Can I file bankruptcy more than once?
You can file bankruptcy more than once, although, depending on the type of relief you seek you may have to wait some time. For example, you cannot file for Chapter 7 until 8 years pass from the last time you had a Chapter 7 discharge. The wait to file Chapter 7 is shortened to 6 years if your prior bankruptcy was a Chapter 13. You can file for Chapter 13 anytime after a Chapter 7 discharge but you may not be entitled to a discharge unless you’ve waited for 4 years since your Chapter 7 discharge. You can file for Chapter 13 after a prior Chapter 13, however, you may not have a discharge unless you wait 2 years from the prior Chapter 13.
Can I file for bankruptcy without my spouse?
You most certainly can file for bankruptcy without your spouse.
Can I get a loan modification while filing bankruptcy?
Although many servicers have different guidelines, most will review a file for a loan modification while in an active bankruptcy. The criteria would be the same as those who are applying for a modification and not in bankruptcy; however, the difference is that, if approved, court permission would be necessary to complete the process.
Can I stop a foreclosure?
Yes we can usually stop foreclosure. There always exceptions to the rule but we are typically able to stop foreclosure the day before a sale date.
Can I transfer my property to avoid bankrutpcy?
Transferring property isn’t a method of avoiding bankruptcy. Your creditors have ample methods of collecting from you, even if you transfer your assets.
Do I qualify for bankruptcy?
Whether you qualify depends on your circumstances. Qualifying for bankruptcy isn’t a “one-size-fits-all” analysis. It’s important to speak to the experienced attorneys at Vokshori Law Group to assess your eligibility as well as whether you stand to benefit from bankruptcy.
How can I avoid bankruptcy?
There are various ways to deal with one’s creditors without going through the bankruptcy process. One can consolidate their debt, but in that situation a new debt is incurred to service existing debt. Another option is to negotiate with creditors for a settled amount, but that approach may result in tax consequences for the forgiven debt and may require having substantial monies available to pay off settled claims.
How can I eliminate my credit card debt?
Credit card debt can be elimitated through the bankruptcy process, whether it’s through Chapter 7 or Chapter 13.
How do I file for bankruptcy in California?
You can file for bankruptcy with representation by counsel, like the attorneys at Vokshori Law Group, assistance from a bankruptcy petition preparer or through doing it completely on your own. Bankruptcy is very complicated and doing it on your own or through the assistance of a bankruptcy petition preparer who isn’t legally authorized or qualified to provide you legal advice can lead to very serious and costly problems.
How do I qualify for bankruptcy?
Qualifying for bankruptcy is contingent on a number of variables such as your income, the extent of your debt, whether you filed for bankruptcy in the past and other variables. It’s important to consult the experienced attorneys at Vokshori Law Group to assess whether you’re qualified.
How does bankruptcy work?
How bankruptcy works depends on what chapter you’re filing under. If you’re filing for Chapter 7, a trustee steps into your shoes and liquidates your non-exempt (unprotected) property for the benefit of your creditors. Most cases are cases where all assets are exempt (protected) and people oftentimes come out of the Chapter 7 bankruptcy debt-free and with all of their assets intact. Chapter 13 on the other hand is a repayment plan where a bankruptcy debtor is paying into a plan for anywhere from 3 to 5 years. The payments can go toward paying down tax debts, mortgage arrears, child support arrears, an auto loan note, etc. Once the plan is succesfully completed, the bankruptcy debtor receives a discharge and any outstanding unsecured debt that remained unpaid is discharged, so long as it is pursuant to the terms of the court approved plan.
How does foreclosure work and how long does it take?
