San Jose Bankruptcy Lawyer Blog

A San Jose bankruptcy attorney explains the difference between a Chapter 7 and Chapter 13 bankruptcy.

Both Chapter 7 and Chapter 13 refer to bankruptcy filing. Chapter 7 is also known as straight bankruptcy. Corporations, partnerships and individuals can file Chapter 7 and not Chapter 13. Businesses generally file if the entity is operating at a loss and they no longer wish to continue operating. Filing for Chapter 7 bankruptcy can be either voluntary or involuntary. Under this type of filing, an appointed trustee gathers assets that can be sold and uses the proceeds to pay creditors what is owed.

Chapter 13 on the other hand is used primarily as breathing room. It allows a sole trader to continue operating while paying off debts incurred during the operation of the business. This usually requires that a debt repayment plan be put in place. Most, sometimes all disposable income is used to pay off outstanding debts to creditors. Due to the nature of Chapter 13, it can only work if the debtor has a regular source of income to meet the obligations of repayment according to the plan proposed.

While partnerships and businesses can file Chapter 7, they cannot file Chapter 13. Also, there is no maximum debt for filing Chapter 7, however, for Chapter 13, there are debt requirements.

At Sagaria Law, we offer an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting San Jose. If you need help regarding bankruptcy in San Jose, contact us at 408.279.2288 or 1800.941.6730 for a free consultation or visit us online at www.sagarialaw.com to request a free in person appointment at a Sagaria Law office location nearest you. We can answer your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation to quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose!

A San Jose bankruptcy attorney describes the Chapter 13 bankruptcy code.

Understanding the Chapter 13 Bankruptcy Code is important if you are considering filing bankrupting. Chapter 13 is for individuals who have monthly income with not enough money left over after paying their living expenses to pay all their credit card payments.

Under the Chapter 13 Bankruptcy Code, an individual can restructure their unsecured debt such as credit card or medical bills. When a person file Chapter 13, the court will look at how much their living expenses are to see if there are areas that could be reduced to help pay for their bills. Once the court has determined what is fair, a structured 5 year payout plan is ordered. The Bankruptcy Judge may even reduce the total amount of debt owed so the individual can pay off this balance in the five year period.

Will the Bankruptcy Court reduce my house payment or car payment? No, the court cannot reduce the monthly payments on your home or car. They are prevented by law in reducing debt that is secured by a lien. Your home and car falls under this category. File for bankruptcy under the Chapter 13 Bankruptcy Code made not be for everyone. Your debts maybe so out of control, your only option is to file Chapter 7 Bankruptcy. It is best to consult a bankruptcy lawyer to determine what would be in your best interest.

If you have a question regarding bankruptcy in San Jose please contact us at 408.279.2288 or 1800.941.6730 and we can connect you with one of our experienced San Jose 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, asset protection, stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist in all of these important areas. Please complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney gives a brief overview of Chapter 13 bankruptcy rules.

Chapter 13 bankruptcy is a way for an individual to reorganize their debt. People within the state of California can claim this type of bankruptcy to restructure their debts and pay off the owed debts within three to five years. An individual can only claim Chapter 13 Bankruptcy if they have a steady form of income that is sufficient to pay off their debts and have money left over for daily living.

Who is Eligible?
Within the state of California, any person is allowed to file Chapter 13 Bankruptcy as long as their unsecured debt, which is debt that isn’t backed by collateral, doesn’t exceed $360,475. Chapter 13 rules require that individual secured debt, which is a loan backed by collateral, doesn’t exceed $1,081,400. This type of bankruptcy is only allowed for individuals. It is not applicable for corporations or partnerships. The Chapter 13 rules require that an individual filing for this type of bankruptcy cannot have any other bankruptcy paperwork filed or dismissed within the last 180 days.

How to File
The Rules of Chapter 13 Bankruptcy required that the individual file a petition within the county that he or she resides. That petition includes a list of assets, a schedule of liabilities, income, and a list of expenditures. It is a requirement to take a credit counseling session. Within this session you will set up a debt repayment plan that must be filed with your petition.

What Happens Next?
Once the petition has been filed and passed, a stop on all collections is put into place. The individual is protected from creditors. This will protect from any garnishment of wages, lawsuits, or collection calls. Once the debtor has filed for the Chapter 13 Bankruptcy, the clerk of court will send out a letter to all creditors informing them of the bankruptcy claim. The debtor, at that time, must work on paying said debts based on the repayment plan.

Please do not hesitate to contact us at our San Jose office by calling 408.279.2288 or 1800.941.6730 for your debt resolution needs. You can receive a free consultation over the phone, or request a free in person appointment at a Sagaria Law office nearest you. Please visit our website at www.sagarialaw.com and fill out a free online evaluation form to determine if you are a qualified candidate for bankruptcy. Sagaria Law's team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff at San Jose can assist you with all aspects of your bankruptcy case. We at Sagaria Law can assist you regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. and we are happy to help! Our bankruptcy attorneys located throughout California and Oregon can assist you with your bankruptcy questions.

A San Jose bankruptcy attorney gives a brief overview of Chapter 13 bankruptcies.

In the event a person finds themselves deep in debt, there is still relief available to them, such as filing a Chapter 13. There are specific processes and guidelines a person must follow, when filing Chapter 13 bankruptcy. First, a person's eligibility needs to be determined. In Chapter 13, a person is allowed to keep their property, and are put on a payment plan to pay back their debts. This is also referred to as reorganization bankruptcy. In order to file Chapter 13 bankruptcy, a person must show proof of their income and ability to repay their debts. If it is determined that a person would be unable to follow a structured repayment plan, their eligibility would then be denied. If a person's secured debt is over $1,010,650, or their unsecured debt is over $336,900, they will also be denied.

Once eligibility is determined, their are several forms that must be filed. The current filing fee is $274. The court will then assign a bankruptcy trustee to the case. The trustee's job is to setup a reasonable repayment plan, and ensure compliance. Once all payments have been made, any leftover debts that are eligible for discharge, will be wiped out.

Please do not hesitate to contact us at our San Jose office by calling 408.279.2288 or 1800.941.6730 for your debt resolution needs. You can receive a free consultation over the phone, or request a free in person appointment at a Sagaria Law office nearest you. Please visit our website at www.sagarialaw.com and fill out a free online evaluation form to determine if you are a qualified candidate for bankruptcy. Sagaria Law's team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff at San Jose can assist you with all aspects of your bankruptcy case. We at Sagaria Law can assist you regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. and we are happy to help! Our bankruptcy attorneys located throughout California and Oregon can assist you with your bankruptcy questions.

