Bankruptcy Law Archives - Page 113 of 128

Bankruptcy Law, Credit, Timothy Kingcade Posts

Doctors Driven to Bankruptcy

Posted on May 2, 2013by Admin

This reads as an unlikely headline, but recently a number of doctors have been struggling to keep their medical practices financially sound. According to the American Bankruptcy Institute’s Health Care Committee, Chapter 11 bankruptcy filings by physician practices have recently spiked. In recent weeks, there were at least eight filings, which is unusual for the industry.

In many cases it is not major medical malpractice lawsuits leading doctors to file bankruptcy, it is the struggling economy that has been blamed for this growing trend. Patients are cutting back on doctor visits and elective procedures due to their own financial hardships. Doctors attribute their financial struggles to shrinking insurance reimbursements, changing regulations and the rising cots of malpractice insurance, drugs and other business necessities.

Click here to read more on doctors being driven to bankruptcy.

If you are in a financial crisis and are considering filing 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, 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 website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Casey Anthony’s Bankruptcy Hearing Set for May 8th

Posted on May 1, 2013by Admin

A hearing date has been set in Casey Anthony’s Chapter 7 bankruptcy case for May 8, 2013. Zenaida Gonzalez and Roy Kronk filed defamation lawsuits against the infamous former murder defendant and continue their fight to salvage their lawsuits. Both lawsuits were put in jeopardy after Anthony filed for Chapter 7 bankruptcy protection in January. Gonzalez sued Anthony after she claimed that a similarly named nanny kidnapped her daughter. Although the nanny did not exist, Gonzalez was linked to the case in the media and claimed this ruined her reputation. Kronk was the man who found Caylee’s body in the woods near Anthony’s home. He filed a lawsuit against Anthony after he claimed her lawyers made statements wrongly implicating him in Caylee’s death.

Anthony has filed for Chapter 7 bankruptcy protection, which would discharge her of all debts and any other claims against her. Kronk and Gonzalez have filed motions with Anthony’s bankruptcy judge requesting their suits be exempt from discharge. Anthony’s bankruptcy lawyers filed paperwork stating that she has completed a “personal financial management course,” required of her bankruptcy. In her filings, Anthony listed more than $792,000 in debt and less than $1,100 in assets. Her largest creditor is to her criminal attorney Jose Baez, whom she owes $500,000.

Click here to read more about Casey Anthony’s Bankruptcy Hearing set for May 8th.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Credit Card Delinquencies Reach New Lows

Posted on April 30, 2013by Admin

According to Fitch Credit Ratings, preliminary results indicate that credit card ABS data improved across the board through the end of March. The report also indicated that 60+ day delinquencies are expected to hit an all-time low for general-purpose card issuers. Additionally, retail delinquencies are expected to reach 7-year lows. The data supports the ongoing positive performance and stability for U.S. credit card ABS.

Fitch’s Prime 60+ Day Delinquency Index is projected to decline to an all-time low. It fell below 1.60% during the March 2013 reporting period. The report also suggests that monthly payment rates are likely to improve. Chargeoffs are expected to remain flat for the Prime Credit Card Index. Fitch’s Gross Yield Index is expected to rise to over 19% for the first time since October 2011. Retail 60+ Day Delinquency Index is expected to decline to its lowest level since January 2006.

Click here to read more about Fitch’s Credit Card Delinquencies reaching new lows.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Chicago Bankruptcy Scam to Free Impounded Vehicles

Posted on April 29, 2013by Admin

A Chicago man was arrested last week for soliciting payoffs from drivers whose vehicles had been impounded by the city. Daniel Rankins was allegedly approaching people whose vehicle had been impounded by the city and offering to help them get their vehicle back for a fraction of the price. Rankins would file phony bankruptcy petitions, which placed an automatic hold on fines and released the vehicle. A spike in the number of motorists claiming bankruptcy to circumvent the process raised questions among city officials. Soon after, the FBI began investigating the scam.

Since May of last year, more than 1,000 bankruptcy cases had been filed with the Revenue Department and the city’s auto pounds as the only listed creditors. An individual at the Revenue Department Office approached an undercover officer posing as a motorist, whose car had been impounded. The individual put him in touch with Rankins, who provided him with bankruptcy paperwork that was already completed except for personal and vehicle information. After the paperwork was complete, Rankins drove the officer to federal bankruptcy court to file. The officer later paid Rankins $600 for his services. Rankins told authorities he learned of the scam when his own car was impounded a few months prior. After Rankins recovered his own vehicle, he began working with the other two individuals to recruit motorists with impounded cars.

Click here to read more on the Chicago Bankruptcy Scam to Free Impounded Vehicles.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Six Ways to Control Your Spending Habits

Posted on April 25, 2013by Admin

Debt is often thought of in a negative light. However, when it is used wisely, it can provide you with an education, a home, a car and a better life. South Floridians have struggled with some of the most substantial debt in the country throughout the Recession. According to Experian, South Florida’s average credit card debt is the nation’s highest, approximately $4,555 per person.

Below are six ways to better control your spending habits:

1. Determine what you owe and the interest rate each creditor is charging you. After you get a clear picture of what you owe, you should pay off the largest debt or the highest interest rate debts first.
2. Avoid spending money on things you really want. Frequently monitor where your money is going. There is a free website called DoughHound.com you can use to help control your spending.
3. Set a debt-reduction goal. When you are able to reduce your debt, reward yourself. After, you can set a new, higher goal for yourself with a bigger reward.
4. Don’t tempt yourself. Try to avoid leaving an excess of money in your checking account. Instead, you should use your extra cash to pay down your debt.
5. Get support from your family and friends. It is best to look for support from others who share your debt reduction goals. Keep a distance from your friends and family who are big spenders.
6. Beware of debt settlement organizations that offer a lot of promises. Typically, they charge you a lot and deliver less than they promise. Also, stay away from debt consolidation loans.

Click here to read more about the 6 best ways to control your spending habits and reduce your debt.

Bankruptcy Law, Credit, Timothy Kingcade Posts

House Passes Bill to Protect Kids from Identity Theft

Posted on April 24, 2013by Admin

Last week, the house passed a bill 116-0 that will require the nation’s three consumer-reporting agencies to allow Florida parents to open and freeze their child’s credit record. Doing so would prevent scammers from using children’s personal information or opening fraudulent accounts on their behalf. Such scams are a growing problem in Florida. Recently, a Broward County teacher was convicted of stealing children’s information from their student IDs. The bill, HB493, will protect the identity of every child in the State of Florida. Florida, particularly South Florida, is number one in the nation when it comes to identity theft.

In 2011, nearly 1,800 children’s identities were stolen in Broward, Miami-Dade and Palm Beach counties alone. Since then, the Federal Trade Commission has found that cases of identity theft have more than doubled in South Florida. There have even been cases where infants’ identities have been stolen and their families did not realize it until many years later. Scammers would steal a child’s identity and begin applying for credit cards on their behalf, according to IDChildNow.com. Sen. Nancy Detert has introduced a similar bill to the Senate. If the bill is passed it will be the second bill of this nature in the nation. Maryland adopted a similar law last year. Experts say that the current policies make it extremely easy for scammers to steal children’s identities.

Click here to read more on the House Bill to Protect Kids from Identity Theft.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Top 10 Misconceptions About Bankruptcy

Posted on April 22, 2013by Admin

There are many laws within the Bankruptcy Code that are often misunderstood. Below are the top ten misconceptions about bankruptcy.

1. You must be completely broke to file for bankruptcy. Filing for bankruptcy protection does not necessarily mean that you are broke; it can mean that you cannot pay your bills as they come due. However, many debtors wait until they are flat broke to file for bankruptcy protection. This delay limits your options of reorganizing your finances and being able to keep part or all of your property. It is better to file before you are “flat broke.”
2. If you file for bankruptcy protection, you will not qualify for credit in the future. Your bankruptcy will appear on your credit report for up to 10 years. Chances are, if you have filed for bankruptcy, your credit score has already suffered. Therefore, filing for bankruptcy may be the best way to raise your credit score, again. Once you file for Chapter 7 bankruptcy, you will receive a discharge on most debts. Once your debts are discharged, you can start working to raise your credit score, again.
3. If you file for bankruptcy, you cannot buy a house. Mortgage lenders may be hesitant to loan you money to buy a house within the first couple of years after filing. However, if you work to raise your credit score and practice good bill paying habits, you are likely to be approved. Your lender may charge you higher interest rates and require personal guarantees. If you can fund a sufficient down payment, you are likely to be approved for a mortgage loan.
4. If you file for bankruptcy, you will lose your house. Whether or not you are able to keep your home will be determined by the amount of equity you have in your home. When you file for bankruptcy, you are allowed to keep some property, called exempt property. Your home will be exempt from liquidation if it does not have any non-exempt equity.
5. Taxes cannot be discharged in bankruptcy. Some taxes are dischargeable in bankruptcy, such as personal income taxes that are more than three years old.
6. Student loans are nondischargeable. In most bankruptcy cases, student loans cannot be discharged. However, if the debtor can prove certain hardship, student loans can be discharged.
7. If you file for bankruptcy, you can leave out certain creditors. The Bankruptcy Code serves the purpose to treat similarly situated creditors equally. If you do not list a creditor in bankruptcy and decide to pay the creditor, you are technically prejudicing the other creditors. The court considers this fraud and you are at risk of losing the discharge and possibly facing jail time and fines.
8. Family members who loaned the debtor money will lose out. You must list all creditors in the bankruptcy; however, you can repay certain creditors after bankruptcy is filed. This practice is referred to as a reaffirmation agreement. All reaffirmations are subject to court approval. In most cases, debtors agree to pay back a debt they have no legal obligation to pay in order to maintain an existing relationship.
9. Signing an agreement stating that a debt cannot be discharged in bankruptcy makes the debt nondischargeable. These bankruptcy clauses are unenforceable and are used as a scare tactic.
10. You may lose your job if you file for bankruptcy. If an employee can prove they were fired solely because he or she filed for bankruptcy, the employee can sue the employer.

