Posted on December 15, 2021 in Foreclosure

The impact of the COVID-19 pandemic is still being felt as variants breach the border of the United States. The near two-year crisis continues to impact not only physical health but also financial stability. Thankfully proactive measures were put into place early on to help those who lost their jobs and struggled to make ends meet.

For homeowners in programs to stave off foreclosure actions, the bill may be due sooner than expected.

Promising statistics

The third quarter of 2021 saw new foreclosures increasing by nearly a third from the second quarter. When looking at the same time last year, that number represents a 67 percent increase. Nationally, Texas ranks second with 2,827. Even with that surge, lenders continued to pursue what is termed “aggressive modifications,” a strategy that should keep foreclosure numbers relatively low and allow people to remain in their homes.

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 Posted on October 05, 2021 in Bankruptcy

People say that knowledge is power, and when you understand how certain systems work, you can use them for your own benefit. Misinformation, on the other hand, could prevent people from taking the right steps to protect themselves.

There is plenty of confusing or inaccurate information floating around about bankruptcy. If you believe any of the myths listed below, you might want to rethink your objections to filing for bankruptcy, as it could be the solution you need for your unsecured debts.

You will permanently destroy your credit

There is no question that filing for bankruptcy will drag down your credit score. You may see your score drop by as much as 200 points immediately after you file. However, having one blemish on your credit report from bankruptcy will do less damage to your credit score than multiple past-due lines of credit and judgments. You will be surprised to see how quickly your credit begins to recover after your discharge since you are eliminating debt.

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 Posted on August 07, 2021 in Chapter 7 Bankruptcy

Chapter 7 bankruptcy is a form of liquidation bankruptcy that may help you get out of debt and back into a more financially secure position in your life. Chapter 7 bankruptcy is great for dealing with issues such as judgments, lawsuits, co-signer debt liability, medical bills and credit card debt.

When you choose this kind of bankruptcy, you may be asked to liquidate some of your assets, but for the majority of people, there are exemptions that help them protect much of what they’ve earned for themselves over the years. With the right help, it may be possible to go through bankruptcy without liquidating anything at all.

What happens when you file for Chapter 7 bankruptcy?

When you file for Chapter 7 bankruptcy, the first thing that happens is that an automatic stay goes into place. An automatic stay makes it so that creditors may no longer seek out payments during the bankruptcy. They are also forced to stop collections activities, so that you don’t have to continue receiving harassing phone calls or letters.

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 Posted on June 10, 2021 in Bankruptcy

A variety of circumstances may lead to someone being encumbered in debt, such as an unexpected medical procedure or job loss. You may find it relatively easy to tackle a few of your smaller bills but struggle to pay off the other, larger ones.

Your creditors will generally try to reach you by phone and mail with notices. They may eventually seek out the assistance of a debt collection agency to attempt to collect your debt if in-house efforts fail. Your creditor may turn to a collections attorney as a last resort. Your creditor’s attorney may then file a lawsuit against you. If they’re successful in doing so or you fail to respond, then the court may enter a judgment in your case.

A judgment may give your creditor an option for garnishing your wages, repossessing your assets, placing a lien on property or tapping into your bank account. You may wonder what rights you have aside from filing bankruptcy.

What should you do if a creditor secures a judgment against you?

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 Posted on April 12, 2021 in Bankruptcy

Running a restaurant has its good times and bad. In the last year or so, the economy has been struggling. For many restaurant owners, this has meant an immense amount of financial pressure.

As a small business owner, you may be interested in finding out more about what you can do to get out of debt and if bankruptcy could be beneficial to you as you wait for the economy to recover. The good news is that there may be options to help.

To start with, there are two main kinds of bankruptcy that small business owners use. These are Chapter 7 bankruptcy and Chapter 11 bankruptcy. Chapter 7 is liquidation-based, meaning that the business will close its doors. Chapter 11 is a type of reorganization bankruptcy, which allows businesses the time needed to restructure and find a way to become profitable despite a heavy debt load or low profits.

Which kind of bankruptcy is right for your business?

The type of bankruptcy you want for your business will vary based on your goals. Do you want to stay open or are you willing to shut your doors? If you want to close your restaurant and walk away, then Chapter 7 bankruptcy may be a good option. It gives you the opportunity to liquidate your business assets and to have the remaining debts discharged.

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