A San Jose bankruptcy attorney provides a walk through of the process of filing for a Chapter 13 bankruptcy.

Chapter 13 bankruptcy is called a reorganization. You have income but not enough to pay your bills. You make to much money to qualify for chapter 7 bankruptcy, so you qualify for chapter 13. You should consult with an attorney. One that has experience in this type of bankruptcy. Then, get as much chapter 13 information as you can from the free consultation. In fact, have 3 or 4 consultations with different attorneys.

Your attorney will submit all required documents and information to the court. You are now under court protection from collectors and lenders. They cannot take any action against you and they cannot call you, your attorney is the contact person for your case now.

In a few months you will go in front of the trustee for the question and answer session. The trustee will review your file and check for all the requirements for chapter 13. Once completed your case goes to the judge, he will do another review of your files. This should be about a month after your meeting with the trustee. When the judge approves your case, that's it.

The assets you're allowed to keep will be outside the bankruptcy. This means you make the normal payments, all other debt you included in the bankruptcy will be consolidated and the court will tell you what your new monthly payment will be for these debts. This program lasts 5 years, once completed all outstanding debt is discharged.

We can answer all your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. If you need help regarding a bankruptcy in California, call us at 1800.941.6730 and we will be more than happy to offer you a free consultation over the phone. You can also fill out a free online evaluation at our website, www.sagarialaw.com, or request a free face to face appointment at a Sagaria Law office location close to you. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution needs.

A San Jose bankruptcy attorney on How Chapter 13 and Foreclosure Works...

Once a borrower defaults on his monthly obligations to a lender to which monies were secured by real property, the lender will likely opt to foreclose on the property in an attempt to sell the property and collect his money. One way to postpone a foreclosure and/or Trustee’s Sale is to file for Chapter 13 bankruptcy. In a Chapter 13 bankruptcy, the debtor is to propose a Chapter 13 Plan in which he or she is to pay the majority of their secured debt through a court assigned Trustee. Included in the Chapter 13 plan are automobile payments, payments to the IRS and FTB, and most importantly, the arrearages on any secured property. Once the Chapter 13 bankruptcy is filed, it is almost equivalent to “starting” the mortgage payments fresh. For the sake of the mortgage and bankruptcy, the minute the petition is filed the borrower is ‘current’ on their mortgage and the arrears get placed into the Chapter 13 Plan.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney discusses:

Which Bankruptcy Law Chapter is Right For Me?

Deciding which bankruptcy law chapter is the correct to file under should always remain with an attorney. However, if you decide to delve into the realm of bankruptcy law alone deciding which bankruptcy law chapter can be confusing and often times lead to dismissal. Deciding which bankruptcy law chapter is correct depends on many factors. The first and largest factor is the intentions of the debtor. If the debtor would like to surrender his house and is current on his car payments, a Chapter 7 bankruptcy would be the likely choice. If an individual is behind on their first and second mortgages and wish to keep the house, a Chapter 13 bankruptcy is the most likely of choices. Deciding which bankruptcy law chapter to file under can have detrimental effects on an individual and their belongings.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney provides a
Chapter 13 Bankruptcy FAQ

Chapter 13 bankruptcy can be a confusing chapter to file under. Must I have disposable income at the end of the month in order to qualify for a Chapter 13 bankruptcy? Within schedules I and J there must be enough excess income to at least fund the Chapter 13 plan. What does that Chapter 13 plan consist of? The Chapter 13 plan is based upon a debtor’s disposable monthly income through the means test. If the means test shows no disposable monthly income then the plan will fund 0% of the unsecured creditors. The debtor will pay back taxes, arrears, and automobile payments through the plan. The rest will likely be paid outside the plan. What is a confirmation hearing? A confirmation hearing is a court hearing where a Chapter 13 debtor submits a proposed plan of payments to their creditors and a hearing is held to make sure that all secured creditors are adequately protected. How long is the average Chapter 13 plan? The average Chapter 13 plan is 5 years, but they can be as short as 3 years.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney provides a Chapter 13 Bankruptcy Overview

A Chapter 13 Bankruptcy is also known as “Reorganization.” It is essentially a repayment plan. In order to qualify for a Chapter 13 bankruptcy, you must have a regular, steady flow of income. The Court will only confirm your Chapter 13 Plan if your plan is feasible. (In other words, the court will only confirm your Chapter 13 plan if you can show that you have enough income to make your Chapter 13 plan payments.)

Time Frame of the Chapter 13 Plan: Three (3) to Five (5) Years

A General Overview of Chapter 13 Plan Payments:

1. Secured Debt: All secured debt must be paid off in full over the term of your plan if you wish to keep the property which secures the loan.

2. Priority Debt: All priority debts must be paid off in full. These are things which the government considers a high priority (such as debts owed to the IRS, and child support arrears.)

3. Unsecured Debts. Unlike the first two types of debt, unsecured creditors are not entitled to being paid off in full. Payments to the unsecured creditors are dependent upon how much property you own and how much income you make. You should consult with an attorney in order to get a better understanding of what your particular Chapter 13 plan payments may look like.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney provides Information About Chapter 11 Bankruptcy

What is Chapter 11 Bankruptcy?

Chapter 11 Bankruptcy is a bankruptcy that is beneficial if you do not qualify for Chapter 13 bankruptcy because your debt limits are too high. This Chapter is mostly used by businesses. Similar to the Chapter 13, the Chapter 11 bankruptcy is also a reorganization chapter; however, it is on a much larger scale.

What is the cost of filing for a Chapter 11 Bankruptcy?
A Chapter 11 bankruptcy entails much more work, time and effort than either the Chapter 7 or the Chapter 13 bankruptcies. For this reason, attorneys fees are much higher than the attorneys fees for either a Chapter 7 or a Chapter 13 bankruptcy. You should consult with an attorney in order to get the best estimate for your particular Chapter 11 plan.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney lists 3 Chapter 13 pre-discharge requirements:

1. You must be paid in full, having either paid in full or completed all of your payments within your particular payment plan (you actually must be paid in full to have your bankruptcy filed at the bankruptcy court)
2. Completion of the financial debtor education course (the 2nd of two financial courses required in the bankruptcy filing process)
3. Maintenance of existing (or current) support obligations during the bankruptcy filing process

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

Chapter 13 Information For The Person Filing

There is a lot of information that goes into a Chapter 13 bankruptcy and here is some of the Chapter 13 information for the person filing. First, your attorney may not charge a base fee of more than $1,999. However, a piece of Chapter 13 information for the person filing to know is that they debtor(s) will pay the attorney an extra base fee over the life of the plan in order to compensate the attorney for continuing to maintain the case. Another piece of Chapter 13 information for the person filing is that the Trustee will take a percentage fee each month for their work distributing the plan payments to the creditors.

