For most of those who are faced with bankruptcy, some find it particularly challenging to make an informed decision about the right attorney to hire. However, even when faced with the dire pressure of a financial crisis, it is important to make a cool and collected decision when choosing a lawyer. Avoid Bankruptcy Mills Some legal practices have become known as “bankruptcy mills,” as they focus on churning and burning as many cases as possible instead of fulfilling the specific needs of individual clients. Although it can be hard to identify this without being a bankruptcy lawyer yourself, reading reviews and interviewing several different lawyers can substantially reduce the possibility of this occurring. A Comfortable Relationship Even if a lawyer is well qualified, it is essential to feel comfortable when engaging with them. If you are nervous with the lawyer to client relationship it may be challenging to fully express the details necessary to defend your case. Specialization in Bankruptcy Law Many lawyers agree to represent any case that comes their way, regardless if it relates to their specialty. Investigate the percentage of cases that a lawyer has represented that are particularly related to bankruptcy law. According to Bankrate.com, “Technically, any attorney can handle a bankruptcy, but in practice, only those who usually handle such cases are worth using. But clients shouldn’t use the length of an attorney’s career as an indicator of their expertise. The better question to ask would be: What percentage of the lawyer’s practice constitutes bankruptcy and how many cases has the lawyer filed?” Take the time to contact us at Savage law if you have any questions about comparing the availability of a bankruptcy lawyer if your area.

Bankruptcy protection gives debtors a fresh start. But before filing, it is important to know the common mistakes people make during the process. Not Being Truthful The means test is the first step to filing bankruptcy. It consists of several financial questions that will determine if you can pay your creditors. If you don’t mention all of your income or assets, your case could be dismissed. A bankruptcy lawyer can help you make sure everything is presented correctly. Not Listing Pending Lawsuits If you have filed a lawsuit against someone for any reason, you must list it as an asset in your bankruptcy paperwork. Not Mentioning Cars or Car Loans If you have a car for which you are still paying the loan, you have to list it as a liability. If you own the vehicle outright, it gets listed as an asset. Should you fail to do this or you transfer the car to a family member shortly before filing for bankruptcy, you could hurt your case. Running up Your Credit Card Balance This is a bad idea because the creditor will look over the charges upon receiving the bankruptcy notification. If the creditor believes you purposely ran up your balance before filing, he has the legal right to challenge your request to eliminate the balance. Not Mentioning Creditors You have to list all creditors in your bankruptcy filing. If you don’t, it can lead to your case getting dismissed. Transferring Assets Transferring assets for the sole purpose of protecting them from being taken is illegal. There are legal ways you can protect assets that could potentially be at risk. If you would like to learn more about bankruptcy, please contact us. As bankruptcy lawyers, we will determine if filing for Chapter 7 or Chapter 13 is right for you.

The rising cost of healthcare is one of the top three reasons people file for bankruptcy, even if they have health insurance. If you’re struggling to pay your medical bills, continue reading to learn about Chapter 7 and Chapter 13 bankruptcy. Pre-bankruptcy Counseling Federal law mandates that you must attend ninety minutes of approved credit counseling before you’re allowed to file for bankruptcy. The cost differs from provider to provider, but it’s often around $50. What is an Unsecured Debt? Under the bankruptcy code, medical bills are considered unsecured debts due to the fact there is no collateral the creditors can take from you if you don’t pay. There are actually two types of unsecured debt: Priority and Non-priority. You still have to pay priority debts such as child support and taxes after your bankruptcy case is over. For both Chapter 7 and Chapter 13, medical bills are not priority debts and are therefore dischargeable. Chapter 7 As soon as you file for bankruptcy protection, your creditors are prevented from contacting you to demand payment. You’ll be appointed a bankruptcy trustee who will control all of your non-exempt assets to sell or liquidate them. The money will go to your creditors to pay your debt. In most cases, debtors don’t lose much (if any) property. In the event the trustee cannot raise any money, your medical bills will be discharged. Qualifying for Chapter 7 is not automatic. You’ll have to pass a means test to show your income is at or below the median income level in Florida. Chapter 13 If your income is above the median income level, filling for Chapter 13 may be an option for you. You’ll have to give the trustee your monthly disposable income once you’ve paid regular living expenses. This money will be applied toward your debts which will get paid off within three to five years. It’s likely that the trustee will not pay off your medical bills in full since they are unsecured, non-priority debts. Once the creditors for the medical bills are paid the minimum amount they would have received had you filed for Chapter 7, the remaining balances will be discharged once your payment plan comes to an end. To learn more about filing for bankruptcy due to high medical bills, please contact us. We have knowledgeable bankruptcy lawyers who will determine the best option for your situation.

