California Bankruptcy Lawyer Blog

There are five problems with filing bankruptcy without an attorney. Understanding these problems will make it easier for the person filing. 

Reasons to hire an attorney for filing bankruptcy:

Errors on paperwork- It only takes one missed item on the paperwork make it exempt from the filing. That means you will have to pay the bill. 

Answering questions- One wrong answer to a question can cost the entire case to be denied.

Collection calls- Without an attorney, it is difficult to get rid of debt collectors. An attorney helps get the collectors to stop calling.

No guidance- These cases are very detailed. Understanding the entire process is difficult. It is far better to have an attorney so that he/she can guide the filer in the right directions. 

Missed options- An attorney can help determine if there are other options available. For instance, if the intent is to keep the vehicle instead of including it in the paperwork, an attorney can tell you how to do so.

An attorney makes the filing much easier. Let them handle all the legwork. Going to bankruptcy court without a lawyer is likely to result in a dismissal of the case.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

After all the other choices to relieve you of the burden of your mounting debt, bankruptcy may then be your final option. This economy is poor and unstable, and plenty of homes are almost in foreclosure. Many people are looking for an attorney to File Bankruptcy.

Once you have decided on a bankruptcy attorney, schedule time to meet with him. Make sure you bring a list of all the debts that you owe, including the names and address of the creditors. The lawyer will discuss with you the means test, which determines your eligibility to file bankruptcy, or not. Once you have a valid claim to file, chapter 7 is the most used form of bankruptcy for individuals. The attorney will file all of your debts with the courts. After a short time there is a meeting before a court trustee. The trustee makes a final review and decides to issue debts to be discharge or not. In approximately one year , you will receive a final discharge document from the court. Bankruptcy usually remains on your credit report for about seven to ten years. It is helpful to do some extensive research online before you File Bankruptcy.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Keeping your head above water in these uncertain financial times can be tough. Many people are falling behind on bills through no fault of their own. Between falling house values and layoffs, you're not alone if you have been forced into making financial decisions you swore you'd never make, like charging groceries on a credit card or using a cash advance service.

Perhaps another financial decision you swore you'd never make is to file bankruptcy. Filing, however, may be just what you need to get your head back above water and to help you move forward in a better financial position. While there are certainly lots of factors to consider before deciding to pursue this course of action, don't decide it's not for you before really weighing the pros and cons. 

For nearly all people, the pros will definitely outweigh the cons. Bankruptcy can give you a chance to start fresh. It can give you the kick start you need to make other positive changes in your life. It can teach you how to use credit wisely and how to save more effectively. It can help you to take care of your family and provide for their future. 

Bankruptcy doesn't have to be a shameful secret. It can be the answer for which you've been searching. It really can help you!

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Home foreclosure is not a fun time. Bankruptcy is a real option to save your home from this process. Many people do not consider bankruptcy and just let their home foreclose. Here are four ways bankruptcy can help your situation:

- A typical foreclosure can take 7-9 months. A Chapter 7 or 13 bankruptcy can add 6 or more months to this total, meaning you could be in your home for over a year before being evicted.

- Chapter 13 can give you even more time because it involves a payment plan to get your debts up-to-date.

- Bankruptcy removes all liability from the borrower, so even if they have not left the house, there is no recourse.

- Bankruptcy is the best way to try to save your home from foreclosure. This should still be your last option, and a foreclosure attorney should definitely be involved to help you figure out your best options.

Home foreclosure is not the end for you; there are still ways to buy a home after foreclosure and bankruptcy. Be sure you have good information before moving forward.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A California bankruptcy attorney explains bankruptcy law statutes.

What are Bankruptcy Law Statutes? Navigating through the Bankruptcy codes can be quite a task. Understanding the Bankruptcy Law Statutes may be best left to the Bankruptcy attorney. However, knowing some information before calling an attorney can be helpful. There are a lot of statues but the most common for individuals is Chapter 7 and Chapter 13. Businesses have Chapter 11 to utilize.

Businesses have Chapter 11 Bankruptcy. Under the Chapter 11 statutes, a business can re-organize during this period of time. The Bankruptcy court can reduce the amount of unsecured debt the business owes. The company must provide the court a re-organization plan on how they will repay the debts the court is allowing. The business is allowed to continue to operate during this period of time. Individual have the same type of restructuring of debt but it is called Chapter 13.