Another piece of Chapter 13 information for the person filing that many people do not know is that you must remain current on your mortgage payments after you file for bankruptcy. Your pre-petition arrears will be paid over the life of your plan, but if you fail to make your monthly mortgage or car payments following filing, the creditor will likely file a Motion for Relief from Stay in an attempt to take the property.

Lastly, and probably the most essential piece of Chapter 13 information for the person filing is to never miss a plan payment. Payments must be made in certified funds and sent to the Trustee in a timely manner every month or the Trustee will file a Motion to Dismiss based up lack of funding to the plan.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose Bankruptcy Attorney explains how bankrupty affects a co-signor...

Often times an individual will either not have established enough credit history or just does not have the credit score to obtain a loan with an appropriate annual percentage rate (“APR”). When this occurs, often times they will recruit their spouse or family to co-sign on the loan. This places the co-signor on the line for the debt should the signor fail to make timely payments.

So what happens to the co-signor when the original debtor files for bankruptcy? Schedule H of the bankruptcy petition is where all co-signors on loans should be listed. These individuals receive notice of the filing and are given an opportunity to file a motion with the court in order to either reaffirm the debt, or likely force the debtor to surrender the secured object and distinguish the deficiency upon discharge. Filing for bankruptcy does not automatically terminate the co-signors liability, however it does place an automatic stay on the creditor from seeking payment from the co-signor. This third party stay remains in effect as long as the bankruptcy stay remains.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose Bankruptcy Attorney comments on filing Chapter 13 in California...

Debtors filing Chapter 13 in California should know that several districts exist. Each district may have unique local rules with respect to filing Chapter 13 in California. Moreover, each city within a district has its own Chapter 13 trustee. The contact information for each trustee in each city is available online.

A debtor filing Chapter 13 in California should hire an attorney who is familiar with the local rules and the local trustee. This will make the process of filing Chapter 13 in California efficient and relatively straightforward.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney answers the Question: Who can exit bankruptcy, Chapter 7?

Answer: Anyone including corporations can exit chapter 7 bankruptcy.

The chapter 7 process is straight forward and allows a debtor to exit bankruptcy in a relatively expedited process. Generally, to exit bankruptcy in a chapter 7 the process involves three steps. First, a debtor takes a pre-filing counseling course. Next a debtor files their bankruptcy petition. Next, a debtor takes their post filing counseling course. Last, a debtor attends the 341 hearing. After the 341 hearing a debtor can generally sit back and wait for their discharge. To exit bankruptcy in a chapter 7 it’s that simple.

Question: Who can exit bankruptcy, Chapter 13?

Answer: Only individual debtors can exit Chapter 13 bankruptcy. The chapter 13 process is more complicated than Chapter 7. Chapter 13 consists of a “plan” that restructures a debtor’s debt. The “plan” must be confirmed by a judge. Generally, Chapter 13 plans last 3 or 5 years. During that time a debtor makes regularly scheduled payments to the appointed trustee for the duration of the plan. Once the plan is finalized a debtor then receives their discharge. While it is arguably a more tedious task to exit bankruptcy in a Chapter 13, there are often benefits to filing a Chapter 13 as opposed to a Chapter 7. An experienced attorney can help a debtor make this choice.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney discuss student loans and bankruptcy

Prior to the dramatic change in bankruptcy law in 2005 with the adoption of the Bankruptcy Abuse Prevention and Consumer Act (BAPCPA), private student loans could be discharged in bankruptcy. However, post-BAPCPA law very rarely allows for any kind of student loan, government-backed or private, to be discharged in bankruptcy. Thankfully, a few legislators have stepped up and taken initiative against this change by proposing that once again private student loans can be discharged through bankruptcy.

Private student loans can carry an interest rate of fifteen percent (15%) and higher. Student loans, unlike most other loans, do not become ripe until the student either graduates or leaves school. Interest is charged on the principal balance however throughout the entire time the student is attending school. With the rising costs of the University system in California and the decreasing availability of well-paying jobs, more and more people are deterred from continuing education either after high school or post-graduate education. A law student will likely graduate with $100,000 or higher in student loans with no guarantee of a decent paying job following graduation.

Under the current law, BAPCPA allows for Chapter 7 debtor to receive a full discharge on their unsecured debt; however certain debts such as spousal support, child support, student loans, and most tax debt are not dischargeable. Proponents for the new legislation on student loans argue that student loans are like other dischargeable debt in that they do not directly contribute to one’s wellbeing. Advocates for the new legislation argue that allowing private funded student loans to be discharged will decrease a lender’s security and force them to charge higher interest rates and fees to cover the potential for lost income.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy lawyer explains the means test...

The 2005 changes and amendments to Section 11 of the United States Code (U.S.C.), the Section that deals with bankruptcy, were designed to prevent alleged abuse of bankruptcy and to require that debtors pay for those debts which they knowingly incurred. The legislation made it much more difficult for the average American to file for, and eliminate, their debt. It appears that the legislators want to a make Chapter 7 bankruptcy discharge tougher to obtain and push debtors into a Chapter 13 repayment plan.

One of the major changes/additions in the 2005 legislation was creating the “means test.” This test is a two part test which takes into account the disposable income a debtor brings in after his/her living expenses are taken into account. Obviously, those who are deemed to have too much monthly excess income will not be allowed a Chapter 7 discharge and will be forced to either file under Chapter 13, or not file at all. Under the old laws, judges and trustees had more discretion in their decisions and could judge each case by its own unique circumstances.

