While the phrase “what is old is new again” is a thoroughly worn out cliché, it has become a cliché because it is oft repeated and it is oft repeated because there is a great deal of truth and reality found within the words that comprise the phrase. In the case of bankruptcy, this is an old problem that has come back to the forefront of the public consciousness thanks in part to the current mortgage foreclosure crisis that is facing segments of the nation. Well, perhaps the words “thanks” and “foreclosure” do not go so well together. In any event, there has been an alarming increase in bankruptcy filings due to the increase in foreclosures and it has become a headline grabber in the newspapers as well as a campaign issue in the upcoming elections.
The Problem Of Foreclosures
On a baseline level, the current issue of mortgage foreclosures derives from the fact that people are unable to afford their mortgages. Because the mortgages have created a situation where the homeowner has had to “max out” on loans to meet mortgage payments, there has been an increase in bankruptcy filings.
The Cause Of The Foreclosures
The cause of the foreclosures is two fold: first, many borrowers simply borrowed far beyond their affordability. When it became obvious they could not pay, they did not downsize to a smaller, less expensive home. This set them on course for bankruptcy.
The second cause of the foreclosures is the result of predatory lending when the lender purposefully “swerved” the borrower into purchasing a home they could not afford. The third reason is a combination of reasons one and two.
Escaping Bankruptcy Foreclosures
Now that we find ourselves in a problematic situation, how do we get out of it? This is the question posed by many individuals in regards to their current situation. There has been talk of government bailouts, but that would seem like a very slim option. Quite honestly, the public would not be interested in helping out people who dug themselves in a hole. Market manipulation of sub prime lending rates is an option, but a tricky one that may not prove possible. Filing for personal bankruptcy is an option, but this has become harder in recent years as the rules for filing bankruptcy have become tighter.
The other option is to consolidate bills and seek credit counseling. The final is to simply let the foreclosure occur and let the proverbial chips fall where they may. As one can see, there are no easy options in the situation.
Jim Power is writer for the student loan information site http://www.mortagesave.com where there is more information to be found on bankruptcy and mortgages. please visit http://www.mortagesave.com for more information.
http://EzineArticles.com/?expert=Jim_Power
Saturday, October 6, 2007
Bankruptcy And Student Loans
Whenever a person considers filing for personal bankruptcy and student loans make up a good part of their debt, there is a good chance the loans will not be discharged. In 1998, when the government’s rules regarding bankruptcy were changed, student loans were ruled to be non-dischargeable as many financial institutions were losing million of dollars. Additionally, the government was losing millions of dollars on loans that were guaranteed by the federal government when the loans were discharged through bankruptcy.
Today, the person claiming Chapter 7 bankruptcy has to show that an undue financial hardship will result if the loans are not discharged. As in many cases with bankruptcy and student loans make up a large portion of the individual’s debt, a portion of the loan may be discharged by the judge, but most of the loan will remain a legal debt. In other cases in bankruptcy and student loans are reviewed, if the loans are found to have been sold repeatedly to other lenders and with changing interest rates it is difficult to determine an exact balance, some or all of the loan may be discharged.
Under the provisions of Chapter 13 bankruptcy, a debtor can arrange to have all of their unsecured and secured debt become part of a repayment plan through a court trustee. In these cases of bankruptcy and student loans are included, the person must meet specific criteria, for example showing they have sufficient income to make the monthly payments determined by the court to pay off the total debt within five years.
Proving Debtor Has Ability To Pay
Fo example, if a person has a total outstanding debt filed in bankruptcy court of $100,000, the trustee will divide that total by 60 months to come up with a monthly payment of $1,667 a month. If the person can show earning of that amount plus money for daily living expenses, they may be able to file Chapter 13 bankruptcy and student loans will be included in the amount.
However, if their income does allow for expenses plus the payment to the court, Chapter 13 will not be allowed. Their other option may be to file Chapter 13 bankruptcy to eliminate most of their other debts, freeing up money for them to make payments on student loans. For many filing bankruptcy and student loans payments afterwards will take up a large portion of their income and after a period of time, they may be able to secure a loan with lower interest rates and lower payments to pay off their student loans.
Jim Power is writer for the student loan information site http://www.studentaides.com where there is more information to be found on student credit cards. please visit http://www.studentaides.com for more information.
http://EzineArticles.com/?expert=Jim_Power
Today, the person claiming Chapter 7 bankruptcy has to show that an undue financial hardship will result if the loans are not discharged. As in many cases with bankruptcy and student loans make up a large portion of the individual’s debt, a portion of the loan may be discharged by the judge, but most of the loan will remain a legal debt. In other cases in bankruptcy and student loans are reviewed, if the loans are found to have been sold repeatedly to other lenders and with changing interest rates it is difficult to determine an exact balance, some or all of the loan may be discharged.
