Recent Blog Posts in June 2010 |
| June 29, 2010 |
| Even Governments may be filing Bankruptcies Soon |
| Posted By KC Swanson |
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| As many Chicagoland area residents consider their financial woes and the possibility of filing a Chicago Bankruptcy they must realize they are not in this alone. Bankruptcy may be a very real possibility for Illinois and other States in the United States. With unemployment benefits running out for many Chicagoland residents the financial crunch will get tighter. If you find yourself in this position you may want to give some serious consideration to filing a Chapter 7 or Chapter 13 Bankruptcy in Chicago. If creditors are calling you regulary or you are being threatened with a paycheck garnishment or a bank accoutn levy you may not want to consider taking out a short term loan. The interest rates and payment plans for these type of short term loans will more than likely end up adding another debt to your already growing debt without really taking care of any of your already existing bills. If you find the right Chicago Bankruptcy attorney and you qualify for a bankruptcy you may be able to relieve yourself of all your debt woes. In addition, our firm's unique fee structures may allow you to get your case filed fast and affordable in time to stop those garnishments, levies and harrassing collector calls. So Please call or email our firm today to discuss a possible solution to your Debt problems. Remember, Lose YOUR Debt and KEEP your Dignity. |
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| June 28, 2010 |
| It Is Okay to File Bankruptcy |
| Posted By KC Swanson |
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| Many of our clients come int our Chicago Bankruptcy offices and state that they feel bad or morally wrong for wanting to file a Chicago Bankruptcy Case. However, as evidenced in this business bankruptcy article, businesses file Bankruptcies everyday. In fact, some of the richest business moguls in America have filed multiple bankruptcies throughout their lives. When a business files it is considered by society to be a savvy business move, however when a consumer files this is considered morally wrong? This is quite hypocritcal and you SHOULD NOT feel bad. If you qualify for a Chapter 7 or Chapter 13 Chicago Bankruptcy then there is nothing wrong with using one of the few federal laws created to protect a consumer against creditors when they get into trouble. If you are having financial problems and creditors are harassing please do not hesitate to call a chicago bankruptcy lawyer today. Check out our Bankruptcy website to see you may qualify or fill out a contact form and we will contact you asap so we can talk to you and let you know that there is nothing morally wrong with filing a bankruptcy. So stop delaying your relief from all those harassing creditor calls to your home or your work. |
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| June 21, 2010 |
| How a Bankrutpcy Can Actually Help Your Credit Score. |
| Posted By Marc Wagman |
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Whether you file a Chapter 7 Learn More about Chapter 7 or a Chapter 13 Learn More about Chapter 13 either type of bankruptcy will stay on your credit report for 10 years. Nevertheless, filing either type of bankruptcy with a Chicago Bankruptcy attorney like us may help your credit score more than not filing a bankruptcy. One of the biggest reasons most people wait to file a bankruptcy is that they perceive that their credit will be destroyed forever and that they will not gain access to new credit. See Common Bankruptcy Myths However, with either type of bankruptcy if you are in default on your bills prior to filing your credit score is hurt each month by the defaults. Your credit score will drop each month by any negative or derogatory reporting by a creditor on your credit report. If you have missed a payment on a mortgage or missed payments or been late on bills your credit score will drop each month.
