San Diego Bankruptcy Attorney Blog

A San Diego Bankruptcy Attorney on California Loan Modification Law

California Loan Modification Law is a hot topic. The term often refers to HAMP, the federal loan modification law, but it is a useful reference for discussion, nonetheless. California Loan Modification Law has a unique relationship with bankruptcies. For the most part, before California loan modification law is utilized, the homeowner has to be three months behind on the payments. If you are planning to get behind on your payments for the purpose of effectuating a home modification, it is strongly recommended that you put aside the cash you would otherwise be paying the mortgage with so that, in the event the home modification does not go through, you will be able to catch up on the arrears. Generally, however, the California loan modification law is utilized by the homeowner out of necessity, not out of strategy. In any event, a failed home modification will put a homeowner in the position of having to make tough choices. If the arrears are able to be paid at all once, then doing so is the best choice – provided the homeowner wants to remain in the home. Otherwise, the choice becomes: do I walk away from the home altogether and accept the consequences, do I walk away from the home and file for Chapter 7, or do I work to keep my home and file for Chapter 13 (where I can spread the arrearages over a sixty month repayment plan)?

Another aspect of California home modification law is that if you file for bankruptcy immediately after securing a modification, you might still be in your grace period and the bankruptcy can disrupt the home modification before it becomes “locked in.” Be careful with that. Additionally, if you are told you are close to qualifying for a home modification, do be careful opting for bankruptcy at that time because – as bankruptcy can provide a fresh start and often leave you with significant extra money in your wallet every month that you were, before the bankruptcy, paying to creditors – the extra money might change your financial situation so beneficially that the bank will not accept your home modification request. Finally, always keep in mind that because bankruptcy is a great way to start anew, it is much preferable to lose a home and then file for bankruptcy than to file for bankruptcy and then lose a home. In this latter situation, you cannot discharge the associated debt (as there must be at least eight years between bankruptcy discharges via Chapter 7) and your credit will be viewed more favorably if the more recent item on your credit report is filing for bankruptcy and getting a good fresh start, as opposed to filing for bankruptcy and then subsequently losing a home, despite the fresh start. California loan modification law is a good tool for helping debtors realign their debt portfolio but it should be considered in light of the greater financial situation of the debtor and the timing of a forthcoming bankruptcy should be taken into account as well.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney gives an Overview of Bankruptcy Law

Asking for a short, yet comprehensive review of bankruptcy law is like watching a two hour movie about clashing titans and thinking you now understand everything about Greek mythology. Nonetheless, Sagaria Law seeks to empower debtors, and, when necessary, assist them to file bankruptcies. To that end, the following is a review of bankruptcy law for the most common type of bankruptcy: Chapter 7.

A creditor has a right to sue a debtor for a debt (or foreclose on property if the debt is secured by collateral). This can be prevented either by paying the debt or by filing a bankruptcy. By operation of bankruptcy law, an automatic stay goes into effect upon the filing of a bankruptcy; this prevents any efforts to collect on a debt, including following through on a lawsuit. The bankruptcy petition that must be filed is about fifty pages long. Once filed, further documents need to be given to the trustee, pursuant to bankruptcy law 11 USC 521. A hearing is convened (called a 341(a) hearing) during which the debtor’s identity is confirmed and the trustee asks questions to see if the debtor owns property which might be taken by the trustee for sale (and the proceeds given to the creditors). After the hearing, assuming no issues arise, bankruptcy law requires the trustee to issue a report about the debtor’s assets. Ultimately, a notice of discharge is given and the debtor is free of any obligation to pay the debts discharged through the bankruptcy. Bankruptcy law is complex and detailed and requires a skilled and experienced examiner of the facts (this is generally an attorney). Contact Sagaria Law to let us continue to help you.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney offers a Bankruptcy Law Guide to Different Chapters

This is a bankruptcy law guide to the six “types” of bankruptcy codified within Title 11 of the United States Code, although only the three primary ones are discussed below. This bankruptcy law guide nonetheless lists, for reference, the following: Chapter 9 deals with insolvency of local municipalities; Chapter 12 is like a Chapter 13 (see below) but for fishermen and farmers; and Chapter 15 deals with international debt issues (adopting the United Nations’ Model Law on Cross Border Insolvency).

