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Protect Your Assets by Learning Tips for Avoiding Liens in Chapter 7 Bankruptcy in Portland, OR
Are you struggling with overwhelming debt and considering filing for Chapter 7 bankruptcy? While this can provide a fresh start, it is essential to understand the potential risks involved, particularly when it comes to liens. Fortunately, the professionals at Northwest Debt Relief Law Firm are here to help. Our team of experienced attorneys can guide you through the process of avoiding liens in Chapter 7 bankruptcy in Portland OR, providing free debt solution consultations to help you understand how to protect your assets and avoid liens.
The Northwest Debt Relief Law Firm has been serving Oregon, Portland, Salem, Medford, and the surrounding areas for years. We offer a free debt analysis to help you understand your options, and our focus is not just on eliminating debt, but also on helping you return to the financial mainstream as quickly and efficiently as possible, at no additional charge. Let our experienced attorneys guide you through the process of avoiding liens in Chapter 7 bankruptcy in Portland, OR. Protect your assets and secure your fresh start today. Schedule your free consultation now.
What is Chapter 7 Bankruptcy?
Chapter 7 bankruptcy is a legal process that allows individuals or businesses to eliminate certain types of debt by liquidating their assets.
In Portland, OR, as in other parts of the United States, filing for Chapter 7 bankruptcy typically involves surrendering the non-exempt property to a trustee appointed by the court, who then sells the assets to pay off creditors. The debtor is then released from any obligation to pay off the remaining unsecured debts, such as credit card balances or medical bills. However, not all debts are dischargeable in Chapter 7 bankruptcy, and the process can have significant long-term consequences on one’s credit rating and financial situation. It’s important to consult with an experienced bankruptcy attorney, like those at Northwest Debt Relief Law Firm, to understand your options and navigate the process.
How Can I Qualify For Chapter 7 Bankruptcy in Portland, OR?
Qualifying for Chapter 7 bankruptcy in Portland, OR is primarily determined by passing the means test. This calculation compares your income to the median income for your household size in Oregon. If your income falls below the median, you automatically qualify for Chapter 7 bankruptcy. However, if your income is above the median, you must pass a second part of the means test that takes into account your expenses and other factors.
To be eligible for Chapter 7 bankruptcy, you must also meet other requirements, such as completing a credit counseling course and providing documentation of your income, expenses, assets, and debts. Our experienced attorneys at Northwest Debt Relief Law Firm can help you navigate these requirements and determine whether Chapter 7 bankruptcy is the right option for you.
It’s essential to keep in mind that qualifying for Chapter 7 bankruptcy doesn’t necessarily mean it’s the best solution for your financial situation. For instance, if you have significant non-exempt assets that could be sold to pay off your debts in Chapter 7, it may be more advantageous to file for Chapter 13 bankruptcy. With Chapter 13, you can keep your assets and repay your debts over a period of three to five years. Contact us today to learn more about your options and find the right solution for your unique financial circumstances.
What is a Lien in Chapter 7 Bankruptcy?
A lien is a legal claim or encumbrance placed on a debtor’s property to secure payment of a debt. In Chapter 7 bankruptcy, liens can be problematic because they can prevent debtors from obtaining a full discharge of their debts and can also result in the loss of assets. When a lien is placed on a debtor’s property, the creditor has a secured interest in that property, which means that the property cannot be sold or transferred without the creditor’s consent until the debt is paid in full. To avoid potential complications with liens in Chapter 7 bankruptcy, it’s important to understand how they work and how to address them effectively.
How Do Liens Work?
Liens work by providing a creditor with a legal interest in a debtor’s property until the debt is paid in full. When a creditor files a lien, it creates a cloud on the title of the property, meaning that the property cannot be sold or transferred without the creditor’s consent. This is because the creditor has a right to receive payment from the proceeds of the sale or transfer of the property.
There are two main types of liens: voluntary liens and involuntary liens. Voluntary liens are those that are willingly entered into by the debtor, such as a mortgage on a home or a car loan. Involuntary liens, on the other hand, are those that are imposed on the property without the debtor’s consent, such as a tax lien or a judgment lien.
In Chapter 7 bankruptcy, liens can complicate the process because they can prevent the debtor from obtaining a full discharge of their debts and can also result in the loss of assets. However, there are strategies that debtors can use to address liens and protect their assets, such as lien avoidance or lien stripping. It’s important to consult with our bankruptcy attorney at Northwest Debt Relief Law Firm to determine the best course of action for your specific situation.
