What happens if you need to get a car loan after you file for bankruptcy?
It is not impossible to get a car loan after bankruptcy; it will just cost you a little more. Many reputable lenders work with people who cannot obtain auto financing through conventional channels.
These lenders will consider past problems—bankruptcy included—in the light of your current circumstances, e.g. employment status, monthly income, debt obligations, etc. These things will have more of an impact than your bankruptcy on the details of your loan package, such as: down payment required, payment qualification, interest rate, and loan term.
It is very easy to apply for a bankruptcy car loan online. The application will give the lender permission to access your credit report, so make sure you check it first to see that all debts and credit lines involved in the bankruptcy have been marked as discharged.
If you get a car loan after bankruptcy and make all the payments on time, it can help re-establish your credit.
Changes in the Bankruptcy Law
Personal bankruptcy law has changed with the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. Anyone planning to file for bankruptcy is now required to undergo credit counseling from a government-approved organization before filing. They must also complete a debtor education course after filing for bankruptcy in order to have their debts discharged.
Both the credit counseling and debtor education course must be conducted by organizations that have been approved by the Department of Justice’s U.S. Trustee Program. To protect against fraud, the certificates of completion are produced through a central automated system and are numbered.
Pre-filing counseling and post-filing education may be provided in person, on the phone, or online. These required programs are meant to help those who file for bankruptcy to change their financial habits. Among other things, the counseling will include information on developing a budget, managing money, and using credit wisely.
Mike Hamel is the author of several books and online articles about auto financing. His material is featured on sites like BuyAAuto
To learn more about Buying a Car After Bankruptcy, visit BuyAAuto While there, you can also get a free, no obligation, car loan quote.
http://EzineArticles.com/?expert=Mike_Hamel
Monday, October 1, 2007
Personal Loan Bankruptcy
When it comes to financial disaster, a personal loans bankruptcy is at the top of the heap. It is to be considered the final step of financial ruin, but it can also be a new beginning. Bankruptcy is becoming more and more common as consumers are finding themselves in financial distress. It is a solution to a problem that has gotten out of hand. Indeed, with the economic problems that many are facing today, bankruptcy may be the way out of their financial darkness.
When a person is considering a personal loans bankruptcy, they are truly at the end of their financial rope. Creditors may be hounding them and it may seem like the way to experience some relief. In fact, it can provide relief from those annoying phone calls from your creditors. When you file for bankruptcy, your creditors are no longer allowed to contact you. If you are considering bankruptcy, it is advisable not to mention this to your creditors beforehand. Until the bankruptcy is actually filed, their calls will increase in both frequency and harsh demands for immediate payment. This can be a nightmare you do not want to experience!
When you decide to file for personal loan bankruptcy, it is always advised to seek out an attorney who specializes in bankruptcy. They will know how to advise you and will be able to explain the legal mumbo jumbo in layman’s terms. An attorney can truly be an invaluable resource and guide in your journey through bankruptcy. The responsibility of choosing your representation through this process should not be taken lightly.
There are many do-it-yourself kits out there for personal loans bankruptcy. Be advised that filing is a complex legal action that may not be as simple as they will make it sound. You may inadvertently fill out the forms for your bankruptcy incorrectly and this will cause you many headaches and could cost you more in the end. This could be a mistake that will cost you everything and could even lead to criminal prosecution in some instances. You will have to decide if that is a risk you are willing to take.
No matter the path you choose in filing your personal loans bankruptcy, there are still costs associated that must be paid. The court costs for your bankruptcy must be paid when you file the documents with the court. These costs are the same whether you file yourself or you choose an attorney. You can find out more about the costs of filing by contacting your district court or your attorney. They should be able to answer any questions you may have concerning this matter.
A personal loans bankruptcy can be an answer to a dark financial storm. It can bring the sun back into your financial picture.
http://EzineArticles.com/?expert=Tom_Houser
When a person is considering a personal loans bankruptcy, they are truly at the end of their financial rope. Creditors may be hounding them and it may seem like the way to experience some relief. In fact, it can provide relief from those annoying phone calls from your creditors. When you file for bankruptcy, your creditors are no longer allowed to contact you. If you are considering bankruptcy, it is advisable not to mention this to your creditors beforehand. Until the bankruptcy is actually filed, their calls will increase in both frequency and harsh demands for immediate payment. This can be a nightmare you do not want to experience!
When you decide to file for personal loan bankruptcy, it is always advised to seek out an attorney who specializes in bankruptcy. They will know how to advise you and will be able to explain the legal mumbo jumbo in layman’s terms. An attorney can truly be an invaluable resource and guide in your journey through bankruptcy. The responsibility of choosing your representation through this process should not be taken lightly.
There are many do-it-yourself kits out there for personal loans bankruptcy. Be advised that filing is a complex legal action that may not be as simple as they will make it sound. You may inadvertently fill out the forms for your bankruptcy incorrectly and this will cause you many headaches and could cost you more in the end. This could be a mistake that will cost you everything and could even lead to criminal prosecution in some instances. You will have to decide if that is a risk you are willing to take.
No matter the path you choose in filing your personal loans bankruptcy, there are still costs associated that must be paid. The court costs for your bankruptcy must be paid when you file the documents with the court. These costs are the same whether you file yourself or you choose an attorney. You can find out more about the costs of filing by contacting your district court or your attorney. They should be able to answer any questions you may have concerning this matter.
A personal loans bankruptcy can be an answer to a dark financial storm. It can bring the sun back into your financial picture.
http://EzineArticles.com/?expert=Tom_Houser
Why Your Best Bankruptcy Option Is To Use A Bankruptcy Lawyer
If you have done any amount of research at all, you have likely found out that the bankruptcy laws have recently changed, and the change was significant. The bankruptcy laws still vary from state to state, but there are some federal mandates in place now that cannot be ignored, even at the state level.
The reason for stating this is that a lot of people who are considering filing bankruptcy or even starting the process of bankruptcy are doing it themselves. Believe me, filing bankruptcy is no longer a "do it yourself" type of procedure, not unless you have hours of time on your hands to research, research, and then research some more. And even then, since bankruptcy filings and proceedings are not part and parcel of your normal activities, nor have they been for many years, you are going to make mistakes if you try to go it alone without a good bankruptcy lawyer. You may be the smartest person on the planet but without the representation of a good bankruptcy lawyer, the bankruptcy proceedings will almost inevitably take longer and may well cost you more in the long run, even after considering the attorney's fees for handing your case.
A good bankruptcy lawyer has access to specialized information to aid them in handing your bankruptcy case. The lawyer would also not have any emotional attachment to the case and is able to be entirely objective about it, whereas you are likely to be too emotionally attached to your own bankruptcy to be able to see all the facts clearly. And just one mistake in the paperwork or the process of filing could result in your bankruptcy being dismissed.
That's right, a bankruptcy is not a guarantee that you really CAN file for bankruptcy. With everything else going on in your personal and business life right now, can you really afford to have your case dismissed because you messed up on the paperwork? At this point in their lives, people filing bankruptcy obviously cannot afford to spend more than they need to, but at the same time, they cannot risk having their case dismissed.
Some people think they can get around a bankruptcy lawyer's fees by using someone who is well-versed in bankruptcy law or even via the use of a paralegal. Nothing could be further from the truth. Neither of these types of people will represent you in court, and the typical paralegal fees for preparing the necessary documents will almost equal the fees assessed by a good bankruptcy lawyer. Nobody is "well versed" in bankruptcy proceeding and bankruptcy law if they do not deal with it on a regular basis.
When searching for a good bankruptcy lawyer, ask for recommendations from friends or people you know. Then take the time to interview the lawyer and get a gut feel for how they would approach your case. You need to have a good personal feeling about the lawyer's ability to represent you in your time of need. If you just don't feel good about the lawyer, then interview some other ones. You need to feel confident that they have your best interests at heart and will do everything in their power to minimize the pain of bankruptcy for you.
For more insights and additional information about a good Bankruptcy Lawyer and to get a free bankruptcy evaluation from a bankruptcy lawyer who is local to you and familiar with your state laws, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
The reason for stating this is that a lot of people who are considering filing bankruptcy or even starting the process of bankruptcy are doing it themselves. Believe me, filing bankruptcy is no longer a "do it yourself" type of procedure, not unless you have hours of time on your hands to research, research, and then research some more. And even then, since bankruptcy filings and proceedings are not part and parcel of your normal activities, nor have they been for many years, you are going to make mistakes if you try to go it alone without a good bankruptcy lawyer. You may be the smartest person on the planet but without the representation of a good bankruptcy lawyer, the bankruptcy proceedings will almost inevitably take longer and may well cost you more in the long run, even after considering the attorney's fees for handing your case.