Further, if you have a high debt to income ratio then your credit score will be impacted and any creditor will take that into consideration on whether to grant any new credit to you. However, by filing a bankruptcy and eliminating any future negative reporting and eliminating debt creditors will view any new extensions of credit as a new foundation to build upon. See Our Credit Restoration Page Often a potential client or client will ask how long before I get credit card offers or a home loan. Generally speaking a credit card can be had after the time of discharge or a few months after, same thing goes for a car loan. Purchasing a home usually takes around two years after the discharge. What matters most is what you do after the discharge. It is good to keep in mind that if your bills are in collections or you are behind on your bills your credit score is being hurt every month that you wait. If you are considering bankruptcy contact one our Chicago Bankruptcy Attorneys today Swanson & Wagman LLC Home Page
Marc Wagman
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| June 15, 2010 |
| Small Business owners still suffering from Banks non lending practices |
| Posted By KC Swanson |
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| After all the big bailouts in the last year most banks survived, yet many refuse to begin lending to potential property purchasers or small businesses. This latter issue has caused many small business owners to have to file a Chapter 7 or Chapter 13 bankruptcy in the Chicago area. This is a unfortunate situation as small businesses are one of the main drivers of our economy. If you are a small business owner in the chicagoland area you may need a Chicago bankruptcy attorney. If you still have income coming into the business we may be able to file a Chapter 13 consolidation plan that will allow you to keep all your property and keep your business running all the while consolidating all your creditors into one affordable payment. If you do not believe your small business will hang on then you should seriously consider a Chicago Chapter 7 bankruptcy because most of your debts may also be tied to you personally so it is important to find a good Chicago Bankruptcy Lawyer that will determine the best course in order to file Bankruptcy that protects your personally and your business professionally. So please call or email us today or check out our website and fill out an evaluation form so we can contact you ASAP and relieve you of some of that stress that your creditors are causing you. Lose your debt, Keep your dignity!!! |
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| June 14, 2010 |
| How the Automatic Stay protects you when you file a bankruptcy. |
| Posted By Marc Wagman |
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The automatic stay is a provision in the bankruptcy code under 11 USC 362. Whether a person files a Chapter 7 Learn More about Chapter 7 or a Chapter 13 Learn more about Chapter 13 an automatic stay goes into place upon the filing of the bankruptcy. The automatic stay is your protection from creditors. In essence, the easiest way to describe it is that it is an injunction which will stop creditors phone calls, collection activities, the repossession of a vehicle, and stop a foreclosure. It is a very powerful tool which keeps any creditor from taking any action against any money or property you may have. Learn More about Creditor Harrassment
The automatic stay also will stop any act to perfect or enforce any liens against real estate or any acts to collect or assess any claims that arose prior to the bankruptcy. The automatic stay also allows for damages if a creditor violates the stay with notice of the bankruptcy and may allow for punitive damages. At Swanson & Wagman LLC, we are here to help you navigate through the complexities of filing a Chicago Bankruptcy. We are Chicago Bankruptcy Attorneys who know how to use the protection offered by the automatic stay for your benefit. See Our Website for More Information and schedule a free consultation today!
Marc
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| June 13, 2010 |
| Major Cause Of Bankruptcy Are Medical Bills |
| Posted By KC Swanson |
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| For the first time in modern Bankruptcy history illness and the related medical bills are the number one cause of Bankruptcy. This is caused by a number of factors and the uniqure double whammy a long term illness can cause a consumer financially. Besides the fact that medical expenses are at an all time high and employees benefits are being cut or lessened more and more everyday it is no wonder that the consumer is really starting to feel the pinch. In addition to this expense the financial impact is doubled because more than likely the consumer is off work and not collecting income or receiving a reduced disability income. So if time off work and/or your medical bills are making you feel overwhelmed it may be time to consider filing a chapter 7 or chapter 13 Bankruptcy. Our firm specializes in assisting people with issues such as overwhelming medical bills and/or loss of income. When you come in for a free consultation we will first determine whether a Chapter 7 or Chapter 13
Chicago Bankruptcy is best for you. If it is then we will create a personalized, affordable payment plan that will allow you to get your case filed as fast and as affordable as possible. We truly believe our phrase "Lose your debt and keep your dignity" because we understand that you cannot control when you get sick and sometimes even the hardest working of us just cannot keep up with the medical bills of ourselves or our loved ones. So if you are feeling stress from this very type of situation I strongly urge you to call or email us, a chicago bankruptcy lawyer, today for your appointment for a free consultation. |
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| June 12, 2010 |
| Watch Out For Debt Consolidators v. filing a Bankruptcy with an Experienced Chicago Bankruptcy Attorney |
| Posted By Marc Wagman |
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When I am sitting in my car in traffic on the radio there is someone selling the idea of Debt Consolidation. I think to myself are people really falling for this v. filing a bankruptcy. The Wall Street Journal has an excellent article on Debt Relief offers Beware of 'Debt-Relief' Offers Click here to read the article. In the article it speaks about how much it can hurt your credit score more than a bankruptcy and it doesn't stop collections calls. A Bankruptcy is the only way to eliminate your debt with a Chapter 7 Learn More about Chapter 7 or a Chapter 13Learn More about Chapter 13 and Chicago Bankruptcy Attorneys Swanson & Wagman LLC.
