A little help

Sometimes even Jack and Diane need a little help….Give us a call today to see if we can help you in your situation. 801-221-9911

 

What kind of bankruptcy should I file?

Let us help you choose the path to your financial recovery.  Call today to set up your consultation 801-221-9911.

 

Three Ways To Improve Your Credit Score After Bankruptcy

3 Ways to improve your credit score!

Good financial habits must be cultivated and maintained over time in order to raise your credit score after you file for bankruptcy.

Here are three simple steps that can help you improve your credit rating.
1.Pay your debts early and religiously to make sure you are always in good standing.
2.Getting a secured, affordable loan and paying it back early can help rebuild trust between you and your creditors. It will also help restore your credit history.
3.Monitor your credit report regularly and take immediate, corrective measures as soon as you find it going off track.

Like most good things in life it takes effort on your part to elevate your credit score.  With a little effort I see most of clients raise their scores dramatically in the months after they receive their bankruptcy discharge.

 

Finally keep in mind,  just because you have had to file for bankruptcy protection does not mean that you are left to a life of no more credit.  After your bankruptcy you will be on a much firmer financial footing and most creditors will see you as a sound financial risk.  In Utah remember when you think of bankruptcy think first of the UTAH BANKRUPTCY GUY.

Your Retierment Account in Bankruptcy

Should I use my retirement funds if I’m in a financial crisis?

In Utah when facing a debt crisis, the decision to use or not to use your retirement account to bail you out of the crisis is an important one. Too often we see prospective bankruptcy clients come into the office who have just recently cashed in their retirement accounts in an attempt help them survive their financial problems only to realize that they are still in a mess even after draining their retirement accounts. The decision to use these funds may prove to be an unfortunate one, especially if the retirement funds only acted as a patch and not a cure for the financial problems.

We see individuals and families who have cashed in all their retirement plans and life insurance policies, and have merely pushed themselves into a do over level just prior to considering filing for bankruptcy.  This usually comes from the common misconception that you cannot file for bankruptcy protection if you have money in retirement accounts. The fact, in Utah, most retirement accounts, pension plans, and even life insurance policies are protected from creditors and are not taken in a bankruptcy filing. This means that you don’t have to give up your retirement accounts when you file for chapter 7 or chapter 13 bankruptcy. ERISA qualified retirement accounts such as: 401(k), 403(b), Roth IRA, SEP, SIMPLE IRA, Keoghs, profit-sharing plans, money purchase plans, and defined-benefit plans usually do not impact your ability to file for bankruptcy, and are not taken in a bankruptcy to pay your creditors. In most cases these retirement plans are fully exempted from a bankruptcy filing.  If you are in financial trouble and considering using your retirement funds as a temporary patch come in and visit with us – its a free consultation. Call now 801-221-9911.

Can I have too much debt to file for bankruptcy?

Do I have enough debt?

Can you have too much debt to file for bankruptcy?

This is a common question here at the office: Is there a certain amount of debt that somebody needs to have before they can file a Utah bankruptcy. The answer is that there is no minimum amount of debt that is required to file for bankruptcy protection.  Sometimes you can actually have too much debt to file for Chapter 13 bankruptcy.  As with most simple answers in the law, however, it can be more nuanced than that, so speaking with a knowledgeable bankruptcy lawyer is always helpful.

Bankruptcy and Divorce

More often than not divorce and financial difficulties go hand in hand. If you think about it this makes sense, because when two people who had previously been sharing at least some of their living expenses decide to part ways and establish separate households, each of them becomes responsible for paying for everything that they then need. For this reason, some people file for bankruptcy after they get divorced.
There are also situations in which a couple considering divorce goes through bankruptcy together before the divorce. Couples who have chosen to proceed with bankruptcy before filing for divorce often have positive things to say about what happened as a result of their decision to do things in that order. Financial problems can be a huge source of disagreement among spouses, and many couples say an inability to see eye to eye on financial matters was a major reason for their divorce. When a couple files for bankruptcy while they are married, they get an opportunity to eliminate some of the stress of their financial problems which can make their divorce process go smoother.