A good bankruptcy lawyer has access to specialized information to aid them in handing your bankruptcy case. The lawyer would also not have any emotional attachment to the case and is able to be entirely objective about it, whereas you are likely to be too emotionally attached to your own bankruptcy to be able to see all the facts clearly. And just one mistake in the paperwork or the process of filing could result in your bankruptcy being dismissed.
That's right, a bankruptcy is not a guarantee that you really CAN file for bankruptcy. With everything else going on in your personal and business life right now, can you really afford to have your case dismissed because you messed up on the paperwork? At this point in their lives, people filing bankruptcy obviously cannot afford to spend more than they need to, but at the same time, they cannot risk having their case dismissed.
Some people think they can get around a bankruptcy lawyer's fees by using someone who is well-versed in bankruptcy law or even via the use of a paralegal. Nothing could be further from the truth. Neither of these types of people will represent you in court, and the typical paralegal fees for preparing the necessary documents will almost equal the fees assessed by a good bankruptcy lawyer. Nobody is "well versed" in bankruptcy proceeding and bankruptcy law if they do not deal with it on a regular basis.
When searching for a good bankruptcy lawyer, ask for recommendations from friends or people you know. Then take the time to interview the lawyer and get a gut feel for how they would approach your case. You need to have a good personal feeling about the lawyer's ability to represent you in your time of need. If you just don't feel good about the lawyer, then interview some other ones. You need to feel confident that they have your best interests at heart and will do everything in their power to minimize the pain of bankruptcy for you.
For more insights and additional information about a good Bankruptcy Lawyer and to get a free bankruptcy evaluation from a bankruptcy lawyer who is local to you and familiar with your state laws, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
Bankruptcy - Can Ruins Your Credit Rating
It is a very unfortunate situation and can happen even to seasoned businessman or to a new entrepreneur. To avoid falling into such a trap one should ensure to keep his or her financial health in a very good state. Filing bankruptcy is not an easy job and one has to go through a very complex process involving lot of complex court procedure. Also it affects badly your financial rating for securing loans, which you may need for business development or for your personal requirements at any future stage of your life.
The debtor has to file the bankruptcy report in the court to stop further payment of interest on the borrowings on account of his inability to repay with declaration that his income is not going to improve in the near future as well. This requires furnishing causes of bankruptcy viz. losses in business, family dispute, job loss, poor health or illness, heavy expanses on treatment, natural calamity resulting in damage to assets or business etc.
In US Bankruptcy is dealt under uniform federal laws and fall under chapter 7, 9, 11, 12, 13 of bankruptcy code. Chapter 7 applies to debtor with no assets to repay, chapter9 applies to govt. municipalities, chapter-11 applies to owner or shareholders of companies, chapter12, to farmers and fishermen, chapter.13, to self employed and salaried individuals or family.
New York Bankruptcy cases in general fall under chapter7 and 13.The cases under chapter 11 have declined to almost negligible. Under chapter7, a person with income below average (fixed by court) is absolved from repaying his loan liability; Cases not falling under chapter 7 are therefore dealt under chapter 13. Under chapter13 if you have a regular monthly income and earn much above the average income as fixed under law (the last six months income is taken into consideration) are dealt separately with repayment options by extending their loan terms, revising monthly installments, reducing interest rates or by reducing liability limit after taking into consideration his earning capacity.
California bankruptcy law discourages filing bankruptcy cases in general. Most of the cases are dealt under chapter 13 and thus reducing cases filed under chapter 7 in order to minimize bankruptcy abuse as much as possible. In fact, one has to clearly declare that he has no resources to repay his debt. However, various exemptions are available as per law.
Las Vegas bankruptcy laws normally discourage filing cases under chapter7 which in real term mean one is totally without any asset and truly insolvent. The law encourages people to seek credit counseling and advises in general to file cases under chapter13 so that they could go for repayment of debt for at least up to next five years instead of writing off the full amount as under chapter 7.
Debtips is a resourceful channel to make you finance literate and helps you in managing your personal finances. You will get in-depth information about Debt Consolidation, Credit, Bankruptcy and Mortgage. Go ahead and make yourself capable enough to manage your personal finances.
http://EzineArticles.com/?expert=James_Arther
The debtor has to file the bankruptcy report in the court to stop further payment of interest on the borrowings on account of his inability to repay with declaration that his income is not going to improve in the near future as well. This requires furnishing causes of bankruptcy viz. losses in business, family dispute, job loss, poor health or illness, heavy expanses on treatment, natural calamity resulting in damage to assets or business etc.
In US Bankruptcy is dealt under uniform federal laws and fall under chapter 7, 9, 11, 12, 13 of bankruptcy code. Chapter 7 applies to debtor with no assets to repay, chapter9 applies to govt. municipalities, chapter-11 applies to owner or shareholders of companies, chapter12, to farmers and fishermen, chapter.13, to self employed and salaried individuals or family.
New York Bankruptcy cases in general fall under chapter7 and 13.The cases under chapter 11 have declined to almost negligible. Under chapter7, a person with income below average (fixed by court) is absolved from repaying his loan liability; Cases not falling under chapter 7 are therefore dealt under chapter 13. Under chapter13 if you have a regular monthly income and earn much above the average income as fixed under law (the last six months income is taken into consideration) are dealt separately with repayment options by extending their loan terms, revising monthly installments, reducing interest rates or by reducing liability limit after taking into consideration his earning capacity.
California bankruptcy law discourages filing bankruptcy cases in general. Most of the cases are dealt under chapter 13 and thus reducing cases filed under chapter 7 in order to minimize bankruptcy abuse as much as possible. In fact, one has to clearly declare that he has no resources to repay his debt. However, various exemptions are available as per law.
Las Vegas bankruptcy laws normally discourage filing cases under chapter7 which in real term mean one is totally without any asset and truly insolvent. The law encourages people to seek credit counseling and advises in general to file cases under chapter13 so that they could go for repayment of debt for at least up to next five years instead of writing off the full amount as under chapter 7.
Debtips is a resourceful channel to make you finance literate and helps you in managing your personal finances. You will get in-depth information about Debt Consolidation, Credit, Bankruptcy and Mortgage. Go ahead and make yourself capable enough to manage your personal finances.
http://EzineArticles.com/?expert=James_Arther
New York Bankruptcy - Repay Debts Under Court Protection
New York bankruptcy laws have considerably checked filing of bankruptcy cases on account of strict federal laws. To file a case one has to fully satisfy the authorities that he has no assets to pay back the debt and therefore is left with no other effective option to stop paying interest on the debt. An individual while filing his case has to furnish a documentary proof that he has no assets to repay the debt as per New York bankruptcy laws.
The income of an individual under such cases should be less than the average income, as fixed under chapter 7. The cases under this chapter almost fully warrants writing off the debt but still one have to arrange payment for student loans, fraudulently acquired debts, alimony, child support etc. Under chapter13, after reorganizing the liability of debt, recovery is made from the borrower but over a longer period may be at less interest rate or by reducing the monthly payments. But no such provision exists to get rid of the liability without repaying the debt.
In US, Bankruptcy is covered under uniform federal laws and fall under chapter 7,9,11,12,13 of bankruptcy code. The bankruptcy law covers various chapters on all issues and state how to deal and decide cases effectively. Chapter 7 applies to debtor with no assets to repay. Chapter 9 applies government municipalities. Chapter 11 applies to owner or shareholders of companies. Chapter 12 applies to farmers and fishermen, chapter 13 to wage earner bankruptcy, to self employed and salaried individuals or family.
New York bankruptcy courts in general decide most of the cases under chapter 13 and some genuine and really deserving under chapter7. Business bankruptcy relates to bankruptcy on account of business failure due to varied reasons and can be filed by a company or a corporate declaring that the company has fully exhausted their resources and in no way is in a position to repay their liabilities but wish to continue their business activities. After thoroughly checking their financial standing, such cases are dealt under chapter11, petitioner being the owner or shareholder of the company.
California bankruptcy laws in general prohibit filing bankruptcy under chapter 7 and in fact most of the cases are filed under chapter13, thus enabling to recover debts as much as possible by spreading the recovery to longer periods after reorganizing the loan liability by realizing minimum amount due. Though some cases which are really genuine, are filed under chapter7, like people having suffered physical deformity, unemployment, serious sickness involving heavy expenditure.
