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There are plenty of ways to commit fraud when filing for bankruptcy. Aside from all the ethical reasons to avoid fraud, prison time may be the greatest reason to avoid bankruptcy fraud. Here is a recent article regarding the same:
Article on Bankruptcy Fraud
Adam Brown is a bankruptcy attorney for Dexter & Dexter, a debt relief agency helping people file for bankruptcy.
What is a Chapter 11 Single Asset Real Estate Bankruptcy Case? Well, first, these are commonly referred to as “SARE” cases.
A SARE case is one where there is a single piece of property or project, other than residential real property with fewer than 4 residential units, which generates substantially all of the gross income of the debtor. See 101(51B) of the US Bankruptcy Code. SARE cases allow mortgage holders to obtain relief from stay within just 90 days unless a feasible plan has been filed or the DIP has commenced monthly payments equivalent to interest to each secured creditor. 11 USC 362(d)(3).
SARE cases are needed when the property is not self sustaining. Usually, there is a cash flow issue, and/or foreclosure is on the horizon. It has been researched by bankruptcy experts that the most dominant factor in the success of “SARE” cases is that the value of the real property often determines the likelihood of success. It doesn’t have to do with the amount outstanding as much as the outcomes seemed to correlate with property value more than anything else. The higher the value the more likely the SARE cases will be successful.
So why consider a SARE bankruptcy? Obviously, SARE debtors want to keep the real estate in tact and performing and one way to do that is filing a SARE bankruptcy. Chapter 11 gives the property owner a chance to rehab the property or sell the property on its own terms, apart from foreclosure. Postpetition DIP financing is another objective that can be achieved in a SARE bankruptcy depending on the circumstances. Mortgage modification or a lender workout is also another viable solution.
There use to be a $4 million dollar cap on SARE cases, but that is no longer the case.
The key to SARE cases is fact specific. Outcomes of such cases will rely upon a multitude of factors. Because of the tight 90 day timeline, SARE debtors must react quickly. While SARE cases are difficult, they are not impossible to work out. Again, it will greatly depend on the facts of each case.
What is a Chapter 11 Single Asset Real Estate Bankruptcy Case? Well, first, these are commonly referred to as “SARE” cases.
A SARE case is one where there is a single piece of property or project, other than residential real property with fewer than 4 residential units, which generates substantially all of the gross income of the debtor. See 101(51B) of the US Bankruptcy Code. SARE cases allow mortgage holders to obtain relief from stay within just 90 days unless a feasible plan has been filed or the DIP has commenced monthly payments equivalent to interest to each secured creditor. 11 USC 362(d)(3).
SARE cases are needed when the property is not self sustaining. Usually, there is a cash flow issue, and/or foreclosure is on the horizon. It has been researched by bankruptcy experts that the most dominant factor in the success of “SARE” cases is that the value of the real property often determines the likelihood of success. It doesn’t have to do with the amount outstanding as much as the outcomes seemed to correlate with property value more than anything else. The higher the value the more likely the SARE cases will be successful.
So why consider a SARE bankruptcy? Obviously, SARE debtors want to keep the real estate in tact and performing and one way to do that is filing a SARE bankruptcy. Chapter 11 gives the property owner a chance to rehab the property or sell the property on its own terms, apart from foreclosure. Postpetition DIP financing is another objective that can be achieved in a SARE bankruptcy depending on the circumstances. Mortgage modification or a lender workout is also another viable solution.
There use to be a $4 million dollar cap on SARE cases, but that is no longer the case.
The key to SARE cases is fact specific. Outcomes of such cases will rely upon a multitude of factors. Because of the tight 90 day timeline, SARE debtors must react quickly. While SARE cases are difficult, they are not impossible to work out. Again, it will greatly depend on the facts of each case.
What is a Chapter 11 Single Asset Real Estate Bankruptcy Case? Well, first, these are commonly referred to as “SARE” cases.
A SARE case is one where there is a single piece of property or project, other than residential real property with fewer than 4 residential units, which generates substantially all of the gross income of the debtor. See 101(51B) of the US Bankruptcy Code. SARE cases allow mortgage holders to obtain relief from stay within just 90 days unless a feasible plan has been filed or the DIP has commenced monthly payments equivalent to interest to each secured creditor. 11 USC 362(d)(3).