Under the provisions of Chapter 13 bankruptcy, a debtor can arrange to have all of their unsecured and secured debt become part of a repayment plan through a court trustee. In these cases of bankruptcy and student loans are included, the person must meet specific criteria, for example showing they have sufficient income to make the monthly payments determined by the court to pay off the total debt within five years.
Proving Debtor Has Ability To Pay
Fo example, if a person has a total outstanding debt filed in bankruptcy court of $100,000, the trustee will divide that total by 60 months to come up with a monthly payment of $1,667 a month. If the person can show earning of that amount plus money for daily living expenses, they may be able to file Chapter 13 bankruptcy and student loans will be included in the amount.
However, if their income does allow for expenses plus the payment to the court, Chapter 13 will not be allowed. Their other option may be to file Chapter 13 bankruptcy to eliminate most of their other debts, freeing up money for them to make payments on student loans. For many filing bankruptcy and student loans payments afterwards will take up a large portion of their income and after a period of time, they may be able to secure a loan with lower interest rates and lower payments to pay off their student loans.
Jim Power is writer for the student loan information site http://www.studentaides.com where there is more information to be found on student credit cards. please visit http://www.studentaides.com for more information.
http://EzineArticles.com/?expert=Jim_Power
What's Better? Two Foreclosures or Bankruptcy?
In the recent real estate boom of the last few years, many homeowners applied for and received second mortgages. These may have been in the form of Home Equity Lines of Credit (HELOCs) or as a 20% down payment loan for an 80/20 mortgage. When the house begins to go into foreclosure as the homeowners default on the first mortgage, though, there are different courses of action that the mortgage company can take, and foreclosure victims will have a number of options to solve the problem. But homeowners will need accurate foreclosure advice when they are facing the possibility of both mortgages going into foreclosure. This may seem like one of the few times when bankruptcy to stop foreclosure is a good idea to save the home and preserve some of the homeowners' credit, if they can avoid two separate foreclosures.
In most cases, the second mortgage will either file foreclosure, or they will desperately try to work with the homeowners to avoid foreclosure altogether. When the mortgage company files foreclosure, it is to protect their interest in the property and start accelerating their own fees and interest, so that they can grab a piece of the proceeds from the sheriff sale. However, they will do this only if they are expecting the property to sell for enough to pay off the first mortgage and second mortgage. In a foreclosure auction, the proceeds are used to pay off any property taxes first, then the first mortgage, and then any other liens (second mortgages, judgment liens, etc.) in the order in which they were filed with the county. Thus, if there are no expected proceeds to pay off the second mortgage, there is little reason for the lender to attempt to foreclosure on the house.
Thus, this rarely happens, since the proceeds from sheriff sales typically do not pay off the first mortgage in full, let alone any of the second. In this case, the second mortgage company will work with the foreclosure victims and may be willing to accept less as a payoff in order to help them sell the property at a short sale (for less than the total amount owed). The lender knows they will most likely get nothing from the foreclosure auction, so it is worthwhile for them to accept anything for the loan, instead of lose everything. Second mortgage companies have been known to take as little as 10% of the total owed, because this is 10% more than they would receive at the foreclosure auction.
Even though there may be little danger in facing two foreclosures at once, homeowners are often advised to file bankruptcy to prevent this possibility. They would be able to establish a repayment plan that includes both loans and be given protection under the law in order to pay back the arrears. However, as noted above, the second mortgage may be much more willing to work with the homeowners to come to a solution that allows them to keep the home, even if the lender has to accept less as a total payoff, or give the foreclosure victims more time to get back on track with the monthly payments. Filing bankruptcy will not allow the homeowners to work directly with the mortgage companies, and may eliminate some of their options to negotiate with the second mortgage holder.
In terms of what bankruptcy can actually be used for, it can be a good option to stop the foreclosure process if the homeowners are out of time before the sheriff sale. Filing bankruptcy immediately puts the foreclosure process on hold, stopping the auction in its tracks. The repayment plan is usually quite expensive, though, and the homeowners will not have any extra income with which to save an emergency fund, or pay for any other financial setbacks that come along. All discretionary income must be applied to the debts that are included in the bankruptcy. For these reasons, foreclosure victims are typically better off looking at other options to stop foreclosure, before considering bankruptcy. A short sale or forbearance agreement with the first mortgage may get them back on track without the negative credit affects of having a bankruptcy and a foreclosure.
It is important for homeowners to do some research on what options they have available, besides bankruptcy, and try working with both lenders for a solution. Mortgage companies would like to avoid both bankruptcy and foreclosure, if there is a solution that will allow for that outcome. They may even be willing to postpone the sheriff sale or accept a short sale, rather than go through a lengthy legal process in the courts. Both of them are more interested in getting their money, not on foreclosing on the house, taking a loss on the mortgage, and having to sell a property in a depressed real estate market. It is in all of the mortgage companies' interests to find a solution to foreclosure.
