Bankruptcy Archives - Page 15 of 34

Rapper 50 Cent Ordered to Appear in Bankruptcy Court after Instagramming Cash

Posted on February 22, 2016by Admin

Curtis J. Jackson III better known as rapper, 50 Cent has been ordered back to bankruptcy court following a string of posts to his Instagram and Twitter accounts flaunting numerous piles of cash.

Jackson first filed for bankruptcy in July of last year. Since October, he has posted several pictures of himself with dozens of stacks of $100 bills on his Instagram account. In one post, he lined the stacks of bills up to spell out the word “broke,” seemingly to mock his bankruptcy filing.

Last Thursday, U.S. Bankruptcy Judge Ann M. Nevins told the rapper’s attorney, “I’m concerned about allegations of nondisclosure or a lack of transparency in the case. There’s a purpose of having a bankruptcy process be transparent, and part of that purpose is to inspire confidence in the process. When that process becomes very public, the need for transparency, I believe, is even higher,” said Nevins.

Jackson’s attorney later issued a statement saying that his client would show up to court and answer all of the court’s questions. The statement also said, “Mr. Jackson has been forthcoming and transparent with all creditors.”

The issue was brought up in court papers filed in January by headphone maker Sleek Audio, SunTrust Bank and 50 Cent’s ex-girlfriend Lastonia Leviston, who claim the rapper owes them a combined $29 million. They also said he has posted videos of performances that he has probably gotten paid for and has not disclosed to the court. They also pointed out that the rapper never admitted he owned property in Africa, contrary to a post on his Twitter account.

This should come as a warning to anyone who plans to hide assets from the bankruptcy court and their attorney. Bankruptcy trustees are experts at finding undisclosed money, property, vehicles, jewelry, antiques, and collectibles. If you are caught trying to hide assets, the consequences are big. Your discharge will be denied, and you will be unable to discharge the debts you listed in a subsequent bankruptcy filing. In addition, the potential penalty for bankruptcy crimes include fines and imprisonment of up to five years.

Click here to read more on this story.

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, 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, Debt Relief, Timothy Kingcade Posts

Former NFL Running Back Clinton Portis Files for Bankruptcy

Posted on December 21, 2015by Admin

Clinton Portis, former Washington Redskins and Denver Broncos running back, who made more than $40 million during his NFL career, has filed for bankruptcy. With that amount, most of us would be set for life, but Portis is flat broke. This shouldn’t come as a huge surprise, since studies have shown that a high percentage of NFL players declare bankruptcy after their game days are over. A Sports Illustrated (SI) article from 2009 indicated that after two years of retirement, a whopping 78 percent of former NFL players went bankrupt or suffered financial stress due to joblessness or divorce. Taken in total, almost 16 percent of the players studied declared bankruptcy during the first twelve years of retirement.

The federal bankruptcy filing showed Portis owes nearly $5 million to creditors, including $500,000 to his own mother. Portis, 34, also lists debts of $500,000 to Entertainment Tonight correspondent and former sideline reporter Nischelle Turner, $412,000 in “domestic support obligations” to four different women, and $175,000 in car loans, according to court records.

But Portis’ biggest debt is owed to a mortgage company. The debt is listed as a “mortgage deficiency” of $1,023,020. Portis also owes the IRS $390,000, an amount he is disputing. The MGM Grand Hotel and Casino has also won a judgment of $287,178 against Portis.

Some of the running back’s failed business ventures attributed to his bankruptcy filing, which included sinking $8 million into a casino that went belly-up, and putting $2 million into a ‘wealth management’ firm that was later termed a Ponzi scheme.

Portis rushed more than 1,200 yards during his nine-season NFL career. He finished with 9,923 rushing yards and 80 total touchdowns. Portis’ final NFL game was with the Redskins in November 2010. A hearing is scheduled for Portis’ bankruptcy case on February 4, 2016 at the U.S. Courthouse in Gainesville, FL.

Click here to read more on this story.

If you are in financial crisis and considering filing for bankruptcy, 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, 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, Debt Relief, Timothy Kingcade Posts

Three Times Bankruptcy is the Right Decision

Posted on November 17, 2015by Admin

Bankruptcy can have significant consequences to your credit score, but sometimes the hit can be worth it if it means getting out from under a mountain of debt and gaining a fresh financial start. Filing for bankruptcy should not be taken lightly, but if paying down the debt would leave you with no money to put food on the table and pay the mortgage, filing for bankruptcy makes sense.