A formula was devised which exempted “survival” expenses, such as food and mortgage, and looked at the excess income. Should said monthly income exceed twenty-five percent (25%) of their unsecured nonpriority debt (mainly credit and department store cards, medical bills, and personal loans), the debtor may not file for Chapter 7 bankruptcy. The second part of the test measures the debtor’s income to the state’s median income and if the debtor’s families combined gross income is greater than the median income for that state, the debtor may need to file for Chapter 13 bankruptcy.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankrutpcy lawyer notes bankruptcy fillings at their highest

Due to San Jose, California’s dramatic housing cost increase in the last five years and the sudden drop in the market, more and more San Jose residents are forced to file for either Chapter 7 or Chapter 13 bankruptcy protection. San Jose alone saw approximately 11,500 personal and small business bankruptcies in 2009. The bankruptcy filings in the Northern District of California, which San Jose is a part of, have more than doubled in the last two years. Most California homes are now upside-down and unemployment is at a record rate.

Such drastic changes in economic status have caused Chapter 7 and Chapter 13 bankruptcy filings to double in the last two years in the Northern District of California. The Northern District encompasses Santa Clara, Santa Cruz, Monterey, and San Benito counties. In the bankruptcy court’s Oakland Division, which encompasses Contra Costa and Alameda counties, saw an increase of fifty-nine percent (59%) from 2008 to 2009. Lastly, the Eastern District of California saw a sixty-two percent (62%) in bankruptcy filings from 2008 to 2009.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney comments on what happens to your car after bankruptcy...

Many debtors wonder what will happen to the car during and after bankruptcy. Will the court take my car? Can I keep my car? What happens to the loan associated with my car? California is driven, literally, by automobiles. We use them to get to work, to go grocery shopping, and pick up the kids from school. The fear of losing one’s automobile is enough to drive them away from seeking protection through bankruptcy. But fear not ye Californians, you are very likely to be able to keep your car after bankruptcy.

When filing a Chapter 7 bankruptcy in California, you have two options for your car. You can either surrender it back to the lender and discharge the remaining balance at the end of the bankruptcy, or you can reaffirm the debt and keep the car, so long as you continue to make your payments. The same options in a chapter 7 bankruptcy apply should you be leasing your car, you can either surrender the vehicle and terminate the lease or you can reaffirm the lease terms.

In a chapter 7 bankruptcy, should the debtor decide to reaffirm the debt on the and the lender agrees, the original lien remains on the car and should the debtor default on their monthly obligations, the lender retains the option to repossess the vehicle. If you fail to make your monthly payments prior to your chapter 7 bankruptcy being discharged, the lender may repossess but the remaining balance on the loan (the deficiency) will be discharged at the end of the chapter 7 bankruptcy. If you reaffirm and default post-discharge, the lender retains the option to repossess the vehicle and the debtor is still is on the line for the deficiency balance. However, if no reaffirmation agreement is executed, the debtor will remain liable for any deficiency if the car is ultimately repossessed.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney answers the question: What is the United States Bankruptcy Code?

The United States Bankruptcy Code is in place for a reason. It is Title 11 in the United State Code and functions as the primary source for all bankruptcy statutes. The United States Bankruptcy Code is divided into 9 chapters as follows:

Chapters of the United States Bankruptcy Code:

Chapter 1 - General Provisions
Chapter 3 - Case Administration
Chapter 5 - Creditors, The Debtor, And The Estate
Chapter 7 - Liquidation
Chapter 9 - Adjustment Of Debts Of A Municipality
Chapter 11 - Reorganization
Chapter 12 - Adjustment Of Debts Of A Family Farmer Or Fisherman With Regular Annual Income
Chapter 13 - Adjustment Of Debts Of An Individual With Regular Income
Chapter 15 - Ancillary And Other Cross-Border Cases

Title 11 (more popularly know as the Bankruptcy Code) was signed into law in 1979 and has had amendments since then, including an overhaul in 2005. It is published by the US government and outlines the laws passed by Congress that pertain to all aspects of bankruptcy.

When the US Bankruptcy Code is amended, current versions become available by different sources. The Office of the Law Revision Counsel (LRC) begins the long process of codification of classifying new legislation that applies to the Bankrutpcy Code's different sections. The new legislation is put into "classification tables" by the LRC, then made available via their website: click here. The most current version is as of January 5, 2009. Another helpful link provides explainations by the LRC with regard to the US Bankruptcy Code: click here. Changes to the US Bankruptcy Code that have not yet been published to the classification tables can be found via this link.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney chats on what most debtors want to know: How bankruptcy will effect your credit....

The stigma that filing for bankruptcy is the end of your credit life lacks foundation. It is true that filing for bankruptcy stays on your credit report with the three major bureaus for up to ten (10) years. It is also true that it can drop your credit score by up to 100 points. Unfortunately in today’s society, your credit report is basically your lifeline. Lenders use your credit score to judge you as a person when you apply for a car loan, house mortgage, student loan, apartment rental, or credit cards. So it would seem that when a lender sees that a debtor has filed for bankruptcy because they were unable to fulfill their prior obligations, they would be completely turned off from extending credit to that person.

But this is not always the case. Sure, large banks like Bank of America, JP Morgan Chase, and Wells Fargo will look mostly at your credit score because they are volume driven, not customer relations driven. Smaller banking institutions and credit unions are an alternative for people with poor credit and/or bankruptcies. They will work with the individual based upon a personal relationship. They sit down and talk to you about what event(s) happened in your life to cause the negative marks and what you have done to correct them since. Smaller banking institutions and credit unions typically have lower interest rates and more flexible payment terms.

Further, an individual who files for bankruptcy may only discharge his debts in a Chapter 7 bankruptcy once every eight (8) years, and a Chapter 13 bankruptcy every six (6) years. This means that a creditor will have more security and confidence in extending a line of credit to an individual knowing that they cannot discharge their debts again for that amount of time. Therefore, they are more willing to possibly offer a higher limit or lower interest rate than to someone with a slightly higher credit rating who has not previously had their debts discharged. So, just as it was once thought that the world was flat and the center of the universe, bankruptcy is not the end all of credit.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney explains why Foreclosure Should Be a ‘Fore’ Letter Word

In a recent first quarter study published by RealtyTrac, the largest publisher of foreclosure databases, nationwide foreclosures rose seven percent or approximately 930,000 homes. What does this equate to in the real world? Take a walk around town and count 137 homes. Every time you count your 138th home, that home has been foreclosed upon and another family must find a new place to live.

