business that said you don’t need a bankruptcy attorney for consumer cases, and that all consumer bankruptcy attorneys were basically overcharging for services that could be performed for a fraction of the price by non-attorneys. This type of blanket statement is just flat out scary because it’s wrong.
When I interned for the United States Trustee’s Office, I assisted with cases where the US Government pursued individuals and businesses that prepared bankruptcies illegally under the bankruptcy code in violation of 11 USC 110. Not only were individuals commonly overcharged in violation of both local rules of bankruptcy and the federal rules of bankruptcy, many of the cases were prepared improperly. And even worse, some of the issues in the bankruptcy filings were so serious, the debtors didn’t receive a discharge.
On top of that, anyone who is paid even a cent to assist you in preparing a bankruptcy must disclose the fact they assisted you. Many non-attorneys (and yes, even some attorneys) will take your money yet not disclose on the forms that they assisted you. Use your common sense to figure out why that is…
Here’s a few basic examples of why you might just want an bankruptcy attorney’s assistance:
1. I once had a client come in and tell me he needed chapter 13 because that’s what he was told by someone else. I told him chapter 13 fees were higher than chapter 7 in most cases . The client told me that wasn’t an issue because of his circumstances. Upon reviewing his case, I recommended chapter 7 because the client didn’t need to file chapter 13 which requires a repayment of debt. Our chapter 7 case was successful, and the client saved thousands of dollars not only in attorney’s fees, but also fees that he would have otherwise paid into a chapter 13 plan. Yes, the client could have filed a ch13 case with a petition preparer for $200.00. However, it is highly unlikely the case would have been confirmed under the proposed plan, and furthermore, the client would have had to repay money under the plan! Instead, he simply filed a chapter 7 and saved thousands by coming to me instead.
2. I once saved a bankruptcy client almost $100,000.00 through a Chapter 13 Bankruptcy case.
3. Most reputable attorneys actually appear with you at the 341 meeting of creditors. I regularly personally appear with my clients. Most other reputable attorneys appear personally or at least have a reputable attorney colleague appear on their behalf. Beware of petition preparers and even attorneys who won’t appear with you in Court.
4. An actual reputable bankruptcy attorney is trained to see problems that might arise in your case and tell you BEFORE the case if filed. The guys who don’t even disclose they assisted you with the bankruptcy documents could care less since they are violating bankruptcy law under 11 USC Section 110 by not disclosing that you paid them for assistance.
5. People who have car loans need to file reaffirmation agreements (See In Re Dumont 9th Circuit). I don’t charge my clients extra for this assistance and do it as part of my services. People who don’t hire the right attorney get charged EXTRA for this help. And those who go to a document preparer have to tough it out and figure it out on their own.
These are just some examples of how a person can benefit from hiring the right bankruptcy attorney. At JCH LAW FIRM, we are dedicated to our clients and have their best interest at hand. Call or Contact us today for assistance.
The post Don’t Need a Southern California Bankruptcy Attorney? Think Again! appeared first on JCH LAW FIRM.
Taxes were due prior to filing. They are discharged right?The answer is, it depends. Taxes and their dischargeability depend on the type of taxes, what tax year they are form, when they were filed, when they were assessed and whether they are now secured by any real estate.We will discuss the most typical type of taxes that Debtors want to discharge. That is state and/or federal income taxes. In order to taxes to be discharged they must meet the following criteria:
- Taxes must be for a year that is atleast 3 taxes years ago from prior the date the bankruptcy is filed; AND
- Example: The bankruptcy is filed on August 1 2013. The 3 tax years that were due at the time of filing are 2012, 2011 and 2010. This means that any debt owed for those years is not discharged. However, Tax years 2009 and prior can be discharged through the bankruptcy IF it meets the remaining criteria detailed below.
- Taxes must have actually been filed atleast 2 taxes years ago from prior the date the bankruptcy is filed; AND
- Example: The bankruptcy is again filed on August 1, 2013. The taxes that are owed are for 2008 meaning that they pass the test above in that they were filed more than 3 tax years ago as of the date the bankruptcy was filed. So now we look to when the taxes were actually filed. In our example we will say the taxes were actually filed on July 10, 2011. Given that July 10, 2011 is more than 2 years prior to the date the case was filed, the taxes are eligible to be discharged through bankruptcy IF it meets the remaining criteria detailed below.
- Taxes must have actually been filed atleast 180 days ago from prior the date the bankruptcy is filed; AND
- Example: Example: The bankruptcy is again filed on August 1, 2013. The taxes were for tax year 2008, they were actually filed July 10, 2011 and were assessed December 15, 2011. Given that they meet the criteria above and they were assessed more than 180 days prior to the date the bankruptcy was filed, the taxes are eligible to be discharged through bankruptcy IF it meets the remaining criteria detailed below.
- There must not already be a lien placed on your property, real estate or otherwise.
- Even if the taxes meet all the criteria above, if there is a lien against your real estate the debt cannot be discharged through a bankruptcy.
My car got repossessed. There is nothing I can do to get is back right?Wrong, depending on when you take action. You an often contact your creditor, make the payment to become current and they will return the vehicle. However, you probably do not have the money to become current or you would have paid it before it was repossessed. So now what?You can file a Chapter 13 bankruptcy, again depending on when you take action. If you contact our office prior to the car being repossessed we may be able to prevent repossession which will save you on repossession and storage fees. However, even if it has already been repossessed, the creditor must wait at least 10 days before they can sell the vehicle. So long as we file the Chapter 13 bankruptcy before the vehicle is sold, the creditor must return it to you given that you comply with certain requirements.In order to file the Chapter 13 bankruptcy we need:
- Most recently filed state and federal taxes
- 6 months of income history
- Credit counseling certificate
- Documentation of the creditor who did or is about to repossess the vehicle
- A completed questionnaire that we will provide to you (While it is ideal to have this completed prior to filing, depending on the time crunch, this can be completed the day after the bankruptcy is filed)
- Attorney’s fees and court costs (Fees should be discussed with the attorney as they vary by office and circumstance
Okay so the bankruptcy is filed. You are done and they have to give you the car back right? Not necessarily.Prior to returning the vehicle to you the creditor CAN, but does not always require:
- Storage/Repo fees to be paid. Occasionally the creditor will agree to roll these fees into the loan. While you are still eventually going to pay for it, it helps with not having to come up with the money immediately in order to have the vehicle returned.
- The creditor can request proof of insurance. Seems simple enough since you should have insurance on the vehicle anyways. However, rules allow the creditor to require proof of 3 months prepaid insurance with a minimum liability amount. This can pose a problem depending on how you pay for insurance. If you pay monthly you likely will have to come up with additional funds to prepay the 3 months.
By Mary Ann Pekara
The city of Detroit, Michigan filed for Chapter 9 bankruptcy protection in July and is now waiting until late October for a trial.
While there has been much controversy over the situation in Detroit, one thing is for certain, the people of Detroit have a lot to say about it.
On Thursday, taxpayers were front and center in the courtroom instead of the attorneys. Residents and retirees were given the opportunity to express their feelings on the Detroit bankruptcy situation to a judge, for 3 minutes each.
Judge Steven Rhodes listened to many residents who expressed strong concern about what would happen to their pensions in the city's bankruptcy.
Residents spoke to their reliance on pensions and the dedication they gave to the city for so many years, "promises made, promises broken."
FriendFinder Networks, owner of adult entertainment website and the popular magazine publication Penthouse, has filed for Chapter 11 bankruptcy. The company has been struggling to pull in new revenue in recent years, while having problems paying back outstanding loans and other debts. In August, the company was delisted from NASDAQ when their stock trade fell [...]
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