Foreclosures often begin when a borrower falls behind on his or her mortgage payments. The loan then becomes delinquent and the homeowner goes into default. This default status continues for about 90 days and during this time, the lender will attempt to get in touch with the borrower to see whether or not the default can be cured. If the borrower is unable to pay, after 3 months, the bank can officially set a date for the auction of the home. If this happens, the borrower will be notified through a Notice of Trustee Sale which is typically sent via certified mail and often posted on the front door of the property in question. After the Notice of Sale has been received, the bank is able to set a date for auction, but will need to wait at least 20 days after the Notice of Sale has been sent to the homeowner. The majority of California foreclosures are non-judicial, which means that the bank does not have to go through a court to foreclose.
How long does bankruptcy take?
Bankruptcies generally vary in length. A chapter can typically range from 90-120 days whereas a Chapter 13 bankruptcy can last anywhere from 3-5 years.
How much debt do I have to have to file for bankruptcy?
There isn’t a minimum amount of debt needed to file for bankruptcy, although it may not be adviseable to seek a bankruptcy if you’re overall debtload is nominal. There are debt limits in Chapter 13. The limits for unsecured debts is set at $394,725.00 and the limits for secured debts is set at $1,184,200.00.
How much does it cost to request a loan modification?
Most lenders do not charge for loan modification but from time to time they may add a service fee to your balance after the loan modification is approved. Our cost for representation is based on the complexity of your case. Our staff is happy to complete a consultation and provide a quote.
How often can you file bankruptcy?
You can file bankruptcy more than once, although, depending on the type of relief you seek you may have to wait some time. For example, you cannot file for Chapter 7 until 8 years pass from the last time you had a Chapter 7 discharge. The wait to file Chapter 7 is shortened to 6 years if your prior bankruptcy was a Chapter 13. You can file for Chapter 13 anytime after a Chapter 7 discharge but you may not be entitled to a discharge unless you’ve waited for 4 years since your Chapter 7 discharge. You can file for Chapter 13 after a prior Chapter 13, however, you may not have a discharge unless you wait 2 years from the prior Chapter 13.
How soon can I refinance after filing bankruptcy? OR What happens after bankruptcy?
There is credit life after bankruptcy. However, your opportunities really fall on how aggressive you are in improving your credit standing. One may be able to obtain an FHA or VA loan 2 years after a Chapter 7 discharge. One can obtain an FHA loan during a Chapter 13 bankruptcy so long as 12 months of satisfactory plan payments are tendered and the Bankruptcy Court approves of the loan. The pursuit of either of these loans will require an explanation. As for conventional loans, one would have to wait for 4 years after getting a Chapter 7 discharge and 2 years after getting a Chapter 13 discharge if they want a conventional loan.
How will bankruptcy effect my student loans?
Student loans are not dichargeable in bankruptcy unless there is a showing of undue hardship in a separate lawsuit that occurs within a bankruptcy. The undue hardship burden is a very difficult burden to prove and petitioners for this sort of relief are unfortunately frequently unsuccessful.
I don’t want to foreclose but what other options do I have?
There are many options to stop foreclosure like loan modification, bankruptcy, real estate litigation, short sale/ conventional sale and deed in lieu of foreclosure. Our staff can typically advise a client which of those options best fits there situation in a short consultation.
If I file for bankruptcy will it stop my foreclosure?
Filing a bankruptcy can stop your foreclosure upon filing your case. However, filing bankruptcy repeatedly in a short amount of time may not provide you protection from a foreclosure.
Is there an alternative to filing for bankruptcy?
There are alternatives to bankruptcy dependent upon your specific situation and your goals. Our initial consultation can help determine which options you may have available.
Is there more than one type of loan modification?
There are several different types of loan modifications available. The Home Affordable Mortgage Program (HAMP), for example, was designed to make homes affordable for struggling homeowners but if a borrower does not qualify for that program, they can be considered for alternative modifications, which include Alt Mod, Mod 24, 2MP, and an in-house modification.
Should I declare bankruptcy?
Filing for bankruptcy is a very personal decision that shouldn’t be taken lightly. Like all major decisions, it’s fundamentally important to make a well-informed decision and the best place to get the most reliable information is at a law firm with experienced bankruptcy attorneys, such as the Vokshori Law Group.
