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Divorce and bankruptcy commonly go hand in hand. Many people wonder if one should be done before the other. While divorce is a common reason why people file bankruptcy, there are a few areas to review that may help you determine which one to do first and how to do it efficiently to help ease [...]
Miami Personal Bankruptcy Lawyer Jordan E. Bublick has over 25 years of experience in filing Chapter 13 and Chapter 7 bankruptcy cases. His office is centrally located in Miami at 1221 Brickell Avenue, 9th Fl., Miami and may be reached at (305) 891-4055. www.bublicklaw.com
Quality Engineered Installation, Inc. v. Higley S., Inc., 670 So.2d 929 (Fla. 1996) resolved a conflict among the Florida District Courts of Appeal and held that an award of prejudgment interest merges into and becomes part of a single total sum adjudged to be due and owing and as such the amount awarded for prejudgment interest, like all other components of the judgment, automatically bears interest as provided by section 55.03, Florida Statutes. The Florida Third District Court of Appeals, in Westport Recovery Corp. vs. Batista, 32 Fla.L.Weekly D2173 (Fla. 3rd. DCA 2007) applied the Quality Engineered decision and held that a writ of execution on a judgment had not been fully paid as the Sheriff had not collected postjudgment interest due on the awarded prejudgment interest. The Third District Court of Appeal also held that the Quality Engineered decision applies retroactively.Jordan E. Bublick is a Miami Personal Bankruptcy Lawyer with over 25 years of experience in filing chapter 13 and chapter 7 bankruptcies. Miami Personal Bankruptcy Lawyer Jordan E. Bublick has filed over 8,000 chapter 13 and chapter 7 cases.
If your federal student loan is in default, there are ways to get things back on track.
A defaulted federal student loan can leave you open to collection activities, not to mention that it can seriously impact your credit score.
Luckily, the federal government gives you some very good options for rehabilitating your student loans and getting your life back on track.
Here are the two major ways of rehabilitating.
Federal Student Loan Rehabilitation
You can rehabilitate your federal student loans by making 9 consecutive monthly payments over a 10 month period of time.
Your payment amount will be what is considered, “reasonable and affordable,” but that figure is largely up to your negotiations with the collection agency handling your federal student loan account. We’ve been successful in getting some excellent deals for our clients, but I’ve heard about lots of people who go it alone and end up with payments that are too high.
Once you’ve finished making your monthly payments, your loan will be considered in good standing.
Direct Loan Consolidation
You may also decide to consolidate your federal student loans as a way to rehabilitate them. You can do so if you agree to repay the loans under either the Income Contingent or Income Based Repayment Plan, OR make satisfactory repayment arrangements with the current loan holder.
Which Is Better, Rehabilitation Or Consolidation?
Both rehabilitation and consolidation will yield the same end result – a loan in good standing.
That said, there are benefits and drawbacks to going either way.
Credit Report Issue: If you consolidate a defaulted federal student loan, your credit report will show that the loan was in default before being paid in full. If you rehabilitate, however, the negative notation will be removed once you make your final rehabilitation payment.
Timing: Rehabilitation requires that you make at least nine (9) full payments of an agreed amount within twenty (20) days of their monthly due dates over a ten (10) month period. Consolidation, on the other hand, takes about 30-60 days to complete.
Which is more important to you, the speed of the process or the hit on your credit report? Best to sit down and figure it out together.
Every year there seems to be more cases of people concealing details about their assets in bankruptcy. Too many people are under the impression they will lose what they have to creditors when they file, and feel the need to hide it in order to protect it. Such actions are considered unlawful and you can [...]
Bringing you the most up-to-date news, tips and blogs throughout the web. Here’s your Bankruptcy Update for September 24, 2013 Four years after bankruptcy, Chrysler files for IPO Atari’s Bankruptcy Plan Leaves Most Lenders Out of Credits Detroit’s bankruptcy may make it more difficult for other cities to borrow
A bankruptcy trustee helps administer the case while it proceeds through the court process. The trustee is actually a part of a U.S. Trustee program developed through the Bankruptcy Reform Act of 1978 under the Department of Justice through the Attorney General. Depending on which chapter is filed, the role of the trustee varies. In [...]
If one or more of the below circumstances is true for you, it may be time to talk to a professional about the best option for you to resolve your debts. You owe it to yourself to explore your options for a better financial future. We offer free consultations to discuss Chapter 13 debt consolidation, [...]The post 11 Signs That You May Need to Consider Filing Bankruptcy in Michigan appeared first on Acclaim Legal Services, PLLC.
If the private student loan lender waits too long to sue you, it could be out of luck. But how long is too long?
