1.) Do not pay your bills automatically from your checking account. Automatic bill pay can overdraft your account if you are not monitoring it carefully and can hurt your efforts of trying to rebuild your credit.
2.) Never use payday loans. The fees and interest rates are high and it is easy to get into trouble using them.
3.) Do not try to erase bankruptcy from your credit report, it is not possible and will only make matters worse.
4.) Do not enlist credit counseling agencies to clean up bad credit, no matter how legitimate they seem. Too often these companies are more likely to take advantage of the situation than help you.
5.) Do not immediately go out for a $150 dinner or buy a $200 pair of jeans. Curb your spending habits to avoid repeating the same mistakes twice.
If you have any questions on this topic or are in need of a financial fresh start, please contact our experienced team of bankruptcy attorneys at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
Bankruptcy Law
If I File For Bankruptcy, Will I Lose My Tax Refund?
In cases where my clients are expecting a tax refund, many wonder if they will have to declare this as an asset of the bankruptcy estate. In many cases it is. But there are methods of preserving your tax reimbursement if you are anticipating one.
1.) The money that the government owes you for a tax refund may be claimed as exempt property.
2.) You can apply your reimbursement toward next year’s taxes. However, should you make this decision it is irrevocable, you cannot change your mind.
3.) Filing jointly if you are married and only one of you files for bankruptcy, the other may still get their share of the tax return, because that spouse does not have to suffer the consequences of bankruptcy.
4.) You can always keep the refund from becoming property connected with the bankruptcy estate by waiting to file until after you receive your refund. After receiving your tax refund, you will likely be able to spend this money on your attorney’s fees or necessities. These are both legitimate purchases to devote your tax refund to.
5.) If you use your tax refund to pay someone back, like any kind of creditor, including family and friends that you may have borrowed money from, then the bankruptcy trustee will ask that you pay the amount received from the tax return. However, if you do not use the money to repay someone and spend it on something like getting your roof fixed or repairing your car, they will usually not go after you to get the tax return money.
If you have any questions on this topic or are in need of a financial fresh start, please contact our experienced team of bankruptcy and foreclosure defense attorneys at (305) 285-9100. The day you hire our firm, we will contact your creditors to stop the harassment now. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
– Timothy Kingcade
Can my employer fire me for filing bankruptcy?
No. The law prohibits government units and private employers from discriminating against you because you filed a bankruptcy petition or because you failed to pay a dischargeable debt.
Bankruptcy Filing & Student Loan Exemption
In my practice I have seen an increase in bankruptcy filings among college and graduate school educated individuals. As a result of a 2005 law no longer discharging private student loans, many of my clients have been asking if there is a loophole in the law. When it comes to discharging student loans, unless you can show that your loan payment is an “undue hardship” on you, your family, and your dependents, your student loans are ineligible for cancellation in bankruptcy. 
“Undue hardship” is difficult to prove unless you are physically unable to work and there is no chance of you making money. To discharge your student loans under this exemption, you must file a separate motion with the bankruptcy court and present your situation before a judge. People who are unable to pay their debts may file for bankruptcy under Chapter 7 of the federal bankruptcy code. This allows the court to “erase” your bills and have a fresh start financially.
If you have any questions on the topic of student loans as they relate to your bankruptcy filing please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
– Timothy Kingcade
Bankruptcy Filing & Student Loan Exemption
In my practice I have seen an increase in bankruptcy filings among college and graduate school educated individuals. As a result of a 2005 law no longer discharging private student loans, many of my clients have been asking if there is a loophole in the law. When it comes to discharging student loans, unless you can show that your loan payment is an “undue hardship” on you, your family, and your dependents, your student loans are ineligible for cancellation in bankruptcy.
“Undue hardship” is difficult to prove unless you are physically unable to work and there is no chance of you making money. To discharge your student loans under this exemption, you must file a separate motion with the bankruptcy court and present your situation before a judge. People who are unable to pay their debts may file for bankruptcy under Chapter 7 of the federal bankruptcy code. This allows the court to “erase” your bills and have a fresh start financially.
If you have any questions on the topic of student loans as they relate to your bankruptcy filing please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
– Timothy Kingcade
What happens to my car loan after I file for bankruptcy?
In Chapter 7 bankruptcy cases, cars are hard to redeem since the law now requires paying the lender the retail replacement value of the car. That value is generally higher than the private sale value that was used under the prior law. It remains possible for a debtor to surrender a car when keeping up the payments is impossible. Under Chapter 13, debtors must repay the entire car loan if they bought a car within 910 days of the bankruptcy filing. For example, if you had an outstanding balance of $6,000 on a car loan whose blue book value was only $4,000, you would be required to pay the entire $6,000 balance if the car was purchased less than 30 months of filing.
The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 creates a formal way to assume a personal property lease, such as a car lease, in a Chapter 7 case. The lease will be deemed rejected if the case trustee fails to assume it within 60 days after filing. At that point, the debtor may notify the creditor that the debtor wishes to assume the lease. The creditor may, at its option, notify the debtor that it is willing to have the lease assumed and may condition the assumption on cure of any outstanding default. The debtor then has 30 days after the creditor’s notice to send a further notice that the lease is assumed.
If you have any questions on the topic of car loans as they relate to your bankruptcy filing please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
Timothy Kingcade
Bankruptcy Filing Advice
Bankruptcy filing is at an all time high and many people are having a tough time understanding some of the recent bankruptcy rules and how they can affect their filing. It is important that you retain a lawyer with significant experience in bankruptcy law who can answer your questions and clearly explain to you what your options are. Before making a decision to file bankruptcy, you should know that not all of your debts will be discharged by the court. Tax debts, college/graduate school loans and child support are some of the non-dischargeable debts.