The ForeclosureFish.com website helps homeowners put together a comprehensive plan to stop foreclosure from taking their homes from them. With hundreds of pages of free advice and information, foreclosure victims can learn about various options to save a home, including deed in lieu of foreclosure, short sales, and filing bankruptcy. Visit the website today to learn more about how foreclosure works, browse through a daily-updated foreclosure blog, or download our free foreclosure e-book explaining the basics of the foreclosure process and how to stop it: http://www.foreclosurefish.com/
http://EzineArticles.com/?expert=Nick_Adama
In most cases, the second mortgage will either file foreclosure, or they will desperately try to work with the homeowners to avoid foreclosure altogether. When the mortgage company files foreclosure, it is to protect their interest in the property and start accelerating their own fees and interest, so that they can grab a piece of the proceeds from the sheriff sale. However, they will do this only if they are expecting the property to sell for enough to pay off the first mortgage and second mortgage. In a foreclosure auction, the proceeds are used to pay off any property taxes first, then the first mortgage, and then any other liens (second mortgages, judgment liens, etc.) in the order in which they were filed with the county. Thus, if there are no expected proceeds to pay off the second mortgage, there is little reason for the lender to attempt to foreclosure on the house.
Thus, this rarely happens, since the proceeds from sheriff sales typically do not pay off the first mortgage in full, let alone any of the second. In this case, the second mortgage company will work with the foreclosure victims and may be willing to accept less as a payoff in order to help them sell the property at a short sale (for less than the total amount owed). The lender knows they will most likely get nothing from the foreclosure auction, so it is worthwhile for them to accept anything for the loan, instead of lose everything. Second mortgage companies have been known to take as little as 10% of the total owed, because this is 10% more than they would receive at the foreclosure auction.
Even though there may be little danger in facing two foreclosures at once, homeowners are often advised to file bankruptcy to prevent this possibility. They would be able to establish a repayment plan that includes both loans and be given protection under the law in order to pay back the arrears. However, as noted above, the second mortgage may be much more willing to work with the homeowners to come to a solution that allows them to keep the home, even if the lender has to accept less as a total payoff, or give the foreclosure victims more time to get back on track with the monthly payments. Filing bankruptcy will not allow the homeowners to work directly with the mortgage companies, and may eliminate some of their options to negotiate with the second mortgage holder.
In terms of what bankruptcy can actually be used for, it can be a good option to stop the foreclosure process if the homeowners are out of time before the sheriff sale. Filing bankruptcy immediately puts the foreclosure process on hold, stopping the auction in its tracks. The repayment plan is usually quite expensive, though, and the homeowners will not have any extra income with which to save an emergency fund, or pay for any other financial setbacks that come along. All discretionary income must be applied to the debts that are included in the bankruptcy. For these reasons, foreclosure victims are typically better off looking at other options to stop foreclosure, before considering bankruptcy. A short sale or forbearance agreement with the first mortgage may get them back on track without the negative credit affects of having a bankruptcy and a foreclosure.
It is important for homeowners to do some research on what options they have available, besides bankruptcy, and try working with both lenders for a solution. Mortgage companies would like to avoid both bankruptcy and foreclosure, if there is a solution that will allow for that outcome. They may even be willing to postpone the sheriff sale or accept a short sale, rather than go through a lengthy legal process in the courts. Both of them are more interested in getting their money, not on foreclosing on the house, taking a loss on the mortgage, and having to sell a property in a depressed real estate market. It is in all of the mortgage companies' interests to find a solution to foreclosure.
The ForeclosureFish.com website helps homeowners put together a comprehensive plan to stop foreclosure from taking their homes from them. With hundreds of pages of free advice and information, foreclosure victims can learn about various options to save a home, including deed in lieu of foreclosure, short sales, and filing bankruptcy. Visit the website today to learn more about how foreclosure works, browse through a daily-updated foreclosure blog, or download our free foreclosure e-book explaining the basics of the foreclosure process and how to stop it: http://www.foreclosurefish.com/
http://EzineArticles.com/?expert=Nick_Adama
Find Out Why Consumers Filed Bankruptcy
A recent study showed some very interesting data as far as why most people filed bankruptcy in recent years, as well as the demographics about those people. The profile of the majority of people who filed bankruptcy in the US in recent years is:
* Caucasian, married and is employed full time.
* In their mid 30's to mid 40's.
* At least a high school education and perhaps some college.
* Makes no more than $30k per year.
The overriding and primary reason for declaring bankruptcy was being over-extended on their credit obligations, loss of job or major reduction in income, or serious illness or injury resulting in very high medical expenses where the majority or all was not covered by the consumer's health care insurance.