The most serious of the Bankruptcy Law Statutes is Chapter 7 Bankruptcy. Chapter 7 can be used by businesses or individuals to complete wipe out any unsecured debt. This is a major step for anyone and should not be taken likely. Your Bankruptcy attorney can explain conditions that need to be met in order to file Chapter 7.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose bankruptcy attorney discusses changes with HUD's definition of Foreclosure

HUD, the Federal Agency announced last Friday that they have tweaked their definition of floreclusre and the redlined version includes "properties in default and abandoned to include uninhabitable homes with lingering code violations."

Starting now, HUD is classifying a floreclosure as "any property that is at least 60 days behind on the mortgage or the property owner is 90 days or more delinquent on tax payments."

Additionally, they have extended the description of abandoned property to include homes where no mortgage or tax payments have been made by the property owner for at least 90 days or a code enforcement inspection has determined that the property is not habitable and the owner has taken no corrective actions within 90 days of notification of the deficiencies.

The new language will assist communities with the foreclosure process including aquisition, rehabilitation, and resale, said HUD officials, as well as expodite those practices.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney outlines court fees invloved with filing bankruptcy

In order to file for bankruptcy there are numerous fees that may be involved that the debtor should be aware of. The debtor will need to be responsible for paying for the credit counseling courses which normally cost approximately $50.00 per course, two of which must be taken in the course of a Chapter 7 and Chapter 13 bankruptcy. The filing fees for the petition in a Chapter 7 and Chapter 13 bankruptcy are $299.00 and $274.00, respectively. For a Chapter 11, the fee is much higher at $1,039.00.

In addition to the filing and other fees described above, other fees may arise within the course of a bankruptcy that the debtor should be aware of. For example, the cost for initiating an adversary proceeding is generally $250.00, although it is not required if the plaintiff is the debtor or a child support creditor who has filed the proper paperwork in the bankruptcy case prior to or at the same time he files the adversary complaint. Any amendment to schedules or list of creditors, such as to add or delete a creditor or to change the amount of a debt costs $26.00. For an appeal, the notice is $5.00 and the filing of the appeal $250.00.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney comments on the effects of bankrupty on child support income...

Many bankruptcy candidates that are single moms have questions similar to this:

"I recently lost my job several months ago and am contemplating filing for bankruptcy. I am a single mother of 2 children and my only sources of income right now are unemployment and child support I receive from my ex-husband. Will filing for bankruptcy affect my child support?"

You do not need to worry about a bankruptcy affecting your child support. The amount that you are paid for child support does not change or stops just because you file for bankruptcy. The father of your children is obligated to pay that amount pursuant to a different court order and that order is not affected by a bankruptcy. The only way the amount of support owed could change is if father went to the family law court and requested a change in the amount owed. He would not be able to do this in the bankruptcy court.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney comments on this bankruptcy news regarding student loan debt...

A unanimous Supreme Court decision ruled in favor of a man who wanted his student loans dismissed through bankruptcy without having to prove that paying the money back would cause an "undue hardship." Generally, student loans are nondischargable unless a debtor can show "undue hardship" with regard to that debt in his/her bankruptcy filing.

It should be noted, however, that Clarence Thomas stated that the bankruptcy judge was wrong to approve Francisco Espinosa's bankruptcy plan in 1993, but the lender did not object at the time. Thus, the judge's error was not serious enough to undo the agreement.

The case itself involved a dispute over $4,582 in interest on Espinosa's four student loans. The case is United Student Aid Funds v. Espinosa, 08-1134.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney comments on Foundry Stalwart Bankruptcy

San Jose residents, have you ever looked down at manhole covers and wondered who produces such things? Well, Neenah Enterprises a stalwart in iron works has been producing such iron products for cities since 1872, according to the research of a local San Jose bankruptcy attorney.

Despite its history, Neenah has recently filed for chapter 11 bankruptcy protection. Neenah cites a decline in overall sales volume as a catalyst for the filing.

The company has assets of $286.6 million and debts of $449.1 million on a consolidated basis as of Sept. 30 according to the documents filed in U.S. Bankruptcy Court. According to RTT news, the company has reached an agreement in principle with key creditor constituencies on the terms of a plan of reorganization that proposes to reduce the company's debt by approximately $220 million while providing 100% recoveries for the Company's suppliers and vendors.

According to WTAQ The owner of the Neenah Foundry says it will not layoff anyone, after filing for Chapter 11 bankruptcy protection.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Reader’s Digest loyalists in San Jose may be interested to know that according to the associated press, the company has hit a snag in their Chapter 11 bankruptcy. Apparently, regulators in the U.K. will not approve Reader’s Digest’s plan to settle pension costs there. The company had reached a deal to retire a $180 million obligation of a British subsidiary in exchange for a $17.6 million cash payment and giving up a one-third stake in the business.