Click here to read more about the top ten misconceptions about bankruptcy.
http://www.nysscpa.org/cpajournal/2005/505/perspectives/p18.htm

Bankruptcy Law, Credit, Timothy Kingcade Posts

Beware the Dangers of Payday Loans

Posted on April 17, 2013by Admin

Financial mistakes can have lasting effects that may take you years to recover from. Overspending on shopping trips, overusing credit cards and taking out payday loans are a few of the most common mistakes Americans make with their finances.

What is a Payday Loan?

Payday loans are also known as cash advances or paycheck advances. They are usually short-term loans that you must repay by the time you get your next paycheck. The lender charges you a fee, plus interest on the amount you borrow. Lenders do not typically run a full credit check for payday loans; another reason why they are becoming popular. Since the lender is taking a very large risk by loaning you the money, payday loans tend to have extremely high interest rates.

Disadvantages of Payday Loans

Some states do not allow payday loans at all. Of those that do, these states limit how high the annual percentage rate (APR) can be. Other states do not set restrictions on payday loan APRs. In these states, the APR can be anywhere from 300% to 900%. Although it is a very easy and fast way to get cash, you should be very careful when taking out a payday loan because you might end up paying more in interest than you originally borrowed.

When you take out a payday loan, you write a check for the amount borrowed plus a fee that will be cashed by the lender on your next payday. If you cannot repay it on that day, it rolls over to the following payday. Many borrowers get into trouble this way. If you continue to let the loan rollover, your debt substantially grows due to your inflated APR.

Alternatives to Payday Loans

Credit union loans – your local credit union may offer small, short-term loans to members.

Small bank loans – many small banks offer alternatives to those looking into payday loans.

Advances from employers – it may serve your best interest to ask for an advance from your employer instead of getting a loan that will accrue interest.

Borrow from family or friends – although it may put a strain on your relationship, this can be your best option because they will likely be lenient on the repayment date.

Click here to read more about the dangers of payday loans.

Bankruptcy Law, Credit, Foreclosures, Timothy Kingcade Posts

Credit Card Delinquencies Reach 18-Year Low

Posted on April 16, 2013by Admin

Credit card users are using some of the best bill paying practices in nearly two decades. In the fourth quarter of 2012, delinquencies on bank-issued credit cards sank to 2.47%. This is the lowest level of delinquencies since 1994, according to an American Bankers Association report. It was significantly down from the previous quarter, which was 2.75%. The record high was set in 2009 at 5.01%. According to ABA Chief Economist James Chessen, credit card delinquencies fell throughout most of 2012.

In addition to consumers being more careful about paying their bills on time, banks are also being more conservative when approving people for credit cards. Banks are taking steps to ensure the consumer has the capacity to repay their debts. Delinquencies in three real estate related categories also fell in the fourth quarter: home equity loans, home equity lines of credit and property improvement loans. These declines reflect another sign of the housing market recovery. Auto loan delinquencies arranged through third parties, such as car dealers, also dropped in the fourth quarter to 1.85%, down from 2.08% in the previous quarter. However, credit card delinquencies on mobile homes and boats both increased at the end of 2012. Student loan 90-day delinquencies also increased during the fourth quarter of 2012 to 11.7%, up from 8.69% at the end of the first quarter of the year.

Click here to read more about the 18-year low on credit card delinquencies.

Bankruptcy Law, Timothy Kingcade Posts

Job Growth Significantly Slows During March

Posted on April 12, 2013by Admin

The job market has remained steady through most of 2012 and the beginning of 2013. However, during the month of March employers added fewer jobs than any other month in almost a year. The numbers are discouraging because job growth is one of the greatest indicators of economic recovery. In February, 268,000 jobs were added to the market and in March, only 88,000 jobs were created. The unemployment rate dropped to a four-year low of 7.6% during March. Experts say the decline in unemployment was prompted by nearly a half-million workers leaving the job market and not by growth. This decline was the result of layoffs, retirements and other reasons.

The decline in job growth is not a new trend; it’s also referred to as a “springtime swoon.” It is not uncommon for hiring to start strong early in the year and wilt away as the weather warms. Some economists believe that March’s report may represent a payback for the significant growths during January and February. Others attributed the decline to budget turmoil in Washington or unusually cold weather in parts of the country. No matter the reason, analysts cautioned against reading too much into the rates from only one month. During March, employers added 20,000 temporary workers and 18,000 construction workers, which reflects the recovery of the real estate market. Sectors such as transportation lost jobs during the month of March.

Click here to read more about the decline in job growth during March.