Just by looking at those demographics, does that strike you as the typical profile of someone who would file bankruptcy? It does not to me, although other studies and reports indicate that many people (and some even say majority) file bankruptcy simply because they either decided to do it themselves or their bankruptcy lawyer did not inform them of possible options or alternatives to bankruptcy.
Nobody can be an expert in everything or even well versed in everything, especially for something like bankruptcy where you do not deal with it every day unless you are a bankruptcy lawyer. Would you attempt brain surgery after reading a couple of books or reports on the topic? The complexity of today's bankruptcy laws is an apt analogy to brain surgery, and anyone should not attempt a "do it yourself" approach to brain surgery or bankruptcy after just reading a couple of books or reports. Yet at least with bankruptcy, people ignore that advice and inevitably get themselves into even more trouble because they missed one of the umpteen required steps.
Bankruptcy law has changed in recent years, and it is not nearly as easy to declare bankruptcy as it was only a few years ago. Interestingly enough, one of the new requirements for filing bankruptcy is mandatory attendance at some financial management and credit counseling classes. The thing that makes that fact interesting is that the studies indicate that the vast majority of people who file bankruptcy are NOT doing so because of financial mismanagement or credit abuse. Still, the law is the law and there is no way to get around that.
If you are considering bankruptcy, the first thing you should do is consider the huge question of WHY you are considering bankruptcy. A careful analysis of your situation may lead you to the conclusion that there are alternatives to bankruptcy which would serve you much better, and without the long-term negative effects of a bankruptcy filing. Such alternatives would include a personal loan to get your credit obligations caught up, and even a debt consolidation loan. Neither of these will leave a major negative mark on your credit report like a bankruptcy will, and a bankruptcy negative comment on your credit report will remain there for at least 7 years or more.
Consider your options carefully and make an informed decision about your best course of action. Bankruptcy may be your best option but it should be considered a last resort, and there are likely better alternatives available to you.
For more insights and additional information about Personal Bankruptcy Law as well as getting a free bankruptcy evaluation from a qualified bankruptcy lawyer who is local to you, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
* Caucasian, married and is employed full time.
* In their mid 30's to mid 40's.
* At least a high school education and perhaps some college.
* Makes no more than $30k per year.
The overriding and primary reason for declaring bankruptcy was being over-extended on their credit obligations, loss of job or major reduction in income, or serious illness or injury resulting in very high medical expenses where the majority or all was not covered by the consumer's health care insurance.
Just by looking at those demographics, does that strike you as the typical profile of someone who would file bankruptcy? It does not to me, although other studies and reports indicate that many people (and some even say majority) file bankruptcy simply because they either decided to do it themselves or their bankruptcy lawyer did not inform them of possible options or alternatives to bankruptcy.
Nobody can be an expert in everything or even well versed in everything, especially for something like bankruptcy where you do not deal with it every day unless you are a bankruptcy lawyer. Would you attempt brain surgery after reading a couple of books or reports on the topic? The complexity of today's bankruptcy laws is an apt analogy to brain surgery, and anyone should not attempt a "do it yourself" approach to brain surgery or bankruptcy after just reading a couple of books or reports. Yet at least with bankruptcy, people ignore that advice and inevitably get themselves into even more trouble because they missed one of the umpteen required steps.
Bankruptcy law has changed in recent years, and it is not nearly as easy to declare bankruptcy as it was only a few years ago. Interestingly enough, one of the new requirements for filing bankruptcy is mandatory attendance at some financial management and credit counseling classes. The thing that makes that fact interesting is that the studies indicate that the vast majority of people who file bankruptcy are NOT doing so because of financial mismanagement or credit abuse. Still, the law is the law and there is no way to get around that.
If you are considering bankruptcy, the first thing you should do is consider the huge question of WHY you are considering bankruptcy. A careful analysis of your situation may lead you to the conclusion that there are alternatives to bankruptcy which would serve you much better, and without the long-term negative effects of a bankruptcy filing. Such alternatives would include a personal loan to get your credit obligations caught up, and even a debt consolidation loan. Neither of these will leave a major negative mark on your credit report like a bankruptcy will, and a bankruptcy negative comment on your credit report will remain there for at least 7 years or more.
Consider your options carefully and make an informed decision about your best course of action. Bankruptcy may be your best option but it should be considered a last resort, and there are likely better alternatives available to you.
For more insights and additional information about Personal Bankruptcy Law as well as getting a free bankruptcy evaluation from a qualified bankruptcy lawyer who is local to you, please visit our web site at http://www.bankruptcy-data.com
http://EzineArticles.com/?expert=Jon_Arnold
Federal Bankruptcy Law - An Overview
The properties exemptions as mentioned under the Federal Bankruptcy Law and as it has been interpreted by the various states are different. However, you will be happy to know that most of the states have given you the liberty to choose federal exemptions along with the state specific exemptions. However, here, it is important for you to understand that this liberty does not mean that you can use only the federal exemptions and ignore the state specific exemptions altogether.
