HOW SOCIAL MEDIA CAN AFFECT YOUR BANKRUPTCY?

In today's world, social media is taking over.  People are constantly posting information and pictures about themselves on Facebook, Twitter, etc.  However, if you are planning on filing for bankruptcy, this can pose a potential problem.  Creditors in a bankruptcy case have one interest, and that is attempting to recover any and all money owed to them by the debtor.  Increasingly, creditors are using pictures and information posted by debtors against them, such as a picture of a new car, or a posting on Twitter about a gambling or golfing trip.  Creditors are then presenting this information to bankruptcy trustees to investigate whether the debtor has additional funds to distribute among the creditors.  If you are considering filing bankruptcy, be careful what information you distribute to the general public because it could come back to hurt you.

http://www.westmontattorneys.com/Bankruptcy/

IS MY TAX REFUND INVOLVED IN MY BANKRUPTCY CASE?

Because it is that time of year, we get a lot of questions from our bankruptcy clients regarding their tax refund.  Generally, a tax refund will be included in a bankruptcy case, however, it is rarely seized by the trustee.  Unless you are expecting a large refund in excess of $10,000 or you have very little left of your "wildcard" exemption, our clients will almost always have their refund protected.  However, the bankruptcy statute does allow the trustee to utilize that money to pay back creditors if it is not protected by the debtor.

http://www.westmontattorneys.com/Bankruptcy?

ILLINOIS RANKS THIRD IN FORECLOSURES

Illinois had the third highest rate of foreclosures in 2012, with approximately 160,000 foreclosure notices from lenders sent out last year.  Additionally, every month last year had a higher number of foreclosures than the corresponding month in 2011.  The good news is that both November and December saw a decrease in foreclosures from the previous month.  If you have received a foreclosure notice, contact one of our attorneys to see if bankruptcy is the right choice for you.

http://www.westmontattorneys.com/Bankruptcy/

DO I HAVE TO INCLUDE ALL DEBTS AND ASSETS ON MY BANKRUPTCY PETITION?

Often times, clients will want to withhold credit cards with low balances from bankruptcy so they can keep that account open and continue using it after the bankruptcy case is completed.  However, the law prevents an individual from doing that.  All debts have to be included on a bankruptcy petition, a debtor cannot merely pick and choose which ones to include.  If the debtor would like to keep the debt and continue to pay it off, they could always choose to reaffirm the debt with the creditor, although this is rarely recommended.  Regarding assets, all have to be included on the bankruptcy petition as well, including some instances where previous assets have been disposed of or distributed.  This is to prevent fraud and to allow the trustee the oppourtinity to reimburse creditors if at all possible.  For assistance about completing bankruptcy petitions or any other general questions, contact our bankruptcy attorneys for a free consultation.

http://www.westmontattorneys.com/Bankruptcy/

SHOULD I TRY A DEBT RELIEF PRIOR TO FILING FOR BANKRUPTCY?

Due to several different circumstances, there are very few instances when pursuing debt relief ends up with better results than filing bankruptcy.  While it is true that some of these companies can assist people, the vast majority of these programs fail over 75% of teh time leaving you with more debt and a damaged credit score.  First, these companies are not worried about what is in the client's best interest.  Instead, they are worried about their bottom line, and many customer service agents for these companies work on commission and only get compensated for the individuals they sign up in their program.  Also, unlike bankruptcy, the results are very unpredictable when utilizing a debt relief company.  Our attorneys can let you know upfront what the results will be based on your specific situation and chapter of bankruptcy and whether bankruptcy is even your best option.  Contact one of our attorneys today to schedule a free consultation and see how you can become debt-free.

http://www.westmontattorneys.com/Bankruptcy/

ILLINOIS HOMEOWNER TAX BREAK SET TO EXPIRE

As of now, Congress has yet to extend the Mortgage Forgiveness Debt Relief Act, which provides a tax break for qualified homeowners on debt forgiven by their lenders through loan modifications, short sales, and foreclosures.  The current legislation is set to expire on December 31, 2012, therefore, if you attempting to complete one of the above-mentioned transactions with your lender, it is best to aim for completing the transaction prior to the end of this year in order to avoid potential huge tax consequences.

http://www.westmontattorneys.com/Bankruptcy/

341 MEETINGS

Many new bankruptcy clients are unfamiliar with the purpose and procedure of a 341 Creditor's Meeting. A 341 meeting takes place with the bankruptcy trustee, and the purpose is to determine if the debtor has been accurate and complete in preparing their petition, as well as whether there are non-exempt assets that can be liquidated for the benefit of the creditor's. A "No Asset" finding is the holy grail for a debtor, and will result in a complete discharge of all debts in Chapter 7 bankruptcy.

 

http://www.westmontattorneys.com/bankruptcy/