Posts Tagged: ‘Miami bankruptcy attorney’

Debt Settlement vs. Filing for Bankruptcy: The Pros and Cons

October 3, 2017 Posted by kingcade

If you are having trouble affording your monthly expenses and are in over your head in debt, you may consider reaching out to a debt settlement company to alleviate some of the burden.  The commercials are appealing enough, touting promises of getting your debt negotiated with the lender for a fraction of what you owe.

Here’s how a debt settlement works and some of the risks involved:

The process starts by explaining your financial situation to the debt settlement company. You provide the names of the creditors and the amount you owe. The debt settlement company then gives you an estimate for reducing your debt along with a new lower monthly payment. As advised by the settlement company, you stop paying your creditors and instead send payments directly to the company.

The debt settlement company puts your monthly payments into a savings account. Once the account has grown to a certain amount, the debt settlement company calls your creditors and begins negotiating a settlement.  If the creditor agrees to a settlement amount, the settlement company pays the creditor and assesses a fee for the settlement.

Creditors typically do not settle debts until they are a few months past due, which means if you have not already done so you must stop paying on your accounts and allow them to become past due.  During this time, late payments will be reported to credit bureaus, your credit score will drop and you will begin receiving collection calls.  Late payments will remain on your credit reports for up to seven years and during this time you will have difficulty qualifying for new credit.

Debt settlement companies typically tackle the smallest debts, first which means your larger debts will continue to accumulate interest and additional fees. Add all that interest you are accumulating to the fees and you do not really end up saving much.  If you are unable to meet the terms of the debt settlement, ignore the debt or try and repay the debt and ultimately fail you run the risk of being sued.

Many consumers who have researched debt settlement options should also consider Chapter 7 bankruptcy, which erases credit card balances, medical bills, personal loans and other unsecured debts in three to four months.  Filing for bankruptcy will impact your credit score more than a debt settlement, but it legally erases the debts and prevents creditors from filing a lawsuit against you.

If you have any questions on this topic or are in financial crisis and considering filing for bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade Garcia McMaken, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.

Related Resources:

https://www.thebalance.com/the-dangers-of-debt-settlement-960622

http://www.latimes.com/business/la-fi-montalk-20171001-story.html

Lennar Offers Millennials Unique Mortgage Opportunity that Helps Pay off Student Loan Debt

September 29, 2017 Posted by kingcade

It’s no surprise that the amount of student loan debt many Millennials have, has been holding them back from purchasing a home.  A National Association of Realtors (NAR) study showed that only 20% of Millennial respondents own a home, while the majority of them carry an average student loan balance of $41,200, which exceeds their average annual income of $38,800.

Among the Millennials surveyed who do not own a home, 83% said that their student loan debt affected their ability to purchase a home.

Eagle Home Mortgage, a mortgage lender and a subsidiary of Lennar, announced this week that it will offer a new mortgage program that will help home buyers pay off their student loan debt. Eagle Home Mortgage’s Student Loan Debt Mortgage Program offers borrowers as much as $13,000 that can be used to pay off student loan debt.

Here are some of the program’s terms and conditions:

  • Borrowers who use Eagle Home Mortgage’s Student Loan Debt Mortgage Program can direct up to 3% of the purchase price to pay their student loans, but only if they purchase a new home from Lennar.
  • Borrowers must meet credit and income requirements when using the Student Loan Debt Mortgage Program, and can qualify for loans with down payments as low as 3%.
  • The program is not intended for parents who took out loans to finance their child’s education.
  • The program’s maximum loan amount is $424,100, but Lennar said that in addition to the 3% contribution to student loan balances, buyers may also be eligible for other incentives – such as credits toward closing costs.

According to Lennar, the homebuilder will contribute up to 3% of the purchase price of a new home to be used to pay down student loans incurred while attending universities, colleges, community colleges, trade schools and other certificate-granting programs.  The Student Loan Debt Mortgage Program is being offered on a trial basis with new Lennar homes nationwide.

Click here to learn more about the program.

For borrowers who are struggling with student loan debt, relief options are available. Many student loan borrowers are unaware that they have rights and repayment options available to them, such as postponement of loan payments, reduction of payments or even a complete discharge of the debt. It is important you contact an experienced Miami bankruptcy attorney who can advise you of all your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade Garcia McMaken, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.

Related Resources:

https://www.housingwire.com/articles/41396-lennar-targets-millennials-with-mortgage-that-pays-off-student-loan-debt

Motion Denied After Creditor Attempts to Reopen Miami Bankruptcy Case and Seize Home

September 26, 2017 Posted by kingcade

Managing Shareholder, Timothy S. Kingcade and associate Kristina Gonzalez of the Miami-based bankruptcy and foreclosure defense law firm of Kingcade Garcia McMaken, P.A. achieved a recent victory for their clients after a creditor, Bank of New York Mellon (“BONY”), attempted to re-open their 2009 bankruptcy case and compel the surrender of their Miami home.