Filing bankruptcy as per the Federal Bankruptcy Law will allow you to get exemptions under the following ways:
Residential Properties Exemptions
The exemptible residential properties, as per the Federal Bankruptcy Law also include co-op or mobile home. The maximum amount exemptible under this category is seventeen thousand four hundred and fifty dollars. However, here you should also note that you can apply the unused portion of the residential properties up to the amount of 8725 dollars to any property.
Pension Fund Exemptions
The pension fund exemptions under the Federal Bankruptcy Law include only the ERISA-qualified benefits that the debtor needs for support.
Personal Property Exemptions
As per the Federal Bankruptcy Law, the personal properties exemptions are applicable in the following manner:
# If the debtor is eligible for any Personal injury recoveries, the bankruptcy court may allow him or her to exempt such amounts, but only up to the extent of 17,425 dollars.
# Motor vehicle exemptions include any number of cars or other vehicles, but only up to the amount of 2775 dollars.
# Other personal properties exemptions include household goods, furnishings, books, appliances, clothing, and crops, Animals etc, up to 9300 dollars in total. This amount also includes musical instruments. What is more, you should also note that you cannot exempt more than 425 dollars per item.
# The Federal Bankruptcy Law also allows you to exempt jewelry products up to the amount of 1150 dollars.
Public Benefits Exemptions
As per the Federal Bankruptcy Law, the public benefits exemptions include Veterans' benefits, Unemployment compensation, Social Security, Public assistance, and even Crime victims' compensation.
Wages Exemptions
It is important for you to keep in mind that the Federal Bankruptcy Law does not allow you any specific wages exemptions.
Wild Card Exemptions Are Allowed
Like many other state specific bankruptcy code, the federal court also allows the debtor some scope for wild card exemptions. Such exemptions include 925 dollars of any property. What is more, as you can note in the residential properties exemption section, you can also use 8725 dollars of any unused homestead exemption to be exempted under any other property.
Tools Of Trade Exemptions
Various books, implements and other tools of trade are also allowed to be exempted under the Federal Bankruptcy Law, but only up to the amount of 1750 dollars.
Filing Bankruptcy as per the Federal bankruptcy law will allow your property to be exempted in a different manner, in comparison to the state specific bankruptcy code exemptions. Bankruptcy court in most states allows you to use the state specific exemptions along with the federal exemptions. Therefore, it is always better to be informed regarding the various ways the properties exemptions have been interpreted as per the federal bankruptcy law.
http://EzineArticles.com/?expert=Asheesh_Mani
Filing bankruptcy as per the Federal Bankruptcy Law will allow you to get exemptions under the following ways:
Residential Properties Exemptions
The exemptible residential properties, as per the Federal Bankruptcy Law also include co-op or mobile home. The maximum amount exemptible under this category is seventeen thousand four hundred and fifty dollars. However, here you should also note that you can apply the unused portion of the residential properties up to the amount of 8725 dollars to any property.
Pension Fund Exemptions
The pension fund exemptions under the Federal Bankruptcy Law include only the ERISA-qualified benefits that the debtor needs for support.
Personal Property Exemptions
As per the Federal Bankruptcy Law, the personal properties exemptions are applicable in the following manner:
# If the debtor is eligible for any Personal injury recoveries, the bankruptcy court may allow him or her to exempt such amounts, but only up to the extent of 17,425 dollars.
# Motor vehicle exemptions include any number of cars or other vehicles, but only up to the amount of 2775 dollars.
# Other personal properties exemptions include household goods, furnishings, books, appliances, clothing, and crops, Animals etc, up to 9300 dollars in total. This amount also includes musical instruments. What is more, you should also note that you cannot exempt more than 425 dollars per item.
# The Federal Bankruptcy Law also allows you to exempt jewelry products up to the amount of 1150 dollars.
Public Benefits Exemptions
As per the Federal Bankruptcy Law, the public benefits exemptions include Veterans' benefits, Unemployment compensation, Social Security, Public assistance, and even Crime victims' compensation.
Wages Exemptions
It is important for you to keep in mind that the Federal Bankruptcy Law does not allow you any specific wages exemptions.
Wild Card Exemptions Are Allowed
Like many other state specific bankruptcy code, the federal court also allows the debtor some scope for wild card exemptions. Such exemptions include 925 dollars of any property. What is more, as you can note in the residential properties exemption section, you can also use 8725 dollars of any unused homestead exemption to be exempted under any other property.