While bankruptcy leaves a poor mark on your credit report for several years, it should not discourage you from filing. Usually, you can obtain new credit if you show proof that your financial situation has improved and you have been consistently employed with the same company for at least two years.
A common bankruptcy advice tip when it comes to credit repair is to check your credit report for errors. You are entitled to receive one free credit report per year from Equifax, Experian or Transunion. You can write, call toll-free or visit the Web sites of these companies to order your free credit report.
Once you have your credit report, review the information carefully. Check your personal information, account and credit payment information to make sure everything is accurate. If there are any discrepancies, inform the credit company in writing requesting the information be corrected, and make copies of these documents to back up your claims.
There are reputable financial institutions that are willing to help you restore your credit. Shop around, compare your options and be patient in your search. You can get information on the general terms of bankruptcy and credit cards by simply inquiring with the different companies. Note that too many credit applications and credit checks will lower your credit score significantly.
Filing for bankruptcy is emotionally and mentally stressful. A good bankruptcy attorney will help you navigate through the legal process, and provide you with immediate debt relief and valuable information, along with services and advice to help get you back on your feet financially. At Kingcade & Garcia, P.A. our attorneys have devoted their careers to helping clients with their problems and take extreme pride in the results achieved for them through Chapter 7 bankruptcy and foreclosure defense cases. The day you hire our firm, we will contact your creditors to stop the harassment now. We offer free office consultations and will listen to you, evaluate your individual situation, and take immediate action to help you get the relief you need.
Please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
timothy kingcade
A Bankruptcy Fresh Start Post Holidays: How holiday spending can impact your filing
A Bankruptcy Fresh Start Post Holidays: How holiday spending can impact your filing
It’s important to remember this holiday season, that spending behavior can affect your ability to discharge certain bankruptcy debts- particularly when purchases are put on credit cards. Credit card issuers who believe that some part of the debt owed to them was incurred by the purchaser without the intent to repay can come back and sue the debtor in their bankruptcy proceeding. Under Bankruptcy Code Section 523 the creditor can argue the debt was incurred by fraud and should survive the bankruptcy case.
As part of a New Year’s resolution, start by putting your credit cards away this holiday season and move to a “cash only” system. Get a fresh bankruptcy start by filing this New Year. We will stop creditor harassment and help you get back on your feet.
If you have any questions about this topic, please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. Web site at www.miamibankruptcy.info/.
– Timothy Kingcade
New Survey Reveals Economic Factors Behind Bankruptcy
CHICAGO, IL, (AttorneyNewsWire.com) — December 24, 2009 — As America closes out 2009 with roughly 1.45 million bankruptcy filings, a new survey reveals the possible economic factors behind the surge.
The statistics are based on a December 2009 survey of 1,000 people contacting Total Attorneys to connect with a bankruptcy lawyer.
The Economic Factors Survey
When asked which economic factor (job loss/wage reduction, the credit crunch, increased mortgage payments, gas prices or food prices) forced them to consider bankruptcy, 57% of respondents cited job loss/wage reduction.
“Widespread, long-term job loss means many people don’t have the income to cover basic living costs,” says Kevin Chern, bankruptcy attorney and president of Total Attorneys. “Bankruptcy may be a way for people to protect their homes and regain control over their finances.”
The Bankruptcy Relation Survey
In an indication of how much the bankruptcy idea has spread, 10% of people polled said they know three or more people who recently considered bankruptcy.
“Bankruptcy isn’t something that happens to someone else,” says Chern. “It’s not a sign of failure or irresponsibility. For many people it’s a way to protect their family.”
Posted by timothy kingcade
Five Post-Bankruptcy Myths
The decision to file for bankruptcy is typically a last resort for consumers who find themselves plagued with debt. While bankruptcy may offer a fresh start and relief from bills incurred from divorce, unemployment and uninsured medical costs, many consumers worry about how the decision will ultimately impact their financial future.
“Most people who contemplate bankruptcy fear they will never again own a credit card or be able to buy a home or get a new car or even take a vacation,” says Paula Langguth Ryan, author of “Bouncing Back from Bankruptcy.” “There are a lot of misconceptions about obtaining credit after bankruptcy.”
If you have filed for bankruptcy and are wondering whether you should apply for credit, and how to go about rebuilding your credit score, you aren’t alone. A report from the Automated Access to Court Electronic Records released in June found that consumer and commercial bankruptcy filings are on pace to reach 1.5 million in 2009.
Ryan, who once filed for bankruptcy, now counsels others on how to achieve financial freedom and avoid feeling overextended. She says some of the most common misconceptions about obtaining credit after bankruptcy include:
1. Filing for bankruptcy will permanently ruin my credit.
Many people actually obtain a higher credit score in the years following a bankruptcy if they successfully change their spending habits.
As you work to re-establish yourself as a good credit risk, Ryan recommends making sure your credit reports are accurate. To get a free copy of your credit report, visit annualcreditreport.com. The three major credit bureaus are Equifax, Experian and TransUnion.
“Under a new federal law, consumers are entitled to receive free copies of their credit reports from all credit bureaus every 12 months,” Ryan says. “All three reports can be ordered via telephone by calling (877) 322-8228. You also don’t need to order all three reports at once, by staggering your requests, you can order one from each credit reporting agency every four months.”
– Posted By Timothy Kingcade