A bankruptcy will eliminate collections calls, stop a foreclosure, and eliminate credit cards and medical bills, and other types of debts. The automatic stay prevents any collection efforts through the power of a federal bankruptcy court. At Swanson & Wagman, licensed Chicago Bankruptcy attorneys we are experienced bankruptcy lawyers who will represent you through the entire process. Swanson & Wagman LLC Click here
Our office isn't one of the mills who processes you just like another customer. At our office we will guide you through the process from start to finish. We will happily assist you and answer any questions you may have. We are one of the pre-eminent boutique firms in Chicago and the surrounding areas. We are experienced and affordable. We will treat you with respect through the entire process and we want you to lose your debt and still maintain your dignity. At our office you will never speak with a paralegal or a secretary who will answer questions that a lawyer only should answer. You can speak with us day or night regarding your concerns. We are affordable and we have Saturday appointments. Chicago Bankruptcy Attorney Contact Page Click Here to Contact Us Now
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| June 11, 2010 |
| When to file bankruptcy? |
| Posted By Marc Wagman |
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Potential bankruptcy clients typically find a lawyer’s office when they are one step from financial Armageddon: Swanson & Wagman LLC are licensed Chicago Bankruptcy Attorneys who help people file Chapter 7 and Chapter 13 Bankruptcy
Chicago Bankruptcy Attorney Website.
Major Warning signs: There is a foreclosure sale of the debtor’s home the next day or a foreclosure filed and proceeding; the debtor’s only car was mysteriously repossessed in the dark of lastnight (car repo); a garnishment has reduced the debtor’s take-home pay below the ordinary requirementsof food and rent. Instantaneous relief is need in the above examples. Foreclosure and Bankruptcy.
The problem sometimes becomes that clients will wait too long and waste precious time and precious and limited resources prior speaking with an experienced Chicago Bankruptcy Attorney at Swanson & Wagman Chicago Bankruptcy Lawyers. Waiting to long can and may lead to loss of income or loss of property that can be protected in the bankruptcy. That's why it is important to speak with us at the start of significant financial problems such as a loss of job, loss of income, garnishments, and collectors calls. Don't wait speak to one of our attorneys today as 312-666-7882.
Marc
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| June 10, 2010 |
| Projected Monthly Income for Chapter 13 Purposes the New Supreme Court Opinion |
| Posted By Marc Wagman |
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When filing a bankruptcy either a Chapter 7 Learn More About Chapter 7or Chapter 13 Learn More about Chapter 13 a Debtor goes through the "Means Test" Learn More about the Means Test a provision changed by Congress in 2005 to determine under 11 USC 707 B 2 of the Bankruptcy Code whether the Debtor needs to file a Chapter 13 or a Chapter 7. In sum, the means test was written into the Bankruptcy Code by Congress based upon the perception that there are many people who should be filing a Chapter 13 instead of filing a Chapter 7. Congress perceived that some were abusing the relief provided under the bankruptcy code. No longer would your actual income and expenses determine your ability to file a bankruptcy.
The Means Test
The Means Test is a six month average of the Debtor's & Joint Debtor's household income derived from all sources for the six months prior to filing. An average of the money received from all sources in the last six months is calculated divided by six then multiplied by 12 and you have the Median Income of the Debtor (the mathmatical formula) (6 months income derived from all sources prior to the filing for six months divided by the six months and multiplied by 12) you come up with Median Income of the Debtor and his or her household. If that amount of money is below the income for the size of household in your state then you can file a Chapter 7. If the money is higher than the average size per your household in the state you are "presumed" to do a Chapter 13 paying in any "projected disposable income" over the next five years minus any legitimate deductions. After legitimate deductions (only deductions Congress prescribed in 707) the number determines the payment in Chapter 13 for a sixty month repayment plan.
