Author: Frank Hathaway

Wage Garnishment and Bankruptcy

Wage Garnishment and Bankruptcy   When people consider filing for bankruptcy, it is usually after their creditors start hounding them to repay outstanding debts. The debts might be too much for the individual to handle, and so the individual fails to make payments. This forces the creditor to seek legal action. One way that creditors try to recover outstanding debts is to obtain a wage garnishment order against the debtor.   How Does Wage Garnishment Work?   A wage garnishment is when your creditor obtains a wage garnishment order, sometimes also called a wage attachment or wage withholding, against you...

WHY IS IT IMPORTANT TO HAVE A BANKRUPTCY ATTORNEY

  Why Is It Important To Have A Bankruptcy Lawyer?   When it comes to bankruptcy proceedings, you are under no obligation to hire a lawyer to help you prepare your bankruptcy filings or to help you through your bankruptcy proceeding. But it is important to be advised that having a lawyer with experience handling bankruptcy law cases is going to be to your benefit. Bankruptcy law can be very complicated, dense, and meticulous (meaning that the rules have to be followed precisely). The average person who has no experience filing for bankruptcy can get lost and confused in bankruptcy...

LEE IACOCCA

Wednesday, April 27, 2016 This is a re-post of a blog I found to be very interesting and well worth your time reading.  It was originally posted on Fr. Charles Irvins Web Site blog on Tuesday, April 26, 2016. LEE IACOCCA On October 23, 2012, Alex Taylor III writing for Fortune magazine, had this to say about Lee Iacocca: Having saved Chrysler from bankruptcy, starred in its memorable TV commercials, and written a hugely successful autobiography, Iacocca was on the cusp of a presidential bid. In 1985, a poll of potential presidential candidates showed that he trailed Vice President George...

Meeting Your Creditors As Part Of Your Bankruptcy Proceeding

Meeting Your Creditors As Part Of Your Bankruptcy Proceeding   Whether you file for Chapter 7 bankruptcy or Chapter 13 bankruptcy, there will come a point in your bankruptcy proceeding when you will be required to have a meeting with your creditors as part of your bankruptcy proceeding. This meeting is also sometimes referred to as a 341 hearing, which is a reference to the section of bankruptcy law that governs these meetings of creditors.   How Does A Meeting Of Creditors Come About?   When you file for bankruptcy, the court assigns your bankruptcy case a bankruptcy trustee. This...

Common Mistakes Made By Those Filing Bankruptcy

Many people who file for bankruptcy are first-time filers. They are unfamiliar with bankruptcy law, are overwhelmed by their debts and creditors, and are prone to make mistakes when it comes to their bankruptcy. It is important to consult with an experienced bankruptcy lawyer at the outset of your bankruptcy so that you can avoid making common mistakes that can jeopardize the outcome of your bankruptcy proceeding. Below are several common mistakes people make as they go into bankruptcy.   Not hiring a bankruptcy lawyer when you really need one. While there is no obligation that you hire a bankruptcy...

Nondischargeable Debts In Bankruptcy

Many people have a limited understanding of bankruptcy law because it isn’t something that is normally dealt with very often and people don’t really talk about it if it happens to them. It is also a highly complex area of law that has a lot of finance jargon and lawyer speak in it, which makes it intimidating for many people. Many people who contemplate and go through bankruptcy proceedings are embarrassed by their situation. Don’t be! Don’t be scared, intimidated or embarrassed. Bankruptcy proceedings are often the legal remedy you need to discharge your financial burdens so that you can...

Automatic Stay In Bankruptcy

Regardless of what Chapter of bankruptcy you file for, under 11 U.S.C. Section 362, when you file for bankruptcy, the filing of a bankruptcy petition will act as an automatic stay against your creditors. A stay is an injunction that stops your creditors from seeking enforcement and collecting debts from you, the debtor. An injunction is a court order that compels your creditors to stop what they are doing and let the bankruptcy court sort out your debt situation. What Does The Stay Apply To? The stay applies debt claims that arise prior to the date of the bankruptcy filing,...

A Bad Idea: Fraudulent Conveyances To Avoid Losses Through Bankruptcy

Sometimes when a debtor is facing bankruptcy, the debtor will make transfers of assets so that the asset cannot end up in the hands of creditors. The debtor will transfer the asset in one of two ways: the debtor will transfer the asset with the full intention of defrauding the creditors (actual fraud), or the debtor will transfer the asset by accepting a markedly reduced value for the asset (constructive fraud). These actions are fraudulent conveyances, and they are a form of fraud. Trustee Has Power to Recover Assets or Value of Fraudulent Conveyances When a debtor enters into bankruptcy,...

Pre-Bankruptcy Credit Counseling

Electing to declare bankruptcy is a big decision that carries long-lasting consequences, but sometimes it is the only way to manage your overwhelming debts. One of the biggest negative impacts of declaring bankruptcy is that it will reduce your credit score, which means that you will have a more difficult time acquiring credit in the future and you will likely be lent money at a higher interest rate because you will be considered to be a higher risk investment than someone who has not declared bankruptcy. But the benefits to filing for bankruptcy might outweigh the disadvantages. Bankruptcy can allow...