SARE cases are needed when the property is not self sustaining. Usually, there is a cash flow issue, and/or foreclosure is on the horizon. It has been researched by bankruptcy experts that the most dominant factor in the success of “SARE” cases is that the value of the real property often determines the likelihood of success. It doesn’t have to do with the amount outstanding as much as the outcomes seemed to correlate with property value more than anything else. The higher the value the more likely the SARE cases will be successful.
So why consider a SARE bankruptcy? Obviously, SARE debtors want to keep the real estate in tact and performing and one way to do that is filing a SARE bankruptcy. Chapter 11 gives the property owner a chance to rehab the property or sell the property on its own terms, apart from foreclosure. Postpetition DIP financing is another objective that can be achieved in a SARE bankruptcy depending on the circumstances. Mortgage modification or a lender workout is also another viable solution.
There use to be a $4 million dollar cap on SARE cases, but that is no longer the case.
The key to SARE cases is fact specific. Outcomes of such cases will rely upon a multitude of factors. Because of the tight 90 day timeline, SARE debtors must react quickly. While SARE cases are difficult, they are not impossible to work out. Again, it will greatly depend on the facts of each case.
The post Do Single Asset Real Estate Chapter 11 Bankruptcies Really Work? appeared first on JCH LAW FIRM.
What is a Chapter 11 Single Asset Real Estate Bankruptcy Case? Well, first, these are commonly referred to as “SARE” cases.
A SARE case is one where there is a single piece of property or project, other than residential real property with fewer than 4 residential units, which generates substantially all of the gross income of the debtor. See 101(51B) of the US Bankruptcy Code. SARE cases allow mortgage holders to obtain relief from stay within just 90 days unless a feasible plan has been filed or the DIP has commenced monthly payments equivalent to interest to each secured creditor. 11 USC 362(d)(3).
SARE cases are needed when the property is not self sustaining. Usually, there is a cash flow issue, and/or foreclosure is on the horizon. It has been researched by bankruptcy experts that the most dominant factor in the success of “SARE” cases is that the value of the real property often determines the likelihood of success. It doesn’t have to do with the amount outstanding as much as the outcomes seemed to correlate with property value more than anything else. The higher the value the more likely the SARE cases will be successful.
So why consider a SARE bankruptcy? Obviously, SARE debtors want to keep the real estate in tact and performing and one way to do that is filing a SARE bankruptcy. Chapter 11 gives the property owner a chance to rehab the property or sell the property on its own terms, apart from foreclosure. Postpetition DIP financing is another objective that can be achieved in a SARE bankruptcy depending on the circumstances. Mortgage modification or a lender workout is also another viable solution.
There use to be a $4 million dollar cap on SARE cases, but that is no longer the case.
The key to SARE cases is fact specific. Outcomes of such cases will rely upon a multitude of factors. Because of the tight 90 day timeline, SARE debtors must react quickly. While SARE cases are difficult, they are not impossible to work out. Again, it will greatly depend on the facts of each case.
The post Do Single Asset Real Estate Chapter 11 Bankruptcies Really Work? appeared first on JCH LAW FIRM.
This is the case of William Forte, who comes to see me from Great Lakes, Illinois which is Lake County, Illinois regarding a Chapter 7 bankruptcy petition. He did file a bankruptcy back in 1999 under Chapter 7. It’s been over eight years so he is eligible to file again. He does not own a+ Read MoreThe post The Case Tilts Toward A Chapter 7 Bankruptcy Filing appeared first on David M. Siegel.
Whether you plan to file bankruptcy in the near future or it is something you are considering, one aspect to help you understand your financial situation includes reviewing outstanding debts owed. Many consumers have a good idea of which creditors they owe, but sometimes things can become questionable when a debt collector contacts you out [...]
Many Salem, Wisconsin residents have been victims of the deflating economy. You are not alone. If you are buried under a pile of debt due to medical bills, job loss, job demotion, or pay cuts, a Salem, Wisconsin Chapter 7 Bankruptcy filing may be right for you. Chapter 7 Bankruptcy allows you to gain a fresh start and stop collection actions immediately upon filing. A Chapter 7 Bankruptcy attorney can help you get your life back. But How?
