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Under both the Fair Debt Collection Practices Act as well as the state consumer laws of Washington and Oregon, a collector may contact certain 3rd parties in connection with a consumer’s debt. A collector may contact a consumer’s attorney, the original creditor and its employees and legal counsel, the consumer’s spouse or guardian, a co-debtor and the consumer’s parent if the debtor happens to be a minor.
It’s a pretty short list and if a collector is contacting someone you know who isn’t on this list, a violation of the Fair Debt Collection Practices Act has likely already occurred.
The original post is titled , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .
When you file for bankruptcy, your creditors are notified so they can stop collection activities. Using the official bankruptcy notice addresses protects you from further harassment.
You’re required to list all debts on your bankruptcy schedules – no exceptions.
Once notified of a bankruptcy filing, creditors must stop collection activities.
Most banks and credit card companies have multiple addresses.
How can you figure out which one is the correct address to use on your bankruptcy schedules?
Official Bankruptcy Notice Addresses
The bankruptcy laws allow creditors to choose a preferred address for receiving bankruptcy notices.This may be a single preferred address for cases in every bankruptcy court in the country or different addresses for cases in specific bankruptcy courts.
If a creditor has chosen a designated address, you can list that creditor with the designated address or the one listed on the last received two pieces of correspondence from the creditor during the 90 days leading up to the bankruptcy filing.
How To Find The Official Bankruptcy Notice Address
If you owe money to, say, Citibank, there’s a good chance that the correspondence address differs from the billing address. Disputes go one place, account inquiries elsewhere.
You’ve got a few ways to find the official bankruptcy notice address. They are:
- read the statements to see if there’s a specified address listed;
- call customer service and ask;
- search Google for the name of the creditor and “official bankruptcy notice”;
- order a credit report that contains the notice address; or
- let your lawyer handle it.
I can’t speak for any other lawyer, but we handle it for our clients. It’s part of what we do – even if you come to us with a list of addresses, we double-check to make triple sure.
If You Don’t Use the Correct Address
If the creditor isn’t notified of your bankruptcy in the proper way and at the correct address, they aren’t considered to have actual notice of your bankruptcy case.
That means if the creditor keeps sending you bills or calling you about the debt, they can’t be held liable for a violation of the automatic stay. You can’t sue them, you can’t collect money damages, and they can keep up the collection efforts without consequences.
Avoidable Problems
Part of the goal of filing for bankruptcy is to make sure your creditors stop bothering you. By using the proper official bankruptcy notice addresses you can maximize the chances of that happening.
Image credit: AndrewGorden
Why Official Bankruptcy Notice Addresses Are Important (And How To Find Them) 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.
When people are in financial distress they feel that they cannot afford a “high priced attorney” to help them get a fresh start. Unfortunately this leads many Debtors to seek out the help of the cheapest attorney they can find. They call around and inquire about price and book an appointment with the attorney who promises them the lowest fees. However, bankruptcy is a specialized field that requires an attorney who understands all aspects of the bankruptcy forms, practice and pitfalls. Individuals who charge cut rate fees generally fall into one of two categories. They tend to be either general practitioners who have an “experienced paralegal” running their bankruptcy preparation or attorneys newer to bankruptcy who believe that lower fees will help them break into the market. Because of this, the attorney cannot afford to spend the time learning every aspect of their bankruptcy practice. Additionally, they cannot spend enough time on each individual case to ensure that the client is fully protected.
The reason that this is such a huge danger to Debtors is that the bankruptcy code is full of pitfalls that are not always readily understandable by individuals in financial distress. Newer attorneys and general practitioners generally do not understand that every question on the bankruptcy forms is being asked for a reason. Every issue that comes up as a result of those questions needs to be addressed prior to filing to help ensure that the Debtor receives the best possible results.
To give an example, the other day I was down in court. A new attorney at a “mill firm” had taken a case with a client who paid them $750.00 for their case. The client had taken out a loan from a credit union for $3,000.00 within 30 days of filing. Because the attorney did not understand that this was going to be an issue, the client was asked by the credit union to reaffirm the debt and pay it after the bankruptcy was complete. If the client refused, the credit union would file an adversary case against the debtor and the debt would be found to be non-dischargeable. Had the attorney caught this issue prior to filing the case, the Debtor could have been advised to wait until 90 days had passed from the date of the loan. By waiting just 3 months from the date of the loan, the entire debt would have been discharged. This means that the $750.00 fee that the attorney had charged had really cost the client $3,750.00. A good bankruptcy attorney with a deep insight into bankruptcy laws could have been hired for far less and the client could have received a better result.