Chapter 7 — by far the most common of bankruptcies filed. As discussed in this bankruptcy law guide, Chapter 7 is considered a “liquidation” of assets. This means that the trustee assigned to the case by the United States Bankruptcy Court has the power to seize all of a person’s assets to pay the creditors, each receiving less than the full amount originally owed but the same proportional percentage of what is liquidated. A Means Test, added in 2005, is required as a method to calculate whether Chapter 7 is available to the debtor. If so, the Chapter 7 will yield a discharge of most debts, making the debtor no longer responsible for them. Refer to other discussions within this bankruptcy law guide for a discussion of what types of debts survive bankruptcy. Exemptions, which vary by state, provide for the protection of assets and avoidance of the power of the trustee to liquidate certain assets. In the vast majority of cases, no assets of the debtor’s are ever seized by the trustee.

Chapter 11 – available to both individuals and businesses, but overwhelmingly used by the latter. A Chapter 11 is referred to as a “reorganization.” In effect, once a Chapter 11 petition is filed, the debtor is given time to negotiate with its creditors and business partners to rehabilitate itself. This bankruptcy law guide details how debts may be restructured or forgiven; contracts or leases may be renegotiated; assets may be sold off. Anything is available to the business during its post-filing negotiation period. The creditors have to agree to the plan of restructuring, however. Once the process is complete and all (or enough) parties have agreed to accept the debtor’s plan, the debtor “emerges” from bankruptcy, presumptively leaner and more economically viable.

Chapter 13 – the “wage earner’s plan.” Chapter 13 is always voluntary. That is, Chapters 7 and 11 may be compelled by a creditor even over the debtor’s objection; Chapter 13 is unlike that and available to any debtor anytime. A detailed bankruptcy law guide should be consulted to see exactly how the payments during the plan will be distributed. In essence, the Chapter 13 is a repayment period of up to five years wherein the debtor pays her secured debt in full and her unsecured debt in accordance with her disposable income, as calculated. Most often, a discharge of the remaining unsecured debt is granted at the completion of the payment period.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorneydiscusses the Means Test in California

A search engine query for “means test California” might bring up a number of online tools which purport to allow you to run your own figures to see if you qualify for a Chapter 7. This “means test California” is wrought with hurdles, though, that the average person will not understand. These things are best left to an attorney. For instance, there might be a bonus deduction you can take for the additional cost of food if someone in the household has a food allergy, for instance, but the “means test California” online tool will not have the nuance to figure this out. If you make under the state median income, you need not even employ this “means test California” calculation; if you make over the state median, a quick consultation with an experienced bankruptcy attorney can yield a more reliable result and can also facilitate a general conversation about how bankruptcy might benefit you. If you want to go into that consultation a bit more prepared than most folks, a “means test California” run-through ahead of time can help make you a bit more conversant with the attorney and understand why he or she is asking what they are asking, but one should not rely on an online tool too much, especially when real professional help is out there…for free.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney discusses the United States Trustee an Attorney?

Who is the United States trustee?
The United States trustee for the Southern District of California is Tiffany L. Carroll.

What does the United States Trustee do?
The United States Trustees Office is a division of the United States Department of Justice who are responsible for the overseeing and administration of bankruptcy cases and private trustees.

What is a “private trustee?”
A private trustee is the person who would ask you questions at the 341 hearing. This person is often believed to be, in error, the United States Trustee herself. There are actually about a dozen or so “private trustees” hired by the United States Trustee’s office to manage the individual cases. The United States Trustee for each district (here, that’s Tiffany L. Carroll) manages these “private trustees” and oversees the administration of all bankruptcy filings in the district.

What area does this district include?
The San Diego area is considered District 15 (out of 21 total) and includes “the Southern District of California, the District of Hawaii, the District of Guam and the Commonwealth of the Northern Mariana Islands.”

Is the United States Trustee an Attorney?
Yes. Ms. Carroll has served as Assistant U.S. Trustee heading the U.S. Trustee Program’s San Diego office since October 2005. She joined the Program as a Trial Attorney in the San Diego office in 1991. Ms. Carroll received her law degree from Seattle University School of Law in Tacoma, Wash., and her undergraduate degree from Pitzer College in Claremont, Calif. She received the Executive Office for U.S. Trustees Director’s Award for Excellence in Legal Advocacy in December 2000. She is a member of the State Bar of California.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney with some information on California Bankruptcy Fraud Law

