Lenders are failing to do loan modifications despite financial incentives by the government to do just that. http://www.boston.com/business/articles/2009/07/07/lenders_avoid_redoing_loans_fed_concludes/?page=1 What can you do? You have options, one of which is bankruptcy. Talk to an experienced bankruptcy attorney.
If you are considering filing for bankruptcy, you have likely heard about the dreaded “Means Test.” It is a test under the new bankruptcy law you have to “pass” in order to qualify for Chapter 7 bankruptcy. The way you can determine whether you pass is you look at your gross monthly income for the previous 6 months, divide the number by 6 and multiply by 12. Sounds fun! This is one of the many reasons getting an experienced bankruptcy attorney is advisable. You compare that number with the median income in your state. The median income varies depending on [...]
While having to file for bankruptcy is certainly not anybody’s idea of a good time or something to strive for, it is not the end, but rather a beginning or a fresh start. If you are considering filing for bankruptcy, you are in the company of some very famous and successful people. Abraham Lincoln – while his face is currently on a penny, at one time, didn’t have a single cent to spare. He tried his hand at many occupations as a young man, including buying a general store in New Salem, Illinois, in 1832. Honest Abe turned out to [...]
Sometimes my clients are forced to file for bankruptcy because their credit was ruined through fraudulent transactions by people they knew or they were victims of stolen identity. Unfortunately, these days most of us can find our selves victims of stolen identity. Here is what you can do to prevent further damage. Placing a Fraud Alert By placing a fraud alert on your consumer credit file, you let creditors know to watch for unusual or suspicious activity in any of your accounts, such as someone trying to open a credit card account in your name. To place a fraud alert, call [...]
I have a lot of people calling me asking me if I do loan modifications. My answer is always, “No.” Why don’t I do them? It seems like it would be a lucrative business to get into? There are several reasons: 1. Lenders are not quick to perform the modifications – this puts the homeowner at risk. The filing of Notice of Default and subsequent Foreclosure will proceed as planned and scheduled. Negotiations for home modifications do nothing to stop or slow things down. I see it as a distraction. I will get frantic calls from people all the time [...]
