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“Diane was patient, thorough, sympathetic, quick with responses and obviously knew what she was doing. ” D.S.
I’ve never had to consult a bankruptcy attorney before but recently had to do just that on behalf of a family member. Although we decided to not go through with bankruptcy Diane was immensely helpful in reviewing our situation and providing very comprehensive information for my consideration. She was patient, thorough, sympathetic, quick with responses and obviously knew what she was doing. I was very impressed and surprised by the effort she put into the matter considering she didn’t charge me for any of it. Very thankful for the help! D.S.
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The post Diane was patient, thorough, sympathetic, quick with responses and obviously knew what she was doing. appeared first on Diane L. Drain - Phoenix Arizona Bankruptcy Attorney.

Being deeply in debt is really difficult, not just for you but also for your family. When debt costs or notices pile up in front of you, you get confused and sometimes stressed; add to that a debt collector who constantly reminds you of your debt to them. What you are experiencing is understandable, yet as a debtor, you still owe money to your creditors. Despite the fact that you owe creditors money, they are not permitted to harass or humiliate you. It is critical to remember that debt collectors must adhere to debt collection guidelines and regulations. Competent Oregon bankruptcy attorneys at Northwest Debt Relief Law Firm get the low-down on what debt collectors are and answer the question, “What can debt collectors do to you?”
Who are debt collectors?
The incapacity of the debtor to pay the outstanding obligation will be reported to the credit bureau. This will have a significant impact on your credit history, and your debt will eventually be turned over to a debt collector or collection agency.
A debt collector (also known as a collection agency) is a commercial entity whose primary duty is to reclaim or recover money owed by the debtor to the creditor. Companies that use debt collectors often pay a flat charge or a percentage of the entire amount collected. In some cases, debt collectors can acquire debts for a portion of their face value and then seek to recover the entire amount of the debt.
What do I need to learn about debt collection?
The debt collection process is strenuous work for the collector and the debtor. As a debtor, it is critical that you understand the standard debt collection process. This will give you an idea of how debt collection works and what to expect.
Typically, creditors will deploy their internal collectors for the first six months. Most creditors will use their own collectors to recover overdue debts (e.g., car loans or medical bills). This is commonly referred to as a first-party agency.
It is critical that you remember that this is the best time to settle your debts. Sometimes, you can plead your case to your creditors, who, in some circumstances, will allow or grant you an extension. However, if they use the services of a debt collector, such as when the debt was sold to the collection agency, it is difficult to speak directly to your creditor.
Second, creditors will turn to a collection agency (also refers to a third-party agency). If you have not still paid your debt, your creditor will be forced to seek the assistance of a collection agency. This is advantageous for them because obtaining such assistance is inexpensive, and these agencies have sufficient resources. However, the debt is still owned by the creditor at this stage, and if the collection agency is successful in collecting the debt from you, they will get a percentage of the total amount of debt recovered or a fee.
Finally, your creditor will sell your debt to a debt collector. This is the stage at which your creditor sells your debt to a collection agency for a nominal fee. It is vital to highlight that, in most situations, debtors may no longer plead with the collector, as opposed to the original creditor, with whom they have a connection.
As much as possible, as a debtor, you should settle the delinquent debt within the first six months. This allows you the opportunity to ask your creditor for extra time to settle your debt or waive some fees.
Can I be sued for an old debt?
When we talk about the statute of limitations, we’re referring to the time restriction within which a person or organization can bring a lawsuit. If you file a case beyond the prescribed time limit, your lawsuit will be dismissed. This is also true for debt collection. A creditor who desires to bring a lawsuit against you must do so within the time limit specified; otherwise, their lawsuit will be dismissed.
The statute of limitations may differ based on the state in which you live and the sort of debt you owe to your creditor. If you live in Oregon, your creditor must file a lawsuit against you within 6 years for mortgage, medical or credit card debt, vehicle loans, and other contract obligations.
This, however, does not free you of any debt. They can continue to pursue their collection efforts, but they will be unable to take legal action against you.