Whats the problem with that?
The problem is what happens if the Debtors six month pre-filing average is either very high or very low. The end number to determine the payment may abnormally high or low. So Some people who cannot pay their debts end up being forced into an unrealistic Chapter 13 payment due to loss of Income that they no longer receive or they are paying to little to the creditors.
This is exactly what happened in the Supreme Court Case Hamilton v. Lanning, just decided a few days ago. The Debtor lost her jobs in the previous six months prior to filing and received a one time severance package just prior to filing. That income was a one-time occurence, but according to the means test that amount is calculated into your monthly average. She had a job paying lower than the median income post filing and that the previous amount of money pushed the Debtor into Chapter 13.
It fictionally made it appear that she had more money to pay her creditors. The Chapter 13 Trustee objected to her proposed repayment plan and said that she must pay her creditors based upon the income received in the last six months including her severance package without looking forward for her future income.
The Supreme Court said no, and
Held: when a bankruptcy court calculates a debtor’s projected disposable income, the court may account for changes in the debtor’s income or expenses that are known or virtually certain at the time of confirmation.
This means a great deal for Debtors who file bankruptcy. The process of filing of bankruptcy Learn more about the process became more difficult with the change of the laws. Courts all over the country mainly used the mechanical approach toward calculating future income (mechanical meaning in essence that a math formula was used to calculate the Debtor projected payments). Now with an experienced bankruptcy attorney who files bankruptcy in Chicago Experienced Chicago Bankruptcy Attorney the Debtor can argue that something either in the past or future should be considered by the court. I.E. a loss of income a one time withdraw from a pension, IRA, or a severance package etc. that should be taken out of the equation for calculating whether you should file a Chapter 7 or a Chapter 13. How to Choose a Lawyer Choosing the right lawyer is important now more than ever. At Swanson & Wagman LLC all we do is bankruptcy.
My partner and I are Experienced Chicago Bankruptcy Attorneys. We keep up to date with current case law and are aware of the requirements of the Bankruptcy Code for either Chapter 13 or Chapter 7. We will make the most of Chicago Bankruptcy filing whether Chapter 7 or Chapter 13 and help you navigate through this process as painlessly as possible. We want you to lose your debt and keep your dignity!
Marc
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| June 03, 2010 |
| How Much Does a Bankruptcy Cost? |
| Posted By Marc Wagman |
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Often, a potential client will call our office and ask "How much do you charge for a bankruptcy?" The question is almost impossible to answer without some questions of our own. Imagine if you will that you call a mechanic and say my car isn't running what will you charge to fix it? The mechanic will not know what is wrong by speaking with you over the phone or know if you need a new engine or your water pump is out etc. Or imagine, if you will you call a Doctor and say my back hurts what do you charge for back surgery. A Doctor cannot answer that question without you coming in and doing further tests and taking x-rays etc. The Doctor won't know if it is minor back pain or you need a disc replacement etc. The same analogies apply when a a potential client calls and says what do you charge for a bankruptcy? Generally, we can give a range of fee's; however, without asking some questions of our own, our office or any attorney cannot really answer the question without asking numerous questions and ideally to speak with you in person.