Originally the company anticipated emerging from Chapter 11 by the end of January, with its lenders taking ownership. Still, a judge in the U.S. Bankruptcy Court for the Southern District of New York has already approved the company's Chapter 11 plan, which cuts its debt load to $555 million from $2.2 billion.

Despite the setback Reader’s Digest still anticipates emerging from bankruptcy within the next few weeks.


If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Just like many debtors in San Jose, athletes also face the possibility of bankruptcy. Just ask Bernie Kosar.

The former NFL and Miami Hurricanes star quarterback just had his bankruptcy changed to Chapter 7 liquidation. Documents filed September 23 show that Kosar has $9.2 million in assets and $18.9 million of debt. Initially Kosar’s petition showed he owed $1.5 million to the Cleveland Browns, $3 million to his ex-wife, and more than $9 million to a bank for bad real estate deals. Bottom line, San Jose, bankruptcy affects everyone from all walks of life.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Mesa Air Files for Bankruptcy

According to USATODAY, Mesa Air Group Inc., has filed for Chapter 11 protection. While Mesa Air Group may not be as well known as Delta, US Airway, or United, Mesa flies regional routes for all three major airlines.

In filing Chapter 11 Mesa hopes to streamline its business, shed financial obligations, and become more competitive. In addition, Mesa anticipates that the filing will expedite its lawsuit against Delta, in which Mesa is seeking 70 Million in damages. In a recent statement, however, Mesa clarified that its go-Mokulele Hawaiian joint venture with Mokulele Airlines will not be included in the bankruptcy and will continue normal operations.

Over the past year shares of Mesa have traded between 1 cents and 36 cents. Mesa Shares closed Monday at 12 cents a share. Chairman and CEO Jonathan Ornstein stated that Mesa has enough liquidity to support itself during the restructuring.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy attorney comments on the bankruptcy and closure of New York’s Tavern on the Green

Central Park’s landmark restaurant and tourist magnet, Tavern on the Green, raised their glass to their last night of business on New Year’s Eve. The New York institution, formerly a sheepfold before opening as a restaurant in the 1930’s, announced its Chapter 11 bankruptcy filing in lower Manhattan on September 8, 2009, then remained open for á la carte dining and private events, before calling it quits on the very cusp of 2010.

Jennifer Oz LeRoy, CEO of Tavern on the Green, said that “the filing was the result of two factors – the extreme financial distress brought on by the current financial crisis and the City of New York’s decision not to renew our lease.”

In addition to its uber popularity with visitors to New York and Central Park locals alike, as well as touting silver screen cameos in Ghostbuters, Made, The Out of Towners and Wallstreet and others, it was one of the largest independently run and highest grossing restaurants in the United States, bringing in $38 million and serving more than 700,000 annually.

Unfortunately, its popularity and annual income were not enough to keep the LeRoys, owners since 1974, from filing Chapter 11 bankruptcy, due to its $8 million debt to a noted over 450 accrued creditors. They then lost the city-induced bid of the over the 27,000 square foot space to Dean Poll, owner and operator of Loeb Boathouse Restaurant overlooking the Central Park Lake, who plans a $25 million renovation on Tavern. There is also a dispute over use of the $19 million dollar name, to be decided this month, coinciding with a Guernsey auction to sell off décor and other amenities to pay off the gargantuan debt.

Tavern on the Green files Chapter 11 Bankruptcy Protection, tavernonthegreen.com, September 8, 2009
Lights Out at NYC’s Tavern on the Green, msnbc.com, December 31, 2009
Central Park Movie locations, about.com, January 4, 2010

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney  comments on the biggest bankruptcy filings of the decade.

The first decade of the 21st century saw some spectacular bankruptcy filings among the largest corporations in the United States.  The decade began with the dot-com bust and ended with a grinding recession that took down some of Wall Street’s largest players.  The majority of the bankruptcy filings were Chapter 11 reorganizations, but there were some significant Chapter 7 liquidation proceedings.

Here is a listing of the largest bankruptcy filings of the decade that ends this week:

2001       Pacific Gas and Electric: $36.1 billion – utility was caught unable to sell energy it had purchased for more than it paid.

Enron: $65.5 billion – massive accounting fraud and insider trading scandal brought down one of the world’s leading energy companies.