Bankruptcy and Divorce: Is there a connection?

If you and your spouse are considering both bankruptcy and divorce, a pre-divorce bankruptcy could enable each of you to be better off financially whether you eventually divorce or not. Going through a bankruptcy together helps some couples to work through issues that had been affecting both their marriages and their finances. If you are thinking about filing for bankruptcy, give us a call at 801-221-9911 and set up a free consultation.  We can help you decide whether filing for bankruptcy is the right thing to do.

If I’m married do I have to file bankruptcy with my spouse?

Do I have to file bankruptcy with my spouse?

No, the United States Bankruptcy code does not require married couples to file together. However, in most of the cases I see, both spouses usually choose to file together. But there are exceptions, such as recent newlyweds, sometimes only one spouse files thereby preserving the credit standing of the other, non-filing spouse. You do need to know that the bankruptcy code requires all household income must be included in the “means test” calculations when determining whether a debtor is eligible for a Chapter 7 bankruptcy case or if a Chapter 13 bankruptcy should be filed.

The bankruptcy code mandates that total household income must be included in the calculations however expenses for non-filing household members can also be deducted from the calculations. The bankruptcy means test is very complicated. We will perform a full means test calculation at your Free initial consultation.  Call to set up your free consultation now 801-221-9911.

Will I lose my car if I file for bankruptcy?

What will happen to my car if I file for bankruptcy?

I get this question all the time. “I need my car to get to work – will I lose it if I file for bankruptcy?” That’s a loaded question and hard to answer in 30 seconds. What you need to understand that every case is different but in most cases you can choose a type of bankruptcy that will allow you to keep the car. However, sometimes it’s not the best financial move to keep the car and we will discuss that in our first consultation.

What kind of question will a bankruptcy lawyer ask me in my first consultation?

What will an attorney ask me about my financial condition in my first meeting?

I always tell prospective clients to be prepared to answer some questions like this:

• What kind of debts do you owe?
• Are you able to pay the minimum payments on your bills?
• Do you find yourself spending more money than you make?
• Are creditors constantly calling you? Are your wages being garnished?

I know people don’t like talking about their debt and finances to other people. You will want to be comfortable with the person you are talking to. If you are facing significant debt and you want to do something about it, exploring bankruptcy is one of many options you can consider.

If you have concerns about bankruptcy or your other options, you should not hesitate to consult with an experienced bankruptcy attorney. Most offer free initial consultations. In Utah call us at 801-221-9911 to set up a consultation today.

Can I file for bankruptcy in Utah if I don’t have a job?

Job loss is a major cause of bankruptcy

One of the most common reasons for filing for bankruptcy is when someone has lost of a job. The answer then is YES you can definitely file for bankruptcy if you don’t have a job but whether or not the bankruptcy will be successful will depend on which type of bankruptcy you file for.

Chapter 7 Bankruptcy
When you file for chapter 7 bankruptcy while you are unemployed, it makes everything easier. Chapter 7 is designed to completely wipe put things like credit card debt or debt from medical bills. These are called unsecured debts and Chapter 7 completely discharges them. If you don’t have any non-exempt property that can be sold to repay your debt then your creditors do not get anything.
Since Chapter 7 completely wipes out your debts, it is what most people want to file for. To prevent people from abusing this type of bankruptcy, you have to pass a means test to qualify. The means test will determine whether your household income is above or below your state’s median income for other households of your size.
If your income falls below the median income then you are automatically eligible for Chapter 7 bankruptcy. If you are unemployed then you probably have little to no income so you should be able to easily qualify for Chapter 7.

Chapter 13 Bankruptcy

If you file for Chapter 13 bankruptcy then you will be paying back most of your debts through a three to five year repayment plan. It is a good way to:
-Catch up on mortgage payments
–Get rid of a second mortgage
-Cram down car loans
-Pay back non dischargeable debts

It can be difficult to handle the monthly payments required for a Chapter 13 bankruptcy if you are unemployed but you may still qualify for one depending on your circumstances and sources of income.

If you are in Utah and you have questions about which type of bankruptcy is right for you call us for a free in office consultation.