If you are planning to file for bankruptcy protection, you should be prepared to make full financial disclosures. There are several different initial pleadings that are required to be filed with the bankruptcy court. All debtors must list all of their assets, debts, income and expenses. Diane Anderson’s office can assist you with drafting the mandatory pleadings, but it is important that you gather all of your financial records for her to use in preparing the following Chapter 7 pleadings: your bankruptcy petition a list of all your property and assets a list of all your debts a list of all your creditors (called the “creditor matrix”) a list of your current income and expenses a statement of your financial affairs a certificate from your attorney indicating that (i) you received a notice describing the different bankruptcy chapters, (ii) a notice of the services available from the credit counseling agencies, and (ii) a statement specifying that anyone who knowingly or fraudulently conceals assets or makes…Read More
If you have a disable dependent, it can make creating your estate plan more complex. You want to confer with a seasoned estate planning attorney to determine the best strategy for caring for your special needs child or spouse living in a nursing home. While you may believe that leaving a large lump sum of money to pay for their care is the best option, your actions could result in your loved one being ineligible for government benefits that he or she would otherwise be able to receive. A better option is to create a Special Needs Trust. This type of trust can be created while you are living or you can leave instructions for your money to flow through your Will or Trust into the Special Needs Trust when you die. If you have a loved one with special needs, let Diane Anderson help. We can review your unique situation and help you understand if a Special Needs Trust will work for you and…Read More
When a creditor recovers a monetary judgment against you, they have several collection tools they can use to collect the sums owed to them. One of the most effective collection tools is an account garnishment or wage garnishment. The judgment-creditor instructs your financial institution or your employer to pay money that is owed to you directly to them instead. Account Garnishments A garnishment against an account held at a financial institution allows a creditor to have funds held in your account paid directly to them to be applied to the judgment against you. The law provides certain exemptions of certain funds that the creditor cannot garnish, but it is possible a creditor could remove the full amount held in your account. Wage Garnishment If a creditor serves your employer with a wage garnishment, your employer will be obligated to pay a certain percentage of your paycheck directly to the creditor or the court. Wage garnishments are typically “continuing,” which means that deductions will be made…Read More
If you have fallen behind on your bills, it won’t be long before the debt collectors begin to harass you and collection lawsuits get filed against you. If the thought of litigation scares you and if you are ready to take control of your financial like, it may be time to consider filing a Chapter 7 or Chapter 13 bankruptcy. When you file your bankruptcy petitions, the automatic stay immediately goes into effect. The stay prevents creditors and collectors from taking any further collection efforts against. Thus, any collection lawsuits that are pending against you come to a halt. When you file a bankruptcy case, it allows the most comprehensive means for dealing with your debt. All of your creditors and all of your debts must be included in your case. In Chapter 7, you can discharge or eliminate most (if not all) of your debts. In Chapter 13, you can reorganize your debts and create a manageable payment plan that pays your creditors partially…Read More
If you need shelter from your creditors and you’re considering filing a personal bankruptcy, you are probably concerned with what will happen to your assets. Although bankruptcy is the most comprehensive tool for dealing with your debt, it also requires you to disclose everything you own. A retirement account is typically one of a debtor’s most valuable assets. Fortunately, bankruptcy law provides protection for certain types of property and exempts them from being included in your bankruptcy estate. In other words, the debtor keeps possession of the exempt assets. Tax-exempt retirement accounts, such as 401k’s, are afforded significant protection. Emerging from bankruptcy with your retirement in place is important to a debtor obtaining a fresh financial start. It should be noted that Individual Retirement Accounts (IRAs) and Roth IRAs are also protected (up to certain amounts). One of the most significant exemptions you can claim is one that protects the funds in your retirement account. Obviously, this is crucial for many people since their retirement…Read More
If you have been appointed to serve as the personal representative or executor of a loved one’s estate and you aren’t sure where to begin, you are not alone. Most individuals do not have experience in how the probate process works and what tasks must be accomplished before the estate assets can be distributed. Having a probate lawyer can you ensure that you have the advice and guidance you need to successfully administer your loved one’s estate. Our legal team can help you with a variety of issues that arise after a family member dies. Below Are A Few Examples Of The Broad Range Of Tasks We Can Assist You With: Court procedures: To initiate a probate action, there are certain pleadings that must be filed. You must also submit an inventory and appraisal of the assets held by the estate. If a third-party is contesting the will or questioning the validity of the will, hearings will be scheduled for the judge to hear arguments. Notice…Read More
When you think about an estate plan, you probably think about creating a Last Will and Testament. A Will is an essential part of every estate plan, but in many cases it is beneficial to also create a trust. A trust can benefit individuals with estates of all sizes. If you are wondering if a trust could benefit you and your family, consider the following: You want to support your surviving spouse After your surviving spouse dies, you want to ensure that the remainder of your estate is distributed to your loved ones selected by you You have assets you want to protect from creditors You want to maximize your estate tax exemptions You want to save your family from the time and cost of putting your estate through the probate process You want flexibility to determine how and when your estate is distributed, which means your beneficiaries may not be paid directly upon your death. This can be helpful if you leave heirs that…Read More
If you have been in an accident, suffered a serious illness or had to spend time in a hospital, you know how quickly medical bills can accumulate – even if you have medical insurance! Medical bills are even more devastating if you do not have insurance. In fact, overwhelming medical debt is a common cause of personal bankruptcy filings in our country. If you are facing medical bills that you cannot afford, filing a Chapter 7 or Chapter 13 bankruptcy may be the answer. Most medical bills are unsecured, which means there is no asset pledged as collateral to the lender. If you file a Chapter 7 case, most of your unsecured debt will be discharged or cancelled. For an individual that has had an extensive hospital stay or needed costly treatments, it can mean you are no longer obligated to pay thousands of dollars! If you file a Chapter 13, your medical bills will be treated as unsecured debt under your repayment plan. The…Read More
Most homeowners want to avoid foreclosure if at all possible. If you are struggling with paying your mortgage, it is important to explore all of your available options. This blog will focus on the pros and cons of filing for bankruptcy versus pursuing a short sale of your home. While both choices can be beneficial, deciding which is better for you depends on your unique circumstances. Below are a few questions to ask yourself: Am I Under A Deadline? The short sale process can be extremely time-consuming. There are several different parties that must be involved in the negotiations, which can make reaching an agreement difficult. Additionally, at the end of the short sale the homeowner does not have a guarantee that the sale will successfully close. A personal bankruptcy filing provides the homeowner with immediate relief. The automatic stay halts all types of collection activity, including foreclosure lawsuits. A typical Chapter 7 case lasts three to five months and a Chapter 13 case lasts…Read More
When you are considering filing a Chapter 7 or Chapter 13, you typically worry about what physical assets will be included in your bankruptcy estate. However, it is also essential that you consider your intangible assets as well. For instance, if you were involved in a traffic accident and a court awarded you a monetary judgement or you entered in a settlement to recover your damages suffered, you should confer with your bankruptcy lawyer to determine how those funds will be treated in your filing. All debtors are required to disclose every kind of asset they own, including a claim from a personal injury. Even if you have not filed a personal injury lawsuit prior to filing for bankruptcy, you must disclose your potential claim. The trustee must be notified that you could potentially receive a monetary award in the future. Failing to make this disclosure could be considered fraud. If you file a Chapter 7 case, you can claim an exemption to protect all or a…Read More