Katz and Wulff Attorneys at Law

Facing foreclosure?

Katz and Wulff — Sun, 14 Mar 2010 19:02:56 +0000

There’s just not enough money at the end of the month for all the bills you have to pay. Maybe it’s due to a layoff or an illness. Whatever the reason, you fell behind on your mortgage and now the mortgage company wants to take your family’s home. If you are facing foreclosure and cannot work out a deal or other alternative with the lender, bankruptcy may help. Two options are available to homeowners; Chapter 7 or Chapter 13. Each provides a very different end-result.

If you file for personal bankruptcy under Chapter 7 a so-called “automatic stay” is placed on the foreclosing lender by the court. HOWEVER, the stay is only a temporary fix to the situation. At any time the court can grant your lender’s motion for “relief from the automatic stay.” Once the court grants that motion the foreclosure against your home can proceed to conclusion. Chapter 7 does not permanently stop foreclosure on your house or mobile home. (A Chapter 7 will, however, allow you to surrender the property voluntarily without further obligation.)

Chapter 13 Debt Reorganization can help stop foreclosure on your house or mobile home and give you time to catch up payments. Under Chapter 13 you will propose a plan to bring your mortgage payments current, pay off vehicle loans (often with both principal and interest substantially reduced) over a period of three (3) to five (5) years. Once accepted, all creditors must abide by the terms of the plan.

Confronted with a lawsuit?

Katz and Wulff — Sun, 14 Mar 2010 19:01:50 +0000

Did you know that filing for bankruptcy can stop a lawsuit? In fact, thousands of bankruptcy cases are filed to stop collection lawsuits as well as prevent judgments from being entered.

All collection lawsuits will stop the moment the case is filed. This is because the court will enter an “automatic stay” preventing creditors from continuing their lawsuits to collect debts from you. Chapter 7 and Chapter 13 bankruptcy provide different kinds of relief, so even if a Chapter 7 won’t discharge a debt, Chapter 13 might help manage the debt and provide an affordable repayment plan. Contact us to discuss the facts about lawsuits and Bankruptcy, and to determine what your legal options are to deal with lawsuits.

Drowning in medical bills?

Katz and Wulff — Sun, 14 Mar 2010 18:59:29 +0000

You’re not alone. According to CNN’s website, medical bills are the cause of more than 60 percent of U.S. bankruptcies. If you or a family member have ever been hospitalized or suffered from a long-term illness, you are aware of the high costs of healthcare. If you don’t have medical insurance or are underinsured, the financial burden can quickly overwhelm you financially. Medical bills after a temporary or chronic illness push many people to the edge of financial ruin. Sometimes even those with best medical insurance available find themselves in the same predicament. Taking time off of work and loss of income can strain anyone’s finances. If you or a loved one have suffered from an illness that has left you with medical bills, doctor bills, hospital charges, or any other type of medical related debt, you may be able to get relief from filing bankruptcy. Depending on whether you file a Chapter 7 bankruptcy or Chapter 13 bankruptcy, medical bills can be either eliminated or reduced to pennies on the dollar.