Here are some additional circumstances when it makes sense to file for bankruptcy.

Your liabilities are more than your assets. Bankruptcy is often the best option when debtors owe so much that their liabilities far outweigh the value of their assets. In such cases, it’s often impossible to ever get caught up.

Negotiations didn’t work. Before filing for bankruptcy, it’s a good idea to try and negotiate with your creditors. There is a possibility they will settle the debt for less money than you owe if you can prove that you are struggling financially. But if your creditors are unwilling to negotiate with you, the only other option may be to file for bankruptcy protection.

A job loss, medical emergency or other financial disaster has eliminated your ability to generate monthly income. Medical bills are the number one cause of U.S. bankruptcy filings. Even having health insurance does not shield consumers from overwhelming medical debt. Bills and debt can pile up quickly without the monthly income, leaving consumers with no way out.

Related Resources:

http://www.csmonitor.com/Business/Saving-Money/2015/1116/Three-times-bankruptcy-is-the-right-decision

Bankruptcy Law, Credit, Timothy Kingcade Posts

How Avoiding Bankruptcy can Backfire

Posted on April 1, 2015by Admin

Bankruptcy is often misunderstood and accompanied by a negative stigma. However, bankruptcy can mean different things to different types of entities. For example, a business filing for bankruptcy is often seen as a healing process, allowing the company to reorganize and restructure its debts, while continuing its operations.

Oftentimes, credit counselors and debt relief services will advise against bankruptcy to steer consumers toward their services of financial assistance, postponing the inevitable. Banks and personal finance gurus manipulate consumers into believing that it is impossible to rebuild your credit after bankruptcy.

The reality is that most consumers who have filed for bankruptcy have access to more “new lines of credit” than those who continue struggling with insurmountable debt. This was proven in a study conducted by the Federal Reserve Bank of New York. The study focused on the financial lives of people who continue struggling with debt and those who opted for bankruptcy.

The study revealed that those individuals who filed for bankruptcy early in the year opened a larger number of unsecured accounts than those who chose not to file for bankruptcy. The study proves that filing for bankruptcy opens doors to new lines of credit rather than closing them.

The study also revealed that those who filed for bankruptcy saw a greater improvement in their credit scores than those who did not. Also, those who did not file for bankruptcy lost a significant amount of retirement income, compared to those who did file for bankruptcy. Under federal law, most retirement accounts are fully exempt in bankruptcy.

Click here to read more on this story.

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, Foreclosures, Timothy Kingcade Posts

Three Tips for Obtaining a Home Loan after Bankruptcy

Posted on March 24, 2015by Admin

Many lenders steer clear of individuals who have recently filed for bankruptcy, which can prove frustrating for an anxious homebuyer. However, obtaining a home loan after bankruptcy is not impossible, if the borrower is prepared to pay a higher interest rate and offer a larger down payment.

Privlo, a private lender that is funded by venture and institutional capital recently financed a mortgage for a million dollar home in San Francisco for a retired firefighter who filed for bankruptcy just one year ago.

Privlo is just one of a handful of lenders that will offer these generous type loans to borrowers who have recently filed for bankruptcy. When borrowers use a lender such as Privlo, Citadel Servicing Corp., or Angel Oak Home Loans, they must be prepared to pay a higher interest rate and offer a larger down payment. The lenders will issue “non-prime” mortgages to borrowers whose finances do not meet the government’s underwriting standards.

The Federal Housing Administration and the Veterans Administration mortgage rules allow for certain borrowers to qualify for a mortgage in as little as two years after their bankruptcy is discharged.

Below are three tips for consumers looking to purchase a home after filing for bankruptcy:

• If only one spouse has filed for bankruptcy, do not put his or her name down on the mortgage application.
• Do your research and look at multiple lenders. Some lenders will be more lenient on their requirements depending on your circumstances.
• If you are considering a non-prime lender, check consumer reviews and talk to other borrowers.