Debtips is a resourceful channel to make you finance literate and manage your personal finances. Bankruptcy is an unfortunate situation and can happen even to seasoned businessman or to a new entrepreneur. In US Bankruptcy is dealt under uniform federal laws and fall under chapter 7, 9, 11, 12, 13 of bankruptcy code. New York Bankruptcy cases in general fall under chapter 7 and 13.
http://EzineArticles.com/?expert=James_Arther
The income of an individual under such cases should be less than the average income, as fixed under chapter 7. The cases under this chapter almost fully warrants writing off the debt but still one have to arrange payment for student loans, fraudulently acquired debts, alimony, child support etc. Under chapter13, after reorganizing the liability of debt, recovery is made from the borrower but over a longer period may be at less interest rate or by reducing the monthly payments. But no such provision exists to get rid of the liability without repaying the debt.
In US, Bankruptcy is covered under uniform federal laws and fall under chapter 7,9,11,12,13 of bankruptcy code. The bankruptcy law covers various chapters on all issues and state how to deal and decide cases effectively. Chapter 7 applies to debtor with no assets to repay. Chapter 9 applies government municipalities. Chapter 11 applies to owner or shareholders of companies. Chapter 12 applies to farmers and fishermen, chapter 13 to wage earner bankruptcy, to self employed and salaried individuals or family.
New York bankruptcy courts in general decide most of the cases under chapter 13 and some genuine and really deserving under chapter7. Business bankruptcy relates to bankruptcy on account of business failure due to varied reasons and can be filed by a company or a corporate declaring that the company has fully exhausted their resources and in no way is in a position to repay their liabilities but wish to continue their business activities. After thoroughly checking their financial standing, such cases are dealt under chapter11, petitioner being the owner or shareholder of the company.
California bankruptcy laws in general prohibit filing bankruptcy under chapter 7 and in fact most of the cases are filed under chapter13, thus enabling to recover debts as much as possible by spreading the recovery to longer periods after reorganizing the loan liability by realizing minimum amount due. Though some cases which are really genuine, are filed under chapter7, like people having suffered physical deformity, unemployment, serious sickness involving heavy expenditure.
Debtips is a resourceful channel to make you finance literate and manage your personal finances. Bankruptcy is an unfortunate situation and can happen even to seasoned businessman or to a new entrepreneur. In US Bankruptcy is dealt under uniform federal laws and fall under chapter 7, 9, 11, 12, 13 of bankruptcy code. New York Bankruptcy cases in general fall under chapter 7 and 13.
http://EzineArticles.com/?expert=James_Arther
Consumer Education Is Key When Considering Bankruptcy
Only a few short years ago, it used to be fairly easy to file bankruptcy, almost as easy as it is in the board game of Monopoly, where the ramifications of doing so were about the same as in Monopoly. But it was determined that so many people were taking advantage of bankruptcy to compensate for a lack of financial skills, a lack of money management, and basically attempting to lead a champagne lifestyle on a beer budget that the bankruptcy laws were recently changed.
To be sure, the bankruptcy laws still vary from state to state, but there are some things that even state legislature cannot disagree on if they conflict with the federal bankruptcy laws. Even at this, some people have attempted to file bankruptcy in a state that may have more lenient bankruptcy laws than the state in which they have listed as their address of residence, and one of the things that the new bankruptcy laws is doing is ensuring that people who file bankruptcy do so in the state in which they live.
Another requirement of bankruptcy with the new laws is that the person filing bankruptcy is required to attend credit counseling sessions and financial education courses. While this is still part of the law and you can expect that requirement into the foreseeable future, studies are starting to show that such a requirement has so far failed to deliver the positive results that were expected, and in fact have delivered very few significantly measurable benefits to the consumer.
Is there a value to requiring consumers to spend (or as some say, "waste") their time on credit counseling and financial education courses before being allowed to file bankruptcy? Many are saying it makes no sense at all. On one hand, the advocates who say it makes little sense are right, since by the time a person is so far in financial distress that bankruptcy is their most viable option, the time for financial education and credit counseling has long since passed. But on the other hand, how do you require someone to attend those classes and counseling sessions BEFORE they get into a bankruptcy situation, since the vast majority of people are unwilling to admit, even to themselves, that they are heading in the wrong financial direction.
Good consumer information about bankruptcy is one answer. While the government or the state cannot protect each and every consumer from financial folly, nor can they force the consumer to attend courses or counseling, they can put the monkey on the consumer's back by making information about bankruptcy available, perhaps even at no charge. The vast majority of consumers have no clue about the various chapters of bankruptcy and which one they should choose if they get into a bankruptcy situation.
Moreover, most consumers think of bankruptcy as their only option, when in reality the act of declaring bankruptcy should be the option of last resort. There are many viable alternatives to bankruptcy, most of which do not have the long-lasting negative impact on the consumer, such as the fact that bankruptcy stays on one's credit report for the next 7 to 10 years. Consumers should be taught about the options that are available before considering the "act of last resort", which is bankruptcy. For example, debt consolidation firms can pull a consumer out of the financial fire without requiring bankruptcy in many situations.
Consumer education about bankruptcy is paramount, and every consumer should make a point to understand at least the basics of bankruptcy, what it means, how it works, and most of all, what viable alternatives to bankruptcy are available.
For more insights and additional information about Bankruptcy Information and Bankruptcy Law as well as to get a free bankruptcy evaluation from a bankruptcy lawyer who is local to you, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
To be sure, the bankruptcy laws still vary from state to state, but there are some things that even state legislature cannot disagree on if they conflict with the federal bankruptcy laws. Even at this, some people have attempted to file bankruptcy in a state that may have more lenient bankruptcy laws than the state in which they have listed as their address of residence, and one of the things that the new bankruptcy laws is doing is ensuring that people who file bankruptcy do so in the state in which they live.
Another requirement of bankruptcy with the new laws is that the person filing bankruptcy is required to attend credit counseling sessions and financial education courses. While this is still part of the law and you can expect that requirement into the foreseeable future, studies are starting to show that such a requirement has so far failed to deliver the positive results that were expected, and in fact have delivered very few significantly measurable benefits to the consumer.
Is there a value to requiring consumers to spend (or as some say, "waste") their time on credit counseling and financial education courses before being allowed to file bankruptcy? Many are saying it makes no sense at all. On one hand, the advocates who say it makes little sense are right, since by the time a person is so far in financial distress that bankruptcy is their most viable option, the time for financial education and credit counseling has long since passed. But on the other hand, how do you require someone to attend those classes and counseling sessions BEFORE they get into a bankruptcy situation, since the vast majority of people are unwilling to admit, even to themselves, that they are heading in the wrong financial direction.
Good consumer information about bankruptcy is one answer. While the government or the state cannot protect each and every consumer from financial folly, nor can they force the consumer to attend courses or counseling, they can put the monkey on the consumer's back by making information about bankruptcy available, perhaps even at no charge. The vast majority of consumers have no clue about the various chapters of bankruptcy and which one they should choose if they get into a bankruptcy situation.
Moreover, most consumers think of bankruptcy as their only option, when in reality the act of declaring bankruptcy should be the option of last resort. There are many viable alternatives to bankruptcy, most of which do not have the long-lasting negative impact on the consumer, such as the fact that bankruptcy stays on one's credit report for the next 7 to 10 years. Consumers should be taught about the options that are available before considering the "act of last resort", which is bankruptcy. For example, debt consolidation firms can pull a consumer out of the financial fire without requiring bankruptcy in many situations.
Consumer education about bankruptcy is paramount, and every consumer should make a point to understand at least the basics of bankruptcy, what it means, how it works, and most of all, what viable alternatives to bankruptcy are available.
For more insights and additional information about Bankruptcy Information and Bankruptcy Law as well as to get a free bankruptcy evaluation from a bankruptcy lawyer who is local to you, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
Is Filing Bankruptcy The Right Step For You?
Bankruptcy comes with lots of negative outcomes. Therefore, it is very important for you to understand, whether filing bankruptcy is the right option for you. You must note that bankruptcy must not be chosen as an easy solution to bring the desired debt relief. Bankruptcy should always be the last option. You must be knowledgeable enough to judge the possible alternatives to bankruptcy, before you go ahead and file a court petition for bankruptcy. Follow the following steps and it will make the task much easier for you to analyze your financial situation, and decide whether it is the right time to file for bankruptcy.
Analyze Your Income
Before you go ahead and hire a bankruptcy attorney for you, it is always recommended to analyze the things yourself. To start with, you must see what are your available sources of income. Check out the entire regular and irregular sources of income and try to ascertain the overall amount, you are capable to earn each month.
Review Your Expenses
The next step is to review your expenses. The best way to do this is to make a list. Prepare this list on a priority basis, keeping the essential expenses at the top. Your task is to calculate the total amount of essential expenses per month. The essential expenses are the ones that you cannot live without.
The Money You Can Save
Now, after you have a clear idea regarding your income and expenses, the next thing you have to do is to deduct your expenses from your total income. You want to see how much money you can save, on a per month basis. Now, see if this money is sufficient to pay off the monthly installments of all your debts that you owe to your various creditors.
