debt Tag

31 Aug Why You Should Tell Your Attorney Everything About Your Finances

The penalty for intentionally failing to be complete with the information on your bankruptcy petition and schedules can be a Federal criminal offense punishable by a sentence of up to 5 years in jail and a fine of up to $250,000.00. Under cetain circumstances, the attorney filing such a petition can also be sanction by the Bankruptcy Court costing thousands. Recently while walking into the hearing room for the Trustee's First Meeting of Creditors, I overheard a lawyer talking with his clients who were trying to be quiet. "Attorney Smith, my husband has something to tell you.", the wife said. "Yes?" "Well, I forgot to tell you that my name is on my mother's house." "Oh? Did you mother give it to you?" "No, she died." "When?" "Ten years ago." "So she left it to you?" "No, to me and my three brothers. My brother Billy gave his part to me for $10,000 five years ago and my other two brothers still live in the house." "So, there are three owners of the house?" "No, my brother Pete gave his part to my other brother, Rocco." "For $10,000?" "Naw, he gave his part of the house over so we could refinance it. He still lives there with Rocco." "When was that?" "Eight weeks ago. He needed to borrow money to pay his bills so he wouldn't have to file for bankruptcy. I had to go to his lawyer's office to sign some papers and I completely forgot all about it." This is a serious problem on several fronts.
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09 Aug My Wife Got Us Into This Debt By Running Up Credit Cards!

A furious husband found out that his wife had charged over $60,000 on their credit cards and they weren't in a position to repay them. I could practically see the steam coming out of his ears and the shame on her face as they sat in my conference room discussing bankruptcy.

But it only took me a minute to see what the real problem was. It was the husband, not the wife.

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01 Aug Short Sales: Problems and Pitfalls

With foreclosures skyrocketing, many people are looking for ways out of their mortgages. Short sales are often used to avoid foreclosure. They do avoid foreclosure. But do they really benefit you, the homeowner? In many cases, they benefit others, and can leave you and your credit worse off than filing for bankruptcy. Here’s the inside scoop on Short Sales.
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31 May With Humility Comes Wisdom…

With humility comes wisdom, Proverbs 11:2. You may ask what does Proverbs or this saying have to do with debt? That is a great question. The first step in learning how to handle debt that has run a muck is to recognize that there is a problem. When you recognize that you may have a problem you must be humble enough to say that you might be the cause of your debt and not the credit card companies themselves.
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