LegalHelpers.com Bankruptcy Blog
Perspectives From The Nation's Largest Consumer Law Firm


Federal Mortgage Relief Program Not Enough for Many Americans

Monday, 17 May 2010 11:12

Although the federal government launched its foreclosure-prevention in February 2009, many homeowners say that it is simply not enough to keep them from facing foreclosure. The Obama administration has been urging banks to increase mortgage modifications for millions of households; however, another obstacle is surfacing from the murky depths. Many Americans’ debt troubles are far more extensive than just their mortgage, with the Home Affordable Modification Program (HAMP) providing little more than a band aid on a gaping wound.

In an article by James R. Hagerty and Ruth Simon in, The Wall Street Journal, “Debt counselors say some borrowers got into trouble because of overspending, while others are wallowing in debt because…of illness, divorce or unemployment.”

The article goes on to say that at Citigroup, Inc., borrowers who had their mortgages restructured but who are again falling behind on their loans “’have a much higher [overall debt burden] than those who don’t’”; this according to Sanjiv Das, president of the bank’s mortgage unit.

In the story, director of the Iowa Mediation Service, Mike Thompson, states that 25% to 30% of borrowers with mortgage modifications are seeking additional assistance keeping current with their remaining debt.

If you are having trouble making your mortgage payments or experiencing other debt, you may be considering personal bankruptcy protection. For a successful Chapter 7 or Chapter 13 bankruptcy, you need a great team of experienced lawyers on your side.  For information on filing for personal bankruptcy protection, please call Legal Helpers toll-free today at 800-260-1402 to speak with a qualified and compassionate bankruptcy attorney. Your initial consultation is no-cost and could be the key to unlocking the door to your financial freedom.

If you are dealing with heavy debt burden you are not alone. According to the U.S. Treasury, the average U.S. homeowner still carries a heavy overall debt burden, despite mortgage modification. Median housing expenses to pretax income is 44.8% before modification vs. 31% after modification; median total debt payments to pretax income is 77.5% before modification vs. 61.3% after modification.

Don’t face your debt alone; call Legal Helpers at 800-260-1402.

Website Raising Funds to Help Bankrupt Celeb – Really? Really!

Thursday, 13 May 2010 09:35

Stephen Baldwin, of the Baldwin brothers acting consortium, filed for personal bankruptcy protection in 2009. Why? Well, of course Baldwin filed for bankruptcy because he was out of cash and had more debt than assets. The “why” is just how this occurred. Well, according to some fans, the struggling actor is struggling because, in 2002, he became a born-again Christian, leading him to turn down acting roles that contained gratuitous sex and violence. This, in turn, led to an alleged 70% decrease in his income.

Fast forward to 2010, where a group of sympathizers have joined forces to come to the financial aid of S. Baldwin. They have actually mounted a website, The Restoration of Stephen Baldwin, to raise money for the cash-strapped celeb. This, despite the fact that, according to his IMDB page, Baldwin landed nearly as many film projects prior to 2002 as he did after; as cited in  Comcast.net/entertainment.

“Stephen’s fans, who started the website and are, apparently, more numerous than you’d expect, hope that by financially “restoring” the youngest Baldwin, he may continue to spread his message throughout Hollywood,” according to David Onda, author of the article.

Baldwin is not directly associated with the website, but his site’s founders state that “100% [of donated money] goes directly into his bank account;” the donation page has a ‘suggested gift’ amount of $4.21; PayPal is accepted. (I mention this just in case you are tempted to make a donation!)

Comments on the Comcast site almost universally ridicule both the actor and his “RSB” supporters, saying that Baldwin should “stand on his own two feet”, “ask G-d for help” and “man up and help yourself”.

While the website to help Mr. Baldwin, as well as the comments, may be humorous, pitiful or just plain ridiculous, filing for personal bankruptcy is no joke. Call the trusted and knowledgeable bankruptcy attorneys at Legal Helpers toll free at 800-260-1402. Your initial consultation is no-cost and could be the key to unlocking the door to your financial freedom. Your economic future is in your hands. Let Legal Helpers help.

Ojani Noa (Who?) Starts Reality Show to Help Avoid Bankruptcy

Wednesday, 12 May 2010 08:37

Apparently, celebrities (or semi-celebrities, anyway) will try anything to avoid or get themselves out of filing for personal bankruptcy protection.

In the case of Jennifer Lopez (J.Lo. to friends), ex-husband, Ojani Noa, is starting a new reality TV program, entitled “I Owe J.Lo”.

According to the author, in blog.taragana.com, “Noa will look to ‘land menial jobs to pay off a half-million dollar court judgment that he owes to his ex-wife,’ as part of the show.”

Noa has been ordered to pay 545,000 dollars to Lopez after he attempted to publish a book revealing details about their relationship.

Filing for Chapter 7 or Chapter 13 bankruptcy should not be taken lightly. If you find yourself with too much month left at the end of your money, call the knowledgeable and experienced bankruptcy attorneys at Legal Helpers toll-free at 800-260-1402. Your initial consultation is free and could be the key to unlocking the door to your financial freedom. Let Legal Helpers help you.

Some Debts Are Not Discharged In Bankruptcy

Wednesday, 12 May 2010 08:35

While most kinds of debt can be discharged when you file for bankruptcy protection, there are some common forms of debt that cannot be discharged. These forms of debt are often referred to as Non-Dischargeable Debts, and it’s helpful to know that they are so you can decide if bankruptcy is the right course of action to help eliminate your debts.

Federal bankruptcy law outlines which non-dischargeable debts apply to chapter 7 and chapter 13 bankruptcy cases. Furthermore, a failure to pay these non- dischargeable debts will result in debt collection efforts to continue.

There are various exceptions to bankruptcy protection, but listed below are some of the most common non-dischargeable forms of debt:

·         Most student loans

·         Mortgage liens

·         Drunk driving fines

·         Taxes

·         Alimony & child support

·         Luxury items purchased less than 90 days of filing

·         Government fines

·         Punitive damages for willful or malicious acts

·         Debts intentionally not disclosed in your bankruptcy case

Are you struggling with debt? While filing bankruptcy may be the best solution, you need to know exactly what can be discharged before you file. Speak with a skilled bankruptcy attorney today by calling 800-260-1402.

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ABOUT THIS BLOG:

Richard K. Gustafson, II is an attorney with LegalHelpers.com writing on topics related to bankruptcy from the consumer's perspective. To send comments to Rick, email Blog@LegalHelpers.com.


The Bankruptcy Blog from LegalHelpers.com is produced from the law firm of Macey & Aleman, one of the nation's largest bankruptcy firms. A blog does not create an attorney-client relationship and is not a substitute for specific legal advice from an attorney analyzing your specific set of facts. If you are interested in obtaining information about bankruptcy, you are encouraged to call our law firm at 888-743-5787 or complete our online evaluation for a confidential, risk-free analysis!

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