Click here to read more on borrowing after bankruptcy.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Following Obama’s Lead, Democrats Propose Bill to Relieve Student Loan Debt

Posted on March 18, 2015by Admin

President Obama addressed the growing problem of student loan debt in a speech he gave on Tuesday at Georgia Tech. He spoke about his plans to make it easier for students to eliminate some of their student loan debt through bankruptcy. Two days later, thirteen democrats in the Senate introduced a bill backing the President’s plans called the “Fairness for Struggling Students Act of 2015.” The bill will treat student loans issued by private lenders the same as other types of private unsecured debt in bankruptcy. Changes made to the federal bankruptcy code in 2005 made it nearly impossible for struggling students to discharge their student loan debt.

Private student loans make up only 10% of all student loans. The other 90% are loans issued by the federal government. If the bill is passed, it would only account for the 10%. The Consumer Financial Protection Bureau estimates that there is $165 billion that stems from private student loans and approximately $1.2 trillion in total student loan debt.

President Obama and the Senate are targeting private student loans due to their high interest rates, lack of consumer protection and inflexible repayment options. The bill is the White House’s latest attempt to address the rapid increase in student loan debt in America. Plans have also been set up for borrowers to file complaints against loan servicers.

Click here to read more on the story:

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 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 http://www.miamibankruptcy.com.

Bankruptcy Law, Credit, Foreclosures, Timothy Kingcade Posts

Homeowners in Bankruptcy Receive $50 Million Settlement from JP Morgan Chase over Robo-Signing Allegations

Posted on March 4, 2015by Admin

JP Morgan Chase Bank has agreed to pay out over $50 million to more than 25,000 homeowners who are in bankruptcy as part of a settlement with the Dept. of Justice’s U.S. Trustee Program (USTP). The settlement will include cash payments, mortgage loan credits, and loan forgiveness to the homeowners in bankruptcy.

In addition the settlement, Chase has agreed to change its internal operations and have an independent compliance reviewer conduct oversight to ensure that Chase is complying with the terms of the settlement.

Chase acknowledged as part of the settlement that it filed more than 50,000 payment change notices in bankruptcy courts nationwide that were improperly signed by persons who had not checked the notices for accuracy, a practice commonly referred to as “robo-signing.” Chase also acknowledged that it failed to file timely, accurate mortgage payment change notices and provide timely, accurate escrow statements.

More than 25,000 of the notices were signed in the names of either former bank employees or employees who were not part of the accuracy checking process, and the remaining notices were signed by third party vendors on matters that were not related to the accuracy checking process, according to the Department of Justice.

The settlement is a strong warning sign to banks and mortgage servicers that they cannot continue to ignore legal requirements, compromise the integrity of the bankruptcy system and abuse customers who are in financial distress.

Click here to read more on this story.

Bankruptcy Law, Timothy Kingcade Posts

Bankruptcy Filings Decrease 12% in 2014

Posted on January 8, 2015by Admin

Continued low interest rates and high filing costs have deterred consumers and businesses away from filing bankruptcy, according to the American Bankruptcy Institute. Bankruptcy filings in the U.S. totaled 910,090 in for calendar year 2014 (Jan. 1-Dec. 31), a 12 percent decrease from the 1,032,572 total filings during the same period a year ago. Noncommercial filings, were 875,635 during calendar year 2014, and represented an 11 percent decline from the 988,489 noncommercial filings during calendar year 2013, according to the American Bankruptcy Institute.

In December 2014, total bankruptcy filings declined 5 percent to 63,090 when compared to the 66,530 filings in December 2013. There were 60,625 total noncommercial filings in December 2014, also representing a 5 percent drop from the December 2013 noncommercial filings, which totaled 63,621.

The ABI Commission to Study the Reform of Chapter 11 released a report in December containing recommendations for modernizing chapter 11 business reorganizations. The final report recommends, “Improvements to the code to account for today’s evolving corporate climate and to encourage debtors to file before they have to liquidate.”

Click here to read more on this story.
http://www.acainternational.org/creditors-bankruptcy-filings-decrease-by-12-percent-in-2014-34672.aspx

If you are in financial crisis and considering filing for bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. 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

5 Steps to Take after Bankruptcy

Posted on December 8, 2014by Admin

Once your case is finalized and you receive your bankruptcy discharge, there are some important steps you should take to help ensure a secure financial future.