Private student loans are no different than any other loan given by a bank. They aren’t covered by the federal laws regarding student loans and are afforded no extra protections.
So let’s be clear:
A private student loan is no different than a regular loan. Period.
That means there’s a limited amount of time during which the lender can sue you for nonpayment. This statute of limitations may make the difference between payment and getting off free and clear.
Here’s the rule on statute of limitations for people who live in California.
Four Years From The Date Of Accrual
Under California Code of Civil Procedure Section 337 (1) spells out the basic statute of limitations for contracts. It sats that an action upon any contract, obligation or liability founded upon an instrument in writing must be brought within four (4) years of the date on which the claim accrues.
The claim accrues when the contract for payment is breached – in other words, once the first payment is not made under the contract.
So … they have a four year statute of limitations. Right?
Maybe.
Make That Six Years
California Commercial Code Section 3118(a) provides a different statute of limitations for promissory notes. This law states:
an action to enforce the obligation of a party to pay a note payable at a definite time shall be commenced within six years after the due date or dates stated in the note or, if a due date is accelerated, within six years after the accelerated due date.
This may be a problem, and not only because the private student loan lender gets an additional four years to sue you for nonpayment.
If you read the law carefully, it says that the lender gets a statute of limitations of six years from the due date or dates stated in the note.
That means each month represents a new beginning to the six year clock. If you’ve got a 30 year Note, theoretically the lender may be able to sue you for 36 years (for at least the last payment due, that is).
The saving grace, however, is in the acceleration portion of the law. If the private student loan lender calls the entire debt due, they get six years from that date as the applicable statute of limitations.
Do You Use The California Statute of Limitations?
When you sign the promissory note for the private student loan, it may state that a different state’s statute of limitations applies to disputes.
If you’re in California, that’s good news.
California courts will apply another state’s statute of limitations only if it is shorter than the one being applied under California law.
For example, Idaho apparently has a statute of limitations of five years on promissory notes – this is in contrast to California’s six year time limitation. If your private student loan says that Idaho law applies, then your lender gives up one year.
If You’re Sued, A Phone Call Gives Peace Of Mind
You don’t want to get sued for a private student loan and make a decision based on false information.
Maybe the debt’s not enforceable anymore.
Maybe the amount being claimed is incorrect.
Maybe you’re being sued by an entity that doesn’t have the legal right to collect.
The lawsuit is probably for a large enough amount of money that it makes sense to talk with a lawyer. After all, you could end up spending a lot of money on a settlement that is completely unnecessary.
How Long Can You Be Sued On A Private Student Loan In California? was originally published on Consumer Help Central. If you're seeing this message on another site, it has been stolen and is being used without permission. That's illegal, a violation of copyright, and just plain awful.
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Most folks I meet want to file a Chapter 7 Bankruptcy. Many do not know what it means, but they have had friends file a Chapter 7 Bankruptcy and keep everything they own. Therefore, they want to file bankruptcy the same way. Filing a Chapter 7 bankruptcy requires navigating through a couple of obstacles. The first is a means test. Second, is having qualified exemptions.
A Means Test You Say?
Most individual debtors filing for bankruptcy relief are required to complete a Statement of Current Monthly Income and calculations. Around the water cooler, we call this requirement “means testing”.
A debtor must enter income and expense information onto the appropriate form and then make calculations using the information entered. Some of the information needed to complete these forms, such as a debtor's current monthly income, comes from the debtor's own personal records. However, other information needed to complete the forms comes from the IRS.
After inputting this information we come up with a family's income. A family qualifies for a chapter 7 bankruptcy if they make less than the following: Single person: $48,415; couple: $63,030; three people $67,401; four people: $75,656.
If you make more than this amount, a chapter 13 bankruptcy might be the best fit, which is called the repayment bankruptcy option.
Exemptions You Say?
Chapter 7 is a liquidating bankruptcy. This means all non exempt property is sold by the trustee and disbursed to your creditors.
The good news is that most assets are protected. Homes, cars, tools of the trade, guns, household furnitre are protected to a certain degree. The point is to provide a fresh start. That means you will likely be able to exempt the Honda Accord, but have to surrender the Tesla. There are also exemptions for cars, retirement accounts, wedding rings, household goods, etc.
Ken Jorgensen, California Attorneywww.fresnobankruptcylawgroup.com
Photo Credit: http://www.flickr.com/photos/soldiersmediacenter/
Chapter 13 bankruptcy is a repayment approved by the bankruptcy court based on your income. While student loans are almost impossible to get discharged in bankruptcy, you can use the filing to help you reduce the amount you pay or you can delay making payments during the Chapter 13 repayment period. Students loans can be [...]
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