2002       WorldCom: $107 billion – massive billing fraud forced the second-largest long distance company into what was then the largest bankruptcy in U.S. history.  Company changed its name to MCI and was purchased by Verizon in 2005.

Conseco: $61.4 billion – insurer branched into the mobile home financing industry which proved to be unprofitable and forced the firm into bankruptcy.

2008       Lehman Brothers: $691 billion – by far the largest bankruptcy in U.S. history was at the center of the subprime mortgage collapse.

Washington Mutual: $327 billion – the largest bank failure in U.S. history was caused by the subprime mortgage collapse and the Lehman Brother bankruptcy causing a run on the bank.

2009       Chrysler: $39.3 billion – the first U.S. automaker to file for bankruptcy since Studebaker in 1933 was aided by government intervention and was sold to Fiat.

General Motors Corporation: $91 billion – another government intervention case that resulted in the elimination of the Pontiac and Saturn brands, the sale of Hummer to a Chinese company, and the closing of the Saab unit.

CIT Group: $71 billion – lender to small and mid-sized businesses is still in bankruptcy court after losing $3 billion over two years.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney  explains how the mortgage cram-down legislation on Capitol Hill can benefit those filing for bankruptcy protection.

The House of Representatives is moving forward with a mortgage “cram down” bill that has been attached to a larger financial services industry regulation bill.  If the bill is signed into law, it will significantly expand the ability of a bankruptcy court judge to alter the length of a mortgage, the interest rate, and the size of the mortgage on their primary residence for those who have filed for Chapter 7, Chapter 11 and Chapter 13 bankruptcy protection.

The mortgage industry has fought these changes, claiming that they will create even more uncertainty in an already uncertain mortgage industry still reeling from the decline of housing value, the 2008 credit crunch and the recession that has cost millions of American’s their jobs and ability to make their mortgage payments.

Bankruptcy judges are currently allowed to modify mortgages on vacation and second homes, but under the 2005 bankruptcy law, they are not allowed to modify the mortgages of primary residences. Borrowers are first required to seek a mortgage modification directly from the lender.  Under the  “Making Home Affordable Program” lenders are encouraged to reduce the mortgage monthly payment on the borrower to 31 percent of gross income by first reducing the interest rate, lengthening the mortgage term, and then reducing the mortgage amount if necessary.  This legislation gives the bankruptcy court the authority to enact these changes during a bankruptcy discharge if the borrower has already pursued a mortgage modification.

Frank Backs Mortgage Cram-Down in Finance Reform Bill, Bloomberg.com, December 8, 2009

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you are have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney comments on news that the U.S. taxpayers are paying for General Motors and Chrysler’s bankruptcy consultants.

After investing more than $50 billion of taxpayer funds to keep General Motors and Chrysler afloat, the U.S. government has spent more than $120 million to pay the bankruptcy attorneys and other consultants involved in the automaker’s Chapter 11 bankruptcy filings.

Recent court filings and records show that Jones Day, the firm that supervised Chrysler’s 41-day trip through Chapter 11 bankruptcy has been paid nearly $1 million per day that the firm was under bankruptcy protection.   General Motors’ lead counsel, Weil, Gotshal & Manges, has been paid nearly $72 million to date and $3 million in bills are pending.

But bankruptcy isn’t limited to the attorneys. Numerous bankruptcy advisors, financial advisors and investment bankers are all part of the Chapter 11 restructuring process, and all have invoiced significant amounts in the automaker’s cases.  Chrysler and General Motors’ bankruptcy consultants, financial advisor and investment bankers have all been paid more than $60 million for their work on negotiating the employee Voluntary Employee Beneficiary Association and the sale of Chrysler’s most attractive assets to Fiat.

The process will not be over soon.  Disposal of the less-desirable assets may take years, as the United Airlines bankruptcy, filed in 2002, is still working through the removal of some of the company’s liabilities.  The Chapter 11 process can be lengthy and expensive when dealing with large companies with significant liabilities that are not easily sold or disposed with.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you are have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney comments on the arrest of Peter Pocklington on charges of bankruptcy fraud

Peter Pocklington, former owner of the NHL’s Edmonton Oilers, and (in)famously known to Canadian hockey fans as the man who traded Wayne Gretzky, has been arrested on charges of bankruptcy fraud related to his 2008 California personal bankruptcy filing.  In that filing Pocklington listed debts of $19.6 million and assets of $2,900.