1.) Collect and preserve all paperwork from your case. You should have received a full copy of your petition from your attorney, approximately 40-50 pages of detailed financial information, including the facts about debts and assets involved in your case. You should have received a notice of bankruptcy filing directly from the court along with a copy of your discharge order entered by the bankruptcy judge. This is important to have because lenders typically like to see a copy of the bankruptcy papers when considering you for new credit- particularly mortgage lenders. It is also important to have in case anyone attempts to collect on an old debt in the future.

2.) Check / Monitor your credit report for errors. You can access your credit reports from the three major credit reporting agencies for free. Wait three to six months after you receive your bankruptcy discharge to do this. You want to make sure that all of your discharged debt is being reported to the credit bureaus, so you are not shown to have outstanding debt. This is especially important if you are applying for new credit.

3.) Start a budget. Create a basic budget to better understand your income and expenses. You may remember the Means Test from the bankruptcy paperwork that compared your income and expenses over a six-month period. The concept was to identify those who really had the means to pay their debts, but who were living an extravagant lifestyle financed on credit cards and other debt. Oftentimes, bankruptcy is caused by unexpected expenses, including medical bills caused by illness, loss of income from job loss and divorce. Once you have created a realistic budget, start planning out financial goals for the future.

4.) Start an emergency fund. Once you have established your budget, you should make sure and have a portion of your income set aside for savings. As the fund grows, you can begin putting some of it aside for retirement or a college savings account.

5.) Consider new credit. When applying for credit, start with a small credit limit and monitor your charges carefully. Charge no more than you can pay in full each month. Unplanned debt is where people get into trouble.

Bankruptcy Law, Timothy Kingcade Posts

Medical Debt Responsible for the Majority of Bankruptcy Claims in the U.S.

Posted on November 12, 2014by Admin

Consumers may be surprised to find out that it is not credit card debt that is the leading cause of bankruptcy, but medical debt. According to a recent study, Americans pay three times more in third-party collections from medical debt each year than they pay for bank and credit card debt combined. This year alone, approximately 51 million Americans will be contacted by a debt collection agency about a medical bill- that’s roughly one in five! This means more than $1 out of every $3 paid to third-party collectors is for medical debt.

The study conducted by NerdWallet Health also indicated that many of the people who are facing medical debt are being mistakenly overcharged. In fact, the study found hospital billing errors with overages of up to 26%. These billing errors were even more prominent with Medicare patients.

The study highlighted that Medicare Compliance reviews conducted by the Office of the Inspector General found that none of the hospitals they audited fully complied with Medicare billing requirements, with nearly half (49%) of the Medicare claims containing billing errors.

Considering that American households have lost $2,300 in median income, while health care expenses have increased $1,814, it would be wise for American consumers to take more initiative in understanding their health insurance packages. Out-of-pocket spending on healthcare is expected to accelerate to a 5.5% annual growth rate by 2023. That is double the growth of GDP.

While the Affordable Care Act (ACA) is a step in helping consumers avoid medical bankruptcies, by eliminating the underwriting process and subsidizing healthcare health care for those who would otherwise be uninsured- it can cause problems for individuals and families who choose the wrong plan.

According to health care experts, the average deductible for a silver plan can be upwards of $3,000 for an individual or $6,000 for a family — and that is just for in-network care. While 2015 out-of-pocket expenses are capped at $6,600 for an individual and $13,200 for a family, plans may impose separate out-of-pocket maxes — or have no max at all for out of network doctors and hospitals. Given the narrow network of approved providers within these plans, it becomes a likely scenario that an individual will at one point accidentally visit an out-of-network doctor or clinic and then be stuck with a large bill.

It is important consumers know that the ACA offers an external appeals process for health plan decisions, which provides recourse to individuals who face large medical bills after undergoing medical care that was not covered by their health insurance plan. A recent study in California even found that nearly half of such insurance denials were overturned in favor of the patient after review by an external board.

Those who have experienced illness or injury and found themselves overwhelmed with medical debt should contact an experienced Miami bankruptcy attorney. In bankruptcy, medical bills are considered general unsecured debts just like credit cards. This means that medical bills do not receive priority treatment and can easily be discharged in bankruptcy. Bankruptcy laws were created to help people resolve overwhelming debt and gain a fresh financial start. Bankruptcy attorney 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.

http://www.alllaw.com/articles/nolo/bankruptcy/can-file-bankruptcy-eliminate-medical-bills.html