That is one of the most frequently asked questions I get from clients. Often, it’s not phrased as a question, but as a statement: “I know I can’t keep my bank accounts if I file bankruptcy.” This perception is so common that it almost rises to the status of urban legend. As with most urban [...]
January 2009
The recent case of In re Dooley, 2009 WL 95037 (Bkrtcy.D.Mass.2009) serves to highlight a few basic principles about lawsuits and bankruptcy. Dooley was (in this order) injured in a car accident, hired a PI lawyer, filed a Chapter 7 bankruptcy case, and settled his PI case. However, the debtor’s PI lawyer never sought to [...]
The new mortgage modification bill is not a give-away to homeowners, who will devote 3 to 5 years to payment of their credit card and other unsecured debts under a chapter 13 plan.
Credit Suisse says that US foreclosures would decrease by 20% if Congress enacts mortgage modification legislation.
I’m not sure if this is a scam or an example that the left hand doesn’t know what the right hand is doing. Here’s what happens. The homeowner is a few months behind on the mortgage. Let’s say he makes payments to Ocwen. Now, a lawyer for a bank, let’s say Wells Fargo Bank as [...]
The mortgage industry is rallying to oppose allowing mortgages to be modified by bankruptcy judges. They like to claim they try to work with homeowners to renegotiate affordable payments to prevent foreclosures. Let’s ask Congresswoman Maxine Waters (D-CA) how that worked out for her. With ABC News and Nightline watching, Waters tried over a two-hour [...]