What exactly will a Salem, Wisconsin Chapter 7 Bankruptcy attorney do for you?
First, our bankruptcy attorney will determine if you qualify for Chapter 7 Bankruptcy filing. Your financial situation will be analyzed. Both you and our Salem, Wisconsin Chapter 7 Bankruptcy attorney will determine if this is the right course of action for you based upon your current situation. There are other forms of bankruptcy available as a course of action. Our bankruptcy attorney will discuss all options with you, including possible non-bankruptcy alternatives.
Next, our bankruptcy attorney will advise of you of preparatory steps needed to be taken as part of the Chapter 7 Bankruptcy filing. These steps may include bankruptcy forms, budget analysis, credit counseling, and more.
Once you have provided our Salem, Wisconsin Chapter 7 Bankruptcy attorney with all necessary information to proceed with the filing, our bankruptcy attorney will prepare petitions and forms for filing with the bankruptcy court. Our bankruptcy attorney will also assist with helping you maximize your chances of a successful Chapter 7 Bankruptcy filing and your chances of successfully maintaining any assets.
After your Salem, Wisconsin Chapter 7 Bankruptcy petition and accompanying paperwork are filed with the bankruptcy court, notifications of your Chapter 7 Bankruptcy filing will be sent to all your creditors with instruction to stop all collection activities. All collection calls and letters to your phone and home should cease. If any creditor meetings are required, our bankruptcy attorney will appear at such meetings or hearings with you.
As you can see, the role of your Salem, Wisconsin Chapter 7 Bankruptcy attorney is substantial. Our job is to know the bankruptcy laws and advise you on the best course of action depending on your financial situation. We will stand with you throughout the bankruptcy process and alleviate any stress or worries you may have. We are Salem, Wisconsin Chapter 7 Bankruptcy experts and it’s our job to help carry you through these rough times. To determine if you qualify for a Chapter 7 Bankruptcy, please contact us at 262-725-0175 or send us an email via our bankruptcy contact page.
*The content and material on this web page is for informational purposes only and does not constitute legal advice.
A California man who pleaded guilty earlier this year to fraudulently concealing assets in his bankruptcy case was sentenced to six months in federal prison. Mark Hagen, resident of La Jolla, admitted he lied to the bankruptcy court about his assets when he filed for protection in 2008. He failed to be honest about thousands [...]
Federal investors found that National City Bank systematically charged black and Hispanic borrowers more in interest and fees on mortgages from 2002 through 2008. This resulted in statistically significant discriminatory pricing disparities based on race and national origin, and caused more than 41,000 Hispanic borrowers and more than 34,000 African-American borrowers to overpay, authorities said. National City, now PNC Financial Services Group, will pay $35 million to make up for this discriminatory lending practice.
A two-year Consumer Financial Protection Bureau probe of Cleveland-based National City’s lending portfolio, revealed Monday, found that the bank charged around 0.1 percentage point more on loans to 75,000 black and Hispanic borrowers. That added an average of $160 per year to payments. Law suit: Consumer Financial Protection Bureau et al v. National City Bank, U.S. District Court, Western District of Pennsylvania.
“This settlement will provide deserved relief to thousands of African-American and Hispanic borrowers who suffered discrimination at the hands of National City Bank,” said Attorney General Eric Holder. “As alleged, the bank charged borrowers higher rates not based on their creditworthiness, but based on their race and national origin. This alleged conduct resulted in increased loan prices for minority borrowers. This case marks the Justice Department’s latest step to protect Americans from discriminatory lending practices, and shows we will always fight to hold accountable those who take advantage of consumers for financial gain.”
“With today’s settlement, thousands of African-American and Hispanic borrowers who were discriminated against by National City Bank will be entitled to compensation,” said Acting Assistant Attorney General Jocelyn Samuels for the Justice Department’s Civil Rights Division. “We look forward to further collaboration with the Bureau in protecting consumers from illegal and discriminatory lending practices.”
The post National City Discriminatory Loans Costs $35 M appeared first on Diane L. Drain - Phoenix Bankruptcy & Foreclosure Attorney.
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