Tools Of Trade Exemptions
Various books, implements and other tools of trade are also allowed to be exempted under the Federal Bankruptcy Law, but only up to the amount of 1750 dollars.
Filing Bankruptcy as per the Federal bankruptcy law will allow your property to be exempted in a different manner, in comparison to the state specific bankruptcy code exemptions. Bankruptcy court in most states allows you to use the state specific exemptions along with the federal exemptions. Therefore, it is always better to be informed regarding the various ways the properties exemptions have been interpreted as per the federal bankruptcy law.
http://EzineArticles.com/?expert=Asheesh_Mani
Free Bankruptcy Forms - How And Where To Get Them
The rapid advancements in the field of Internet have now made it possible for you to get free bankruptcy forms while you are filing for bankruptcy. There are many online law firms and agencies that offer you such free services. Therefore, if you are looking out for a hassle free way to file your case in the court, you should look no further than these law agencies. What is more, it is not just about the free forms, there is a wide range of other benefits that these law firms bring for you.
Save Money
Bankruptcy is a case where your finances have gone out of control and you are in a deep financial crisis. Therefore, it is obvious that you want a very economical way to get your bankruptcy case processed. And, this is where you will find these online law firms a great help. The main objective of these firms is to provide the debtors a cost-effective way of filing bankruptcy. There are several reasons why you need free bankruptcy forms. There is a wide range of forms that you need to fill out. If you purchase all these forms, it will cost you a lot of money. Therefore, it is always prudent to get these forms downloaded from the website of these online law firms free of cost. Most of the bankruptcy courts now accept these downloaded forms in printed form.
The Complications Involved In The Free Bankruptcy Forms
Some people have the misconception that the forms available to download on the various law websites are less complicated, which is not true. You should note that the forms available to be downloaded online are same as the ones that you purchase from court. Therefore, do not think that it will be less complicated. You will still need the help of a competent bankruptcy attorney to fill out these forms. However, if you want a more economical way, you may also like to avail the services of the online law firms or agencies to help you fill out the free bankruptcy forms. However, if you think that you are knowledgeable enough to fill these forms as per the specific bankruptcy laws applicable in your state. Here, you should note that not every state follows the federal set of laws. They have their own set of laws.
How To Use Free Bankruptcy Forms
The free bankruptcy forms are very simple to use, as all you need to do is just to download the forms from the official websites of the various law firms. Then, you can get the same printed on paper. Now, fill the printed forms and submit the same to the court where you want to file your specific bankruptcy case.
Free bankruptcy forms have emerged as a great solution for those who are looking for an economical as well as hassle free way to file court petition for bankruptcy. When it comes to filing bankruptcy, now you can do it right from the comfort of your home using the Internet. These forms are available to be downloaded online. You do not even need a bankruptcy attorney to help you filling out these forms, as the online agencies offering forms to you will help you in that. For more tips and information on bankruptcy related subjects visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Save Money
Bankruptcy is a case where your finances have gone out of control and you are in a deep financial crisis. Therefore, it is obvious that you want a very economical way to get your bankruptcy case processed. And, this is where you will find these online law firms a great help. The main objective of these firms is to provide the debtors a cost-effective way of filing bankruptcy. There are several reasons why you need free bankruptcy forms. There is a wide range of forms that you need to fill out. If you purchase all these forms, it will cost you a lot of money. Therefore, it is always prudent to get these forms downloaded from the website of these online law firms free of cost. Most of the bankruptcy courts now accept these downloaded forms in printed form.
The Complications Involved In The Free Bankruptcy Forms
Some people have the misconception that the forms available to download on the various law websites are less complicated, which is not true. You should note that the forms available to be downloaded online are same as the ones that you purchase from court. Therefore, do not think that it will be less complicated. You will still need the help of a competent bankruptcy attorney to fill out these forms. However, if you want a more economical way, you may also like to avail the services of the online law firms or agencies to help you fill out the free bankruptcy forms. However, if you think that you are knowledgeable enough to fill these forms as per the specific bankruptcy laws applicable in your state. Here, you should note that not every state follows the federal set of laws. They have their own set of laws.
How To Use Free Bankruptcy Forms
The free bankruptcy forms are very simple to use, as all you need to do is just to download the forms from the official websites of the various law firms. Then, you can get the same printed on paper. Now, fill the printed forms and submit the same to the court where you want to file your specific bankruptcy case.
Free bankruptcy forms have emerged as a great solution for those who are looking for an economical as well as hassle free way to file court petition for bankruptcy. When it comes to filing bankruptcy, now you can do it right from the comfort of your home using the Internet. These forms are available to be downloaded online. You do not even need a bankruptcy attorney to help you filling out these forms, as the online agencies offering forms to you will help you in that. For more tips and information on bankruptcy related subjects visit Filing Bankruptcy
http://EzineArticles.com/?expert=Asheesh_Mani
Renting an Apartment After Bankruptcy
OK, so if you're bankrupt and you absolutely need to rent an apartment here's what I would do:
• Purchase your FICO credit scores. You'll see why in a minute.
