Birmingham & Farmington, MI Chapter 7 Bankruptcy Lawyers

The New Year and Debt Solutions

Challenges with bills and budgets can happen at any time, but is probably the most stressful this time of year. Debt can put strain on homeownership and it can place hardship on every family member. There are things you can do to keep your home and pay your bills but you should do it with a plan and process in mind.

There are a lot of areas to consider when there are debt problems. And we at Gudeman & Associates, P.C., (http://www.gudemanlaw.com/about/firm/) can help; the initial consultation is completely free and it will give you an opportunity to discuss options with experienced attorneys within the firm. Chapter 13 could be an option for you.

Just knowing the process and what is…

The ABC’s of The Holidays

Tis the Season we all enjoy for so many wonderful reasons! With the history of Christmas well over 2000 years old, and the history of Hanukkah over 4000 years old, we are deeply involved in these ancient yet joyous seasons. Hanukkah begins tomorrow night with the start of the Festival of Lights, and the beautiful Menorah will be shining in windows and on tables around the world. These eight nights and days are so rich in tradition, custom and belief.

It is Christmas week as well. And we focus on the Assembly, Building, and Creation (The A,B,and C’s) of the Holiday Season. The assembly of bikes, toys, wagons and more fill the late evenings and are tucked away for Santa Claus to deliver on Christmas Eve. The building of a plain green tree to the most gorgeous one, with the placement of one meaningful ornament at a time under the star or angel at the very top, becomes the center piece and focal point of both home and family; and the creation of bright and colorful lights both inside and outside of our homes round the world sparkle in message as we travel the streets signaling the wonderful uniqueness of the season.

But the ABC’s of the Holiday mean more than …

The Four MUSTS in Foreclosure

In Metro Detroit and across Michigan, home foreclosures continue to be a possibility for many good people who are facing harsh economic challenges. Foreclosure is a confusing process at

its very best and a mess at its very worse. And, inaddition to its financial and legal implications, it can trigger a variety of emotional disorders such as depression and create an enormous amount of personal and professional stress for both the property owners and their families.

This is a particularly sad situation as the holiday season fast approaches. And, it is not surprising to see hardworking homeowners give up at the very first terse and somber letter from…

Fannie Mae Announces Eviction Moratorium for the Holidays

December 01, 2011
Fannie Mae Announces Eviction Moratorium for the Holidays
Andrew Wilson

WASHINGTON, DC – Fannie Mae (FNMA/OTC) announced today that it will suspend evictions of foreclosed single family and 2-4 unit properties from December 19th, 2011 through January 2nd, 2012. During this period, legal and administrative proceedings for evictions may continue, but families living in foreclosed properties will be permitted to remain in the home.

“The holidays are meant for families to spend time together, especially if they’ve gone through the stress of financial challenges and foreclosure,” said Terry Edwards, Executive Vice President of Credit Portfolio Management, Fannie Mae. “No family should have to give up their home during this holiday season. Fannie Mae is committed to helping borrowers avoid foreclosure whenever possible and we encourage any homeowner who is having difficulty making their payment to reach out for help.”

What Happens To My Student Loan Co-Debtors, If I File For Bankruptcy Protection?

Student Loans have become a major reason to file for protection under Chapter 13. After mortgage debt, the next largest category of debt is Student Loans.

Chapter 7 does not discharge or assist with the resolution of Student Loan Debt.

Chapter 13 does not discharge Student Loans, but it can afford a degree of protection from collection for the period beginning with the filing of a Petition in Chapter 13 and the end of a confirmed plan, typically 36-60 months after filing, or other termination of a Chapter 13 including voluntary or involuntary dismissal.

Because all Student Loans are now non-dischargeable, except in a very few cases of extreme hardship, the interest on those loans continues to accrue and the entire balance including accrued interest but…

The Option of Chapter 7

Times are still very tough, as Michigan heads into the New Year. If you have been challenged financially, we at Gudeman & Associates can help. There many good reasons. Sometimes long- term illness within a family can create an overwhelming hardship. Among other things that can happen are sudden and permanent disability, a long unemployment, or a wide variety of other calamities that can create undue pressure with both bill paying and debt management. Foreclosure has impacted thousands in southeastern Michigan. And, soon many people in Michigan are going to run out of unemployment insurance benefits. This may also contribute to hardship.

Economic and health misfortune can happen to anybody at anytime. Bad things sometimes happen to good people. In Southeast Michigan…

How Do I Rebuild My Credit After Bankruptcy?

Virtually every client we have has asked, at one time or another, how they can rebuild their credit after filing for bankruptcy protection. There are several accepted methods that we recommend.