Currently, California boasts the fourth highest foreclosure rate in the country, behind only Nevada, Arizona, and Florida. According to the study, one in every 62 Californians received a foreclosure filing in the first quarter of 2010. Not surprisingly, California boasts another fourth place finish … unemployment. Currently, 12.6% of Californians are unemployed. Is it any coincidence that as the unemployment rate increases, so does the foreclosure rate?

With no end in sight, how does the average American family of 2.93 people protect themselves from being forced out of their homes following the real estate’s tomfoolery of predatory lending? Americans can turn to bankruptcy for protection of their home which they worked so hard to obtain. The government has created subsidized loan modifications to attempt to assist, but to date that has failed. One advantage of bankruptcy is that it does not entice anyone to purposely default on their loan obligations in order to get better repayment terms. In opposition banks have fought vigorously in Congress to ensure that bankruptcy judges are stripped of any power to adjust loan terms. Said opposition throws fuel on the foreclosure fire.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney comments on taxes and bankruptcy...

Debtors in San Jose with large amounts of unpaid back taxes may want to know that some taxes are dischargeable in bankruptcy. Specifically, taxes that are three years old from the date of filing are generally dischargeable. Still, if the IRS has audited an individual a debtor must wait an additional 240 days from the date of assessment before those taxes are dischargeable again. Why is all of this important?

If a debtor wants to discharge $25,000.00 in back taxes for the year 2006 and those taxes were filed on time in April of 2007, the bankruptcy petition must be filed AFTER the date the taxes were filed. Otherwise those taxes would not be dischargeable. Moreover, using the same example, if those same taxes (2006) were assessed hypothetically in April of 2008 in order to discharge those taxes a debtor would need to wait an additional 240 days before those taxes become dischargeable. Basically, when it comes to taxes and bankruptcy, timing is everything.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy attorney provides insight on proofs of claim

Debtors in San Jose should know that Trustees are required by law to review mortgage proofs of claim in a Chapter 13. New guidelines were put into effect April of 2009. Specifically, if a lender files a proof of claim the trustee must:

1.Verify that copies of documents supporting a perfected security interest are attached to the proof of claim.
2.Verify that that is an itemization of the pre-petition fees, costs, and other charges attached to the proof of claim.
3.Verify whether the proof of claim includes a flat fee for review of the chapter 13 plan prior to confirmation and for preparation of the proof of claim and, if so, whether the fee is reasonable.
4.Verify that the secured creditor has filed a proof of claim.
5.If after a trustee reviews the mortgage proof of claim and determines that it is improper the trustee must take appropriate action.

Debtors in San Jose should also note that these duties pertain to all judicial districts, even where local rules expressly provide that debtor’s counsel are required to review proofs of claim as part of their representation. Still, if a specific provision of these guidelines conflicts with a local rule, administrative order, or case law, the local rule, administrative order, or case law will control.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy lawyer provides advice and applauds the thorough bankruptcy filer...

Recently in our San Jose bankruptcy firm, we had a current client say this to our bankruptcy specialist: “We are in the process of completing our bankruptcy intake packet, specifically we are listing our assets and had questions. I have no problem listing computer, tvs, electronics, but we were wondering how you could list furniture (much of which has been passed down for generations - of value only to us). We have no furniture purchased later than 5 years ago, and that was used and off of ebay. How do you estimate value of furniture piece by piece aged over 50 years? Also, we have numerous musical instruments and have absolutely no idea of their value.”

When the bankruptcy specialist ask for my input, I said this: When you are completing your bankruptcy petition, I recommend using garage sale values. Generally when you are listing old furniture, unless they are valuable antiques, what you believe you would pay for them if you were at a garage sale. While that couch or chair may have sentimental value as the chair where you and your siblings would watch tv, it could be that no one in their right mind would pay for the chair. As for any sorts of instruments you may have, depending on the condition, you may be able to see what comparable instruments are being sold for on websites such as craigslist or ebay.

Good job on being thorough!

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney Discusses Payments During a Chapter 7 Bankruptcy:

Debtors are often concerned that filing for a Chapter 7 bankruptcy automatically means that they will lose their car and house. While a Chapter 7 filing is technically a “liquidation” proceeding, all is not lost. Debtors are entitled to keep their cars and homes as long as there is not significant equity in any one item. Most people do not lost their home or their car in a Chapter 7 proceeding because of state and/or federal exemptions. For example, in California, single people are entitled to exempt $50,000 of equity in their home and $75,000 of equity for married couples.

One caveat to being able to keep cars and homes is that the debtor must be able to maintain their current payments. If a debtor files for Chapter 7 bankruptcy and he/she is not current on their car payment then the car will likely be repossessed. If they are not current on their home, then the home will go into foreclosure. As a result, in order to keep a car or a home in a Chapter 7 proceeding, the debtor must be current on his/her payments at the time of filing and continue to remain current on those loans during the pendency of the bankruptcy.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses one economic impact of the “Swine flu”

Given the current state of the economy, one more problem and even the most previously successful businesses will break. This is unfortunately the case for Coharie Hog Farms, Inc. In addition to the dramatic increase in the cost of feed during 2008, then pork being associated with the “swine flu,” or H1N1 virus. Even though the virus is transmitted between humans and not by hogs or pigs, the initially rampant referral to the H1N1 virus as the “swine flu” has created a financial crisis for livestock businesses that deal in pork.

Coharie Hog Farms, Inc. had to file for Chapter 11 bankruptcy protection given the recent devastating decrease in pork sales. The Farm owes over $50 million to creditors. Coharie has been forced to liquidate its livestock and other assets in its bankruptcy proceeding. As the largest independent pork provider to Smithfield Foods Co, consumers may feel the loss of Coharie Hog Farms in its pocket book when purchasing Smithfield products.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses the irony of a credit card company filing for bankruptcy.

Millions of consumers across the United States have had to file for some form of bankruptcy protection over the past year due to insurmountable credit card debt. Ironically, once of the nation’s small business credit lenders has filed for Chapter 11 bankruptcy protection. Advanta Corp. was forced to file for bankruptcy protection even after it closed its credit card lending business but it continued hemorrhaging cash reserves. Advanta Corp.’s banking entity may be shut down by the government because its capital reserves are below regulatory requirements. At the time of filing, Advanta Corp. had $363 million in assets and $331 million in debt.

