Did you know that most people who file a bankruptcy case will never see a bankruptcy court judge? There are exceptions, of course, but the vast majority of people filing bankruptcy in Massachusetts or New Hampshire never appear before a judge. They all have a meeting with a trustee, however, which is required by the […]
Author Archives: doug
Stressed over debt? Many people are in the same boat
The Associated Press has come out with a new poll showing that 46% of Americans are experiencing a significant level of stress caused by too much debt. Families with total incomes under $50,000 per year have seen a sharp increase in their stress levels, although only a very small increase in actual debt levels. For […]
Posted in Bankruptcy News
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Considering Bankruptcy? Lindsay Lohan may beat you to it!
If you are having a tough time financially, file this in the “misery loves company” folder. Actress and bon vivant Lindsay Lohan apparently owes $600,000 on her credit cards and can’t even pay her rent. Add to that a reported drug abuse problem and a decline in demand for her acting services, and the outlook […]
Posted in Bankruptcy News
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Baseball and bankruptcy: Texas Rangers go belly-up while looking for new owner
The Texas Rangers filed for bankruptcy on Monday, making them the only current major league baseball franchise seeking court protection from creditors. The Chapter 11 filing was pre-planned, seemingly with the intention of clearing the way for a sale of the team to a new ownership group that includes former Ranger and Hall of Famer […]
Posted in Bankruptcy News
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What will bankruptcy do to your credit rating?
One of the most common questions bankruptcy lawyers get is some version of “what will a bankruptcy do to my credit rating?” Surprisingly, there is no real answer to the question, as the client is really asking me for a prediction, not a legal or practical opinion. It is just like asking if the Red […]
Posted in Practical tips
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What not to do when hiring a bankruptcy lawyer
Missouri bankruptcy attorney Wendell Shark has written a great post on what not to do if you are thinking of hiring a bankruptcy attorney. Among his no-no’s are: 1. Holding back on information during an initial consultation. Lawyers are trained to help get people out of jams when they can, but are basically powerless to […]
Posted in Practical tips
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When do Chapter 13 plan payments start?
Debtors who file consumer bankruptcy cases under Chapter 13 are usually attempting to “dig themselves out of the hole” by making regular payments to a bankruptcy trustee, who, after deducting a commission, will distribute the funds to help pay creditors. Once these debtors file a case, or right before they intend to file, they may […]
Posted in Chapter 13
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Don’t think your bank is your friend when you file for bankruptcy
California bankruptcy guru Cathy Moran makes a good point: although many consumers have personal relationships with their banks, and sometimes some good feeling for the institution, your bank is not necessarily your friend when you are filing for bankruptcy. The principal problem is that banks have a legal right of “setoff,” meaning that they can […]
Posted in Practical tips, Secured loans
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You can get a co-debtor stay through bankruptcy
A chapter 13 bankruptcy filing often contains several advantages over a conventional chapter 7 case, one of which can be the use of the “co-debtor stay” that chapter 13 allows. First, a bit of legal jargon. Filing any bankruptcy case creates an “automatic stay” concerning collection efforts against the debtor. It is this provision that […]
Posted in Chapter 13
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Credit card companies at it again!
If you were wondering why not a lot of people feel sorry for credit card issuers, and their problems with individuals filing for bankruptcy on their accounts, look no further than the companies latest attempt to get around reform legislation. A law that went into effect earlier this year requires credit card companies to credit […]
Posted in Credit cards
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