The next day I observed another case of malpractice. An attorney at court had filed a case in which their client’s retirement had been rolled over into an annuity by their employer. The attorney did not take the time to research the annuity to ensure that it could be protected under the current bankruptcy exemptions. Because of this mistake, the attorney was unsure whether the Chapter 7 Trustee would liquidate the account. The attorney had been paid $800.00 for the case, but the client was at risk of losing an additional $25,000.00 due to the attorney’s incompetence.
Finally, while I was in the hearing room waiting for my case to be called I overheard a Trustee asking a Debtor about $8,000.00 that the Debtor had deposited into her adult daughter’s account. The mother was using the daughter’s account to store the money so that creditors could not get to it. The problem. the trustee is likely to argue that the deposit into the daughter’s account was a fraudulent transfer to an insider and will seek to disgorge the entire $8,000.00. If the Trustee is successful, the client will have paid not only the $750.00 that the attorney charged her, but also the $8,000.00 that she transferred to her daughter.
The bottom line is that a qualified bankruptcy attorney may cost a little more on the front end of the case, but is likely to avoid pitfalls that will cost you far more in lost assets and headaches at the back end of the case.
When you find yourself overwhelmed with debt and you decide enough is enough, you are ready to file for bankruptcy. There are a number of bankruptcy lawyers who are qualified to help you get the relief you are seeking. But, of course then comes the important task of choosing who you want to establish a [...]
There are a million places to get your credit report. Let’s make it free and easy, shall we?
You know you need to check your credit report regularly so you hit the Internet in search of a site.
You can pay for the report or get it for free. But figuring out which site to use can drive you nuts.
In fact, a Google search for “free credit report” returns over 630 million results.
Here’s where to get your credit report quickly and easily.
Getting A Free Credit Report
If you’re in line for a free credit report, you can go to each of the nationwide consumer reporting companies (Equifax, Experian, and TransUnion) and get your credit report at no charge.
That’s like driving 35 on the freeway. It will get you there, but not quickly or easily.
To order your free annual credit report just take one of these three simple steps:
- Log on to www.annualcreditreport.com
- Call 1-877-322-8228, or
- Complete the Annual Credit Report Request Form and mail it to: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281.
In order to get your free annual credit report you will need to provide:
- your name
- your address
- Social Security number
- date of birth
- all previous addresses within the past two years
The website I listed is the only official one maintained by the three major credit reporting agencies under the federal credit reporting laws. Any other site claiming to offer you a free credit report should be viewed skeptically.
Paid Credit Reports
If you can’t get your credit report at no cost, you’re going to need to pony up and pay some money. A consumer reporting company is allowed to charge you up to $10.50 for a copy of your report. This doesn’t count any additional charges such as credit scores, which can cost more.
To pay for a copy of your credit report, you can go to any of the following places:
- Experian: www.experian.com
- TransUnion: www.transunion.com
- Equifax: www.equifax.com
Which Credit Report Better, Free Or Paid?
There is no difference between a credit report from one of the above paid sites as opposed to one received from the free repository.
The free credit report site is maintained by the same companies that will sell you a report.
If you can get the free one, do it. And if you can’t, then you’ll need to pay.
How To Easily And Quickly Get Your Credit Report Without Being Ripped Off 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.
Bringing you the most up-to-date news, tips and blogs throughout the web. Here’s your Bankruptcy Update for June 06, 2013 A County in Alabama Strikes a Bankruptcy Deal Alton’s SWI Energy files Chapter 11 bankruptcy Dance New Amsterdam files for bankruptcy
Even if you file your taxes late you can still file bankruptcy. When you begin the filing process you are required to provide documentation about your finances, debt, and monthly income. Your tax returns are necessary for a matter of reasons. Tax returns, including federal and state tax information, should be accurate for verification purposes. [...]
By John Clark
Jefferson County, Alabama, the largest municipality to file for bankruptcy in American history, may be able to leave bankruptcy court soon, according to a report from the Wall Street Journal.
Sources indicate that J.P. Morgan Chase, the county’s biggest creditor, has tentatively agreed to a debt reduction deal that would save the county hundreds of millions of dollars.
