What Chapter is Right for Me?

Your decision whether to file bankruptcy and under which chapter to file depends on your particular circumstances. In general, Chapter 7 is appropriate when the Debtor has insufficient income to pay a portion of his/her debts, and the Debtor is not seeking to keep non-exempt property. Otherwise, if the Debtor has an income or property and can afford to repay at least some of his/her debts, Chapter 11, 12 or 13 may be appropriate, depending on whether the Debtor is an individual, partnership, corporation, or family farmer. The decision whether to file a bankruptcy case and under which chapter is an extremely important decision and has tremendous financial impact. Consequently, this decision may require expert advice from a bankruptcy attorney. Thomas A. Nanna is a Board Certified Bankruptcy Attorney in Tampa, Florida.

What is Bankruptcy?

Bankruptcy is a legal process which allows a person (a “Debtor”), who owes more money than he or she can currently repay, to either (1) repay a portion of the money over time under Chapter 11, 12, or 13, or (2) have the entire debt forgiven (“discharged”) under chapter 7. Under chapter 7, a Debtor may be required to surrender assets to a trustee. Bankruptcy is also available to businesses, corporations, and partnerships. Even municipal governments can file bankruptcy (under Chapter 9).

After a Debtor has filed a case (i.e., “petition”), creditors must stop all collection efforts against the Debtor for a period of time, unless they get permission from the bankruptcy court to continue. This protection from collection efforts is referred to as the “automatic stay.”

The Bankruptcy Code and Federal Rules of Bankruptcy Procedure determine which chapter one is eligible to file, which debts can be eliminated, how long repayment must continue, which possessions can be kept, etc. A Debtor must abide by these federal laws and rules.

The Warning Signs of Bankruptcy

Are collectors calling? You can finally answer your phone after you file bankruptcy.

Is the harassment driving you crazy? Filing bankruptcy will eliminate debt problems, stop creditor harassment, lawsuits, foreclosure and repossession.

Are you having trouble sleeping? Financial troubles can cause all sorts of ailments, the most common of which is sleeplessness. The anxiety created by the inability to pay bills and the embarrassment of having to talk to bill collectors at work, make it difficult for many people to fall asleep or to sleep through the night.

Are you using one credit card to pay another? This increases your balances and will not allow you to ever become debt free.

Do your credit balances never seem to get smaller? Make bill problems go away. Learn how bankruptcy can provide debt relief.

Do you have too many bills? Take control of your finances by filing bankruptcy.

Are you being threatened by lawsuits, garnishment, foreclosure or repossession? Bankruptcy prevents or stops creditors from taking action.

Have you experienced a reduction in income, medical bills, illness, loss of job, disability, divorce or repossession? Bankruptcy can be the solution.

Do you only pay the minimum credit card payments? This increases your balances and will not allow you to ever become debt free.

Do you have to sacrifice basic necessities just to keep food on the table? Then it is time you obtain a fresh start and start to enjoy life.

Is your home threatened by foreclosure? Bankruptcy can prevent a foreclosure from being filed and can stop a foreclosure. Further, we can force the mortgage holder to allow you to cure the mortgage arrears over a period of five years.

About Thomas A. Nanna

Thomas A. Nanna has extensive bankruptcy experience and appears exclusively in bankruptcy court.  Mr. Nanna is Board Certified by the American Board of Certification in consumer bankruptcy law.  He is also a member of the National Association of Consumer Bankruptcy Attorneys, Tampa Bay Bankruptcy Bar Association, Hillsborough County Bar Association and American Bankruptcy Institute.

We are a debt relief agency.  We help people file for bankruptcy relief under the Bankruptcy Code.

Refinancing After Bankruptcy

Refinancing after a bankruptcy can seem like an especially difficult challenge, but it doesn’t have to be. Six months after your bankruptcy has been finalized, you can find lenders willing to refinance your mortgage. In fact, refinancing your mortgage can help rebuild your credit to good standing in two year’s time. The following steps will help you find the best refinance lender while helping you rebuild your credit record.