California Bankruptcy Fraud Law, like any fraud, is a crime. In this particular case, a violation of California Bankruptcy Fraud Law is not determined by the elements within the California Penal Code, but rather according to federal law. Fraud always includes an intent to deceive, which requires, by definition, knowledge that your actions or statements are untruthful or meant to induce a result you might not otherwise be entitled to. An example of how a violation of a California Bankruptcy Fraud Law might occur would be to willfully not list or wholly undervalue otherwise listed property in a Chapter 7 bankruptcy (because all bankruptcy requires the debtor to list their assets). Because California’s exemption laws restrict the retention of certain property when a bankruptcy is filed, it would be a violation of the California Bankruptcy Fraud Law to not declare your ownership of, for instance, a 56 Chevy parked in your garage that is worth $10,000 because you are trying to save the car you drive every day from being sold as part of the bankruptcy. Since you are trying to take advantage of the situation by keeping that which you would otherwise not be able to keep, you have violated the California Bankruptcy Fraud Law. The consequences can be severe fines and even incarceration. Violations of fraud laws in the bankruptcy context are investigated by the FBI and are prosecuted by the Department of Justice. Simply put, do not commit violations of California Bankruptcy Fraud Law.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney with a word on Student Loan Debt Forgiveness

Bankruptcy attorneys often wish they had better news to offer clients when discussing student loan debt forgiveness. Some student loan debt forgiveness may be possible in a bankruptcy but the standard by which student loan debt forgiveness is actually judged makes it nearly impossible. Start by locating your loan documents and review them. Student loan debt forgiveness is discussed in 11 USC §523 and requires an examination of 26 USC §221(d) and 26 USC § 25A(f)(2). You have a greater chance to have your student loan debt forgiveness granted if your loan was not federally funded. Also, you need to inquire about whether the school you attended is covered by Section 481 of the Higher Education Act of 1965 (found at 20 USC § 1088) or if it is not eligible to participate in Title IV.

This is all very complex and is best deduced by a lawyer. As a rule, though, when contemplating bankruptcy, you should consider that you will not be granted any student loan debt forgiveness. If you are elderly, you might have a better chance, because it is possible to make a request to the court to grant the student loan debt forgiveness because of undue hardship (the inability to pay it back; this inability is heightened when you will not be working much longer and retirement is on the horizon). Similarly, if you have an undue hardship such as the loss of vision and you were trained as a pilot, flying will be impossible and you have a better chance to be given the student loan debt forgiveness. Clearly, it is an intricate and detailed topic best discussed with legal counsel.

http://www.sanjosebankruptcylawyerblog.com/2010/03/_if_you_have_questions_8.html
If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney Chapter 7 and Unemployment

If you stop making your house payment, it makes sense that soon a foreclosure will follow. If you cannot pay your credit card bills, soon a lawsuit will follow. Chapter 7 and unemployment are similar. If you lose your job, a bankruptcy is likely to result. And this makes sense. If you get behind, you need a fresh start. Watch the news wires for reports about Chapter 7 and unemployment; you will see that when people are not working, the number of bankruptcies rises. Indeed, recent unemployment figures are in the double digits and California unemployment may be as high as 1 in 8 people being out of work (12.5%). There is expected to be over 1.5 million bankruptcies filed in 2010 (as there was in 2009) and the vast majority of these are Chapter 7 liquidations. A recession can be seen, to a certain extent, as a market correction. The housing bubble did as bubbles must: it burst. The economy burst with it (as the financial sector got ravaged by mortgage losses; see, for instance, the collapse of and the ridiculously low sale price of Washington Mutual Bank, a major housing lender). When the general economy waned, jobs were lost and unemployment soared. Thus Chapter 7 and unemployment are intricately linked and this is reflected in the numbers. Consider joining the millions of others who have gotten their fresh start: take advantage of the times, reset your balance sheet to zero debt, and emerge clean and unencumbered as the economy rights itself. Chapter 7 and bankruptcy are indicators of a sluggish market; when it gets going again, it makes sense to start anew.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorneygives 5 Tips to Avoid Property Foreclosure

TIP 1: STAY CURRENT. It goes without saying that the best and most sure way to avoid property foreclosure is to stay current on your mortgage(s). You might be able to keep yourself “current” (for credit reporting purposes) if you reach out to your mortgage holders and advise them that you must make a reduced payment for a month or two. If you pay them at least something, they may be less inclined to report you as behind (and thus move toward foreclosure).