Credit Counseling
If you have lost control of your finances and you are not in a position to judge your income and expenses, it is always better to avail a credit counseling service before filing bankruptcy. The credit counselor is an expert professional who knows the ins and outs of managing finances. They may show you the path to avoid bankruptcy and pay off the debts by some alternate methods. Here, you should also note that the new bankruptcy laws have now made it mandatory for you to go through a credit counseling service, before filing bankruptcy. The bankruptcy court takes further action depending upon the reports provided by the credit-counseling agency.
Overall, bankruptcy must be avoided as far as possible and before you go and file for bankruptcy, make sure that you analyze your financial situation as discussed above. It will help you make informed decision.
Filing bankruptcy in a bankruptcy court is a serious step. Therefore, before you hire a bankruptcy attorney and go ahead to defend your bankruptcy court, make sure that filing bankruptcy is the right step for you. To know more about filing bankruptcy online, role of bankruptcy lawyers, filing bankruptcy process and other related issues visit Filing bankruptcy.
http://EzineArticles.com/?expert=Asheesh_Mani
Analyze Your Income
Before you go ahead and hire a bankruptcy attorney for you, it is always recommended to analyze the things yourself. To start with, you must see what are your available sources of income. Check out the entire regular and irregular sources of income and try to ascertain the overall amount, you are capable to earn each month.
Review Your Expenses
The next step is to review your expenses. The best way to do this is to make a list. Prepare this list on a priority basis, keeping the essential expenses at the top. Your task is to calculate the total amount of essential expenses per month. The essential expenses are the ones that you cannot live without.
The Money You Can Save
Now, after you have a clear idea regarding your income and expenses, the next thing you have to do is to deduct your expenses from your total income. You want to see how much money you can save, on a per month basis. Now, see if this money is sufficient to pay off the monthly installments of all your debts that you owe to your various creditors.
Credit Counseling
If you have lost control of your finances and you are not in a position to judge your income and expenses, it is always better to avail a credit counseling service before filing bankruptcy. The credit counselor is an expert professional who knows the ins and outs of managing finances. They may show you the path to avoid bankruptcy and pay off the debts by some alternate methods. Here, you should also note that the new bankruptcy laws have now made it mandatory for you to go through a credit counseling service, before filing bankruptcy. The bankruptcy court takes further action depending upon the reports provided by the credit-counseling agency.
Overall, bankruptcy must be avoided as far as possible and before you go and file for bankruptcy, make sure that you analyze your financial situation as discussed above. It will help you make informed decision.
Filing bankruptcy in a bankruptcy court is a serious step. Therefore, before you hire a bankruptcy attorney and go ahead to defend your bankruptcy court, make sure that filing bankruptcy is the right step for you. To know more about filing bankruptcy online, role of bankruptcy lawyers, filing bankruptcy process and other related issues visit Filing bankruptcy.
http://EzineArticles.com/?expert=Asheesh_Mani
New Bankruptcy Laws And The Major Changes
Keeping in view the increasing number of bankruptcy frauds, various new bankruptcy laws have now been included in the bankruptcy code of the United State. The bankruptcy laws have always been a complex one and now, with the inclusion of these new laws, the complexity has risen to a great level only. Still, if you are planning to file for bankruptcy, or if you are a creditor and are concerned about the money, you have lent, it is important for you to be aware of the main changes that have been brought by these new bankruptcy laws. To start with, you must note that the new bankruptcy laws have come into effect by October 17, 2005. Following are some of the major changes:
Passing the Means Test Is Mandatory For the Debtors
Since, the debtors have caused most of the bankruptcy frauds; the new bankruptcy laws, have in fact, tried to safeguard the creditors. Now, it is a matter of the past, when the debtors had the freedom to choose the kind of bankruptcy they want to file, court petition for. The new bankruptcy laws have now made it mandatory for the debtors, to pass the means test before filing bankruptcy. The means test is a procedure, in which the available sources of income of the debtors are assessed. You are supposed to evaluate your total income and expenses. Now, you should deduct the expenses, and see how much money is left with you, after paying off all the necessary expenses. Is this amount sufficient to pay off the monthly installments of the debts you owe? If the money left with you is very little, and much less than the median income of the state, you can qualify for chapter 7 bankruptcy. On the other hand, if this amount is greater than the median income of the state, your only available option will be to file for chapter 13 bankruptcy or to go for any bankruptcy alternative.
Credit Counseling
The new bankruptcy laws have also made it mandatory for the debtors to go through a government-approved credit counseling service. The purpose is to make sure that there are no bankruptcy alternatives available to you. The credit counselor will review your financial situation and the amount of debt you owe to various creditors. If the credit counselor finds that a debt consolidation service might bring a solution for you, you will not be able to file for bankruptcy. In that case, your bankruptcy petition will be rejected and the bankruptcy court will ask you to pay the debts through a debt consolidation service.
New bankruptcy laws have come into effect from October 17, 2005. As per the new laws of filing bankruptcy, now it is mandatory for the debtors to go through the means test and a credit counseling service, before embarking on a filing bankruptcy process. It is essential, in order to make sure, whether you qualify for chapter 7 bankruptcy or chapter 13 bankruptcy. To know more about bankruptcy and related issues such as bankruptcy attorneys, bankruptcy costs and more visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Passing the Means Test Is Mandatory For the Debtors
Since, the debtors have caused most of the bankruptcy frauds; the new bankruptcy laws, have in fact, tried to safeguard the creditors. Now, it is a matter of the past, when the debtors had the freedom to choose the kind of bankruptcy they want to file, court petition for. The new bankruptcy laws have now made it mandatory for the debtors, to pass the means test before filing bankruptcy. The means test is a procedure, in which the available sources of income of the debtors are assessed. You are supposed to evaluate your total income and expenses. Now, you should deduct the expenses, and see how much money is left with you, after paying off all the necessary expenses. Is this amount sufficient to pay off the monthly installments of the debts you owe? If the money left with you is very little, and much less than the median income of the state, you can qualify for chapter 7 bankruptcy. On the other hand, if this amount is greater than the median income of the state, your only available option will be to file for chapter 13 bankruptcy or to go for any bankruptcy alternative.
Credit Counseling
The new bankruptcy laws have also made it mandatory for the debtors to go through a government-approved credit counseling service. The purpose is to make sure that there are no bankruptcy alternatives available to you. The credit counselor will review your financial situation and the amount of debt you owe to various creditors. If the credit counselor finds that a debt consolidation service might bring a solution for you, you will not be able to file for bankruptcy. In that case, your bankruptcy petition will be rejected and the bankruptcy court will ask you to pay the debts through a debt consolidation service.
New bankruptcy laws have come into effect from October 17, 2005. As per the new laws of filing bankruptcy, now it is mandatory for the debtors to go through the means test and a credit counseling service, before embarking on a filing bankruptcy process. It is essential, in order to make sure, whether you qualify for chapter 7 bankruptcy or chapter 13 bankruptcy. To know more about bankruptcy and related issues such as bankruptcy attorneys, bankruptcy costs and more visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Reasons To File For Bankruptcy
Although no one likes to admit it, financial problems are very common. Financial problems occur for a variety of different reasons. Whether it is because of overwhelming medical bills or being laid off work, financial troubles can easily occur. The question then becomes, when is filing for bankruptcy the only way out? People often wonder under what circumstances they should actually file bankruptcy. Here are some simple guidelines that can assist you in making that decision.
If you are overwhelmed with debt you can no longer pay, bankruptcy might be a viable option for you. When you wipe your debt completely clean, it is called discharge of debt. The goal of this is to help reduce your overall debt and allow you to start again with a clean slate. Whether you choose to go with Chapter 7 Bankruptcy (straight bankruptcy) or Chapter 13 Bankruptcy (reorganization), most, if not all of your debt will be wiped out.
If your home is currently in foreclosure, bankruptcy can help to stop the foreclosure process any time before the actual sale of the house. However, filing bankruptcy will by no means wipe out your current mortgage. Bankruptcy will help you create a repayment plan for the payments you are behind on.
Bankruptcy can help you keep your car and other processions from being repossessed. Even if your car has been repossessed by the bank, when you file bankruptcy you can actually force them to give you your car back. However, this is only the case if bankruptcy is filed promptly and quickly enough. Any payments you are behind on will then be consolidated into a bankruptcy plan. After you have filed bankruptcy and a plan has been made, your payments will go directly to a bankruptcy trustee, instead of going directly to a finance company.
Bankruptcy can help to eliminate extremely high medical bills. Unfortunately, there are times when medical bills, whether due to an accident or major illness, can get to the point where you can no longer pay for them. If you choose to file Chapter 13 bankruptcy, then your overall medical bills can dramatically be reduced.
One of the most common reasons people file bankruptcy is because loss of work. Families can easily become comfortable with the income they are making, whether it is a single or dual income family. Then, if the unthinkable occurs and you become unemployed, bills can quickly pile up. Often times, losing your job can be directly related to a medical reason. Therefore, with high medical bills and no income to pay them or other bills, bankruptcy may be the only viable option to get out from under the bills.
Bankruptcy can stop the harassing phone calls and letters from creditors. Often times, creditors do not follow the rules when trying to collect a debt. Creditors will continuously call the home and act very inappropriately with abusive and demeaning behavior.
If you are unable to pay your utility bills and are close to having them shut off or have already had them shut off, then bankruptcy may be your way out. Filing bankruptcy can help keep your electric and other utilities from being shut off.
Student loans are another source of overwhelming debt. Although student loans will not be completely eliminated through bankruptcy, it can help to consolidate your loan leaving you with a more manageable payment.
Wage garnishments can be stopped through Chapter 7 Bankruptcy. Wage garnishments often make it impossible to purchase essential items for your family. Bankruptcy can help keep food on the table by ending the wage garnishments.
Paul Sarwana offers information about how to file for bankruptcy to help debtors build confidence in improving their financial situation. He runs an informational website that provides tips on choosing a debt relief service, dealing with creditors, increasing credit score and choosing a good bankruptcy lawyer. Please visit http://www.debtfirms.com/ to get more quality file for bankruptcy information.
http://EzineArticles.com/?expert=Paul_Sarwana
If you are overwhelmed with debt you can no longer pay, bankruptcy might be a viable option for you. When you wipe your debt completely clean, it is called discharge of debt. The goal of this is to help reduce your overall debt and allow you to start again with a clean slate. Whether you choose to go with Chapter 7 Bankruptcy (straight bankruptcy) or Chapter 13 Bankruptcy (reorganization), most, if not all of your debt will be wiped out.
If your home is currently in foreclosure, bankruptcy can help to stop the foreclosure process any time before the actual sale of the house. However, filing bankruptcy will by no means wipe out your current mortgage. Bankruptcy will help you create a repayment plan for the payments you are behind on.
Bankruptcy can help you keep your car and other processions from being repossessed. Even if your car has been repossessed by the bank, when you file bankruptcy you can actually force them to give you your car back. However, this is only the case if bankruptcy is filed promptly and quickly enough. Any payments you are behind on will then be consolidated into a bankruptcy plan. After you have filed bankruptcy and a plan has been made, your payments will go directly to a bankruptcy trustee, instead of going directly to a finance company.
Bankruptcy can help to eliminate extremely high medical bills. Unfortunately, there are times when medical bills, whether due to an accident or major illness, can get to the point where you can no longer pay for them. If you choose to file Chapter 13 bankruptcy, then your overall medical bills can dramatically be reduced.
One of the most common reasons people file bankruptcy is because loss of work. Families can easily become comfortable with the income they are making, whether it is a single or dual income family. Then, if the unthinkable occurs and you become unemployed, bills can quickly pile up. Often times, losing your job can be directly related to a medical reason. Therefore, with high medical bills and no income to pay them or other bills, bankruptcy may be the only viable option to get out from under the bills.
Bankruptcy can stop the harassing phone calls and letters from creditors. Often times, creditors do not follow the rules when trying to collect a debt. Creditors will continuously call the home and act very inappropriately with abusive and demeaning behavior.
If you are unable to pay your utility bills and are close to having them shut off or have already had them shut off, then bankruptcy may be your way out. Filing bankruptcy can help keep your electric and other utilities from being shut off.
Student loans are another source of overwhelming debt. Although student loans will not be completely eliminated through bankruptcy, it can help to consolidate your loan leaving you with a more manageable payment.
Wage garnishments can be stopped through Chapter 7 Bankruptcy. Wage garnishments often make it impossible to purchase essential items for your family. Bankruptcy can help keep food on the table by ending the wage garnishments.
Paul Sarwana offers information about how to file for bankruptcy to help debtors build confidence in improving their financial situation. He runs an informational website that provides tips on choosing a debt relief service, dealing with creditors, increasing credit score and choosing a good bankruptcy lawyer. Please visit http://www.debtfirms.com/ to get more quality file for bankruptcy information.
http://EzineArticles.com/?expert=Paul_Sarwana
Bankruptcy Attorney - Tips For Choosing the Best One
Your bankruptcy attorney plays the most important role in handling your bankruptcy case. The bankruptcy laws are so complex that it is not possible for you to understand all the ins and outs associated with the same. What is more, the inclusion of the new bankruptcy laws has made it much more complex and complicated. The bankruptcy attorney is a specialized person, who knows how to use the various sections of the bankruptcy laws, to defend the bankruptcy claim for you. Therefore, if you are thinking about handling your bankruptcy case yourself, you must think twice. However, you should also note that not every bankruptcy attorney is the right one for your specific bankruptcy case. You are supposed to be very careful while choosing the one. Several factors seek your careful consideration in this regard. The more efficient your bankruptcy attorney is, the more are the chances that you will be able to defend your bankruptcy claims successfully.
License To Handle Bankruptcy Cases In A Specific State
Perhaps, the first thing that you need to look into, before hiring a bankruptcy attorney is to check, whether he or she is licensed to handle bankruptcy cases in your state. Since the bankruptcy laws differentiate widely from one state to another, it is important for you to make sure that the bankruptcy attorney you have chosen is thoroughly aware of the specific bankruptcy laws that are applicable in your state.
Are You Comfortable With The Bankruptcy Attorney?
The next big thing that you need to do is to make sure that you have good comfort level with the bankruptcy attorney you have chosen. It is very important because filing bankruptcy is a very crucial thing, and you want things to be done thoroughly. An experienced bankruptcy lawyer will take all your worries and make things much easier for you. The best way to determine if the bankruptcy attorney is the right one for you is to interview them. Ask as many questions as you want to. Ask about their qualifications and experience. Ask if they have handled your type of bankruptcy cases earlier as well. If yes, what is the success rate?
Bankruptcy Attorney Fee
Of course, budget is one of the most important elements in this regard and you cannot ignore this. Therefore, make sure that the first of the few things that you inquire about is regarding the fee they will charge. Make sure that you are capable enough to pay the fee. Usually, the bankruptcy attorney charges a substantial fee.
Bankruptcy attorney must be chosen with great care. After all, they are the ones, who will not only help you in filing bankruptcy, but will also defend the bankruptcy claim for you successfully. Before you hire a bankruptcy attorney, please check about the fee and charges for the same. To read more on different aspects of bankruptcy and to know more about filing bankruptcy process, visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
License To Handle Bankruptcy Cases In A Specific State
Perhaps, the first thing that you need to look into, before hiring a bankruptcy attorney is to check, whether he or she is licensed to handle bankruptcy cases in your state. Since the bankruptcy laws differentiate widely from one state to another, it is important for you to make sure that the bankruptcy attorney you have chosen is thoroughly aware of the specific bankruptcy laws that are applicable in your state.
Are You Comfortable With The Bankruptcy Attorney?
The next big thing that you need to do is to make sure that you have good comfort level with the bankruptcy attorney you have chosen. It is very important because filing bankruptcy is a very crucial thing, and you want things to be done thoroughly. An experienced bankruptcy lawyer will take all your worries and make things much easier for you. The best way to determine if the bankruptcy attorney is the right one for you is to interview them. Ask as many questions as you want to. Ask about their qualifications and experience. Ask if they have handled your type of bankruptcy cases earlier as well. If yes, what is the success rate?
Bankruptcy Attorney Fee
Of course, budget is one of the most important elements in this regard and you cannot ignore this. Therefore, make sure that the first of the few things that you inquire about is regarding the fee they will charge. Make sure that you are capable enough to pay the fee. Usually, the bankruptcy attorney charges a substantial fee.
Bankruptcy attorney must be chosen with great care. After all, they are the ones, who will not only help you in filing bankruptcy, but will also defend the bankruptcy claim for you successfully. Before you hire a bankruptcy attorney, please check about the fee and charges for the same. To read more on different aspects of bankruptcy and to know more about filing bankruptcy process, visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Chapter 13 Bankruptcy - An Overview
Chapter 13 bankruptcy is also known as Wage Earner Plan or reorganization bankruptcy. The bankruptcy as per this chapter of the bankruptcy code, is just opposite to what happens under chapter 7 bankruptcy. Chapter 7 bankruptcy is a liquidation process, where all the assets of the debtor are sold off by the trustee appointed by the bankruptcy court, in order to settle his or her debts. On the other hand, the chapter 13 bankruptcy is a reorganization process, where the debtor gets a chance to continue with its existing business, while paying off the debts simultaneously, as per the wage earner plan approved by the bankruptcy court.
Eligibility criteria for chapter 13 bankruptcy
The new bankruptcy laws have now made it mandatory for all the debtors to pass a MEANS test, before filing bankruptcy and it is the reports of the MEANS test that will decide whether you qualify for chapter 7 or chapter 13 bankruptcy. The main objective of the MEANS test is to figure out your expenses and income. You need to make a declaration regarding your income and expenses. The necessary expenses are deducted from your overall regular income, in order to find, if the money thus left can be used to settle the debts. If the money thus left is more than the median income of your state, you can qualify for chapter 13 bankruptcy. Otherwise, you will be asked by the bankruptcy court to file for chapter 7 bankruptcy.
You do not need to pay the full amount of debt
Under chapter 13 bankruptcy, you are not supposed to pay off the full amount of the debt that you owe to your various creditors. You can get away by paying just a certain percentage of the full amount. This will depend upon the total amount of debt that you owe and the total amount of money left to you, after deducting all the essential expenses. For example, you may be asked by the bankruptcy court to pay only 75 cents on each dollar or may be 25 cents per dollar.
Debt repayment plan
The debtors that have been declared bankrupt under chapter 13 bankruptcy are proposed a debt repayment plan. You are supposed to repay the reduced claims of the creditors based on the repayment plan as suggested by the bankruptcy court. As per this plan, the trustee will keep an eye on your business activities and will make sure that you are paying off the reduced debts on the fixed monthly schedule, as determined by the bankruptcy court.
Filing bankruptcy as per the provisions of Chapter 13 bankruptcy allows you to reorganize your finances while paying off the debts simultaneously, based on the wage earner plan as proposed by the bankruptcy court. However, it is the MEANS test that decides whether you qualify for Chapter 7 bankruptcy or Chapter 13. To know more about filing bankruptcy online, bankruptcy costs and other related issues visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Eligibility criteria for chapter 13 bankruptcy
The new bankruptcy laws have now made it mandatory for all the debtors to pass a MEANS test, before filing bankruptcy and it is the reports of the MEANS test that will decide whether you qualify for chapter 7 or chapter 13 bankruptcy. The main objective of the MEANS test is to figure out your expenses and income. You need to make a declaration regarding your income and expenses. The necessary expenses are deducted from your overall regular income, in order to find, if the money thus left can be used to settle the debts. If the money thus left is more than the median income of your state, you can qualify for chapter 13 bankruptcy. Otherwise, you will be asked by the bankruptcy court to file for chapter 7 bankruptcy.
You do not need to pay the full amount of debt
Under chapter 13 bankruptcy, you are not supposed to pay off the full amount of the debt that you owe to your various creditors. You can get away by paying just a certain percentage of the full amount. This will depend upon the total amount of debt that you owe and the total amount of money left to you, after deducting all the essential expenses. For example, you may be asked by the bankruptcy court to pay only 75 cents on each dollar or may be 25 cents per dollar.
Debt repayment plan
The debtors that have been declared bankrupt under chapter 13 bankruptcy are proposed a debt repayment plan. You are supposed to repay the reduced claims of the creditors based on the repayment plan as suggested by the bankruptcy court. As per this plan, the trustee will keep an eye on your business activities and will make sure that you are paying off the reduced debts on the fixed monthly schedule, as determined by the bankruptcy court.
Filing bankruptcy as per the provisions of Chapter 13 bankruptcy allows you to reorganize your finances while paying off the debts simultaneously, based on the wage earner plan as proposed by the bankruptcy court. However, it is the MEANS test that decides whether you qualify for Chapter 7 bankruptcy or Chapter 13. To know more about filing bankruptcy online, bankruptcy costs and other related issues visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Life After Bankruptcy | Let’s get it going!
Let's begin your life after bankruptcy…now!
Ok, so you just received your discharge papers from the bankruptcy court. Now what? Are you going to go into the corner and hide? Or are you going to see this situation as the most liberating opportunity you have had in years. I suggest the latter…and for one reason…I have seen literally thousands of people begin their life after bankruptcy with greater opportunities than ever before. Let me explain.
Beginning your life after bankruptcy can sometimes seem a little daunting, but I am here to tell you that you are immediately going to recognize that you are in a much better situation then you might imagine.
First, you are not likely to fall into many of the same traps that you fell into before…this I am sure of, as we have interviewed literally tens of thousands of individuals that have gone through a recent bankruptcy. The reaction we hear most from individuals that have recently discharged and bankruptcy…and are about to begin their life after bankruptcy…is, “I have learned so much through this process…I can't imagine ever going through that again.”
I mean seriously, the education alone of going through that situation is enough to keep all of us on the “straight and narrow” in building our life after bankruptcy as stable as possible.
Next, you have most likely learned quite a bit about sacrifice and “how to trim the fat.” Often times we find ourselves adding an expense here and an expense there and before we know it, we are in a bit over our heads. Then, to compound matters, we begin to rob Peter to pay Paul, driving us now into debt that we can not get out of without some miracle from above.
In speaking to those that are building their life after bankruptcy, one of the most common things I hear is “I will NEVER buy another subscription, apply for another department store credit card, or cave in to the temptation of a pay day loan in order to get something I want now.” People have learned sacrifice and patience in a world of immediate gratification…and this is worth its weight in gold.
Finally, for those that are rebuilding life after bankruptcy that came down that result of unforeseen circumstances, such as medical bills, an accident, unemployment, etc, this is a group of people that has also learned more than they could ever imagine. In our discussions over the years with this group, one thing is clear, these people will never fall prey to these circumstances ever again. Why do I say that…well…this is what I hear.
“I put myself into a situation where I was uninsured, and now that I have been through a bankruptcy because of this situation, I will never be uninsured again.” And, “I went through a period of unemployment, now I have gone back to school to become more marketable and now have a job paying $4 more per hour. Life has become so much more enjoyable.” Or, “I was injured on the job last year, and with the small amount of money you receive from Workers Compensation, I just wasn't able to make ends meet. I now have cut 100% of all “stupid” expenses and have begun a serious savings account. I now have 3 months of my monthly expenses safely tucked away…I will never let this happen to me again.”
You know, many times when I am talking to people they actually say that going through bankruptcy was the best thing that ever happened to them. I believe it…really I do.
Begin your life after bankruptcy today, with a totally new lease on life!
http://www.articleson.com/Article/Life-After-Bankruptcy---Let-s-get-it-going-/2270
Ok, so you just received your discharge papers from the bankruptcy court. Now what? Are you going to go into the corner and hide? Or are you going to see this situation as the most liberating opportunity you have had in years. I suggest the latter…and for one reason…I have seen literally thousands of people begin their life after bankruptcy with greater opportunities than ever before. Let me explain.
Beginning your life after bankruptcy can sometimes seem a little daunting, but I am here to tell you that you are immediately going to recognize that you are in a much better situation then you might imagine.
First, you are not likely to fall into many of the same traps that you fell into before…this I am sure of, as we have interviewed literally tens of thousands of individuals that have gone through a recent bankruptcy. The reaction we hear most from individuals that have recently discharged and bankruptcy…and are about to begin their life after bankruptcy…is, “I have learned so much through this process…I can't imagine ever going through that again.”
I mean seriously, the education alone of going through that situation is enough to keep all of us on the “straight and narrow” in building our life after bankruptcy as stable as possible.
Next, you have most likely learned quite a bit about sacrifice and “how to trim the fat.” Often times we find ourselves adding an expense here and an expense there and before we know it, we are in a bit over our heads. Then, to compound matters, we begin to rob Peter to pay Paul, driving us now into debt that we can not get out of without some miracle from above.
In speaking to those that are building their life after bankruptcy, one of the most common things I hear is “I will NEVER buy another subscription, apply for another department store credit card, or cave in to the temptation of a pay day loan in order to get something I want now.” People have learned sacrifice and patience in a world of immediate gratification…and this is worth its weight in gold.
Finally, for those that are rebuilding life after bankruptcy that came down that result of unforeseen circumstances, such as medical bills, an accident, unemployment, etc, this is a group of people that has also learned more than they could ever imagine. In our discussions over the years with this group, one thing is clear, these people will never fall prey to these circumstances ever again. Why do I say that…well…this is what I hear.
“I put myself into a situation where I was uninsured, and now that I have been through a bankruptcy because of this situation, I will never be uninsured again.” And, “I went through a period of unemployment, now I have gone back to school to become more marketable and now have a job paying $4 more per hour. Life has become so much more enjoyable.” Or, “I was injured on the job last year, and with the small amount of money you receive from Workers Compensation, I just wasn't able to make ends meet. I now have cut 100% of all “stupid” expenses and have begun a serious savings account. I now have 3 months of my monthly expenses safely tucked away…I will never let this happen to me again.”
You know, many times when I am talking to people they actually say that going through bankruptcy was the best thing that ever happened to them. I believe it…really I do.
Begin your life after bankruptcy today, with a totally new lease on life!
http://www.articleson.com/Article/Life-After-Bankruptcy---Let-s-get-it-going-/2270
Is Life After Bankruptcy That Bad?
It seems that some people do not recognize that dispite some unpleasant aftereffects, bankruptcy is truly a “fresh start.”
Instead of being satisfied with the benefits they receive some people remain unhappy.
Here is a letter I received:
“Why does it take attorney's six or more weeks to discharge a chapter 13?
Why do apartment leasers hold a bankruptcy against you when I don't see how you could add apartment rent onto your bankruptcy?
If life is so miserable after a bankruptcy, why are lawyers constantly telling people it's okay to file. (They want to get paid.) “
My response:
“Six weeks for a discharge isn't that long and may well be governed by the schedule of the bankruptcy court.
Some landlords may not want to rent to someone with bad credit. They may feel that they will have to chase the renter for their money. Dispossessions are time consuming and expensive.
In many cases the landlord will get possession of his apartment, but may never recover the unpaid rent.
While the court proceedings drag on, the landlord has lost a part of his source of income. So he has a right to be careful.
However life is not that bad after bankruptcy. Debtors used to be sent to jail.
Not too long ago, bankruptcy would mean that the bankrupts would have to carry a stigma for life. Many committed suicide rather than face the disgrace.
Many people who went bankrupt during the Great Depression spent years paying off their discharged debts as a matter of honor.
Now nobody much cares. You will be able to get credit. Your debts have been wiped away. What more can you ask for?
You were the one who ran up the debts, whether through bad luck, bad planning or the simple inability to control your spending.
You did contract to repay the money and you didn't.
For the most part you are now free of the pain and pressure caused by your financial problems. You will face some obstacles over the next few years, but you should have realized that before filing.
You approached a lawyer, not the other way around. I'm sure the lawyer didn't twist your arm to force you to file. If you've gotten your discharge, be happy, restart your life and live with the consequences.
Things could be worse.”
In my opinion this person needs an attitude adjustment.
http://www.articleson.com/Article/Is-Life-After-Bankruptcy-That-Bad-/4824
Instead of being satisfied with the benefits they receive some people remain unhappy.
Here is a letter I received:
“Why does it take attorney's six or more weeks to discharge a chapter 13?
Why do apartment leasers hold a bankruptcy against you when I don't see how you could add apartment rent onto your bankruptcy?
If life is so miserable after a bankruptcy, why are lawyers constantly telling people it's okay to file. (They want to get paid.) “
My response:
“Six weeks for a discharge isn't that long and may well be governed by the schedule of the bankruptcy court.
Some landlords may not want to rent to someone with bad credit. They may feel that they will have to chase the renter for their money. Dispossessions are time consuming and expensive.
In many cases the landlord will get possession of his apartment, but may never recover the unpaid rent.
While the court proceedings drag on, the landlord has lost a part of his source of income. So he has a right to be careful.
However life is not that bad after bankruptcy. Debtors used to be sent to jail.
Not too long ago, bankruptcy would mean that the bankrupts would have to carry a stigma for life. Many committed suicide rather than face the disgrace.
Many people who went bankrupt during the Great Depression spent years paying off their discharged debts as a matter of honor.
Now nobody much cares. You will be able to get credit. Your debts have been wiped away. What more can you ask for?
You were the one who ran up the debts, whether through bad luck, bad planning or the simple inability to control your spending.
You did contract to repay the money and you didn't.
For the most part you are now free of the pain and pressure caused by your financial problems. You will face some obstacles over the next few years, but you should have realized that before filing.
You approached a lawyer, not the other way around. I'm sure the lawyer didn't twist your arm to force you to file. If you've gotten your discharge, be happy, restart your life and live with the consequences.
Things could be worse.”
In my opinion this person needs an attitude adjustment.
http://www.articleson.com/Article/Is-Life-After-Bankruptcy-That-Bad-/4824
Bankruptcy Alternatives - 5 Ways to Avoid Bankruptcy
What you are about to read may stop you making the biggest mistake of your financial life.
In today's debt ridden society many people are in severe financial difficulties, often for reasons outside their control. Bankruptcy for many, is the last step in a long road of financial pressures but many opt for this solution too early and without considering suitable bankruptcy alternatives. Whilst bankruptcy may get rid of the immediate pressures it isn't necessarily the end of the problems.
When you file for bankruptcy your life becomes an open book for the court appointed bankruptcy officials. They will pry into all aspects of your life and you will be required to provide all your financial information, including bank accounts, savings, investments and assets. Anything that can be sold or converted to cash, including your family home and any valuable contents, will be disposed of and you may still have part of your income deducted from your salary to pay some of your debts.
But there are bankruptcy alternatives that may be less painful for many. Here I've listed 5 bankruptcy alternatives
1. Negotiate with your creditors.
When you get into difficulties you should contact your creditors as soon as possible. Contacting them sends a signal that you want to repay them.
Lenders are anxious to get their money back and sometimes they will go to great lengths to help you. They may be prepared to re-finance your debt to have it paid over a longer period with lower installments.
They will often be prepared to reduce or freeze the interest rate and will even cut the balance owing up to 75%.
2. Refinance your mortgage.
If you have a property, which you own outright or on a mortgage, there is the real possibility of you being able to refinancing your debts using a secured mortgage or re mortgage.
Refinancing your debts involves taking out a new mortgage, or an additional mortgage. Some lenders will lend up to 125% of the property value allowing you to pay all your outstanding debt and may even have some spare cash to treat yourself.
As the new loan is repayable over a long period of time (often 25 - 35 years) the monthly repayments are significantly lower than with short term debt and should be far more manageable
3. Refinance your debts using a debt consolidation loan.
Debt consolidation is where you take a new unsecured loan and use the funds to pay off your outstanding debts. Debt consolidation loans are repayable over a longer term at a relatively low interest rate and as a result the monthly repayments are lower. If the loan is secured on your property then the interest rate and payments may be even lower.
4. Sell your home and downsize.
One of the easiest ways to get out of debt is to sell your house or apartment and downsize or move into rented accommodation. The surplus cash can then be used to pay your debts and you can continue with your life without the pressure.
Selling up and moving home is, however, a difficult and often painful option. If you do sell however. you can determine the price and remain in control. If the house falls into bankruptcy, you lose control and the house may be sold by
your mortgagor at auction for a price often considerably less than the price you can obtain in a normal sale.
5. A formal arrangement with your creditors.
A formal arrangement with your creditors can often be negotiated by specialist debt management companies and is filed with the courts. These arrangements are for 5 years. You pay an agreed amount each week or month to the debt management company and it is then divided between your creditors. While you continue to pay they are prevented from approaching you.
After the 5 year period is over any balance still owing is wiped out and you are free to live your life free of debt. If however you break the arrangement the normal result is bankruptcy.
As you can see, there are several sound bankruptcy alternatives for you to choose from. Everybody is under financial pressure from time to time, however you should not compound your problems by declaring bankruptcy too soon. Instead, choose the bankruptcy alternative that sounds the best for your particular situation and start working to repair your credit now.
Using a bankruptcy alternative means that in a few years you will have rebuilt your credit and will be back on track, whereas with bankruptcy it could be ten years before you can get back to normal.
http://www.articleson.com/Article/Bankruptcy-Alternatives---5-Ways-to-Avoid-Bankruptcy/4173
In today's debt ridden society many people are in severe financial difficulties, often for reasons outside their control. Bankruptcy for many, is the last step in a long road of financial pressures but many opt for this solution too early and without considering suitable bankruptcy alternatives. Whilst bankruptcy may get rid of the immediate pressures it isn't necessarily the end of the problems.
When you file for bankruptcy your life becomes an open book for the court appointed bankruptcy officials. They will pry into all aspects of your life and you will be required to provide all your financial information, including bank accounts, savings, investments and assets. Anything that can be sold or converted to cash, including your family home and any valuable contents, will be disposed of and you may still have part of your income deducted from your salary to pay some of your debts.
But there are bankruptcy alternatives that may be less painful for many. Here I've listed 5 bankruptcy alternatives
1. Negotiate with your creditors.
When you get into difficulties you should contact your creditors as soon as possible. Contacting them sends a signal that you want to repay them.
Lenders are anxious to get their money back and sometimes they will go to great lengths to help you. They may be prepared to re-finance your debt to have it paid over a longer period with lower installments.
They will often be prepared to reduce or freeze the interest rate and will even cut the balance owing up to 75%.
2. Refinance your mortgage.
If you have a property, which you own outright or on a mortgage, there is the real possibility of you being able to refinancing your debts using a secured mortgage or re mortgage.
Refinancing your debts involves taking out a new mortgage, or an additional mortgage. Some lenders will lend up to 125% of the property value allowing you to pay all your outstanding debt and may even have some spare cash to treat yourself.
As the new loan is repayable over a long period of time (often 25 - 35 years) the monthly repayments are significantly lower than with short term debt and should be far more manageable
3. Refinance your debts using a debt consolidation loan.
Debt consolidation is where you take a new unsecured loan and use the funds to pay off your outstanding debts. Debt consolidation loans are repayable over a longer term at a relatively low interest rate and as a result the monthly repayments are lower. If the loan is secured on your property then the interest rate and payments may be even lower.
4. Sell your home and downsize.
One of the easiest ways to get out of debt is to sell your house or apartment and downsize or move into rented accommodation. The surplus cash can then be used to pay your debts and you can continue with your life without the pressure.
Selling up and moving home is, however, a difficult and often painful option. If you do sell however. you can determine the price and remain in control. If the house falls into bankruptcy, you lose control and the house may be sold by
your mortgagor at auction for a price often considerably less than the price you can obtain in a normal sale.
5. A formal arrangement with your creditors.
A formal arrangement with your creditors can often be negotiated by specialist debt management companies and is filed with the courts. These arrangements are for 5 years. You pay an agreed amount each week or month to the debt management company and it is then divided between your creditors. While you continue to pay they are prevented from approaching you.
After the 5 year period is over any balance still owing is wiped out and you are free to live your life free of debt. If however you break the arrangement the normal result is bankruptcy.
As you can see, there are several sound bankruptcy alternatives for you to choose from. Everybody is under financial pressure from time to time, however you should not compound your problems by declaring bankruptcy too soon. Instead, choose the bankruptcy alternative that sounds the best for your particular situation and start working to repair your credit now.
Using a bankruptcy alternative means that in a few years you will have rebuilt your credit and will be back on track, whereas with bankruptcy it could be ten years before you can get back to normal.
http://www.articleson.com/Article/Bankruptcy-Alternatives---5-Ways-to-Avoid-Bankruptcy/4173
Bankruptcy: Tips To Avoid It
Although it may seem like an easy solution to major financial difficulties, it is best to avoid bankruptcy at all cost. There are many reasons for avoiding bankruptcy and many tips for helping those in financial difficulty avoid resorting to bankruptcy. Before beginning to consider bankruptcy, it is best to weigh the negative consequences.
Reasons for avoiding bankruptcy include:
Credit Record - Once a party has filed for bankruptcy, this will stay on their record for ten years. With the easy access to credit checks, having bankruptcy on a credit report will undoubtedly make it difficult for parties to receive loans and credit. Even if creditors will allow for limited credit with bankruptcy on the record, extensive explanations are required and, without a doubt, the debtor will be looking at high interest rates and credit fees.
Loss of property - Although not all types of bankruptcy call for liquidation of property, many of the eight types of bankruptcy in the United States will call for some type of repossession of assets. If the banks find that there is anything unnecessary for living, these items will most likely be seized in order to pay for debts and bankruptcy expenses. Chapter 7, or complete bankruptcy, will even require that major purchases, such as a home or excess cars be repossessed.
Continued financial difficulty - Despite societal beliefs that bankruptcy will get you on the right track, bankruptcy can actually add to financial difficulty for years to come. This may include closure of bank and credit accounts, loss of a job or closing of a business, and inability to continue acquiring credit. Keep in mind while bankruptcy may seem to suggest a "clean slate", there are often debts that will still have to be paid, such as alimony, child support or court judgment costs.
With these negative consequences in mind, it is then necessary to consider possible ways that an individual or business can avoid bankruptcy in the near future:
Debt Consolidation - With rising bankruptcy proceedings in the United States, more debt consolidation companies have come to light. These companies can help debtors to examine current loans and credit debt against available income and will come up with a reasonable monthly payment that incorporates all of these debts. This helps the debtor, who usually feels overwhelmed having to make choices about which debt to pay each month. The debt consolidation company will also help the debtor set up a reasonable time frame to pay off these debts, giving the debtor something to look forward to in the long run.
Get rid of potential debt problems-With the easy access to credit cards and credit accounts at department stores, it is easy to become swallowed up by overwhelming credit. Especially when money runs low, it is easy to pay cash for the bills due now and then continue racking up the credit card bills for later. One of the first steps in avoiding bankruptcy is to get rid of that credit yourself. Cut up the credit card and call the credit card company to cancel that account. If you can’t afford it out of the bank account, then you can’t have it to spend! This is better than having nothing at all by having things repossessed through bankruptcy.
Speak with debt companies - The first instinct when unable to pay bills on time is to simply hide from the debt companies who continue to call or send bills. Unfortunately, many in debt do not recognize that these companies can actually help with different payment plans! As well, many student loan corporations, mortgage companies and credit card companies will allow for forbearances of loans. Forbearances are a deferment or reduction of the loan because of financial hardship and allows for an individual to get back on their feet.
Plan a budget - A simple step that many debtors forget to try is a weekly or monthly budget that calculates debt ratio to income. This is one of the steps that many debt consolidation companies will do for you, but it can easily be done by yourself with pen and paper or with a Microsoft Excel spreadsheet. Take time to sit down, write out all of the bills that come in each month and remember to include all expenditures such as gas and groceries. From here you can determine how much money you have that needs to go to bill companies and how much is left for other spending.
http://www.articleson.com/Article/Bankruptcy--Tips-To-Avoid-It/4078
Reasons for avoiding bankruptcy include:
Credit Record - Once a party has filed for bankruptcy, this will stay on their record for ten years. With the easy access to credit checks, having bankruptcy on a credit report will undoubtedly make it difficult for parties to receive loans and credit. Even if creditors will allow for limited credit with bankruptcy on the record, extensive explanations are required and, without a doubt, the debtor will be looking at high interest rates and credit fees.
Loss of property - Although not all types of bankruptcy call for liquidation of property, many of the eight types of bankruptcy in the United States will call for some type of repossession of assets. If the banks find that there is anything unnecessary for living, these items will most likely be seized in order to pay for debts and bankruptcy expenses. Chapter 7, or complete bankruptcy, will even require that major purchases, such as a home or excess cars be repossessed.
Continued financial difficulty - Despite societal beliefs that bankruptcy will get you on the right track, bankruptcy can actually add to financial difficulty for years to come. This may include closure of bank and credit accounts, loss of a job or closing of a business, and inability to continue acquiring credit. Keep in mind while bankruptcy may seem to suggest a "clean slate", there are often debts that will still have to be paid, such as alimony, child support or court judgment costs.
With these negative consequences in mind, it is then necessary to consider possible ways that an individual or business can avoid bankruptcy in the near future:
Debt Consolidation - With rising bankruptcy proceedings in the United States, more debt consolidation companies have come to light. These companies can help debtors to examine current loans and credit debt against available income and will come up with a reasonable monthly payment that incorporates all of these debts. This helps the debtor, who usually feels overwhelmed having to make choices about which debt to pay each month. The debt consolidation company will also help the debtor set up a reasonable time frame to pay off these debts, giving the debtor something to look forward to in the long run.
Get rid of potential debt problems-With the easy access to credit cards and credit accounts at department stores, it is easy to become swallowed up by overwhelming credit. Especially when money runs low, it is easy to pay cash for the bills due now and then continue racking up the credit card bills for later. One of the first steps in avoiding bankruptcy is to get rid of that credit yourself. Cut up the credit card and call the credit card company to cancel that account. If you can’t afford it out of the bank account, then you can’t have it to spend! This is better than having nothing at all by having things repossessed through bankruptcy.
Speak with debt companies - The first instinct when unable to pay bills on time is to simply hide from the debt companies who continue to call or send bills. Unfortunately, many in debt do not recognize that these companies can actually help with different payment plans! As well, many student loan corporations, mortgage companies and credit card companies will allow for forbearances of loans. Forbearances are a deferment or reduction of the loan because of financial hardship and allows for an individual to get back on their feet.
Plan a budget - A simple step that many debtors forget to try is a weekly or monthly budget that calculates debt ratio to income. This is one of the steps that many debt consolidation companies will do for you, but it can easily be done by yourself with pen and paper or with a Microsoft Excel spreadsheet. Take time to sit down, write out all of the bills that come in each month and remember to include all expenditures such as gas and groceries. From here you can determine how much money you have that needs to go to bill companies and how much is left for other spending.
http://www.articleson.com/Article/Bankruptcy--Tips-To-Avoid-It/4078
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