Preparing For Refinancing

Right after bankruptcy, you have six months to prepare to refinance your mortgage. Begin by establishing good payment history by regularly paying your bills and current mortgage. This is also a good time to open a credit card account to start establishing good credit history.

If possible, also start building up a savings account. The more cash assets you have, the better your application will look. Consider having a garage sale or taking a second job to raise funds.

Researching Lenders

Once you are ready to refinance, research mortgage lenders and their rates. Online mortgage websites allow easy comparison shopping. Look at both interest rates and fees of refinancing quotes. Usually a slightly higher rate with low fees is the best deal.

With bankruptcy on your credit report, you will typically need to work with a sub prime lender. You can expect to pay a few percentage points above a traditional mortgage, which you can find through online mortgage companies.

Choosing Your Refinancing Package

You may be offered a chance to cash out part of your home’s equity when refinancing your mortgage. If you need to make home improvements or buy a car, this may be a good option. However, if you keep your home’s equity in place, you are improving your credit.

Once you have decided on your terms, you can finish your loan application online or through the mail. Quotes are not guaranteed, so rates may vary slightly once your application has been approved. Before the loan is finalized though you have the opportunity to review the loan again.

After Refinancing

With your refinancing completed, you can plan to lower your interest rates through refinancing in two years by building up your credit score. Continue to make regular payments and add to your cash reserves. Before you apply to refinance again, review your credit report to be sure your bankruptcy closed all past accounts on your record. With a solid credit history behind you, you can apply to traditional mortgage lenders.

Refinancing After Bankruptcy

By Carrie Reeder

Carrie Reeder is the owner of ABC Loan Guide *http://www.abcloanguide.com, an informational website about various types of loans.

To view Carrie’s recommended sources for refinancing after a bankruptcy online, visit this page: *http://www.abcloanguide.com/lessthanperfectcredit.shtml.

*These websites are neither endorsed nor recommended by Thomas A. Nanna

What is Chapter 7 Bankruptcy?

Chapter 7 Bankruptcy is also called “straight bankruptcy”. The debtor receives a discharge of all dischargeable debts usually within four months. In the vast majority of cases the debtor has no assets that he would lose, so Chapter 7 will give that person a relatively quick “fresh start” without paying back the debt.

(by Thomas Nanna)

Should You File Bankruptcy?

Bankruptcy is alive and well! Regardless of what you may have heard in the media, the new bankruptcy law that became effective in 2005 does not mean the end of bankruptcy. The substantive rights that existed under the old law still exist under the new law.

You would not be reading this unless you are in deep financial trouble. Please know you are not alone. In 2005, over two million Americans put their problems behind them by filing bankruptcy. There are many people, just like you, who can not sleep at night due to overwhelming pressure from debt.

If you need help getting your financial affairs in order, and are looking for a fresh start, you may want to consider filing for bankruptcy. While bankruptcy is not for everyone, at times it is the only way. Different bankruptcy options exist, and it is possible for you to file bankruptcy and not lose any of your possessions. Even if you are in foreclosure, it may not be too late to save your home.

Even the hardest workers and the most diligent bill-payers can find themselves with more debts than they can pay as they become due. In such cases, filing bankruptcy may provide a solution to what seems like an insurmountable problem. If you or someone you know is facing serious financial challenges, it is very important to seek the counsel of an experienced bankruptcy attorney. Bankruptcy has evolved into an accepted method of resolving serious financial problems. The bankruptcy attorney’s goals are to help debtors get out from under formidable debt, obtain a fresh start and emerge as productive citizens.

If you are unable to become debt-free in the near future, you must make an important decision. Either you can continue to keep you and your family in poverty, with no signs of financial freedom. Or, you can take immediate control of your financial destiny and take advantage of a legitimate solution to eliminate your debts and enjoy a debt-free life. This should be an easy decision.