RSS Feed

Archive for the ‘Bankruptcy Tips’ Category

What Happens to Your Savings and Checking Accounts in Bankruptcy?

Posted by Jim Karlson on October 17th, 2011

Many of you facing bankruptcy for the first time will have a lot of questions about the process. One such common question is, “What happens to your savings and checking accounts in bankruptcy?”

The answer to this legitimate question will vary from state to state, and it will also depend on the type of bankruptcy you file.

There are basically two types of bankruptcies most individuals can file- a Chapter 7 or a Chapter 13.

In a Chapter 7 bankruptcy, you will be asked to make a list of all the assets you own and the debts you have incurred. From that list of assets, the bankruptcy court trustee will collect the non-exempt assets and liquidate them to pay the creditor claims on the unsecured debts you listed.

Exempt assets are either state or federal exemptions that involve assets exempt from liquidation, or sale of the asset. Secured assets are automatically exempt because they have a lien associated with the debt. Liens are not discharged in bankruptcies.

State bankruptcy laws mandate which exemptions you can use in a bankruptcy case- federal or state. Som

Read full post…

Tags: Bankruptcy, Checking Accounts
No Comments

One Year Later…Nothing

Posted by Jim Karlson on October 12th, 2011

It’s been a year since 50 state Attorneys General announced that they would undertake an investigation into bank foreclosure procedures. Many of us thought government regulators were a bit late to the party at that point, but since the damage was still in full swing they could still have taken meaningful action. Unfortunately, that hasn’t happened: at the one-year anniversary of the big announcement, negotiations are stalled and maybe that’s just as well: the settlement that appeared to be in the works for a while would have fallen far short of addressing the actual damage done (and still being done).

While the coalition hasn’t turned out to be a force for consumer protection, effective regulation or much of anything else, not every state AG was on board with the idea of a quick and painless (for the banks) settlement.

Most famously, New York Attorney General Eric Schneiderman was uninvited to the party when coalition leader Tom Miller of Iowa declared that Schneiderman was actively undermining the group’s efforts and booted him from the key group overseeing negotiations. Since the

Read full post…

Tags: Year, Year Later…nothing
No Comments

Are You A Stay At Home Parent?

Posted by Jim Karlson on September 26th, 2011

Many years ago it was common for one parent, usually the mother, to stay at home and take care of the children while the other parent went out to work.

As time went on, more and more parents returned to work, putting their children into nursery as it became less practical financially for one to stay at home to bring up the children.

However the credit crunch, pay cuts and the rising cost of living has meant that, in some instances, both parents can no longer afford to work and pay for childcare. Prior to the budget of 2011 many families qualified for Child Tax Credits and Working Tax Credits with the element of help towards childcare fees. Post Budget 2011 the threshold changed and many families found themselves no longer qualifying for assistance.

This left many families struggling to make ends meet.

Read full post…

Tags: Parent
No Comments

MLB files motion to force sale of LA Dodgers

Posted by Jim Karlson on September 20th, 2011

Major League Baseball asked a bankruptcy court on Friday to approve the swift sale of the Los Angeles Dodgers instead of allowing owner Frank McCourt to pursue a refinancing plan that would enable him to maintain control of the bankrupt team.

The Dodgers filed for Chapter 11 protection in June after the league rejected a proposed $3 billion deal for future television rights, in part because some of that money was earmarked for McCourt’s personal use.

The parking lot tycoon contends that the rejection forced the cashstarved team into bankruptcy.

The league said in a motion filed Friday with the court that it has no intention of approving a sale of the team’s media rights, and that any attempt to sell the rights without its approval might result in the team’s termination from the league.

MLB’s motion sought the early termination of an exclusivity period for McCourt to propose a reorganization plan to emerge from bankruptcy.

The Dodgers in a statement called the motion “meritless” and said it would file a response to the League’s motion with the court early next week.

“The alternative offered today by Major League Baseball really amounts to an unnecessary and value destroying distressed sale of the Los Angeles Dodgers,” the Dodgers said.

The case is In re: Los Angeles Dodgers LLC, U.S.

Read full post…

Tags: Dodgers, La Dodgers
No Comments

What Is The Process of Home Foreclosure In Sacramento?

Posted by Jim Karlson on August 25th, 2011

The process of home foreclosure in Sacramento and eviction pre-foreclosure and the formal legal foreclosure process. Completion of all of these steps, which will probably take a few months or so, will lead to the eviction of the previous customer.

First, the customer must miss one mortgage payment. Once this occurs, a late notice is sent to the bank. In many cases, the customer then proceeds to miss multiple mortgage payments. When this happens, the bank sends notices and tries to reach a resolution. If this doesn’t occur and more mortgage payments are missed, then, at this stage, you are prohibited from paying the mortgage month by month. Instead, you must pay in full. If no arrangements accepted by the bank are made, the pre-foreclosure process is complete.

Either by sheriff or mail, a Notice of Intent to Foreclosure is sent. The bank then proceeds to take legal action and legal notices are being published in the local papers. No arrangements with the lender are made and the notice and waiting periods expire. After the hearing, the court allows the bank to foreclose the customer.

Read full post…

Tags: Home Foreclosure, Sacramento
No Comments

The NACBA Offers Principal Pay Down Plan

Posted by Jim Karlson on August 25th, 2011

The National Association of Consumer Bankruptcy Attorneys (NACBA) is currently proposing a new plan for the pay down of principal on upside down homes in jeopardy of being foreclosed. The federal government and all the entities involved in such mortgage arrangements should pay close attention to the plan offering because it might have a profound effect on the current housing crisis.

The lawyer group is suggesting their plan can be utilized in the absence of any legislation because it would be administered by the existing US Bankruptcy Courts within Chapter 13 plans. The NACBA suggest that if investors, insurers, and government agencies adopt such a plan, it will not require legislation.

Wow! Simple! Unheard of! Our bankruptcy lawyers across the nation are suggesting a plan whereby the investors and bankruptcy courts can work out a simple solution to a most difficult current problem, all without the help of Congress. Big Brother is going to be left out of the circle while common citizens solve a problem inside an already existing system. Ouch!

Read full post…

Tags: Plan
No Comments

When Bankruptcy Benefits Criminals? Comparing O.J. And Casey.

Posted by Jim Karlson on July 27th, 2011

After reading and considering my posts regarding legal issues in a Casey Anthony bankruptcy, an attorney sent me an email asking why O.J. did not file Chapter 7 bankruptcy. He asks why would bankruptcy work for Casey if it did not work for O.J.

Chapter 7 bankruptcy does not permit the debtor to discharge damages caused by the willful and malicious injury by the debtor to another person. This is important for the debtor only if there is a person entitled to damages and who is willing to sue for damages. The law permits some relatives of a deceased person to sue the person who caused the death. A common example are relatives who sue for “wrongful death” related to medical malpractice or a car accident.

In the O.J. case there were relatives of Ron and Nicole who had no allegiance to O.J. and who were able to sue O.J. to recover damages on behalf of their deceased relatives. Ron’s parents and Nicoles’s sister sued O.J. for intentional harm O.J. caused Ron and Nicole. Bankruptcy would not have stopped these lawsuits. In Case

Read full post…

Tags: Casey, Oj Casey
No Comments

Judicial Admissions in Your Bankruptcy Petition

Posted by Jim Karlson on July 23rd, 2011

Many a wary debtor find themselves embroiled in problems in their bankruptcy cases when they hire a bankruptcy petition preparer, incompetent attorney, or go it alone ‘Pro Se’ in preparing and filing their own bankruptcy case. Why? The reason is Judicial Admissions. You would think that bankruptcy is a simple process to discharge your debts, but consumers and practitioners alike are overwhelmed with so much misinformation it’s making my head dizzy.

When you sign your bankruptcy papers, you’re signing under penalty of perjury that you have told the truth and admitted all of your assets and your debts.  Your bankruptcy papers are deemed admissions under the Federal Rules of Evidence, which are used in federal bankruptcy court. See FRE 801(d)(2).

In a prior article, “Judicial Estoppel: Why You Should Disclose All Your Assets, Claims and Debts,” I discussed the reason for disclosing assets and debts to protect your legal rights to sue later. H

Read full post…

Tags: Bankruptcy Petition, Petition
No Comments
Page 3 of 3112345...102030...Last »