Archive for January, 2011

When Bankruptcy Is Best

Wednesday, January 12th, 2011

Article written by Liz Pulliam Weston MSN Money

The bills are piling up. The collection agencies are calling. At night you lie awake, wondering how you’re ever going to cope with your debts.

distressed guy

At what point does it make sense to throw in the towel and file for bankruptcy?

There’s no one-size-fits-all answer to that question. In purely financial terms, the answer depends on:

  • Your current situation.
  • Your future prospects.
  • The laws in your state.

There is, of course, another factor to be weighed, which is your personal sense of responsibility for repaying the debt you’ve incurred.

For now, let’s explore the purely financial and legal aspects of bankruptcy.

How the process works

A bankruptcy filing halts, at least temporarily, all collection activities, from phone calls demanding payment to more serious actions including foreclosure, wage garnishment and levies against your bank accounts.

What happens next depends on the type of bankruptcy you file:

  • In the most common type of filing, Chapter 7, your credit card balances, medical bills and most other unsecured debts are erased entirely. (Certain other unsecured debts, like student loans and recent taxes, typically can’t be wiped out in bankruptcy.) Technically, some of your property could be taken and sold to satisfy your creditors; the types of property that could be taken vary by state. In some states, for example, only a small amount of home equity is protected from creditors, while in others like Florida and Texas the amount of equity that can be sheltered in a home is virtually unlimited.
Carolyn Secor is a Clearwater bankruptcy attorney and Clearwater foreclosure attorney serving Palm Harbor, New Port Richey, Oldsmar, Tarpon Springs, Seminole, St. Petersburg and the Tampa Bay area.If you would like more information on our practice, please consult our website at: www.bankruptcyfortampa.com
or call (727) 254-1704.
 
   
   
 

U.S. Home Foreclosures May Top 100,000 In January

Monday, January 3rd, 2011

According to NPR news atticle on January 3, 2011 by Tamara Keith

Over the holidays, many lenders put foreclosures on hold. But that temporary freeze is over now. Industry watchers are expecting thousands of foreclosed properties to hit the market in the weeks and months ahead.

bank owned

Home foreclosure sales slowed down at the end of 2010 for two reasons: the regular holiday foreclosure freezes, and the remnants of the so-called robo-signing scandal.

In the fall, many lenders put evictions on hold while they reviewed their foreclosure procedures. Rick Sharga of RealtyTrac says that’s behind us now — and the pace of foreclosure is about to pick up.

And then there’s the issue of loans. Mortgage lenders have so tightened their credit standards that now, even people with relatively good credit scores are having a hard time borrowing the money they need to buy a house.

Carolyn Secor is a Clearwater bankruptcy attorney and Clearwater foreclosure attorney serving Palm Harbor, New Port Richey, Oldsmar, Tarpon Springs, Seminole, St. Petersburg and the Tampa Bay area.

If you would like more information on our practice, please consult our website at: www.bankruptcyfortampa.com
or call (727) 254-1704.