Lanigan & Lanigan, P.L.
831 W. Morse Blvd., Winter Park, Florida 32789
407-740-7379
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Bankruptcy
Distressed debtors who wonder what Chapter 13 bankruptcy is, will get a firsthand look at insolvency when Chapter 13 repayment plans are implemented by the U.S. Bankruptcy Court. But, the three- to five-year court-mandated debt resolution plan can actually benefit the debtor in the long run. A court-appointed U.S. trustee or administrator oversees and distributes the debtor’s disposable income to settle secured and unsecured creditor claims. Secured claims are those filed by lien holders of property which can be used as collateral, such as homes, cars, equipment, or inventory. Trustees are charged with the responsibility of deciding which secured and unsecured claims are to be paid and how much disposable income debtors can afford to contribute to the plan. A chapter 7 bankruptcy liquidates debtor assets to settle creditor claims, in compliance with a court-ordered debt resolution plan. Unsecured creditors can file claims, however since these claims are collateral-free, they are considered secondary. The court defines disposable income as wages or other liquid assets filers receive on a regular basis. Child support payments and assets necessary for the debtor’s subsistence are exempt. When people begin the bankruptcy process they usually have no idea that the process can be so tedious or so long. There’s quite a bit of paperwork, checking information and then time. Bankruptcy doesn’t happen overnight, and debt incurred by a failure to make timely payments over a long period of time can’t be fixed without a plan to settle delinquent accounts. The federal government is interested in re-educating debtors regarding the fine points of personal financial management before coming to court. Debtors are required by law...
Bankruptcy
Home refinancing after bankruptcy can help to ease a tight budget or it can be a financial mistake after a long road of poor or unfortunate choices. Is Refinancing After Bankruptcy Good or Bad? Winter Park bankruptcy and foreclosure attorneys Eric Lanigan and Roddy Lanigan work with a mortgage workout staff led by Rich Marquez to help families and individual with mortgage refinances. Mortgage workouts–also known as mortgage refinances–can lower interest rates, eliminate debt, eliminate second and third mortgages and are sometimes done instead of or in combination with bankruptcy. People file bankruptcy for all kinds of reasons. Some get into financial difficulty after an extended job loss, divorce, illness or a medical emergency. Others have gone through devastating loss due to natural disasters such as hurricanes, floods, or fires. Still others just don’t seem to understand the basic principle that income has to exceed outgo. In keeping with the federal Bankruptcy Code, individuals usually file for Chapter 7 or Chapter 13 bankruptcies. In Chapter 7 bankruptcy, the individual has few assets and all debt is typically written off. Though the individual gets relief from creditors, the financial consequences continue for a long time. A Chapter 7 bankruptcy stays on the person’s credit file for 10 years. This can mean paying higher interest rates on car loans and home mortgages for a long time to come. Almost certainly, the interest rate on a mortgage for a home refinancing after bankruptcy will be higher than average. The bankruptcy record may possibly affect job opportunities and automobile insurance rates as both employers and insurance companies may investigate an applicant’s credit history....
Bankruptcy
Many people assume that filing for bankruptcy can only be done by a U.S. Citizen but the law does not prohibit non-U.S. citizens bankruptcy. Bankruptcy laws don’t limit the filing of a bankruptcy case to U.S. citizens or legal residents. The bankruptcy code allows people who are not permanent residents or U.S. citizens from filing Chapter 7 or Chapter 13 bankruptcy. What the Law Says About Non-U.S. Citizens Bankruptcy Bankruptcy code says that a debtor can be any “person that resides or has a domicile, a place of business, or property in the United States, or a municipality, may be a debtor under this title.” The code doesn’t define a debtor as someone with legal residence or citizenship. A debtor can be an undocumented immigrant, or someone who doesn’t live in the United States. Attorneys have filed cases where a debtor doesn’t live in the United States but has a business or an asset located in the United States. Having a bank account or some other personal asset in the United States can be sufficient to qualifying a person as a debtor under the bankruptcy code. The belief you have to be a U.S. Citizen or legally within the United States to file for bankruptcy, stems from the fact that credit is generally obtained on the basis of having a social security number. Bankruptcy forms generally request you provide a social security number as part of filing for bankruptcy. If you do not have a valid social security number then you can apply for an individual taxpayer identification number (ITIN) with the IRS. This number can be used to...
