When I come across something that I think might help readers answer this question, I be sure and post it here.
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Posts Tagged ‘Credit and Debt’
Bad News On New Loans: Defaults are Up
Tuesday, October 16th, 2007
From today’s New York Times:
Borrowers who took out loans in the first six months of 2007 are falling behind on payments faster than homeowners who took out loans last year, according to a report by Friedman, Billings, Ramsey, an investment bank based in Arlington, Va. The data suggested that more Americans could lose their homes and that the housing market’s troubles might persist longer than many analysts have been predicting.
Facing foreclosure? Important Information from the IRS
Wednesday, September 19th, 2007
Anyone facing foreclosure, or considering just “walking away” from their home, must read this important announcement from the IRS.
Thinking about Debt Settlement? Think about this…
Thursday, June 7th, 2007
People explore all of their available options before filing bankruptcy. Bankruptcy is not for everyone struggling with debt. Some may benefit from credit counseling, while others may benefit from loans from family members. However, there is one option that I am pretty sure does not work for most people I meet: “debt settlement” companies. In many cases, I have represented people who unsuccessfully tried this option and only ended up losing their money and adding to their stress. A conversation I had today with a prospective client reminded me that these “debt settlement” companies are still lurking out there, and people struggling with debt need to think about these issues before signing on the dotted line.
Thursday News: Up and Down
Thursday, May 24th, 2007
Minimum payments on Bank of America credit cards: going up.
The Massachusetts foreclosure rate as measured by April filings: going down.
Gasoline prices: going up.
The cost of electricity as we head into the summer season: going down.
Number of people over the age of 45 seeking bankruptcy protection: going up.
Misleading Messages
Wednesday, May 9th, 2007
Clients have been kind enough to share with me some of the many letters and solicitations they receive from people and companies who have learned of their looming foreclosure. Actually, to be more accurate, clients tell me they are deluged with these letters. Some of these letters offer assistance and provide truthful and accurate information. Others however, are clearly designed to mislead.
Recently a co-called “US agency” (who for now will remain nameless) sent a letter to a client declaring this:
Bankruptcy stops foreclosure but you will lose your home. (Note: Only 11% of bankruptcies are successful.
Wow. Talk about scare tactics. Needless to say, this is not true. A Chapter 13 Bankruptcy can be used to save the home from foreclosure assuming a confirmable plan can be put together. The “11%” is neither cited to any source nor supported by any facts. Such a sweeping generalization is clearly and unambiguously intended to sway people away from even considering bankruptcy as an option.
People facing foreclosure need to do their research and not rely on what one company, or a group of companies tells them. Unless a bankruptcy attorney who they have met with has told them that in no uncertain terms, bankruptcy is not an option, no one should assume that it is not. And companies who make such broad sweeping generalizations that are simply false should be avoided.
“Something’s Gotta Give”
Friday, April 20th, 2007
Subscribers to our newsletter might remember our recommendation of iamfacingforeclosure.com as a recommend blog to visit often. Casey Serin is a 24 year old “would be real estate mogul” who is learning some difficult lessons about real estate, investing, mortgages, and foreclosures. On his blog, he shares his thoughts and experiences on his journey through this undeniably difficult process.
I have been told more than once that people follow this site for months before they have the courage to call me seeking advice. Today, Mr. Serin says simply: “Something’s Gotta Give.” A review of the postings of the last several weeks reveal that the pressures he faces are, on some level, taking a toll. But the fact that he shares them with the public and admittedly wants to “help others in trouble” is something readers of this blog need to know.
By the time many people come to see me, they have already been feeling overwhlemed for some time. The financial pressures can lead to depression and isolation. Here, Mr. Serin is providing an exceptional public service: reminding others similarly situated that they are not alone.
Please visit I am facing foreclosure.com.
Who Can Help Stop The National Foreclosure Crisis?
Friday, April 20th, 2007
From Today’s Boston Globe: Boston’s Department of Neighborhood Development (DND) announced that the foreclosure rate in Boston has quadrupled since 2005.
The numbers are still much lower than the 1,700 foreclosures in Boston in 1992, when the technology-based economy ran aground and some property values were cut in half. But Mayor Thomas M. Menino said he is concerned about the current figures, fueled by the rising delinquencies of risky subprime mortgages.
‘‘It’s not just a Boston problem. It’s a nationwide problem,’’ he said. ‘‘We need state help. We need federal help.’’
That help may have to come from Washington. In an April 17 decision (Waters v. Wachovia Bank, N.A., et al.) the US Supreme Court held that Wachovia’s mortgage business, whether it was conducted by the bank itself or through the bank’s operating subsidy, is subject to the oversight of the Office of the Comptroller of the Currency pursuant to the National Bank Act (12 USC Section 1, et seq.). It is not subject to the “licensing, reporting and visitorial regimes of the….States.” A bank’s subsidary mortgage company is subject to state regulation only if the parent bank would be if it performed the same function.
A Call for (Productive) Bankruptcy Reform
Thursday, April 12th, 2007
Consumer groups have called for Congress to reform the bankruptcy code to save the homes of Americans who are mired in the subprime mortgage foreclosure crisis.
“For most of these families, bankruptcy is the only viable option to save their home,” said Henry Sommer, president of [the National Association of Consumer Bankruptcy Attorneys]. “This current exclusion is contrary to sound policy, and operates to disadvantage low-wealth and middle-income borrowers as compared to debtors with the wealth to own more than one home.”
A Message For Those With Their Head in the Sand
Here’s one for the “believe it or not” list: ostriches do not hide their heads in the sand. I know – you’re thinking “get OUT!” I was as shocked as the next person. Apparently, while they do not bury their head, they will sometimes lie on the ground trying to make themselves look inconspicuous. According to The Phrase Finder:
Birds are not stupid (at least not all of them), and I find it difficult to believe that a bird that merely lies about hoping not to be avoided (such as one might do at a high school or college reunion) is intellectually deficient. So if ostriches don’t hide their heads in the sand, why do people struggling with high house payments often do just the opposite?
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Tags: Bankruptcy, Chapter 11, Chapter 13, Chapter 7, Commentary - Legal, Credit and Debt, debt, Mortgages and Foreclosures
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