What can a debt collector do and cannot do to me?
Even though you owe them money, that doesn’t give them the right to harass or humiliate you in any manner. Debt is neither a crime nor a sin.
There are numerous debt collectors that threaten or compel people into paying their debts, which is wrong on many levels. You should be aware that debt collectors must adhere to strict guidelines outlined in the Fair Debt Collection Practices Act (FDCPA).
Collection agencies or lawyers who will try to retrieve the debt from you must adhere to the Fair Debt Collection Practices Act (FDCP). Oregon state law prevents the collecting party from sharing any information about your debt to parties that are not engaged in the debt problem in any manner.
Furthermore, debt collectors are not permitted to engage in the following tactics or practices:
They can not harass, corce, or bully you into paying your debts.
Frustration hangs over debt collectors that fail to collect your debt on a regular basis. They might occasionally turn to harassing you, such as contacting you several times in a short amount of time or threatening to expose you to the public. Their grievances are valid, but this does not give them the liberty to inflict harm to the debtors.
Fortunately, the Fair Debt Collection Practices Act protects borrowers from certain sorts of harassment that may occur when collecting debts. The FDCPA prohibits collection agencies from coercing you into settling your debts or using abusive or profane language against you.
One of the numerous benefits of the FDCPA is that debt collectors are only permitted to contact you between the hours of 8:00 a.m. and 9:00 p.m. It is against the law for them to contact you outside of that time frame. Such an act may be considered harassment, and you should report it to the appropriate authorities.
They can not shame you publicly.
Debt collectors are not allowed to publicly humiliate you just because you owe money or are unable to pay it. Your dignity as a person must be preserved. There are cases where debt collectors will humiliate you in order to get you to pay your debts, such as by publishing about your debt on social media accounts and you not paying them on time. If this occurs to you, attempt to document it as proof and pursue a lawsuit against them.
They can not disclose any debt-related information to anyone.
The FDCPA forbids debt collectors from disclosing any information about your debt to anybody else. This information is only available to you, your spouse, your parents (if you are a minor), or any people engaged in your debt situation.
There is, however, an exception to this rule. Debt collectors may approach or contact others merely to get basic personal information about you, such as where you reside, your home phone number, and the location of your job. Furthermore, your creditors might share information with debt collectors that can help them recover the sum you owe.
Wage garnishment is not allowed as an alternative to settle your debt unless it is ordered by the court.
A debt collector is dishonest if they hint or inform you that they have no choice but to garnish your earnings to settle your debt without a court order. Wage garnishment requires a court order directing the withholding of your salary and their use as payment.
Furthermore, garnishment of federal benefits is typically prohibited unless used to pay for unpaid taxes, alimony, child support, or student loans. Government emergency disaster aid, social security benefits, veterans benefits, and other federal benefits are examples of those that are not subject to garnishment.
Protect yourself by contacting our lawyers!
One of the worst things that may happen to you is being harassed, humiliated, or publically disgraced by a debt collector. Being in debt to someone and being delinquent does not give your debt collectors the authority to do terrible things to you.
Northwest Debt Relief Law Firm is not here to judge, but rather to assist you. We are completely prepared to handle debt-related matters. Our strong desire to offer our clients with the debt relief they need drives us to provide you our very best. Furthermore, our prices are suited to the sort of case you have; we may also provide you with a flexible and feasible repayment plan. Talk to our helpful debt relief lawyers for legal advice on how to get a fresh start. 
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The post When Your Debt Collector Is Stepping Over the Line appeared first on Portland Bankruptcy Attorney | Northwest Debt Relief Law Firm.