• Make a list of all the apartments you're interested in renting.
• Call each apartment complex and interview the apartment manager.
Here are some credit questions to ask:
1. Have you previously rented apartments to people who've filed bankruptcy?
2. What are your credit guidelines? (How do I get approved?)
3. Which credit reporting agency do you use to make a rental decision?
4. How important is my credit score in your decision?
5. I purchased my credit scores last week and my FICO scores are [insert your FICO scores here]. How do these scores sound to you?
6. How much do you require for a security deposit?
7. What income do I need in order to qualify for the apartment I'm considering (some agencies will require your monthly gross income to be three times the apartment's market rate)?
Three other factors that will have a major influence on whether you get accepted or declined are...
1. Whether you have a good rental history. Some apartment complexes will require you have at least 12 months of rental history before they rent to you.
2. That you have no utility collections on your credit reports.
3. And obviously, if you've ever been evicted—that sure won't help you.
So keep these three factors in mind when interviewing for apartments.
What you will quickly learn is that each rental company has their own credit guidelines. Some will require two years after discharge...Others four years...Most will only require you to be discharged. In addition, some will also look to see if you're on ChexSystems. (If you've never heard the term ChexSystems, it means you're not in it—and that's a good thing!)
In addition, depending on the season, the number of vacancies, or the general attitude of the property manager, you may have more flexibility than you think.
One thing to look for is a "move-in special." If an apartment is running a special deal like, "one month free rent if you move in before August," that usually means that their occupancy rates are low. They may be more willing to work with you.
Also, most apartment complex managers have the ability to override a credit decision if you can show them evidence that you will be able to make your rent payments every month.
The best advice I can give you is to be upfront with the apartment manager. Get answers to the questions I listed above. Interview many apartment managers. And then pick the apartment that works best for you.
Whatever you do during the apartment interviewing process, do not, I repeat, do not allow the apartment manager to pull your credit reports. It's better if you collect all the facts and take one credit inquiry hit compared to several apartment credit inquiries.
You can minimize credit inquiries by not signing a credit application and/or not giving out your Social Security number.
If the apartment manager is perplexed as to why you refuse to allow them to run your credit, simply explain that you're trying to keep your FICO credit scores as high as possible by avoiding unnecessary credit inquiries. Each time you sign a rental application you're giving permission to the apartment complex to review your credit, and credit inquiries lower your credit scores.
And don't fall for the "you need a co-signer" line. There are other ways to overcome credit guidelines. One way is a larger deposit.
With that said, I still feel there is a better way to rent if you're unable to purchase right now. Avoid the apartment complexes altogether and rent from an individual landlord or someone who has a house for rent. Major apartment complexes almost always have much stricter guidelines than individual landlords.
Some people have even moved into homes on a "handshake" deal. No credit checks, no outrageous security deposits, no hassles.
Another advantage is a landlord will often look at a credit report you provide him, and not pull one on his own—saving you a credit inquiry on your credit reports.
And when you rent from an individual, as opposed to an apartment complex, there's more of a human element to it. Who knows? Maybe the person you're renting from filed bankruptcy a while ago, and will be more understanding of your plight.
http://www.articlefair.com/Article/Renting-an-Apartment-After-Bankruptcy/18871
• Purchase your FICO credit scores. You'll see why in a minute.
• Make a list of all the apartments you're interested in renting.
• Call each apartment complex and interview the apartment manager.
Here are some credit questions to ask:
1. Have you previously rented apartments to people who've filed bankruptcy?
2. What are your credit guidelines? (How do I get approved?)
3. Which credit reporting agency do you use to make a rental decision?
4. How important is my credit score in your decision?
5. I purchased my credit scores last week and my FICO scores are [insert your FICO scores here]. How do these scores sound to you?
6. How much do you require for a security deposit?
7. What income do I need in order to qualify for the apartment I'm considering (some agencies will require your monthly gross income to be three times the apartment's market rate)?
Three other factors that will have a major influence on whether you get accepted or declined are...
1. Whether you have a good rental history. Some apartment complexes will require you have at least 12 months of rental history before they rent to you.
2. That you have no utility collections on your credit reports.
3. And obviously, if you've ever been evicted—that sure won't help you.
So keep these three factors in mind when interviewing for apartments.
What you will quickly learn is that each rental company has their own credit guidelines. Some will require two years after discharge...Others four years...Most will only require you to be discharged. In addition, some will also look to see if you're on ChexSystems. (If you've never heard the term ChexSystems, it means you're not in it—and that's a good thing!)