TIP 2: PAY IN DESCENDING ORDER OF THE LIENS. If you must begin to be late or miss payments, pay the secured (and partly secured) mortgage holders first. That is, with property values declining, ask yourself how much your home is really worth. If its value is $300,000 and you owe $325,000 on the first mortgage and $75,000 on the second, the second mortgage is wholly unsecured. If you had a third mortgage or HELOC on the house, it would be even more junior than the second mortgage. When it comes time to avoid property foreclosure through strategic choices, understand that the unsecured mortgage holders, if they pursue bankruptcy, will have to pay off all the mortgages or liens superior to their own. Thus, in the example, if you home were foreclosed by the 2nd mortgage and $300,000 was fetched at auction, the second mortgage holder would have to pay the first $325,000. Why would they do this? They probably wouldn’t!

TIP 3: FILE A BANRUPTCY. A Chapter 13 bankruptcy allows a debtor (assuming you have income to fund it) to take all the arrears owed on any liens on the home for which some amount is secured and pay them off over 60 months, interest free, even over the bank’s objection. Chapter 13 is therefore a very strong tool in your arsenal of options to avoid property foreclosure.

TIP 4: STRIP A SECOND LIEN. If you file a Chapter 13 and any of your junior mortgages/liens are wholly unsecured (as the 2nd and the HELOC would be in the example above), these junior liens need not be paid in full (and possibly not at all depending on your income minus expenses) at all and will even wholly extinguish (or discharge) after 60 months have passed. This can save you tens or maybe hundreds of thousands of dollars. When your bankruptcy concludes, you should then be in a position to avoid property foreclosure because you will no longer be strapped with the payment obligations on the now-extinguished junior liens.

TIP 5: GET A LOAN MODIFICATION. Most lenders will want you to miss some payments before they consider granting you this relief. Essentially it is a wholly new contract; it is like buying the house again, except you are the buyer and you are the seller. Everything is new. You will avoid property foreclosure, then, by starting the clock all over. Consult your lender’s website. Due to the recent housing market crisis, most lenders are posting loan modification options on their homepages; you will be required to furnish them information about your income and expenses. Your goal will be to show that your house is upside down and you have about $200 extra every month after paying your bills. You might think you have to show that you are in the negative every month, but this is not attractive to the lenders: shoot for that $200 in the black every month and you will have a greater chance of success.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!

A San Diego Bankruptcy Attorney provides a Creditor Harassment FAQ

Text: QUESTION 1: How might creditors harass me?
ANSWER 1: The most common example of creditor harassment is phone calls. The creditors call from 8 a.m. through 9 p.m., as the Federal Fair Debt Collections Practices Act allows (unless the creditor has knowledge of circumstances to the contrary). The creditors also contact your friends and family, under the auspices of looking for you or passing a message through them to you. Worst of all, they contact your employer, again under the guise of trying to find you. Needless to say, most people do not like their employers’ knowing about their finances. The creditors also send mean letters; sometimes these letters are sent from “lawyers” (though it is most likely the creditor using, with permission, a lawyer’s letterhead) threatening a lawsuit.

QUESTION 2: Will bankruptcy stop the harassment?ANSWER 2: Yes, absolutely. The filing of a bankruptcy creates an automatic stay, which prevents the creditor from contacting you directly (and stops them from taking any collection action whatsoever).

QUESTION 3: Is there any other way to stop the harassment other than filing for bankruptcy?
ANSWER 3: You can certainly pay the debt or negotiate an arrangement with a creditor; this should stop them from calling, of course. Another solution is to consult the Federal Fair Debt Collection Practices Act and apply the steps to notify the creditor of your option not to pay or be contacted.

QUESTION 4: Is a lawsuit considered harassment?
ANSWER 4: it sure feels like a lawsuit is harassment, especially when you have no money to pay. Indeed, the creditor may only be suing you to provide you incentive to make a payment plan (and they will then not pursue a judgment or collecting on the debt even if they garner a judgment). But officially, a creditor is allowed to you sue; so it is not considered the type of harassment covered by the Federal Fair Debt Collections Practices Act.

If you have questions regarding Bankruptcy in San Diego County, including Carlsbad, San Diego and surround cities in San Diego County please contact us at (760) 579-7322 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Diego Bankruptcy Attorneys. After you have spoken with one of our San Diego bankruptcy attorneys, we can schedule you for a free face to face appointment in our Carlsbad bankruptcy office. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Deigo consumers in debt 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, Southern California!