Advanta Corp. was the victim of the economic downturn that has plagued the entire nation. When its clients could not afford to repay their debts the company was left with mountains of loan losses. Since Advanta was not being repaid by its customers, it was unable to keep up with its own debts and eventually laid of half of its employees to stay in business. The Chapter 11 filing will allow Advanta to preserve the value of its remaining assets and continue to recover payments from retail paper.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses Lenders Motivation for Foreclosure

Many consumers are confused as to why they are constantly hearing about loan modifications and the Administrations plan to aid home owners, but when they actually try to obtain a loan modification are just given the runaround. A big problem with the process is lender incentive to actually provide debtors with loan modifications. According a report by Real Capital Analytics, lenders are recovering between 60 and 70% of the loan values on foreclosed properties. In some state the recovery rate is as high as 78%. In California, the recovery rate is especially high: San Francisco has the third highest recovery amount at 70%, and Los Angeles is at 70% plus.

The best recovery rates are on commercial mortgages for retail properties. In 2009, lenders recovered $1.9 billion on 145 commercial mortgages that were in default. Higher recovery rates in California may make lenders less likely to negotiate with consumers in California compared to consumer in places such as Michigan and Florida which have recovery rates as low as 45%.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses National Job Loss Figures

The State of California lost 732,700 jobs in the past year. California had the highest loss out of all 50 states. Although percentage wise Arizona and Michigan suffered the biggest losses over 12 months given their mutual 7.5% decrease.

Loss of jobs has a huge impact on each state’s economy. In San Jose alone, huge numbers of jobs have been lost. Beyond the loss of tax revenue from unpaid wages, incidents of requests for county and state assistance are on the rise.

For debtors who are recently unemployed, and unable to keep up with their financial obligations their levels of daily stress can be unbearable. Various solutions are available to debtors including Chapter 7 and Chapter 13 bankruptcy proceedings, loan modifications, and Legal Debt Settlement.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney Discusses California’s Debt:

There is already a problem with California’s budget. Last year, Controller John Chiang released a report that California wasw already $1.1 billion behind in collecting the revenue necessary to meet the recently signed budget (as of October 2009). Much of the deficit has resulted from a $2.1 billion drop in California tax collection.

California has been hit by the continuing loss of jobs and an increasing gap in debt sales. California’s budget has also been negatively impacted by the California Supreme Court’s ruling that the Governor and Legislature had illegally used $3.6 billion of California’s money that had been budgeted for local transportation agencies. The misappropriation of funds resulted from the government’s attempt to balance the budget since 2007.

California is starting to see signs of recovery, but it will probably be awhile before it can truly balance its budget and thrive.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses the Bankruptcy Boom

Many Bay Area family law attorneys are shifting their practices to include, and sometimes even focus, on bankruptcy proceedings given the current economic downturn. Since 2008, membership in the National Association of Consumer Bankruptcy Attorneys has increased by approximately 33%. This is a dramatic increase after many attorneys left the field in 2005 once Congress passed the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA). BAPCPA dramatically increased due diligence requirements for attorneys and implemented stricter requirements for consumer filings. The 2005 reformation legislation was primarily intended end the abuse of the bankruptcy court by college graduates with massive amounts of student loans and consumers who had frivolously racked up inordinate amounts of credit card debt.

Another result of the BAPCPA legislation was a nearly 500% increase in paperwork required to be filed by bankruptcy attorneys, which has in turn caused attorneys’ fees to increase. Debtors are also now required to take two credit counseling classes, one prior to filing and one prior to discharge of the bankruptcy proceeding. Even with all of the additional hoops created by BAPCPA, consumers are in such a financial crisis that bankruptcy is often the only solution. The increase in bankruptcy attorneys has allowed debtors to obtain the financial relief they need during these tough economic times.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses the Entrepreneurial Benefit of Restructuring in a Chapter 11

Abe Alizadeh is an entrepreneur who started as an entry-level employee at a Jack in the Box in Chico, California. Alizadeh eventually opened 70 Jack in the Box restaurants of his own and 10 T.G.I. Fridays locations. Alizadeh also has his own development company Kobra Development. Unfortunately, these tough economic times have seriously impacted even once successful entrepreneurs.

Alizadeh has now had to file Chapter 11 Bankruptcy for his Jack in the Box locations and temporarily closed them down. Kobra Development has also filed for Chapter 11 protection. Carlson Restaurants Worldwide Inc. (CRW), the owner of the T.G.I. Fridays brand, recently forced Alizadeh to close his Fridays locations.

However, even with all of his current financial difficulties, Alizadeh has remained optimistic. He is utilizing the protections provided by Chapter 11 bankruptcy law to restructure his debt and move his companies swiftly through the bankruptcy process. Alizadeh is optimistic that at least his Jack in the Box operations will quickly return to business as usual and weather the economic storm.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses FairPoint October 2009 Bankruptcy

On Monday, October 1, 2009, FairPoint Communications, Inc. filed for Chapter 11 bankruptcy protection. FairPoint intends to use the Chapter 11 restructuring process to alleviate itself of approximately $1.7 billion worth of debt.

FairPoint became the largest LEC in New England after it purchased Verizon Communications Inc.’s New England landlines. The debt FairPoint assumed as a result of that purchase caused FairPoint’s ultimate insolvency.

In order to relieve itself of significant amounts debt, FairPoint is working with its creditors to reduce its debts and crushing interest obligations. FairPoint will also likely have to make additional layoffs and convince its union employees to take pay cuts.

FairPoint has issued a statement to waylay the concerns of the New England utilities regulators that its daily operations will not be impacted by the filing and will continue to provide reliable, uninterrupted service to its customers.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy lawyer speaks to the issue of your bankruptcy estate...

Debtors in San Jose may wonder what exactly will be included in their bankruptcy. Your bankruptcy estate refers to all of your property that is part of your bankruptcy case. Not all property you own is in your bankruptcy estate. For example, property you acquire after you file bankruptcy generally falls into this category. Thus, you generally don’t need to worry about exempting such property.

There are several broad categories, however, a debtor should understand when considering their bankruptcy estate. First, property a debtor owns and possesses. This includes everything a debtor has in his or her possession that they own whether or not they owe money on the property e.g. an automobile or a house. Next, property a debtor owns but does not possess, e.g. a car you’ve loaned to a friend, or a deposit held by a stockbroker. A debtor must also be aware of property they are entitled to receive. Property a debtor has a legal right to receive is also included in the bankruptcy estate. This would include wages, royalties, or commissions you have earned but have not yet been paid, tax refund, vacation or termination pay, property you’ve inherited but haven’t received etc. Other categories of property included, community property, certain property received within 180 days after filing, and property generated by estate property.

