What Debts Can Be Wiped Out In Bankruptcy?

in Bankruptcy Insights, Creditor Harassment, Debt Relief Insights

Discharge debt with Santa Rosa bankruptcy attorney, Brian Barta.

Potential bankruptcy clients often ask about the types of debt that can be discharged in bankruptcy. For example, some people have the mistaken belief that only credit card debt, or personal loans, or medical bills, or taxes can be put in the bankruptcy. In fact, when filing bankruptcy the attorney should include every single debt of every type, because that’s what the law requires. And, lucky for the client, bankruptcy wipes out every kind of debt, except debts the debtor obtained by fraud or dishonest conduct. Credit Card Debt is Wiped Out in Bankruptcy Credit card debt, including department store cards, is...

14 September

0 Comments

Sticky

Stop Creditor Harassment After Bankruptcy

Posted by Brian Barta

in Bankruptcy Law, Creditor Harassment

Stop creditors from continuing to harass after bankruptcy.

When your bankruptcy is completed and you have discharged all of your debt, it is a tremendous relief. You have a fresh start, you can rebuild credit and move on with a new financial life. It’s a great feeling. However, one thing that can really cause upset and distress is a collection attempt from a creditor that tries to collect after the case is done. A telephone call, collection letter, or worse, a lawsuit served on you can shatter the new-found sense of peace provided by the bankruptcy. Until recently, your lawyer could usually stop the prohibited collection. But making...

24 June

0 Comments

Sticky

How to Get Free of Credit Card Debt

Posted by Brian Barta

in Bankruptcy Insights, Debt Relief Insights

A new study released Wednesday, June 22nd found that Americans are saddled with ballooning credit card debt and are likely to end 2016 with a record high $1 trillion in outstanding balances. That will be the highest amount of credit card debt on record, surpassing even the years during and before the Great Recession. The record high was in 2008, when people owed $984.2 billion on their credit cards. So after a couple of years in which consumers were being more frugal and working on paying off credit card balances, they have used cards at an ever-increasing rate. Importantly, people have...

19 May

0 Comments

Sticky

Strip Second Mortgage

Posted by Brian Barta

in Bankruptcy Insights, Bankruptcy Law, Foreclosure Law

The ability to strip off a second mortgage in bankruptcy is one of the most powerful tools bankruptcy law provides. In a Chapter 13 bankruptcy you can strip off, or avoid, a second mortgage, home equity line of credit, or other junior lien and never owe a penny on that debt again. That means your obligation to pay back that second mortgage is permanently discharged, i.e. wiped out. The second mortgage lender can never try to collect from you after the Chapter 13 case is done. Also, and equally important, the lender must re-convey the second deed of trust...

16 April

0 Comments

Sticky

Mortgage Modification In Bankruptcy

Posted by Brian Barta

in Bankruptcy Insights, Bankruptcy Law, Foreclosure Law

Mortgage modifications in bankruptcy at Law Offices of Brian Barta

For several years now, at least since the real estate market downturn in 2006, homeowners have struggled to modify their underwater mortgages. Most homeowners have failed at successfully obtaining a modification because home loan lenders initially weren’t set up to do modifications. Mortgage lenders would represent to borrowers that the various programs were available, but in fact getting a modification was nearly impossible. Borrowers applied through the Keep Your Home California program, the HAMP program, the HARP program, and other government sponsored or instituted modification systems, but the lenders did not have the staff, resources, or desire to actually modify...