Los Angeles Bankruptcy Blog

Trusting Your Mortgage Company Can Lead to Losing Your Home


Bankruptcy Stops Foreclosure and Allows You To  Save Your Property
Bankruptcy Chapter 13 and Chapter 11  can stop a foreclosure and allow the opportunity to catch up on past due mortgage payments, do loan modifications, refinances, and more, all without having to worry about a sudden loss of ownership of your property.

But, sadly, many people leave bankruptcy as a  last resort when trying to work things out with their lenders, often to the point where it’s too late to save […]

By |April 17th, 2014|Categories: chapter 11, chapter 13||0 Comments

Can I File Bankruptcy After Being Served With a Lawsuit?

Is it ever too late to file a bankruptcy case?
Most people wait until the last possible moment before considering bankruptcy as an option.

They make decisions and act, or fail to act, without getting all the necessary information.

In short, they are just “shooting in the dark”.

As I discussed in my article on When You Should File Bankruptcy,  it is always better to consider your bankruptcy–as well as non-bankruptcy–options earlier, rather than later.

Doing so enables you to minimize the costs and […]

By |April 2nd, 2014|Categories: Bankruptcy Law, debts in bankruptcy||Comments Off

How to Discharge Payday Loans in California Bankruptcy

Gina is a single mother of three, trying to make ends meet.

She barely earns enough to cover her monthly expenses, and the expenses always seem to be due before her next paycheck.

So, Gina did what many Americans in this situation do:  She got a payday loan.

And it pushed her over the financial cliff.
What is a PayDay Loan?
A payday loan is a short term loan which is due at the time of your next paycheck.  For a fee, of course.

According […]

By |March 22nd, 2014|Categories: Discharge Issues||Comments Off

Bankruptcy Case Audits in Chapter 7 Return

Bankruptcy case audits are back!

According to the website of the United States Trustee (a branch of the United States Department of Justice), and as reported recently in an article by Jacqueline Palank of the Wall Street Journal, audits of consumer debtors in bankruptcy cases (Chapter 7 cases) will resume March 10, 2014 after having been suspended due to budget constraints.
Are you prepared for your bankruptcy audit?
Most are familiar with the ability of the Internal Revenue Service to audit your […]

By |March 1st, 2014|Categories: Bankruptcy Law, chapter 7, means test||Comments Off

Will Filing Bankruptcy Affect My Spouse?

You need to file bankruptcy.  But you are married.

Perhaps you’re recently married, or maybe you’ve been married for a while.

Either way, your spouse does not want to file bankruptcy with you and you don’t want them to be affected by your bankruptcy filing.

Can this be accomplished?  Must you file a bankruptcy together, or not at all?
Bankruptcy Can Always Be Filed Alone
The Bankruptcy Laws allow married persons to file a joint bankruptcy petition, but they are not required to.   […]

By |February 25th, 2014|Categories: Bankruptcy Law, Spouse/community property issues||Comments Off

Do You Need to File Bankruptcy?

“Should I file bankruptcy?” is one of the most frequently asked questions in Q&A forums that I see, usually without much provided in the way of relevant facts.

Are you asking that question now as well?

The answer depends on a number of factors and can really only be determined after a comprehensive consultation with a qualified bankruptcy attorney.
Why File Bankruptcy?
There are many different reasons why one might need, or want, to file a bankruptcy case.

You may simply want to stop […]

By |February 6th, 2014|Categories: Bankruptcy Law||Comments Off

Can I Dismiss My Bankruptcy To Save My Assets?

Sometimes things don’t work out as planned.  As in life, so goes bankruptcy.  You don’t always get a “do-over” in bankruptcy.
A Typical Bankruptcy Pattern
You filed your Chapter 7 bankruptcy case, probably without an attorney because you thought you couldn’t afford an attorney and, perhaps, didn’t think you needed one.

Then things went wrong and now you want to back out of your case.

One of the most important factors to consider before filing a bankruptcy case is whether any assets (property) […]

By |January 31st, 2014|Categories: Bankruptcy Law||Comments Off

Gross Income or Net For Bankruptcy Eligibility?

Determining which chapter of bankruptcy one is eligible to file has always been tricky.

But with the addition of the Means Test and other determining factors in 2005, bankruptcy eligibility became even more difficult to determine.

Not quite as complicated as college physics, but pretty hard.

A question recently posed to me was:  ”Do you use gross income or net income to determine if you can file bankruptcy?”

The answer is, both.
Which Bankruptcy Chapter?
The purpose for these tests is to determine who can […]

By |January 21st, 2014|Categories: Bankruptcy Law, means test||Comments Off

Do You Have To Be a Citizen To File Bankruptcy?

Welcome to America.   Land of the Free,  Home of the Debtors.

Bankruptcy laws have provided relief in some form or another to those in debt for most of the 230+ years the United States has been in existence.

Bankruptcy is a very powerful tool and can be used to overcome a mountain of debts, often without giving up any assets.

But is bankruptcy limited to those fortunate enough to be actual citizens of the United States, or can anyone join in […]

By |January 14th, 2014|Categories: Bankruptcy Law||Comments Off

How Does Bankruptcy Affect Credit Scores

“If I file bankruptcy it will ruin my credit,” says nearly every client I’ve consulted with in the past 20 years.

According to myfico.com “[a] bankruptcy will always be considered a very negative event by your FICO® score.”

But I am here to tell you that most of my client’s credit scores actually increase within a few months after they receive their bankruptcy discharge.
What is the Status of Your Credit Report Now?
The extent to which bankruptcy will affect your creditworthiness and credit score […]

By |January 4th, 2014|Categories: Bankruptcy Law||Comments Off