With the current economic situation, it’s common to hear a bankruptcy lawyer talk about a business filing for Chapter 11 bankruptcy. What is Chapter 11? It allows the debtor to liquidate or restructure debt, and it usually involves larger amounts of money than Chapter 7 or 13. Who Can File Chapter 11? Both businesses and individuals can file for Chapter 11. However, it’s rarely filed by an individual. When it is, it’s almost always to reorganize unsecured debts that don’t qualify for Chapter 13 because they are too high, or for real estate reorganization. The Petition Whether you are filing for yourself or your business, you’ll need to complete a petition that includes assets, expenses, income, and debts. Then, your lawyer will file it with the bankruptcy court clerk. Credit Counseling An individual filing for Chapter 11 must complete an approved credit counseling course before filing their petition. Interview As a debtor, you’ll be required to attend a debtor interview. At this time, a United States Trustee will gather preliminary information from you about your case and explain your responsibilities during the Chapter 11 process. Disclosure Statement Another step is completing and filing a disclosure statement. This statement gives your creditors a chance to decide if they will accept your plan. Items that are usually included in a disclosure statement are:

• Your financial history
• An explanation as to what led to the Chapter 11 filing
• A synopsis of the reorganization plan

Once your lawyer files your disclosure statement, there will be a court hearing to approve or reject the plan. Payments Upon approval of your reorganization plan, you’ll start making payments to your creditors. Ending the Case As soon as you pay off all your required debts, the court will discharge the rest of your unsecured debts. This will end your Chapter 11 case. This is just a brief overview of Chapter 11. To learn more and to see if it’s right for you, please contact us. As bankruptcy lawyers, we’ll help you get your finances back on track.

When it comes to bankruptcy, Chapter 13 is the second most common filing behind Chapter 7, according to a leading bankruptcy lawyer. What is Chapter 13? It lets you sort out your finances while protecting you from creditor harassment and wage garnishment at the same time. Eligibility One eligibility requirement is that you must have enough income to propose a payment plan that the court will approve. Other requirements are:

• You must be an individual and not a business entity
• You cannot have a prior petition dismissed within the last 180 days
• Your unsecured debts must be less than $383,175 and secured debts less than $1,144,525
• Your must keep your income tax filing current
• You must keep up with child support and alimony payments if applicable
• You must file yearly income and expense reports

Filing You case starts once your attorney files a petition with the bankruptcy court and you pay the filing fee. The Trustee The court will appoint a trustee that will make sure you file your income tax return and that your repayment plan follows the law. The Repayment Plan Chapter 13 requires you to pay certain debts in full. They are known as priority debts and include child support and some tax obligations. Your repayment plan will lay out how you will pay each debt and how much you will pay. How Will Your Case End? As soon as you finish your repayment plan, any remaining debts that are eligible for discharge will be forgiven. However, before the judge can sign off on a discharge, you need to prove that you completed an approved budget counseling course and are current on alimony and child support if you are responsible for such payments. The decision to file bankruptcy should not be taken lightly, and because of the complicated nature of the process, you need a team of bankruptcy lawyer on your side. If you would like to learn more about filing for Chapter 13, please contact us today.

The American dream of home ownership has become a nightmare for thousands of Floridians. But you don’t have to face foreclosure proceedings alone; there are many ways to fight foreclosures and protect your assets. Savage & Villoch, your bankruptcy lawyers in Tampa, can help you plan the best alternatives for this stressful time. Your alternatives depend on a thoughtful examination of your financial situation. Your attorney can guide you in the labyrinth of decisions to be made, such as whether your inability to make mortgage payments is short- or long-term and what relief programs apply to each situation, whether you qualify for a wide array of mortgage modification programs, or whether you should file for Chapter 7 or Chapter 13 bankruptcy protection. We can help demystify the process and let you know what to expect. Most of all, you are not alone in this stressful time. Make sure you learn the specific options in your case. Such problems as “underwater” mortgages–those in which the home’s value has decreased–have their own set of alternatives and relief programs. You may have also heard about the “show me the note” defense, which many people have used to defend against foreclosures by showing the court that the loan was made pursuant to fraudulent practices. It’s a tricky defense, and whether it applies to you will have to be investigated by your attorney. Mortgage modifications are often fought tooth-and-nail by lenders, so it is in your best interests to have a knowledgeable advocate getting you the best modification possible. According to Bankrate, Florida is one of the top-ten foreclosure states in the country, in which one of every 596 housing units has a foreclosure filing, so you are very much not alone. However, even if you’re in good company, the more quickly you take action to protect your assets, the easier fight and better chances you have of a positive outcome. If you are facing foreclosure and would like to examine your options, or if you have other debts that seem to be overwhelming you, don’t hesitate to contact us. We offer free initial phone consultations with our attorneys, the first step in regaining your peace of mind.