We will not know if you need a Chapter 7 liquidation bankruptcy Learn More about Chapter 7. Or if you need a Chapter 13 reorganization Learn more about Chapter 13 Reorganization. We will often answer the question of how much we will charge with numerous questions. Some of the questions we will ask are, Are you working?, Do you own real estate?, how much debt do you have?, What kind of Debt is it that you have? Do you own a business? Etc. Etc. A Chapter 7 or a Chapter 13 fee will vary on how complicated a case is and what the debts are. Numerous attorneys who dabble in bankruptcy advertise with a "flat fee" for bankruptcy and then add attorney fee's on a a la carte basis for any complexities in the case. Most of the time the person who uses them will be charged much more than the advertised "flat fee", and or they will be using an attorney who only dabbles in bankruptcy. Although any attorney can legally file a bankruptcy we often meet clients who used an inexperienced attorney to file their bankruptcy at their own peril. Bankruptcy is not a specialty practice; however, if the attorney does not regularly practice bankruptcy law then there are extreme perils for both the attorney and the Debtor. See Our Link on how to Choose a Lawyer
Using a "cut rate" attorney may lead to a client paying much more in the end. Also imagine that you hire the "cheapest doctor" for a surgery and not the "best". Do you really want to take a risk like that with you health? Should you take this risk with your financial health? At Swanson & Wagman LLC, you will only speak with an attorney, and never a paralegal or a secretary See Our Website. We only practice bankruptcy and a little real estate work. Often times I will speak with a client and tell them call different attorneys and see what they say to you and see a few before coming to see us, because you should compare attorneys on a big decision such as filing a bankruptcy. We will go through your options other than filing a bankruptcy Alternatives to a Bankruptcy.
Marc Wagman
Attorney at Law
Swanson & Wagman LLC Our Main Page
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| June 03, 2010 |
| Personal bankruptcy filings rise fast |
| Posted By Marc Wagman |
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| The number of Americans filing for personal bankruptcy rose by nearly a third in 2009, a surge driven largely by foreclosures and job losses. And more people are filing for Chapter 7 Chapter 7 bankruptcy, which liquidates assets to pay off some debts and absolves the filers of others. That is significant because a 2005 overhaul of federal bankruptcy laws aimed to encourage Chapter 13 filingsLearn More on Chapter 13, which force consumers to sign onto debt-repayment plans in exchange for keeping certain assets.
The changes were designed to make it more difficult for people to shed their debt, particularly in a Chapter 7 filing. A "means" test, Learn More about the Means Test for example, was introduced to separate those who could afford to repay their debt from those who couldn't. A Chapter 7 filing is off the table if the means test determines a person is able to pay back at least a portion of the debt after it is restructured.
The worst U.S. recession in a generation is testing the effectiveness of these laws. The economic downturn also has prompted more middle-class Americans to file for bankruptcy protection
Overall, personal filings hit 1.41 million last year, up 32% from 2008, according to the National Bankruptcy Research Center, which compiles and analyzes bankruptcy data. It is the highest level of consumer-bankruptcy filings since 2005. Consumers rushed to file in 2005 before the new bankruptcy laws took effect in October of that year.
Chapter 7 filings were up more than 42% as of November 2009, compared with the same period a year earlier, according to the research center. November is the most recent month with analyzed data available. Chapter 13 filings rose by 12% and made up less than a third of 2009 filings as of November.
"That suggests it was largely ineffective," Ronald Mann, a law professor at Columbia University, said of the 2005 overhaul. "I don't think anybody who's knowledgeable about the bankruptcy system thought the statute was well crafted."See Our Website to Learn More Swanson & Wagman Website.
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| June 01, 2010 |
| Truths about Credit Consolidation and Borrowing More Money to pay your debt |
| Posted By KC Swanson |
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| In this article, there are many options discussed in how to get out of your debt, including the choice of Bankruptcy. The article specifically states that borrowing more money at high interests rates or credit consolidation are usually not the best choice, but sometimes there are alternatives to filing bankruptcy. However, sometimes Bankruptcy is your only or best choice when it comes to fighting debt. Sometimes a Chicago Chapter 7 or Chapter 13 Bankruptcy can be exactly what your personal financial status needs to begin a true recovery with a realistic time frame to get back to a place where you can move forward. You can fill out our evaluation for free to determine if a Chicago Bankruptcy would be best for you. Also, it is important to choose an attorney who will truly determine ALL your choices and only recommend a chicago Bankruptcy if it is the best choice for you. That is why our firm may be perfect for you because we really push for a personalized experience at an affordable price. So pleasecall or email us today so we can begin the process of your recovery with a Chapter 7 or Chapter 13 Bankruptcy. |
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