What are the alternatives to filing for bankruptcy?
The alternatives to bankruptcy are paying one’s creditors, settling with one’s creditors, consolidating one’s debt, not doing anything at all or engage in asset protection planning. All alternatives have their risks and rewards and it’s fundamentally important to discuss your options with experienced counsel in order to identify which path best meets your needs and goals.
What can I do if my loan modification was denied?
If your loan modification gets denied, it is not the end of the road. The next steps would depend on the reasons for the denial and where the home is in the foreclosure process. A re-submission may be your best option because several errors could occur during a review process and a second look could be quite helpful. If the 2nd review comes back denied, you can always be considered for alternatives to a modification. If you owe more than what your home is currently worth, you could look into a short sale of your property. Other options include a deed-in-lieu of foreclosure or ultimately filing for bankruptcy. If a loan modification is denied the best option would be to consult with an experienced attorney to understand what options are available before taking the next step.
What happens after bankruptcy?
What happens after a successful bankruptcy is that you experience debt relief. Whether you’re caught up on your mortgage, free of credit card debt, etc. This is ultimately the fresh start that people are able to enjoy after exercising their right for relief.
What is a bank loan modification?
A bank modification will adjust the original terms of the loan in order to offer struggling homeowners more affordable payments to get them back on track with their mortgage and avoid foreclosure. If you are having difficulty obtaining a mortgage modification through HAMP, a bank modification may be a great option to be considered for. You will still have to provide complete financial information to the lender, which will just be based on your net income rather than your gross income that is used by HAMP.
What is a debt verification letter?
A debt verification letter is a letter that one is provided by a creditor after disputing the validity of a debt.
What is a deed in lieu of foreclosure?
A deed in lieu of foreclosure is when the borrower/mortgagor transfers ownership of the property to the lender/mortgagee voluntarily, in order to satisfy a loan that is currently in default and to avoid foreclosure proceedings.
What is a streamlined modification?
For a streamlined modification, borrowers are not required to complete paperwork as they would for other modification programs. Mortgage services are required to send borrowers a letter offering them a modification if the following criteria are met:
- The loan is owned by Fannie Mae or Freddie Mac
- The loan is between 3 to 24 months behind
- The 1st lien mortgage is at least 12 months old
- The loan-to-value ratio is equal to or greater than 80%
Upon receipt of the letter, the borrower can move forward by submitting the modified payment to begin the trial period. Once that trial period has been successfully completed, they will obtain the permanent modification. Loans that have been previously modified more than two times are ineligible for this program. Second homes and investment properties can also be considered.
What is an adversary proceeding in bankruptcy?
An adversary proceeding is a lawsuit that occurrs within a bankruptcy.
What is an emergency bankruptcy filing?
An emergency bankruptcy filing is a case that commences with the bare minimum of the required documents to commence a case. This is generally done to invoke the stay in order to prevent some sort of collection action like a foreclosure, wage garnishment, bank levy, etc. Emergency filings to provide a finite timeline to provide the balance of documents and information one must produce for a complete case.
What is covered under bankruptcy?
Bankruptcy addresses all dischargeable debts. There are some debts that are categorically non-dischargeable, including but not limited to: student loans, child support, spousal support, most tax debts, and court fines.
What is lien stripping?
Lien stripping is the elimination of a voluntary junior lien, most often a second, third or fourth mortgage in a Chapter 13 bankruptcy. In order for a junior mortgage to be strippable, the market value of the home that is encumbered by the lien has to be less than the balance of the lien(s) that are senior to the one you hope to “strip”. The lien that is strippable has to be found to be an unsecured debt and is thus provided the same level of treatment as credit card debt in a Chapter 13 plan. Upon succesful completion of the plan, the lien is extinguished.
What is the difference between Chapter 11 vs Chapter 13 bankruptcy?