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Jefferson County Inches Closer to Bankruptcy Exit
Sources say Jefferson County, which made a series of poor investment decisions in an effort to upgrade its aging sewer system, may soon be able to regain its financial footing, thanks to some timely debt relief in bankruptcy court.
According to reports, the county has agreed in principle to a deal with its creditors, who are collectively owed roughly $3 billion in debt, most of which is tied to the municipality’s crippled sewer system.
The proposed bankruptcy plan would allow Jefferson County to unload $1.2 billion worth of debt. In addition, a group of hedge funds and private equity firms have agreed to help refinance the rest of the debt.
Interestingly, sources note that the gamble by the investment groups may represent a historically large bet on a municipality. But the groups were willing to gamble that Jefferson County will eventually be able to repay the debt.
Residents of Jefferson County, however, may feel a bit of pain. Over the next four years, local sewer rates will increase at an annual clip of seven percent, according to sources.
The bankruptcy exit plan will be reviewed by a federal judge later this week, but sources do not expect the county to officially exit bankruptcy until the end of 2013.
Investment Firms Take Big Gamble on Municipal Debt
Sources emphasize that the investment groups who purchased roughly $900 million worth of debt could stand to make significant gains from the deal. But they could also take a massive loss.
The county, however, is thrilled with the arrangement. According to Kenneth Klee, Jefferson County’s bankruptcy attorney, the proposed plan would cost $200 million less than the last proposed refinancing deal, which was offered in 2011.
According to reports, the proposed deal required months of intense negotiations between investment firms, insurers, and officials representing the largest county in Alabama.
And the hero of the deal may be J.P Morgan Chase, which reportedly agreed to forgive about $842 million in debt. Of course, the plan has not yet been finalized, so residents of Jefferson County would be wise to wait before celebrating a bankruptcy exit.
If you’re filing for Chapter 7 bankruptcy, you may want to keep your car or your home. Luckily, you’ve got a few options.
When you file for Chapter 7 bankruptcy protection you’re looking to wipe out debts and keep as much of your property as possible. For you, that may include a home or car.
You’ve got a few things to consider, and some options to help accomplish your goals.
Is It Safe?
When you file for Chapter 7 bankruptcy protection you get to keep property if the equity can be exempted.
For a house, you’ll want to get a fair market valuation or appraisal so that you know how much it’s worth.
If it’s a car you’re looking to keep, make sure you look up the value before filing.
From there, you can see if there’s an exemption to cover the difference between the value and amount due on the mortgage or car note.
Here are some of the useful items on this site about bankruptcy exemptions:
Option 1 – Reaffirmation
Reaffirmation is a new promise to pay a particular debt in spite of the bankruptcy filing.
It’s as if you and the creditor both pretend as if your bankruptcy never happened at all.
Once you sign a reaffirmation agreement and it’s approved by the bankruptcy court, you know for sure that you can keep the property after your Chapter 7 bankruptcy is cover.
Option 2- Redemption
Let’s say you want to keep the car but it’s worth less than the amount due on the loan.
You can ask the court to require the lender to give you clean title in exchange for you paying the current value of the property.
There are limits to how this gets done, but if you can get your hands on a lump-sum payment then it may save you a tidy amount of money.
Option 3 – Surrender
Don’t feel like making payments anyone? Just tell the creditor to pick up the car or foreclose on the house.
That’s “surrender.” It doesn’t mean you’ve given up title (the lender still needs to repossess or foreclose in order for that to happen), it just means you’re offering to give it back.
Once the Chapter 7 bankruptcy discharge is issued by the court, your obligation to make payments is wiped out.
Option 4 – Do Nothing, Keep Paying
Why sign a document or cough up big money you don’t have?
In the old days, you could simply do nothing and continue making payments after your Chapter 7 bankruptcy. The lender got paid, you kept the car or house. It was a classic win-win situation.
Not necessarily so anymore, though. Depending on the type of property, the lender and the specific facts of your case it may not work for you to keep making payments and hope to keep the property.
You and I will need to talk about this option if that’s the one you want to take. The last thing I want to see is a situation that blows up in your face, spoiling your plans.
Image credit: maclauren70
Options For Keeping Your Home Or Car After Chapter 7 Bankruptcy 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.
Hiring a bankruptcy attorney to help you complete the filing process is often recommended to ensure a successful outcome. Many who claim they are unable to pay on their outstanding debt will wonder how they can afford legal representation. This is a common reason why debtors will try to file for protection on their own [...]
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