How Can I Avoid a Lien?
To avoid a lien, you need to make sure that you pay your debts on time and in full. If you’re struggling with debt, it’s important to take action before the creditor files a lien. Here are some strategies that can help you avoid a lien:
- Negotiate with your creditors: If you’re behind on your payments, try negotiating with your creditors to work out a payment plan or settle the debt for a reduced amount. This can help you avoid a lien and also improve your credit score.
- Seek credit counseling: Credit counseling can help you develop a budget and a plan to pay off your debts. This can help you avoid falling behind on payments and potentially prevent a creditor from filing a lien.
- Consider bankruptcy: If you’re overwhelmed by debt, filing for Chapter 7 bankruptcy can help you discharge your debts and avoid liens. However, it’s important to consult with a qualified bankruptcy attorney to determine if bankruptcy is the right option for your specific situation.
- Stay informed: Keep track of your debts and monitor your credit report regularly to ensure that you’re aware of any potential liens or judgments filed against you.
Remember, the best way to avoid a lien is to stay current on your payments and communicate with your creditors if you’re having trouble. If you’re struggling with debt, don’t hesitate to seek professional guidance to find the best solution for your situation.
What is an Asset With No Equity?
An asset with no equity is an asset that has no value beyond the amount of any liens or loans that are secured by the asset. For example, if a car is worth $10,000, but there is a car loan with a balance of $10,000, the car has no equity. In this situation, if the car is sold, the proceeds of the sale will go to pay off the car loan, and there will be no money left over for the owner.
In bankruptcy, assets with no equity are generally considered to be exempt or protected assets, meaning that they cannot be used to pay off creditors. However, this can vary depending on the state in which you file for bankruptcy and the specific exemptions that are available. It’s important to consult with a bankruptcy attorney to determine which of your assets have equity and which ones are exempt in your specific situation.
Chapter 7 Debts That Can Be Discharged
Chapter 7 bankruptcy provides a fresh start for debtors by discharging a variety of debts. These may include credit card debt, medical bills, personal loans, utility bills, past-due rent, business debts, and lawsuit judgments. However, it’s important to note that not all debts can be discharged in Chapter 7 bankruptcy. For example, most tax debts, student loans, and child support or alimony payments cannot be discharged. To determine which debts can be discharged in your specific situation, it’s crucial to consult with a qualified bankruptcy attorney.
Credit Card Debt
Credit card debt is a common type of unsecured debt that can be discharged in Chapter 7 bankruptcy. This includes balances on traditional credit cards, store credit cards, and other revolving credit accounts. However, if you incurred the debt through fraudulent activity or misrepresentation, it may not be dischargeable.
Medical Bills
Unpaid medical bills from healthcare providers such as hospitals, doctors, or labs can be discharged in Chapter 7 bankruptcy. This can be particularly helpful for those who have experienced unexpected medical issues and have amassed large bills as a result.
Personal Loans
Personal loans include money borrowed from family, friends, or lenders such as payday loans or installment loans. These types of loans are often high-interest and can quickly become overwhelming, making Chapter 7 bankruptcy a potential solution to help eliminate the debt.
Utility bills
Unpaid utility bills, such as those for electricity, water, or gas, can be discharged in Chapter 7 bankruptcy. This type of debt is considered unsecured and is often included in the bankruptcy process alongside other unsecured debts.
Take the First Step Towards Financial Freedom by Avoiding Liens in Chapter 7 Bankruptcy Portland Or
If you’re considering bankruptcy and want to learn more about avoiding liens in Chapter 7 Bankruptcy in Portland, OR, contact Northwest Debt Relief Law Firm for a free debt analysis today. Our experienced bankruptcy attorneys can help you navigate the complex bankruptcy process and work towards a fresh financial start without the burden of liens. Don’t wait, take the first step towards financial freedom and contact us today.
Bankruptcy income eligibility got easier April 1, 2023 Income eligibility to file Chapter 7 bankruptcy in Virginia got easier April 1, 2023. The median income–that’s the cutoff for automatic eligibility based on income–shot up six to ten thousand dollars. The median income for a family of four increased from $124,304 to $134,252. For a family […]
The post Inflation Adjustment on income–But not on Expenses by Robert Weed appeared first on Northern VA Bankruptcy Lawyer Robert Weed.
Bankruptcy income eligibility got easier April 1, 2023 Income eligibility to file Chapter 7 bankruptcy in Virginia got easier April 1, 2023. The median income–that’s the cutoff for automatic eligibility based on income–shot up six to ten thousand dollars. The median income for a family of four increased from $124,304 to $134,252. For a family […]
The post Inflation Adjustment on income–But not on Expenses by Robert Weed appeared first on Northern VA Bankruptcy Lawyer Robert Weed.
Bankruptcy Fraud: Former Attorney From Westchester Lied To Keep Home, Sports Car, Officials Say and was Arrestedhttps://dailyvoice.com/new-york/scarsdale/news/bankruptcy-fraud-former-attorney-from-westchester-lied-to-keep-home-sports-car-officials-say/860005/?emh5=07d29e82d0d168c807e94007ee2a9bb2&emh256=455e752c66fb0d80f8fdcfa65fb0e36b493bf4cfb8a38c283b91f42bb186af86&emsid=22110&lctg=eOjmpoXsZr8tCTDKSplgXx2UI88UKyCe&utm_source=daily-email&utm_medium=email&utm_campaign=daily-scarsdale-260059&group=0&test_id=None
Lying in Bankruptcy Court is a crime and people who commit that crime can be arrested and imprisoned. Jim Shenwick, Esq 917 363 3391 [email protected]
We help people & companies who have too much debt!
Please click the link to schedule a telephone call with me.https://calendly.com/james-shenwick/15min
On March 1, 2023, the U.S. Sixth Circuit Court of Appeals issued a decision with important implications for parties involved in debt collections regulated under the Fair Debt Collection Practices Act (FDCPA)[1]. The decision, in Bouye v. Bruce[2], examined the FDCPA’s one-year statute of limitations for claims of improper debt collection practices, finding that the one-year period of limitations applied to each discrete violation of the FDCPA claimed by the plaintiff. Read More ›
Tags: 6th Circuit Court of Appeals, Billing/Payment
If you were sued on a debt you have 30 days from the date you are served the paperwork to file a written response with the Clerk of the Court.
Let’s review:
- You have 30 days to respond.
- The response must be written
- The response must be filed with the Clerk of the Court.
How do you respond? What form do you use?
Here is a link to the Answer and General Denial form provided by the Nebraska court system.
The form is very simple. Enter the following information:
- State whether you were sued in “County” or in “District” court. (In most cases this is County court.)
- The name of the County.
- Name of the Plaintiff (the person who filed the lawsuit).
- Name pf as Defendant (your name).
- Case Number (for example: CI 23-1234)
- Sign the form at the bottom
- Enter your address, phone number and email address.
That’s it. You don’t have to write an essay of why you do not owe the debt. You do not have to explain that Amazon mailed you the wrong color sweater or that the doctor amputated the wrong toe.
This court form is a “General Denial.” You hereby dispute the debt. It does not matter why you are denying the debt.
Of course, it may matter to you. And if the doctor amputated the wrong toe you can certainly add that information, but you don’t have to. That big empty space in the middle of the form that seems to invite you to tell your life story and all the wrongs the Plaintiff committed is optional.
Affirmative Defenses.
If you have an affirmative defense, you do need to state that in the response. For example, if the debt collector is suing on an expired debt, you will want to assert a Statute of Limitations defense. If you don’t assert the defense in writing it is lost.
What happens after you respond to a lawsuit?
The plaintiff’s attorney will typically request additional information from you (called Discovery) or they will schedule the matter for a Summary Judgment hearing.
Filing the written answer has prevented a Default Judgment from being entered, but it does not resolve the lawsuit. There is work to be done. Start contacting the plaintiff’s attorney. Request a payment plan if that is your goal. Offer a settlement of the debt. Get a conversation going.
If you are disputing the debt entirely, now you need to prove your case. Start gathering evidence. Demand documents (Motion to Produce Documents). Send written questions to the plaintiff’s attorney (Interrogatories). Schedule a deposition (live questions before court reporter) of the opposing side. Gather the facts to submit to the judge at a hearing.