So San Jose, now you know what property is covered in you bankruptcy estate. To ensure that the proper exemptions are applied I recommend contacting an experienced bankruptcy attorney.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose Bankruptcy Attorney says a few words about bankruptcy and divorce...

One of the most common reasons that married couples ultimately decide to file for divorce is directly related to financial difficulties. Financial issues often lead to stress and anxiety that negatively impacts the marital relationship. Fighting over unpaid bills and blaming each other for spending practices and/or meeting expected earning potential add to an already tense situation. Rather than waiting for financial distress to destroy what would otherwise be a sound marital relationship, pursuing proactive debt solutions can help married couples out.

Filing for bankruptcy is not the end of the world. While it may stay on a person’s credit report for up to 10 years, creditors understand the current economic climate and will not have anyone to lend to if they do not do business with consumers who have had to seek relief through bankruptcy. Married couples have the option of filing either jointly, or just one partner can file. Given the status of current federal law, domestic partners are not able to file joint bankruptcy petitions.

Given the choice of filing for bankruptcy or letting financial distress push a relationship to the breaking point, at least discussing the possibility of filing with a qualified attorney may go along way to repairing communication between partners and relieving financial stress.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney shares that middle class women may be the most suseptible to bankruptcy...

Are you a middle class college educated woman living in San Jose? Did you know that statistically you are possibly more susceptible to Bankruptcy? Read on to learn more!

According to Harvard Law Professor, Elizabeth Warren, educated Middle Class women are most likely to file for bankruptcy. This fact remains true despite most women who file have attended college. In fact, Professor Warren notes that having a college degree doesn’t seem to protect women from filing bankruptcy as much as it does for men! Professor Warren attributes this anomaly to the fact that women more often find themselves placed in the single parent role.

Perhaps the most alarming statistic from Professor Warren’s piece is that more women will file for Bankruptcy in 2010 than those who will graduate from college, receive a diagnosis of cancer, or file for divorce! To temper this trend Professor Warren advocates that women spend less and have a financial backup plan when having children. Only time will tell if this advice goes unheard.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney says all is not lost for recreational activities after filing bankruptcy

Now that we have the after-buzz of “Avatar” and everyone is hot for a ticket to that train your dragon movie; we are going in droves to the movies, even with the rise in 3-D ticket costs. If one has or is considering filing a Chapter 7 bankruptcy (or even a Chapter 13 bankruptcy or Chapter 11 bankruptcy), does that mean that there won’t be any money to go to the movies, or engage in any recreation at all? This San Jose Bankruptcy Attorney says “NO.”

As a local Bay Area Bankruptcy Attorney, I understand how important recreation is. Silicon Valley has lots of enjoyment opportunities and local resources. Certainly it is free to go to the beach or Balboa Park and, as locals, we should avail ourselves of these wonderful resources, but most recreation costs something. When one files a Chapter 7 liquidation, the forms specifically ask how much money you and your family spend on recreation (this is Schedule J). Most people think they should answer zero: that somehow just because they have filed for bankruptcy they are doing something wrong living a normal life. In my opinion, answering “zero” for recreation costs raises a red flag for the trustee that somehow the debtor is fudging their numbers. People go to the movies, they buy magazines, they fly kites at the beach, etc. Doing so is not unlawful nor unethical.

So if you are wondering if bankruptcy means an end to all fun, just say "no." Just be reasonable with your choices and Chapter 7 bankruptcy can be the relief you seek without the headache or worry you think it might be.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney

Let's face it, nowadays giving isn't just at the holidays anymore. And for everyone who gives, there is a person who gets. Sometimes, what we get is not what we want, however; and so, often as packed as they were during the shopping season, the stores are filled in late December and early January with people returning items. Giving and getting find their way into bankruptcy law, too, though a certain type of “giving” amidst a bankruptcy is not as warmly welcomed as holiday giving.

As a bankruptcy lawyer in the Bay Area, I am regularly asked about keeping one’s personal property during a Chapter 7 bankruptcy or Chapter 13 bankruptcy. Most of the time, debtors are able to keep all of their personal items, even during a liquidation. Sometimes, debtors ask about transferring property – or “giving items as a gift,” albeit temporarily – to family or friends. The intent is often to later ask for the property’s return. Not only is giving with the expectation of return not a true “gift” or a legal transfer of property, it is also possibly fraudulent under the bankruptcy laws and the subject of a forcible return of the property. What this means is that asking your cousin to hold your Stradivarius violin and handwritten letter from George to Martha Washington – or selling it for five dollars and a bag of chips – only to have it returned to you after the bankruptcy or buying it back for ten dollars a year later will make your cousin “an insider.”

Such an insider can have the property taken from them (and if it’s a rare Stradivarius or a personal letter from a Founding Father to his wife, you can bet the trustee will take it) and the property will then be added to your bankruptcy as a declared asset. This will likely mean the property will be sold. Not only that, because the FBI investigates issues of bankruptcy fraud, you (and maybe your cousin) could be charged with the crime of perjury (or worse).

Chapter 7 bankruptcy (and Chapter 13 bankruptcy) are available for debtors as a fresh start. Usually that means the debtors do not have assets of such great value; accordingly, your personal belongings are most likely safe. Consult a local bankruptcy attorney to discuss your own situation. In the meantime, return your unwanted Christmas gifts and be aware of the Chapter 7 bankruptcy and Chapter 13 bankruptcy laws related to gifts and property transfers.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose bankruptcy lawyer makes comment on Chapter 13 bankruptcy...

Debtors who file Chapter 13 should remember that they will be on a payment plan for five years. While this time frame may sound daunting, debtors should realize five years or 60 payments is the same time frame used when financing an automobile. Still, despite a debtor’s best efforts to make regular payments some may not be able to complete their plan. Fear not.

San Jose and the South Bay: listen up! If you can’t complete your plan you basically have three options: dismiss your case, convert to a chapter 7, or request a hardship discharge. Debtor’s in the Bay Area should understand that a significant percentage of Chapter 13 debtors find themselves in this position. Consequently it’s best to understand the consequences of these three choices ahead of time so that debtors may properly prepare if they have to make such a decision. Each option should be dicussed in more detail with an experienced bankruptcy attorney because knowledge is power.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney comments on Chrysler's bankruptcy last year...