As many readers are aware, individuals whose income exceeds the median income in New York State are required to do "means testing" to determine if they qualify for chapter 7 personal bankruptcy.In New York State the median income for a family of 1, 2 or  3 is listed below and if a Debtor’s income exceeds the state’s median income they must do means testing. Household Size Monthly Income Annual Income1 $5,058.00 $60,696.002 $6,429.92 $77,159.003 $7,709.00 $92,508.00 If an individual wants to file for chapter 7 bankruptcy and they do not pass the means test, then there is a "presumption of abuse" and they are not allowed to file for chapter 7 bankruptcy.The means test is an 8-page test and it is the most complicated test or calculation in the law!Shenwick & Associates is often referred complex bankruptcy cases and we do means testing on a regular basis. We are often asked whether non-dischargeable student loan payments are an  allowed deduction for means-testing. Interestingly,  the test itself does not allow a  deduct for non dischargeable  student loan payments. However there is a deduction for " special circumstances"  and many bankruptcy attorneys believe that non-deductible student loan payments should be a special circumstance deduction. There is a case on point from the Western District of New York (it is not a case from the Southern or Eastern Districts), but it holds that non-deductible student loan debt can be deducted when doing means testing  and the logic of that case may be persuasive to judges in this District. The name of that case is in re Howell  477 B.R. 314 (2012).  In the Howell case, the United States Trustee has moved to dismiss this Chapter 7 case on grounds that the granting of a bankruptcy discharge would constitute an abuse. The central issue in the case was  whether the obligation to pay a non-dischargeable student loan can serve as a special circumstance that will overcome a statutory presumption of abuse under 11 U.S.C. § 707(b)(2). Section 707(b)(1) of the Bankruptcy Code establishes the general rule, that the Court may dismiss a case filed by an individual debtor under this chapter whose debts are primarily consumer debts if the filing would be an abuse. In the Howell case, the debtor had student loan payments of $658.00 per month and if this deduction  were treated as an allowable expense, their current monthly income would fall to a level that avoids a presumption of abuse.  Section 707(b)(2)(B)(i) of the Bankruptcy Code states that in any proceeding to dismiss a case for abuse, "the presumption of abuse may only be rebutted by demonstrating special circumstances.The Court found that there was no evidence that the Debtors lead an extravagant lifestyle. The Debtors had three outstanding student loans. In sworn affidavits, the Debtors stated that they were not eligible for any further extensions and that as presently constituted, the loans require monthly payments through dates that range between 16 and 24 years after the filing of their bankruptcy petition. The Judge held that the totality of evidence supports the absence of an abusive filing and that Section 707(b)(2)(B)(i) provides that special circumstances" may rebut the presumption of abuse. The Court stated that the non-dischargeable character of the debtors' student loans will necessitate expenses for which the debtors have no reasonable alternative. The Judge further found that the magnitude of the student loans will further compel substantial payments over an extended period of time, without hope for any deferral.The Judge held that based on the debtor’s student loans and non extravagant lifestyle the bankruptcy filing was  non-abusive and the Debtor’s were granted their chapter 7 discharge.We should note that the debtors were not attempting to discharge their student loans in their chapter 7 bankruptcy filing. Individuals that have questions about Personal Bankruptcy or the Means Test should contact Jim Shenwick 212 541 6224 or [email protected]      

“Being of Service to Others certainly overshadowed any money motivation…in the end her expert consultation did not cost us any money. ” G.G.
Diane was great at coming to our rescue during very stressful times…
Dianne and her team were always in good communication and they always were quick with responses. This was important in terms of the stress pushing for timely legal decisions.
She was extremely thorough with her questions prior to our telephone meeting. She was very kind and patient defining and explaining vital points to us. It never felt rushed or pressured by time limits.
Her qualifications as an expert are at the highest possible level of competence as an Attorney, Law Professor, Arbitrator and as someone sincerely interested in being of service to others.  Being of Service to Others certainly overshadowed any money motivation…in the end her expert consultation did not cost us any money. Her great advice referring us to good credit counselors solved our problem.
I would give her 10 gold stars and I would highly recommend her to anyone worried about potential lawsuits and the threats of potentially losing one’s home.
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The post Being of Service to Others certainly overshadowed any money motivation…in the end her expert consultation did not cost us any money. appeared first on Diane L. Drain - Phoenix Arizona Bankruptcy Attorney.