First and foremost, we recommend obtaining a secured Visa or MasterCard. A number of banks and credit unions now offer “secured” credit cards where a debtor puts up a certain amount of money (as little as $200) in an account at the bank to guarantee payment. Usually the credit limit is equal to the amount of the security given and is increased as the debtor proves his or her ability to pay the debt. Assuming that you use the secured card and pay it in a very timely (this is absolutely critical), you will then get monthly positive information flowing into your credit reports and scoring.

If you are making your car payments directly, never be late. Again, this will provide for monthly information to your credit bureaus.

To re-establish your credit, we recommend:
1. Open a new savings account;
2. Be a regular and persistent saver, even just a few dollars per month is important.
3. Pay yourself first;
4. Take your next raise and save it;
5. Save 5 % of your pay;
6. Have your savings come right off your pay and into a separate savings account;
7. Take out a small loan using the savings account as collateral, and then pay it back;
8. Apply for a credit card, with a low limit and secure the limit by using your savings account as collateral;
9. Pay your credit card balances on time.
10. Visit with your bank or credit union’s credit counselor and/or financial planner.
11. Obtain a secured Visa or MasterCard. Use it for gas or groceries. Never run up a balance. Make your payments on time, always!!

Top 12 Bankruptcy Myths

Original Article Credit: http://money.msn.com/credit-rating/12-myths-about-bankruptcy-bankrate.aspx

Like most big, bad scary things, bankruptcy has a reputation based on a few tidbits of truth and a lot of embellishment. And like most creepy crawlies, it’s not nearly as frightening once you know the truth.

With a mind toward declawing the monster, here are a dozen misconceptions about bankruptcy:

1. Everyone will know I’ve filed for bankruptcy. Unless you’re a prominent person or a major corporation and the filing is picked up by the media, the chances are very good that the only people who will know about a filing are your creditors. While it’s true that bankruptcy is a public legal proceeding, the number of people filing is so massive that very few publications have the space, manpower or inclination to run all of them, although some local newspapers do print the names of those who have filed in that community.

2. All debts are wiped out in Chapter 7 bankruptcy. You wish. Certain types of debts cannot be discharged, or erased. They include child support and alimony, student loans, restitution for a criminal act and debts incurred as the result of fraud.

3. I’ll lose everything I have. This is the misconception that keeps people who really should file for bankruptcy from doing it, says Chris Viale, the chief operating officer of Cambridge Credit Counseling in Massachusetts.

National Bankruptcy Research Center-2010 Year-End Bankruptcy Filings Report

The year‐end data show that filings for 2010 finished just above 1,500,000, about 9% more than in 2009, and the highest since the two‐million-plus filings in 2005. Although filings were up from 2009, the increase was much more modest than the 30% increases each of the previous three years. Thus, there is good reason to think that we are past the rapid increase in filings we have seen since 2006.

Nationwide, filings this year to date amount to about 6600 filings per million individuals, about 1 in every 150 people. Through the course of 2010 the filing rates have become increasingly disparate throughout the country. The highest filing rates are concentrated in the Southwest and a swathe cutting up from the Southeast. Thus, on a population-‐adjusted basis, Nevada has substantially more than twice the national filing rate (15,000 filings per million this year) and about 40% more than the State with the second highest filing rate. The starkness of Nevada’s situation is apparent from a comparison to other indicators of financial distress. BLS unemployment data for November show that Nevada’s unemployment rate of almost 14% is by far the highest in the country. Data from Trans Union also indicate that Nevada’s rates of credit card and mortgage delinquency are the highest in the country.

The Opportunities of Chapter 13

Here in Southeast Michigan, it is not uncommon to be juggling income with the out-go. Over the course of weeks, months, and sometimes years, it is not unusual to be behind on something that involves money: credit card, student loan, home, car, and kid’s education, among others.

Every single month, you sit at the kitchen table with your pencil, a piece of paper, and a pile of bills and invoices. You pay what you can to who you can. Most of the time you make it and pay everyone; but sometimes, every once and awhile, you sometimes fall short.

If getting a handle on who you need to pay and what you owe is something you have been thinking about, a reorganization of bills might be in order. If you have had thoughts where you have become concerned with losing your car or home to creditors, we can help.

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bankruptcy

The New Year and Debt Solutions

The ABC’s of The Holidays

The Four MUSTS in Foreclosure

Fannie Mae Announces Eviction Moratorium for the Holidays

What Happens To My Student Loan Co-Debtors, If I File For Bankruptcy Protection?

The Option of Chapter 7

The Option of Chapter 7

How Do I Rebuild My Credit After Bankruptcy?

Top 12 Bankruptcy Myths

National Bankruptcy Research Center-2010 Year-End Bankruptcy Filings Report

The Opportunities of Chapter 13

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