Everyday, people contact attorneys to file Chapter 7 bankruptcy. While there are several reasons for doing so, the top five are:

1. Medical Expenses – According to a study conducted at Harvard University, this is the number one reason for bankruptcy as it makes up 68 percent of the filings. Almost all filers had health insurance, but if someone has a rare or serious condition, it’s still expensive, especially if the co-pay is high.
2. Job Loss – If people don’t have an emergency fund, it creates a bigger financial hardship if they lose their job. Many charge daily living expenses to their credit card and often find they can’t pay the bill when it arrives in the mail.
3. Poor Spending Habits – This makes up about 15 percent of bankruptcy filings, and the reasons include large mortgages, expensive car payments, and credit card bills. When the borrower can no longer meet the monthly minimum payment for each debt, bankruptcy is often the only alternative.
4. Divorce – The ending of a marriage can put financial stress on both parties. Some have to declare bankruptcy because of legal costs, while others declare due to garnishment of wages to pay back alimony or child support.
5. Unexpected Expenses – This usually arises when there is a natural disaster such an earthquake or flood. Many homeowners don’t realize they need separate insurance coverage in order to receive money to pay for damage to their home or to replace belongings. Those who are not properly insured may face financial hardship trying to replace what was lost.

If you need a Chapter 7 attorney in Tampa, contact us. We’ll determine if you’re eligible and help you through the entire process from start to finish.

With the new laws that are in effect, it’s very confusing to file a Chapter 7 bankruptcy. You need an attorney to help you. Qualifying for a Chapter 7 is not easy anymore. The new restraints make it difficult and many have to file a Chapter 13 and repay their debts. However, a bankruptcy attorney can help you decide which chapter you qualify for. Before you file your petition, the attorney needs to know all the transactions of the past 60 days. The court wants to know about any cash loans or any expensive items that you’ve purchased. They consider residency requirements, and you must attend credit counseling. It’s a lot to take in and it’s overwhelming to the average person. That’s why it’s so important to have a bankruptcy attorney handling the matter. A Chapter 7 attorney in Florida can help you complete the “means test” and see if you qualify for this chapter. When you met the qualifications, the attorney files the petition, and the court appoints a trustee. You don’t lose everything; the court allows you some as exempt. The court sells non-exempt property. Debts like student loans, tax bills and any bill accumulated through fraudulent means are not discharged through bankruptcy. Many feel that they don’t need a bankruptcy attorney to handle their case. The petition has many schedules and is confusing to fill out. Any errors in the forms can give the court cause to dismiss your petition. Because it costs money to file a case, it’s best to have a professional handling it. At Savage Law, we are well versed in all areas of bankruptcy. We can help you file your Chapter 7 and get the debt relief you need!

No one wants to file for bankruptcy. The world we live in is fast-paced and jobs are scarce, pay raises are scarce, but the cost of living is increasing rapidly. It is easy to find yourself overwhelmed with debt and burdened with payments that you cannot afford to make. Many people consider consumer credit counseling, but the objective is to get your payments manageable to where you can live comfortably without recreating debt. In some cases, bankruptcy is the best option for you and your family, and that is okay. When should I contact a bankruptcy lawyer?

• You should speak with a lawyer when your debt has become too much to manage. If you’re struggling to make your monthly payments and are continuing to use credit to make ends meet, then you should consult with a lawyer to see if bankruptcy is right for you.
• Consider bankruptcy when there are no other options. You have tried to pay off loans, but your debt continues to multiple. You have explored all avenues to pay back your loans but nothing is working.
• Contact a lawyer if creditors are harassing you about late payments or balances that are over the limit. Or call if they are threatening legal action against you.

If I decide to file bankruptcy, can I keep my house and car? Yes. Provisions are available for you to keep your house and car during a bankruptcy. Both chapter 7 and 13 bankruptcies allow you to continue making payments on car loans and mortgages. How do I know which chapter bankruptcy to file? One of our experienced lawyers can help you navigate the bankruptcy process. We will talk with you about your personal situation and help you through each step of the process. For more information about our services and how we can help you get out of debt, contact us.