Bankruptcy
Before filing a small business bankruptcy sit down with Winter Park bankruptcy attorneys Lanigan and Lanigan to discuss options for Chapter 11 bankruptcy. Certainly in the past few years some of the most successful businesses have needed to file bankruptcy at some point, although this action is never desired. The damage done to personal and business credit can effect a person’s whole life if partnerships and assets are not appointed correctly. Research Options Before Small Business Bankruptcy Speaking with an experienced civil and business litigation attorney is important when developing a Chapter 11 bankruptcy plan to ensure that the right provisions are made to ensure the best outcome possible. Other options include a business reorganization, a mortgage workout or a personal Chapter 7 bankruptcy. Though many companies bounce back after small business bankruptcy, this usually occurs in companies that have other avenues of income that can be used to bounce back. It’s preferable to get creative in finding ways to avoid financial ruin by selling part of the company as another share, liquidating merchandise, or downsizing employees or locations. Exploring all possible options for saving money before small business bankruptcy becomes a reality is step one. Keeping strong financial records will indicate any problems even before the threat of losing everything to the bank is step two. In some cases other similar businesses are in the same position and a merge of companies may solve the problem. This action may cut expenses in half and increase market population. Understanding the different ways to file is crucial to the success of any company and personal reputation. Review Bankruptcy Options with...
Bankruptcy
Major credit reporting agencies usually remove bankruptcy after seven years for Chapter 13 debtors so remember rebuilding credit takes time. Wage earners who have faithfully complied with court-ordered repayment plans can be sure that bad credit reports won’t stop efforts to seek employment or re-establish buying power. After Bankruptcy, Rebuilding Credit Takes Time A Chapter 13 proceeding automatically vanishes from the debtor’s report seven years from the date of filing, as if it never existed. The formerly bankrupt consumer is can apply for future financing without fear of disclosure of the previous proceeding. If reporting agencies fail to remove bankruptcy after seven years, debtors have legal recourse. Contact the three major agencies for free credit reports. Review all entries and check to be sure that bad accounts which should have fallen off of the report are still listed. Anyone who has paid creditors for three to five years through a bankruptcy Chapter 13 repayment plan has been released from further financial liability and will also be able to build credit scores back up after bankruptcy. Filing Chapter 13 bankruptcy has its negative connotations, but debtors have the opportunity to start over due to efforts to honor responsibility to creditors. Many Chapter 13 debtors live on a strict budget for several years in order to make monthly payments and change their living standards. A Chapter 13 is discharged when the last payment has been made and debtors can certify participation in an approved financial management course provided by a reputable consumer financial counseling agency. When credit reporting agencies remove Chapter 13 bankruptcy, credit scores after bankruptcy usually rise. Prospective lenders...
Bankruptcy
Pre-qualifying is a very important tactic to try achieving before applying for a mortgage refinancing after a bankruptcy. Approximately two years after bankruptcy, a borrower can try to qualify for a mortgage for a home or a property after careful credit repair and rebuilding activity. Is Refinancing After a Bankruptcy Possible? Part of working with Winter Park bankruptcy, foreclosure and mortgage workout attorneys Roddy Lanigan and Eric Lanigan is having experienced attorneys who will work with clients and provide financial guidance to help rebuild life after bankruptcy. Pre-qualifying for a mortgage can help to give a borrower an idea of how much money they can borrow. When evaluating bankruptcy mortgage lenders, look for those who have a post-bankruptcy program. There will be firms everywhere but you have to research them and talk extensively with them to confirm their experience. Check to see if the lender is solid and reliable and has been in business for many years. If by chance you are turned down by all the firms that you have applied with then it means that you need to work on credit history and then come back and repeat the application process. Or if a borrower has again acquired some debt, bill consolidations may help. Some loan specialists will help a borrower compare rates and the fees between different companies. This helps the applicant get the advantage of competition in the lending market rather than just dealing with one company at a time. If you’ve filed for Chapter 13 you will have no time limit on when you can apply for mortgage refinancing after a bankruptcy. However, you’ll need...