San Jose, is 2010 getting better than 2009? Let's hope so, for you and for Chrysler. The Detroit news reported in '09 that Chrysler, the smallest of Detroit's automakers, went through bankruptcy suffered the biggest decline of any major player in the U.S. market -- a 38 percent drop in car and truck sales. Consequently, the automaker had no new models to show at the 2009 Detroit auto show and its presence at the show was minimal.

Industry leaders worried, however, that such a decision would not be without risk. "It's a dangerous time to stay dark," Stephanie Brinley, senior manager of product analysis at Tustin, Calif., consulting firm AutoPacific Inc. had to say. "There are a lot of people watching and the longer they're quiet, the more speculation there is." So, if you live in San Jose or the greater Bay Area and are a diehard Mopar fan, you may habe been disappointed that Chrysler did not unveil any products that month.

It should be noted, however, that unlike Chrysler’s situation, many in San Jose who are considering filing bankruptcy do not need to worry about public opinion. Instead, debtor’s should realize that Bankruptcy really constitutes a fresh start!

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney reveals information regarding what you reveal when filing bankruptcy...

Debtors seeking protection under Chapter 7 and Chapter 13 inevitably want to protect family and friends from the consequences of their filing. However, all debtors are required to fully disclose all debts and assets in their bankruptcy petition. Furthermore, the bankruptcy court will review all payments made to family, friends, acquaintances, business partners, which fall under the category of “insiders” during the twelve months prior to filing. Any suspicious or “preferred payments” may be recoverable by the trustee.

Debtors should also be wary of trying to hide assets by transferring them to another party. Debtors are required to disclose all property that they have either sold or given away in the past 24 months prior to filing. Any transfers that the trustee believes was made for less than the fair market value could raise a red flag and possible dismissal of the bankruptcy proceeding. Any debtor who lies on their bankruptcy petition could also be charged with perjury, which can carry severe consequences including jail time.

As such, all debtors should be wary of transfers and the sale of property to family and friends immediately proceeding a bankruptcy. In life and in bankruptcy, honesty is the best policy to avoid case dismissal or worse potential consequences.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose bankruptcy lawyer reflects on the boom in bankruptcy

Many Bay Area family law attorneys are shifting their practices to include, and sometimes even focus, on bankruptcy proceedings given the current economic downturn. Since 2008, membership in the National Association of Consumer Bankruptcy Attorneys has increased by approximately 33%. This is a dramatic increase after many attorneys left the field in 2005 once Congress passed the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA). BAPCPA dramatically increased due diligence requirements for attorneys and implemented stricter requirements for consumer filings. The 2005 reformation legislation was primarily intended end the abuse of the bankruptcy court by college graduates with massive amounts of student loans and consumers who had frivolously racked up inordinate amounts of credit card debt.

Another result of the BAPCPA legislation was a nearly 500% increase in paperwork required to be filed by bankruptcy attorneys, which has in turn caused attorneys’ fees to increase. Debtors are also now required to take two credit counseling classes, one prior to filing and one prior to discharge of the bankruptcy proceeding. Even with all of the additional hoops created by BAPCPA, consumers are in such a financial crisis that bankruptcy is often the only solution. The increase in bankruptcy attorneys has allowed debtors to obtain the financial relief they need during these tough economic times.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney says be careful what you post on Facebook

Facebook has become an international phenomenon, boasting millions of users posting new information everyday. However, debtors contemplating bankruptcy or those who have already filed should be wary of how much information they disclose on social networking sites. Even if debtor’s limit their profiles to “Friends Only” status, they are not necessarily secure from prying eyes. It is best for all consumers, in any legal proceeding, bankruptcy included, to maintain a level of anonymity on the Internet. Posts regarding lavish trips or extravagant purchases can easily be disclosed to bankruptcy trustees by ex-spouses, ex-significant others, or nosey creditors.

It is best to error on the side of caution and limit any posts on social networking sites until all legal proceedings are complete. Information is power in any legal setting and debtors have to assume that any information they post about their spending habits will be used against them. Debtors should protect their private life and personal information by remaining anonymous and flying below their creditors and bankruptcy trustees’ radar.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

San Jose Bankruptcy Attorney discusses states in most financial challenge

California residents are not surprised that given the current economic downturn that it is one of the nation’s top states in financial trouble. The entire west coast has been significantly impacted by foreclosures and the housing market crash, including Oregon, Arizona, and Nevada.

A recent study which placed California in the top 10 states in financial crisis based its conclusion on foreclosure rates, loss of state revenue, poor money management practices, relative size of budget gaps, and unemployment rates.

The San Jose economy still continues to struggle with increased unemployment and tanking housing values. Some areas in the Silicon Valley are slowly starting to recover, but the impact of the economic downturn is still devastating. With unemployment on the rise, many once prospering San Jose and Silicon Valley residents are having to turn to various programs for debt relief including bankruptcy and debt settlement.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose Bankruptcy attorney has news for bankruptcy candidates...

A penny saved is a penny earned! With that saying in mind, debtors considering filing bankruptcy may want to know that H.R. 4506 aka the “Bankruptcy Judgeship Act of 2010 is heading to the Senate. The Bill, sponsored by Rep. Steve Cohen creates 13 new permanent bankruptcy judgeships and converts 22 temporary judgeships to permanent judgeships.

To finance the positions, the bill raises the filing fees for debtors filing chapter 7 or 13 $1.00, and $42.00 for chapter 11 cases. The bill must still go through the Senate Judiciary Committee as well as the Senate. Still, if debtors want to save a buck, now is the time to file!

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!

A San Jose Bankruptcy attorney makes the point clear that filers of bankruptcy are not alone...

San Jose Residents considering filing bankruptcy should know they are not alone. According to my Bay Area bankruptcy practice, statistics compiled by the Administrative Office of the U.S. Courts, cases filed by individuals or state regulators under the Fair Credit Reporting Act and Fair Debt Collection Practices Act jumped 53 percent!

In addition personal and business bankruptcy filings increased 35 percent in the last fiscal year! Specifically, more than 1.4 million filings occurred. Statistically that’s the most filings since the bankruptcy laws changed in 2005.

Those considering filing for bankruptcy in San Jose should also consider whether their Bankruptcy attorney incorporates any fair debt collections act lawsuits as part of their services. In some cases, a debtor may not even have to file bankruptcy if creditors have violated either Federal Law or State Law.

If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation 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 downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!