In addition, depending on the season, the number of vacancies, or the general attitude of the property manager, you may have more flexibility than you think.
One thing to look for is a "move-in special." If an apartment is running a special deal like, "one month free rent if you move in before August," that usually means that their occupancy rates are low. They may be more willing to work with you.
Also, most apartment complex managers have the ability to override a credit decision if you can show them evidence that you will be able to make your rent payments every month.
The best advice I can give you is to be upfront with the apartment manager. Get answers to the questions I listed above. Interview many apartment managers. And then pick the apartment that works best for you.
Whatever you do during the apartment interviewing process, do not, I repeat, do not allow the apartment manager to pull your credit reports. It's better if you collect all the facts and take one credit inquiry hit compared to several apartment credit inquiries.
You can minimize credit inquiries by not signing a credit application and/or not giving out your Social Security number.
If the apartment manager is perplexed as to why you refuse to allow them to run your credit, simply explain that you're trying to keep your FICO credit scores as high as possible by avoiding unnecessary credit inquiries. Each time you sign a rental application you're giving permission to the apartment complex to review your credit, and credit inquiries lower your credit scores.
And don't fall for the "you need a co-signer" line. There are other ways to overcome credit guidelines. One way is a larger deposit.
With that said, I still feel there is a better way to rent if you're unable to purchase right now. Avoid the apartment complexes altogether and rent from an individual landlord or someone who has a house for rent. Major apartment complexes almost always have much stricter guidelines than individual landlords.
Some people have even moved into homes on a "handshake" deal. No credit checks, no outrageous security deposits, no hassles.
Another advantage is a landlord will often look at a credit report you provide him, and not pull one on his own—saving you a credit inquiry on your credit reports.
And when you rent from an individual, as opposed to an apartment complex, there's more of a human element to it. Who knows? Maybe the person you're renting from filed bankruptcy a while ago, and will be more understanding of your plight.
http://www.articlefair.com/Article/Renting-an-Apartment-After-Bankruptcy/18871
Advice when Choosing a Bankruptcy Lawyer
1. First and foremost, ask yourself, “Do I even need a bankruptcy lawyer to file my case?” If your case is fairly straightforward, then chances are you can get a bankruptcy petition preparer to file your case for much less than the cost of hiring a lawyer. Despite popular conception, bankruptcy law is not very complicated, so hiring an expert most of the times does not make sense. The real question then becomes, “How complicated is my case?” In short, if a) you have 100 percent unsecured debt (credit cards, medical bills, personal loans, repossessions, etc.); b) you’re unemployed with no assets (car, home, brokerage accounts, etc.) and c) you did not accumulate the debt very recently or in any way that can be construed as fraudulent (i.e. buying a big screen TV on a credit card a month before you filed) then you may not need a bankruptcy lawyer to file your case.
2. If your case is more complicated, then will you receive the sort of personal attention that you deserve in order to have your case properly handled? A lot of bankruptcy firms are devoted to basic filings, and you will receive little to no attention from your actual lawyer. With this much at stake, it’s important that you deal directly with a professional that is an expert in bankruptcy law.
3. Get a referral. If you know someone who has filed bankruptcy, don’t be afraid to ask them whether they felt their lawyer handled their case well. If you don’t know anyone who has filed bankruptcy before, then call a law firm outside of your area and ask for a referral from them.
4. Shop around. Most bankruptcy lawyers will at least offer a free initial consultation. Find a lawyer that you feel comfortable discussing your personal matters with and who offers a competitive rate for their fees. Remember not to compromise quality and experience just because a bankruptcy lawyer offers lower fees, however. Contact your state’s Attorney General office for a suggested list of bankruptcy lawyers in your area.
http://www.articlefair.com/Article/Advice-when-Choosing-a-Bankruptcy-Lawyer/21880
2. If your case is more complicated, then will you receive the sort of personal attention that you deserve in order to have your case properly handled? A lot of bankruptcy firms are devoted to basic filings, and you will receive little to no attention from your actual lawyer. With this much at stake, it’s important that you deal directly with a professional that is an expert in bankruptcy law.
3. Get a referral. If you know someone who has filed bankruptcy, don’t be afraid to ask them whether they felt their lawyer handled their case well. If you don’t know anyone who has filed bankruptcy before, then call a law firm outside of your area and ask for a referral from them.
4. Shop around. Most bankruptcy lawyers will at least offer a free initial consultation. Find a lawyer that you feel comfortable discussing your personal matters with and who offers a competitive rate for their fees. Remember not to compromise quality and experience just because a bankruptcy lawyer offers lower fees, however. Contact your state’s Attorney General office for a suggested list of bankruptcy lawyers in your area.
http://www.articlefair.com/Article/Advice-when-Choosing-a-Bankruptcy-Lawyer/21880
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