How can bankruptcy be like spring? Springtime is a renewal…a rejuvenation. New life is born in spring. Spring provides rekindled hope and a fresh start. So it is when you file bankruptcy. Pulling weeds this weekend that were ignored since last summer I got to thinking about how my bankruptcy clients are clearing out the debris surrounding their [...]
May 2012
Lie 6: Filing Bankruptcy Will Destroy Your Credit for 10 Years Truth-o-Meter: A common misconception about bankruptcy is that it completely destroys your credit for 10 years. This is simply not true. Here, two completely different concepts are being confused with each other. The fact that bankruptcy is reported on your credit report for 10 [...]
To reaffirm a debt in bankruptcy you must ask your creditor to send you reaffirmation paperwork, consisting of a Reaffirmation Cover Sheet, a Reaffirmation Agreement, and a Motion For Approval of Reaffirmation Agreement. The creditor should fill in most or its entire portion of these papers before sending you the documents. Here are Andy Miofsky’s [...]
A Chapter 7 Bankruptcy Debtor can strip a second mortgage in a Chapter 7 bankruptcy if they live in a jurisdiction under the 11th Circuit Federal Court of Appeals. Approximately two weeks ago, the 11th Circuit issued an opinion in In Re McNeal, Case No. 11-11352 (11th Cir., May 11, 2012) wherein it held quite [...]
I was recently surprised to hear from a 2008 client who was just denied a $4,000 loan for a new roof by a credit union. The reason was not having any post-bankruptcy credit on her credit report. She and I had agreed that it did not make sense to incur unnecessary debt after her bankruptcy and [...]
Bankruptcy is a terribly hard thing for most people to consider. So is surgery. Oddly many people are more likely to go ahead with a necessary surgery — an invasion of their body — than they are to go see a bankruptcy lawyer. The irony is that the bankruptcy option may be easier, and certainly [...]