TDPelmedia has an article about bailout packages for small business. The article can be found athttps://tdpelmedia.com/federal-government-bailout-packages-for-small-businesses-what-you-need-to-know/At Shenwick & Associates we help many clients with too much debt or not enough capital.Jim Shenwick, Esq. 917 363 3391 [email protected]Please click the link to schedule a telephone call with Jim Shenwickhttps://calendly.com/james-shenwick/15min
The second great power of Discovery is the Motion to Produce Documents.
When a bill collector sues for nonpayment of a debt, they also open themselves up to answer questions–finally!!–and to provide documents.
What type of documents? Well, any document relevant to the debt.
Sued on a medical debt?
- Demand to see the invoices and the claims filed with the health insurance company.
- Demand the intake forms.
- Demand copies of all correspondence with the medical insurers.
- Demand a copy of the Master Service Agreement between the hospital and the insurance company to see if the hospital had a contractual duty to file a claim.
Sued on a on a credit card account?
- Demand a copy of the written contract.
- Demand a copy of all billing statements.
- Demand a copy of all notices of interest rate changes.
Rule 26 of the Nebraska Rules of Civil Procedure requires all parties to a lawsuit to provide requested documents with in 30 days.
Does the bill collector have these documents? Probably not. In fact, about the only thing a bill collector has is a list of names and amounts owed by each customer. A bill collector typically has nothing other than your name, address and the amount you owe. They have no actual proof of the debt.
What does a bill collector do when you demand documents?
- They ask their client to provide them.
- They slow down and start looking–actually looking–at the lawsuit.
- They think about all the time it will take to provide the documents.
- They start thinking about accepting a settlement of the debt.
What if the bill collector cannot provide the documents? Sometimes a creditor does not provide documents because they are not available. They can’t get them. All they have is a list of the debts, but no actual proof of the debt. No contracts or statements or payment histories. In short, they have no proof of the debt.
Sometimes they just ignore the request for documents. Then what? A few options exist.
- File a Motion to Compel Discovery to demand the documents and schedule a hearing with the court.
- File a Motion for Summary Judgment. If they cannot produce the documents then there is no proof of the debt. Had the debt truly existed they would have documents to prove it, but since they don’t have the documents the court may dismiss the entire case.
Requesting documents is a powerful tool bill collectors do not want you to exercise. Collection litigation firms are not designed to prove the existence of debts. Rather, they process debt cases with no proof at all. It’s all about process and not proof. That process is premised on consumers not fighting back.
Demand those documents. Fight back!
Image courtesy of Flickr
“You were very nice and caring. ” R.G.
I cannot thank you enough Diane for taking the time to speak with me. Your website has so much information and very helpful. You were very nice and caring.
Appreciate you! R.G.
The post Diane – you were nice and caring. appeared first on Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer.
● Jim Shenwick, Esq has a specialty in commercial leasing (he has represented over 300 tenants and landlords in commercial lease negotiations). ●Representative Manhattan transactions include the following: (a) represented over 250 commercial tenants representing office space in Manhattan, New York City.●Represented a Landlord who leased retail space to a Gap store in Midtown East, (b) Represented a Landlord who leased space to a coffee chain in the East 20’s, (c) Represented a private equity fund that leased office space in 7 Time Square Tower, (d) Represented a hedge fund that leased office space at 590 Madison Avenue, (e) Represented an Internet social marketing company that leased space on 23rd Street, (f) Represented a Landlord in Soho who leased space to a restaurant and food store, (g) Represented an art gallery that moved to the West 26th Street art district (h) Represented a hair transplant doctor who leased space for an upscale hair transplant facility on Madison Avenue and (i) Represented a chain of pizza stores who leased space throughout NYC and Long Island,● Jim Shenwick, Esq. has written on the assignment/subletting of commercial leases, questions tenants need to ask Landlords before signing a commercial lease, “silent” commercial lease issues not dealt with in standard lease forms and hidden costs in commercial leases. ● Jim Shenwick, Esq. also spoke at the Association of the Bar of the City of New Yorkon commercial leasing issues for tenants.
At Shenwick & Associates, we have represented more than 300 tenants in commercial leasing transactions, including office tenants, restaurants & retain stores. Any clients having questions about commercial leases should contact Jim Shenwick, Esq. [email protected] 917 363 3391 Please click the link to schedule a telephone call with Jim Shenwickhttps://calendly.com/james-shenwick/15min
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