“With this ruling, I am pleased to announce that my clients will be able to keep their home.  BONY made the decision to abandon its foreclosure efforts and enter into modification negotiations with my clients. It was seven years after my clients received their bankruptcy discharge, five years after the initial foreclosure was dismissed and only after those modification efforts proved unsuccessful that they filed the second foreclosure, based on new post-bankruptcy discharge defaults,” Timothy S. Kingcade said.

BONY waited more than a year after the second foreclosure was filed to seek to reopen the bankruptcy case, and only filed the motion when the bankruptcy debtor filed an action in District Court against the creditor’s loan servicer, Specialized Loan Servicing, for violations of the Real Estate Settlement Procedures Act and the Fair Debt Collection Practices Act.

In a consumer win for bankruptcy clients, the Honorable Laurel M. Isicoff ruled that there was “no purpose” in re-opening the bankruptcy case because the debtors’ decision to surrender the property was not binding in the subsequent foreclosure action.

Attorney Timothy S. Kingcade practices exclusively in the field of bankruptcy law, handling Chapter 7 and 13 filings and foreclosure defense cases for the Southern District of Florida.  As an experienced CPA and proven bankruptcy attorney, Timothy Kingcade knows how to help clients take full advantage of their rights under the bankruptcy laws to restart, rebuild and recover.

Miami-based Kingcade Garcia McMaken, P.A. was established by managing partner and bankruptcy attorney, Timothy S. Kingcade in 1996. The firm represents clients throughout the State of Florida in Chapter 7 bankruptcy and foreclosure defense cases. The firm is committed to providing personalized service to each and every client, clearly explaining the options according to the unique circumstances of his or her life. The office environment and the service provided are centered on a culture of superior client care for the financially disenfranchised. All partners and associates at Kingcade Garcia McMaken P.A. specialize in consumer bankruptcy and foreclosure and have dedicated their practices to this area of the law. Additionally, all attorneys and staff members at the firm are bilingual speaking Spanish.

Related Resources:

http://www.flsb.uscourts.gov/Opinions/LMI/09-30656Kurzban.pdf

Boost Your Credit Score in 30 Days by Doing This

September 25, 2017 Posted by kingcade

Rebuilding your credit score can take time and there are not many shortcuts, but paying your credit card bill early can give you an added boost in just 30 days. Some consumers saw their credit score increase as much as 100 points.  Here is how it works:

Timing is everything. There are two factors that have the biggest impact on your credit score: One is paying bills on time versus paying late.  Making early payments can help with the second factor: credit utilization (i.e. – how high your balance is compared to your credit limit).

It is recommended that you keep a balance below 30% of your credit card limit and the lower the better.  Consumers with the highest credit scores typically use less than 10% of their available credit.  Here are some tips to reducing your credit utilization.

  • Set up alerts to let you know when you have reached a certain percentage of your available credit. When you get an alert, go online to make a payment.
  • Setting up charge alerts or checking your account regularly so you can pay off purchases as soon as they post.
  • Making scheduled “micropayments” every week or two to keep balances low.
  • Be cautious with retail credit cards that typically offer lower credit limits. If you have just $250 in purchases on the card and the credit limit is $500.  You have already used 50% of your credit utilization.

If you have any questions on this topic or are in financial crisis and considering filing for bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade Garcia McMaken, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.

Related Resources:

https://www.usatoday.com/story/money/personalfinance/2017/09/11/credit-move-can-bump-up-your-score-30-days/629455001/

We are pleased to announce the launch of our NEW website and new firm name, Kingcade Garcia McMaken!

September 20, 2017 Posted by kingcade

The new site URL is https://www.miamibankruptcy.com/ and features valuable consumer information and extensive resources in our main area of practice: Bankruptcy law. The updated site is interactive and mobile-friendly.  We have improved the configuration of our content, making it easier to navigate.

Special features of the new site include an updated News & Resources section with informative videos and media coverage, a special section devoted to Tips for Dealing with Debt Collectors, hundreds of new Client Testimonials and the Miami Bankruptcy Law Blog, your go-to resource for all things bankruptcy!

Have a bankruptcy question?  Visit our Miami Bankruptcy Q & A section.

The new site is customized for our Spanish speaking clients as well. Readers can find biographical information about the attorneys and staff, along with notable case results and significant verdicts the firm has obtained for its clients.

We offer a wide array of information to potential clients seeking bankruptcy information. Among other topics, we invite you to learn about:

We have included numerous calls-to-action throughout the new site and an opt-in form to sign up for our firm’s monthly e-newsletter.  We will be updating the new site continuously with informative articles, blogs and firm announcements – so please come back and visit, soon!

Since 1996 Kingcade Garcia McMaken, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover.