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I’m Northern Virginia Bankruptcy Lawyer Robert Weed. For nearly twenty years, I’ve served people in Herndon from my office in Sterling, VA. Herndon bankruptcy rate–one family of every ten since 2007 Herndon is located in western Fairfax County. Fairfax is the third highest income county in America, (Loudoun is first) and Herndon has higher income […]The post Herndon Bankruptcy Lawyer Information appeared first on Robert Weed.
Debtors may wonder if they can keep their vehicle in a Chapter 7 bankruptcy case if they are still making payments on it. Others may wonder what can happen if they have been unable to make payments but they still want to retain the vehicle. Even though there are two options a debtor may have [...]
The unfortunate answer to this question is yes they can. Oregon case law permits bank’s the right of set off which enables them to take money out of your account to pay back any money you owe to them as long as you have signed an agreement giving them that right. If you signed such an agreement, it probably wasn’t when you set up the actual account but when you signed up for the credit card or took out the loan.
The sad fact is that most Oregonians don’t find out about the set offs until after the bank has taken their social security check. For safety’s sake the best thing anyone can do is use a different lending institution than the one that you owe money to as your primary bank. For example, if your car loan or credit card are through Wells Fargo and the checking account where you social security checks deposited is also located at Wells Fargo, maybe it’s time to start having the checks automatically deposited at a bank where you have no credit relationship.
If you are contemplating filing bankruptcy, you may want to seriously consider setting up a bank account at a bank or credit union where you have no credit relationship. Though few banks currently offset at the time of a bankruptcy filing their numbers are increasing so why take any chances?
The original post is titled Can an Oregon bank really take my social security or SSI Checks After I Deposit Them?! , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
Low income debtors, particularly seniors and the disabled, across the state of Oregon are often concerned about a collectors’ ability to garnish of levy their social security or SSI benefits. Thankfully, the answer is almost alays a resounding; however, as with all things, there are exceptions to this rule. These exceptions are as follows:
- Up to fifteen percent of your social security checks, but not your SSI, can be taken every year to repay federal taxes;
- Any amount over $750 per month can be garnished from your social security checks, but not your SSI, to collect federal debts other than taxes;
- If you have a current Oregon support order, the monthly amounts can be taken out of your social security checks, but not your SSI checks;
- If you have back owed child support an additional twenty percent can be taken out of your social security, but not SSI. If you only owe back child support, the total amount taken out can never be more than half of your social security, unless a court orders otherwise.
The reality is that in Oregon a Chapter 13 bankruptcy will put an end to garnishments for back owed support.The back owed support will be paid but at zero percent interest over a long period of time and only after secured obligations such as needed vehicle payments and mortgage arrears are taken care of.
If you are wondering about how Chapter 13 might help you keep more of your Social Security dollars on a monthly basis, please contact us or set up an appointment online at one of our Oregon offices in either Portland or Salem. I look forward to hearing from you.
The original post is titled Protecting Social Security and SSI In and Outside an Oregon Chapter 13 Bankruptcy , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
Bringing you the most up-to-date news, tips and blogs throughout the web. Here’s your Bankruptcy Update for February 06, 2014 J.C. Penney Company, Inc. Is 1 Step Closer to Bankruptcy BottleRock Music Festival Backer Files for Bankruptcy Buffet Partners files for Ch. 11 bankruptcy
Nicole Eggert, 42, former star of the television show “Baywatch” files bankruptcy with this filing being her third attempt in one year. Eggert filed a Chapter 13 bankruptcy petition to restructure financial obligations and catch up on mortgage payments to prevent foreclosure of her home. She filed bankruptcy twice in the last year with both [...]
You get what you pay for.
When individuals face financial distress they often seek advice first from family members and friends. What this can often lead to is a lot of “my friend said” and “back when I went through it” type advice. While this advice can be comforting to the individual in distress, it can often lead to poor decision making. No two cases are the same. The fact that your friend did or got away with something doesn’t mean that it is what is in your best interest. Some of the most common mistakes that I see in my office are listed below:
Transfers: Often times individuals will come into my office after having recently transferred a number of assets out of their name. This usually results from a friend telling them that they will lose their care or their home when they file. The individual looking to save their assets transfers their vehicle to their child or transfers their home to their parents. They are not trying to cheat the system, they are just trying to hold on to what little they have. The problem is, any transfer that occurs within 6 years of filing bankruptcy that was not made for value can be unwound by the bankruptcy trustee. This means that while the client may have been able to protect their vehicle, home or other asset using bankruptcy exemptions, now that the transfer was made the item may be lost to the bankruptcy estate.
Cash Out Retirement: It breaks my heart when I hear this story “my friend told me I couldn’t keep my retirement if I filed, so I cashed it out and used it to pay down my debt.” Your friend was wrong. Pensions, 401ks, IRAs, 403bs and other retirement accounts are typically protected under bankruptcy laws. Individuals can keep these assets and do not need to worry about losing them once they file. However, once the money is gone it is gone. The idea that individuals would lose their entire retirement savings and still need to file bankruptcy is truly disheartening. Furthermore, cashing out these retirement accounts often leads to tax liabilities that survive the bankruptcy filing. Individuals should never touch their retirement accounts to repay past debt until they have first consulted a bankruptcy attorney.
Remove Name From Bank Account: A bank account is an asset. Removing your name from a bank account is considered a transfer. Even if the money in the account never truly belonged to you, a bankruptcy trustee can claim that by removing your name from the account you transferred your interest in the money to the co-owner of the account. This is problematic for the reasons stated above under transfers.
Repay family members: Many individuals who file for bankruptcy have spent the last few years struggling to avoid it. During this time they often find themselves borrowing money from family members or friends. When the time finally comes to file many individuals rush to repay their family members to that they don’t have to “include them in the bankruptcy.” However, under the current bankruptcy laws these payments are considered to be “preferential” in nature. Preferential payments made within one year of filing bankruptcy can be voided by the trustee and recovered to distribute to your other creditors. This often means that your family member will face a lawsuit if they do not immediately pay the funds over to the trustee. However, if the individual had simply waited until after the bankruptcy was filed, they would have a right to repay their family members without threat of legal action.
Before taking any action, individuals facing financial distress should contact a qualified bankruptcy attorney. To get your free initial consultation you can contact our office at (248) 629-6367.
Second Chance Legal Services is a bankruptcy law firm located in Madison Heights, MI. While we are located in Oakland County, we service Wayne, Oakland and Macomb County residents. As Detroit Bankruptcy Attorneys we specialize in helping individuals escape their burden of debt in order to get a fresh start on their bright future.
Because of our small size our clients get individual attention. You will have the same bankruptcy attorney throughout your case whether you are in a Chapter 7 Bankruptcy or a Chapter 13 Bankruptcy. Your attorney will help guide you through the bankruptcy process in order to help you get a successful discharge of your debt.
It is important to note that Macomb County Bankruptcy Attorneys, Oakland County Bankruptcy Attorneys and Wayne County Bankruptcy Attorneys all deal with the same judges and trustees. This is because all Michigan Bankruptcies are filed with the federal bankruptcy court in Detroit, MI. For this reason, it is important that you choose an attorney not by location but rather by how comfortable you feel with them when you meet. If you don’t feel comfortable with their knowledge, their experience or their demeanor you should seek out an attorney that you do feel comfortable with.
If you are interested in speaking with a Detroit bankruptcy attorney from Second Chance Legal Services, please contact our office at 248-629-6367 for a free initial consultation.
The Percentage Will Depend Many clients want to know what percentage is going to get paid back to creditors if they file chapter 13 bankruptcy. The answer to this question depends on a number of different factors. First, the debtor’s income is factored into the equation right from the start. Second, we have to take+ Read MoreThe post What Percentage Gets Paid Back In A Chapter 13 Bankruptcy? appeared first on David M. Siegel.
A Chapter 7 bankruptcy case can take can take anywhere from 3 to 4 months if someone moves very quickly. Allow me to explain. Chapter 7 involves the filing of a bankruptcy petition. The bankruptcy petition has to be prepared, signed by the client; the client must then take credit counseling and provide the most+ Read MoreThe post How long does a Chapter 7 bankruptcy case take? appeared first on David M. Siegel.
You never want to put all your eggs in one basket, but for many Oregonians behind on their mortgages, it sometimes feels like they don’t have any choice. Do they put all my effort into modifying their mortgages, or do they file Chapter 13 bankruptcy to stop the lender from either initiating or completing the foreclosure process and then try to modify the mortgage later once they are safely under the protection of the bankruptcy court?
For Oregonians who are already in default, it’s obviously risky to assume that the mortgage modifications are going to go through prior to foreclosure. Sadly, it often seems like the lenders hold out the carrot of modification up to the date the property is sold off on the courthouse steps. With this in mind, let’s consider a couple of the risk factors associated with modification that argue for taking an aggressive approach with respect to seeking bankruptcy relief.
First, if you have already been denied for an application and there really hasn’t been much of a change in your financial circumstances, it’s probably time to consider options outside of modification. Sometimes the filing Chapter 13 provides the change of circumstances that you will need to ultimately modify the mortgage. Sometimes lenders faced with the prospect of being repaid mortgage arrears at zero percent interest over three to five years become a bit more reasonable about granting modifications.
Second, if you have equity in an Oregon property, you will probably have less of a chance of modifying your mortgage than if you were upside down. Kind of counterintuitive, but if you think about it, the real incentive for lenders to modify is to not lose money. If you have equity in your home, the lender gets it’s money back in the foreclosure so it does not have as much incentive to modify. If, however, you are completely upside down in your mortgage, your lender has every incentive to modify. After all it will take a loss in the foreclosure and likely a pretty massive one once its legal and servicing costs are added to the total. The lender on the cusp of taking a real loss is going to be much more amenable to giving Oregon borrowers a second chance.
One important thing to remember is that in Oregon a Chapter 13 Plan can often be approved that gives you six months to work out a modification with your lender. This may represent the best of both worlds. First, you stop the unnecessary fees, interest and costs from being added to the total by filing the Chapter 13 case. Second, you cut off your lender from initiating or completing a foreclosure. Third, you give yourself six months to work something out with a lender before you become obligated to pay back the arrears over three to five years. Finally, you put yourself in a different and arguably superior class of modification candidates
The original post is titled To Modify a Mortgage, File Chapter 13 Bankruptcy or Both in Oregon , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
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