San Jose Bankruptcy Lawyer Blog

A San Jose bankruptcy attorney answers: What is a Loan Modification?

A loan modification is requested most often when a borrower has either fallen behind on his or her monthly obligations or the borrower simply cannot afford to continue making monthly payments at the agreed upon obligations due to an increase in APR or some other factor. Loan modifications are very difficult to obtain and are not part of any court’s jurisdiction. Therefore, the judge cannot order the lender to even attempt a loan modification. A loan modification will usually lessen the interest rate while packing all the arrears to the end of the loan. Most times this will cause the borrowers monthly payments to reduce. There are several loan modification companies out there to assist in the loan modification process, but ultimately the decision lies with the lender and their financial interpretation of the borrower.

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 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 fills you in on:
How Chapter 7 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. The easiest way to postpone a foreclosure and/or Trustee’s Sale is to file for Chapter 7 bankruptcy. The filing of a Chapter 7 bankruptcy places an automatic stay on any legal actions against the filing debtor. This will stop any foreclosure sale. However, in a Chapter 7 bankruptcy the lender will likely move the court for relief from the automatic stay and begin the foreclosure process again. Filing for Chapter 7 bankruptcy is a great way to postpone the foreclosure process in order to buy the debtor some time to either save some money or find a new place to live.

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 addresses:
What is a Non-Judicial Foreclosure?

Non-judicial foreclosure is one of two main types of foreclosures, the other being judicial foreclosure. In a non-judicial foreclosure, sometimes known as foreclosure by power of sale, the lender may supersede or bypass the judicial process of foreclosure and sell the property in order to satisfy the loan by the lender. This only occurs if and when the borrower defaults on their monthly obligations and either ignores or cannot comply with the request by the lender to cure the default. The terms and conditions of a non-judicial foreclosure are typically outlined in the lender’s mortgage papers. The highest bidder at the non-judicial foreclosure sale becomes the outright owner of the property free and clear of all interest from the former owner but superior liens may survive the sale. For more infomation on foreclosure, please contact us toll-free.

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:
What is Foreclosure?

A foreclosure is the legal process wherein a lender of money and/or collateral, usually a mortgage, attempts to collect on the monies they are owed from the individual by re-taking the property securing the loan. There are typically two types of foreclosure, judicial and non-judicial. In judicial foreclosure, the court supervises the sale of the property foreclosed upon. The lenders are paid in the order of the priority. In non-judicial foreclosure, there is typically a clause in the lending papers which states that the lender can bypass judicial foreclosure and use methods outlines by each state/district’s guidelines. Should the sale of the property not satisfy all liens attached, the lender may file and request a deficiency judgment. The foreclosure process can be stopped by filing for protection under any of the bankruptcy chapters.

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 supplies a
Guide for Student Loan and Bankruptcy

Student loans and bankruptcy go together like oil and water. Student loan debt can be some of the most difficult debt to repay. However, student loan debt is known as “good debt.” Student loan debt is debt incurred in order to further or better one’s financial situation. For the most part, student loan debt is not dischargeable in any chapter of bankruptcy.

The first tip with student loans and bankruptcy is to make timely payments. This is essential since most student loan debt is backed by government money. The second tip on student loan debt and bankruptcy is to take out only that which you need in order to get through school. A third tip on student loan debt and bankruptcy is to use your student debt in place of credit cards. The interest rate is often times lower on a student loan and you don’t have to repay the balance until you finish school. A fourth tip on student loan debt and bankruptcy is to find a co-signor. A co-signor such as parents or spouse will likely lower the interest rate of the loan. And lastly, a fifth tip on student loan debt and bankruptcy would be to stay in school, regardless of how minimal it is. This way, you can continue to defer payments until you are established in a well paying job.

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 offers
5 Tips For A Successful Creditor Debt Settlement

First creditor debt settlement tip, settle within your means. Do not create a creditor debt settlement with terms that you know you will be unable to satisfy. Missing a payment will only anger the creditor more and have them less likely to work with you in the future. Second creditor debt settlement tip, do not settle for the first offer. Many times, a creditor will settle for dimes on the dollar. The consumer must be persistent when attempting a successful creditor debt settlement. Third creditor debt settlement tip, offer large lump sums payments stretched out for a percentage of the balance owed. In this economy, creditors want to get paid and creditors want to get paid now. In the past, creditors were pleasantly happy to sit on $10,000 debt and earn interest on that debt. Nowadays with the bankruptcy filings rising, creditor debt settlement is much more common. Fourth creditor debt settlement tip, do not threaten bankruptcy. This is like a broke record to creditors and they simply do not care. You either file bankruptcy or you don’t. A creditor debt settlement is a lot less likely to happen if the creditor feels threatened. Fifth creditor debt settlement tip, do not wait until it is too late and you are sitting on a law suit. A law suit forces the creditor to incur legal fees and costs, something they do not appreciate. They will build these fees into a creditor debt settlement if it reaches that point.

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 on Chapter 9

The first municipal bankruptcy legislation was enacted in 1934 during the Great Depression. Pub. L. No. 251, 48 Stat. 798 (1934). Although Congress took care to draft the legislation so as not to interfere with the sovereign powers of the states guaranteed by the Tenth Amendment to the Constitution, the Supreme Court held the 1934 Act unconstitutional as an improper interference with the sovereignty of the states. The law has been amended several times since 1937. In the more than 60 years since Congress established a federal mechanism for the resolution of municipal debts, there have been fewer than 500 municipal bankruptcy petitions filed. Although chapter 9 cases are rare, a filing by a large municipality can— like the 1994 filing by Orange County, California—involve many millions of dollars in municipal debt.

The purpose of chapter 9 is to provide a financially-distressed municipality protection from its creditors while it develops and negotiates a plan for adjusting its debts. Reorganization of the debts of a municipality is typically accomplished either by extending debt maturities, reducing the amount of principal or interest, or refinancing the debt by obtaining a new loan.
A municipal debtor receives a discharge in a chapter 9 case after: (1) confirmation of the plan; (2) deposit by the debtor of any consideration to be distributed under the plan with the disbursing agent appointed by the court; and (3) a determination by the court that securities deposited with the disbursing agent will constitute valid legal obligations of the debtor and that any provision made to pay or secure payment of such obligations is valid. 11 U.S.C. § 944(b). Thus, the discharge is conditioned not only upon confirmation, but also upon deposit of the consideration to be distributed under the plan and a court determination of the validity of securities to be issued.

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!