When prospective clients contact me for the first time, I like to get basic biographical information over the phone, such as address, household size, place of employment, types of debts owed and overall debt problems. By the end of the phone call, I can tell if bankruptcy might be an option. If it is, then I like to set up … Read More
Watch Out for HAMP Mortgage Modification Denials
HAMP stands for the Homeowners Affordable Modification Program and it’s the Obama Administration’s foreclosure-prevention program. The attractive feature since April 2010 is that the program specifically permits folks in current bankruptcy cases to still pursue HAMP modifications. Today a client (who had recently entered into a 3-month Trial Mortgage Modification Agreement with his mortgage company) just informed me that after … Read More
How do I convert my Chapter 13 case to Chapter 7?
We frequently have to convert Chapter 13 cases to Chapter 7. Usually, it’s because the client in a Chapter 13 case has lost his job and doesn’t have the same income he once had. You must be careful however to determine whether you are eligible for Chapter 7 relief. For example, if you filed a Chapter 7 case and got … Read More
What’s the Problem with Debt Settlement?
Today I got yet another client who was disgusted to have wasted his money with a debt settlement company. Why was he so eager to file bankruptcy? Just like many other clients before him, he was upset because he had just been served with a lawsuit from one of his credit card companies. This happens time and time again. In … Read More
I Filed Chapter 7 Bankruptcy About 5 Years Ago, But Now Have New Debts
A client recently came into my office with about $18,000 in credit card debt. He had filed Chapter 7 in early 2005, but he had taken out several credit cards after his case was completed. He had become unemployed back in 2008 for awhile, and although he was now working, he simply couldn’t get back on track with his credit … Read More
What’s a “Cure and Maintain” Chapter 13 Bankruptcy?
I’ve seen a lot of cases in my 17 years as a Pittsburgh bankruptcy lawyer. The most common Chapter 13 bankruptcy case is one in which a homeowner files for Chapter 13 relief in order to protect his home from mortgage foreclosure. Here’s a chronology of a recent Chapter 13 case that I filed in April 2010. My clients, a … Read More
If I File Bankruptcy, How Will it Affect a Co-signer?
First, it’s important to know a couple of concepts. When you file either Chapter 7 or 13 and you have a co-signer on a specific debt, your bankruptcy filing will not discharge (wipe out) your co-signor’s liability. If you receive a bankruptcy discharge order, then only your liability is wiped out. Moreover, co-signed loans are set up by banks and … Read More
Can I Repay Any Debts After My Chapter 7 Bankruptcy Case?
Let’s talk about two kinds of debts that you can repay after your Chapter 7 case has been concluded. First, there are secured debts like car loans and mortgages. Many clients typically say when we sit down to review their Chapter 7 petition and paperwork: “But, I don’t want to include my car loan and mortgage in the bankruptcy.” Well, … Read More
My House Is Up For Sheriff’s Sale–Is It Too Late to File Chapter 13?
As you know, in Allegheny County, Pennsylvania, sheriff’s sales on real estate are held on the first Monday of each month starting at 9 am. Although you can theoretically file a bankruptcy case at 8:55 am on Monday to prevent your sheriff’s sale from going forward, you don’t want to be quite that risky and wait that long. I often … Read More
How to Get a Car Loan While in Chapter 13 Bankruptcy
First off, one big caveat: I am writing about Chapter 13 bankruptcy as practiced in Western Pennsylvania. Specifically, this is the Court known as the Western District of Pennsylvania. As discussed in a previous post, all secured loans (for example, car loans and mortgages) are paid “inside the plan” on a monthly basis in Chapter 13 cases in Western Pennsylvania. … Read More