Bankruptcy fraud occurs when you attempt to hide assets from the court to avoid having them be part of the bankruptcy proceedings. When you are preparing to file for bankruptcy, you should be as thorough as possible in listing all of your assets as well as your liabilities.  Your bankruptcy attorney can help you conduct a systematic review of all of your assets including homes, property, cars, investments and savings that can prevent an indictment for misstating your assets.  In this case, Pocklington is facing up to 10 years in prison if convicted on all of the charges.

Another result of bankruptcy fraud is that the court can void your bankruptcy decree and allow your creditors to resume collection actions against you.  Concealment of assets is the most common method of bankruptcy fraud.  Typically a person will transfer assets to friends or relatives to avoid bankruptcy liquidations.  Some choose not to list valuables because creditors cannot liquidate assets in a Chapter 7 or Chapter 13 bankruptcy filing if they are not aware of the assets. Either type is punishable by a fine of up to $250,000 and up to five years in prison for each count.

Peter Pocklington arrested in California for bankruptcy fraud charges, Vancouver Sun, March 11, 2009

Contempt motion on hold in Pocklington bankruptcy, Reuters.com, April 7, 2009

If you have a question regarding Bankruptcy please contact us at 1-800-941-6730 or visit www.bkanswers.com and we can connect you with one of our experienced Bankruptcy Attorneys.  After you have spoken with one of our bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of Bankruptcy Lawyers can assist you with all aspects of your case. If you are have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down, a stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

San Jose Bankruptcy Attorney comments on the relationship between payday lending and bankruptcy filings.

The Silicon Valley Community Foundation recently released a report that shows that individuals who have approved payday loans are far more likely to file for bankruptcy within two years that people who do not utilize payday lenders.  The report claims that the average 400 percent interest rate that California payday lenders charge traps those taking out the loans into a cycle of debt and interest that typically ends in a Chapter 7 or Chapter 13 bankruptcy filing.

California, unlike more than a dozen states and the District of Columbia, has not adopted an interest rate cap of 36 percent.  California does have a cap of $300 for a payday loan, but the interest rate is not capped, which often leads a typical individual to pay $800 to pay back an initial $300 loan which is often due within two weeks.  Many individuals are unable to repay at that times due to an ongoing cash crisis, and renew the loan, which takes them farther into debt.

Bankruptcy is often the only option left for people caught in this debt spiral.  Payday lending is most prevalent among minorities and single women, who often have fewer credit options than wealthier areas.  A Chapter 7 liquidation or a Chapter 13 reorganization can reduce or eliminate the payday lending debts, which quickly overwhelm the borrowers who are struggling to keep a roof over their heads and food on the table, according to the report.

Community Foundation and Public Interest Law Firm Release Report on Payday Lending, www.siliconvalleycf.org.

If you have a question regarding Bankruptcy please contact us at 1-800-941-6730 or visit www.bkanswers.com and we can connect you with one of our experienced Bankruptcy Attorneys.  After you have spoken with one of our bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of Bankruptcy Lawyers can assist you with all aspects of your case. If you are have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down, a stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Oakland Bankruptcy Attorney comments on a New York bankruptcy that could cost CalPERS more than $500 million

CalPERS may lose the $500 million it invested in the Manhattan apartment complex called Peter Cooper Village and Stuyvesant Town.  CalPERS was part of an investment group that purchased the complex for $5.4 billion in 2006.  CalSTRS, another state public pension fund, has already written of the $100 million it invested in the deal.  The project, owned by a partnership led by Tishman Speyer Properties and BlackRock Inc. is expected to go into default within the next few months and is expected to file for Chapter 7 or Chapter 11 bankruptcy protection.  The value of the real estate has dropped to an estimated $2.1 billion from the $5.4 billion purchase price 3 years ago.

This is not the first significant real estate loss that CalPERS has suffered this year.  The public pension fund lost nearly $1 billion on one real estate project, known as LandSource, which filed for Chapter 11 bankruptcy reorganization protection earlier this year.  CalSTRS has lost 43% on its real estate holdings this year, and the two funds have lost more than $100 billion during the past fiscal year as their real estate, stock market and other investments declined in value.  Much of the decline was in stocks and other financial instruments, but their real estate portfolios have shrunk dramatically in value as the economy has slid into recession.

CalPERS Could Lose $500 million on N.Y. Real Estate Deal, Sacramento Bee, October 15, 2009

If you have a question regarding Bankruptcy please contact us at 1-800-941-6730 or visit www.bkanswers.com and we can connect you with one of our experienced Bankruptcy Attorneys.  After you have spoken with one of our bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of Bankruptcy Lawyers can assist you with all aspects of your case. If you are have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down, a stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.