Chapter 11 bankrutpcy is a reorganization that is oftentimes exercised by individuals with debts that exceed the Chapter 13 debt limits or by companies that are in a position where they need to reorganize their liabilities to their creditors. Chapter 13 can only be filed by individuals and affords people within proscribed debt limits the opportunity to reorganize their financial affairs in a span of time that cannot exceed five years.
What is the difference between Chapter 7 vs Chapter 13 bankruptcy?
A Chapter 7 bankruptcy is a liquidation whereby non-exempt (unprotected) property is liquidated for the benefit of your creditors. Most chapter 7 cases do not result in the liquidation of assets. A Chapter 13 bankruptcy, also known as a wage-earner’s plan, is a bankruptcy whereby one pays into a plan for up to 5 years in an effort to reorganize their financial affairs among their creditors.
What is the difference between chapters 7, 11 and 13 bankruptcy?
A Chapter 7 bankruptcy is a liquidation whereby non-exempt (unprotected) property is liquidated for the benefit of your creditors. Most chapter 7 cases do not result in the liquidation of assets. A Chapter 13 bankruptcy, also known as a wage-earner’s plan, is a bankruptcy whereby one pays into a plan for up to 5 years in an effort to reorganize their financial affairs among their creditors. Chapter 11 bankrutpcy is a reorganization that is oftentimes exercised by individuals with debts that exceed the Chapter 13 debt limits or by companies that are in a position where they need to reorganize their liabilities to their creditors.
What is the difference between foreclosure vs bankruptcy?
Foreclosure is when the lender or lien holder sells your property at auction after not fulfilling your obligations. Bankruptcy is the process where a debtor can eliminate or repay debt.
What is the difference between secured and unsecured debt?
Secured debt is debt held be creditors that have a security interest in an asset. For example, a mortgage lender has a security interest in one’s real estate and is thus a secured creditor with a secured debt owed to it. An unsecured debt is a debt owed to a creditor that doesn’t have a security interst in any assets. Credit card debt and medical debt are the most common types of unsecured debts.
When can you file for bankruptcy?
You can file for bankruptcy at any time, however, the timing can have an impact on the level of relief you hope to obtain. It’s important to consult experienced bankruptcy counsel to identify the optimal time to file for bankruptcy. For example, timing can have an impact on your eligibility for relief.
Who can start foreclosure?
Foreclosure can be started by any entity that has a lien on your property.
Why do I have to complete a monthly operating report?
The bankruptcy code requires the production of operating reports in Chapter 11 bankruptcies and it’s an unavoidable obligation.
Will a loan modification look bad on my credit?
This all depends on whether or not you were already delinquent on your mortgage payments, on the type of modification you are approved for, and how the bank decides to report the modification to the credit bureaus. Your score won’t take too much of a hit if your credit has already been affected but if you do have excellent credit, obtaining a modification could cause your score to take a dive.
Will bankruptcy discharge my back taxes?
Bankruptcy may discharge some of your old income tax debt, provided that certain requirements are met.
Will bankruptcy relieve my medical debts?
Bankruptcy can certainly eliminate your medical debt.
Will debt consolidation save me from going bankrupt?
Debt consolidation is essentially occuring a new debt to address your existing debt. It is helpful to some people, however, people oftentimes find it difficult to keep up with the payment terms of a debt consolidation plan and end up filing for bankruptcy.
Will I be able to buy a home again after filing for bankruptcy?
You can certainly buy a home again after bankruptcy. FHA, VA and Conventional lenders all have lending guidelines with respect to lending to individuals who filed for bankruptcy.
Will I be able to get a credit card again if I file for bankrupty?
You will probably be able to get a credit card again after bankruptcy. You may even see offers coming in shortly after getting a bankruptcy discharge.
Will I lose my home if I file for bankruptcy?
Most people don’t lose their home in bankruptcy. If there is a loss of a home, it’s because there is far more equity than what can be protected OR the homeonwer cannot keep up with the monthly ongoing payments due to their mortgage lender.
