Chapter 13 Bankruptcy In Minneapolis

January 26, 2012 By

If you are thinking about filing for chapter 13 bankruptcy in the Twin Cities of Minneapolis and St Paul, your 341 meeting will most likely be held in downtown Minneapolis in the Plymouth Building. When you attend this meeting it is important to bring the following documents with you to make sure your case can be heard by the bankruptcy trustee: 1. most recent pay stub; 2. bank statements from the date of your bankruptcy filing; 3. Social Security card or W-2 from employment; 4. picture … [Continue Reading...]

Bankruptcy for Minnesota Contractors

January 25, 2012 By

As most are aware the building trades have been hit especially hard by the economic downturn. Prior to the downturn building trade professionals in Minnesota were having some of the best year in terms of income. What went up came down. The question is what to do about it. Homes are not being built, homeowners are holding back on improvements and even commercial properties are not immune in Minnesota. The end result is framers, finishers, contractors, painters, plumbers, drywallers, painters … [Continue Reading...]

Undue Hardship Standard and Student Loans in Bankruptcy

January 18, 2012 By

I recently ran across an interesting article online at http://www.fastweb.com/financial-aid/articles/2259-congress-proposes-allowing-private-student-loans-to-be-discharged-in-bankruptcy. The author presents some pretty startling statistics about the number of cases where student loans are actually discharged. The article writes that of approximately 72,000.00 student loan borrowers who filed for bankruptcy protection only .4 sought a discharge of their student loans, and of those only 29 of the … [Continue Reading...]

The Problem With Student Loan Debt

January 11, 2012 By

I am seeing an increasing problem with student loan debt in my bankruptcy practice. I have run across individuals with over $100,000.00 in student loan debt, and the payments can be upwards of $1,000.00 per month. This leads a lot of people to ask me if bankruptcy can help with the student loan debt, and unfortunately in most cases bankruptcy does not help. The law is skewed against individuals being able to discharge their student loan debt in bankruptcy. A common standard th courts employ when … [Continue Reading...]

Mortgage Modification or Bankruptcy First?

January 4, 2012 By

For individual looking to modify a mortgage and also considering a bankruptcy a common worry is that bankruptcy will disqualify them for the modification. The first and most important factor with the disqualification of a modification is whether a modification will be granted in the first place. In most instances the chance at modification of home mortgage are remote. Banks will review the information provided by individuals and often conclude that the same issues that caused late payments on … [Continue Reading...]

Feeling Bad About Filing Bankruptcy

January 3, 2012 By

Similar to many problems the first step for bankruptcy is the hardest one, admitting that you may need a bankruptcy. Never once in all my years practicing bankruptcy have I met with a client who wanted to file. In most cases my clients have exhausted all available resources including borrowing from other credit cards, borrowing from family and friends, borrowing from savings and retirement and borrowing from their emotional health prior to resigning themselves that they should consider … [Continue Reading...]

Reasons Why People File For Bankruptcy In Minnesota

December 21, 2011 By

I have helped a lot of Minnesota residents file for bankruptcy protection. In many cases my clients do not want to file for bankruptcy but have been forced into bankruptcy by circumstances beyond their control. I talk to clients every day who have lost their jobs, had major medical issues (without adequate medical coverage), recently were divorced, or a small business has failed. In most cases the things that have happened to my clients could happen to anybody in Minnesota myself included. That … [Continue Reading...]

Jail For Not Paying Debts In Minnesota.

December 13, 2011 By

The general answer to this that you cannot go to jail for not paying debts in the State of Minnesota, debtors prisons are not allowed in America. The issue is that a part of the legal process in Minnesota allows creditors to get bench warrants issued if a debtor fails to appear for collection related hearings after not answering the financial disclosure form sent by the creditor. If a bench warrant is issued and you get pulled over for a routine traffic stop, you could be spending the night in … [Continue Reading...]

BANKRUPTCY OR DEBT SETTLEMENT, WHICH IS BETTER FOR YOUR CREDIT?

December 9, 2011 By

A common worry that individuals have when thinking about bankruptcy is how will it affect their credit score. Many individuals considering bankruptcy will also consider debt settlement or debt consolidation as a way out of debt. The question is which is better or worse for your credit score? Chapter 7 bankruptcy takes on average 95 days from filing to discharge. Immediately after discharge individuals can begin to rebuild credit. Think about drawing a line in the sand. Prior to filing … [Continue Reading...]

Does Bankruptcy Get Rid Of Home Loans.

December 7, 2011 By

The answer to this depends. If you file for bankruptcy protection in Minnesota and receive your bankruptcy discharge you will no longer be personally liable for any secured loans including home loans, car loans, boat loans, etc. The bankruptcy discharge gets rid of your personal obligation to pay on the loan. If you decide to stop making payments on the secured loan the lender cannot pursue you on the loan (provided you did not reaffirm the debt). The lenders can still take the property back … [Continue Reading...]

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