Miami Bankruptcy Archives - Page 9 of 14

Bankruptcy Law, Credit, Debt Relief, Foreclosures, Timothy Kingcade Posts

Just How Often Do Debt Collectors Harass People? The Answer Might Surprise You

Posted on October 26, 2017by Admin

According to the Consumer Financial Protection Bureau (CFPB), debt collectors are required to stop calling once an official request has been made to cease communication. However, approximately 75 percent of consumers who have asked for debt collection calls to stop say that the calls kept coming.

The CFPB released a report earlier this year that surveyed over 10,800 consumers in 2014 and 2015 about their recent experiences with debt collectors. They received approximately 2,000 responses that revealed that over one in four consumers have felt threatened by the debt collector that most recently contacted them. Although debt collection agencies are not allowed to abuse or harass consumers, many collectors do not play by the rules. Approximately 40 percent of consumers surveyed said they asked a creditor or debt collector to stop contacting them, however; only one out of four people reported the collector actually stopped.

Debt collection is a $13.7 billion industry in the U.S. and the most frequent topic of complaint fielded by the CFPB. Approximately 70 million people have been contacted by a creditor attempting to collect on a debt in the past year, according to the CFPB.

The CFPB recently issued proposed rules that would strengthen consumer protections by limiting how often debt collectors can contact consumers. The rules would also require these companies to get the details right and offer an easy dispute process.

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 McMaken 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.

Bankruptcy Law, Credit, Debt Relief, Foreclosures

Life After Bankruptcy: Getting a Credit Card Again

Posted on October 25, 2017by Admin

If you have recently filed for bankruptcy, you may be wondering about the possibility of getting a new credit card. Before you apply for a credit card, it is important to make sure you have a stable job and the ability to pay your other bills such as rent and utilities.

If bad financial decisions led to your bankruptcy, you may want to avoid getting a credit card for a while. However, if unexpected events such as a divorce or a job loss led to your money problems, you may be able to handle a credit card again.

Below are three important things to consider before filling out a credit card application:

Timing is everything. Your bankruptcy must be discharged before you can get a credit card. Lenders will deny a line of credit during a bankruptcy proceeding because the account can be included in the bankruptcy. It takes approximately three months for debts to be discharged after the initial filing of a Chapter 7 bankruptcy. A Chapter 13 bankruptcy entails a three to five-year partial repayment plan and therefore takes much longer to be fully discharged.
Weigh your options, good and bad. A recent bankruptcy will drag down your credit score for some time. As a result, you will likely receive credit card offerings from subprime lenders. Keep in mind that these credit cards typically come with higher interest rates and low limits. In addition, they typically require frequent fees that are much higher than most. A better option after a bankruptcy discharge is a secured credit card. This type of card is designed for consumers with bad or no credit. They are backed by a security you are required to put down. Secured cards have low limits and high interest rates but do not typically charge annual fees.
Monitor your credit score. If you do get a secured card, do not spend more than 30 percent of the credit limit and pay off the balance every month. If you follow these two rules, your credit score should improve in time.

Click here to read more on this story.

Bankruptcy Law, Debt Relief, Timothy Kingcade Posts

Key Differences Between Chapter 7 and Chapter 13 Bankruptcy

Posted on October 20, 2017by Admin

There are two types of bankruptcy available to consumers who are struggling with insurmountable debt- Chapter 7 and Chapter 13 bankruptcy. Choosing the right one is critical to your success in eliminating your debt. Below is a comparison guide to help you best decide which bankruptcy is right for you.

Chapter 7 is a form of liquidation and it is often considered the most straightforward type of bankruptcy. Consumers are given a fresh start financially, oftentimes within three months of filing. Contrary to the bankruptcy myths surrounding Chapter 7, it does not mean you will lose your home, your car and your retirement savings. In most Chapter 7 cases, filers do not have assets above the legal threshold, which is set by state law and therefore they do not have to give up anything. If you are filing for Chapter 7 bankruptcy in Florida, you can use Florida bankruptcy exemptions to protect your property.

In addition, residents are provided unlimited exemptions for homestead, annuities, and the cash surrender value of a life insurance policy. The average Chapter 7 bankruptcy case lasts approximately three and a half months from filing to discharge. Approximately 96 percent of debtors who file under Chapter 7 receive a discharge of their debts.

When a debt is discharged, it is no longer legally owed. Unsecured debts such as credit cards and medical bills are typically dischargeable, with the exception of student loans. Secured debts such as mortgages or car loans are typically either relinquished or kept by continuing payments.

Chapter 13 restructures your debt into an affordable repayment plan. The debtor’s obligations are combined in one, regular payment calibrated to the debtor’s income.

Chapter 13 plans can last anywhere from three to five years, but most are five-year plans. Approximately 41 percent of debtors who filed under Chapter 13 received a discharge of their debts and another 10 percent first tiled under Chapter 13 and later converted to Chapter 7 and received a discharge that way.

Bankruptcy Law, Credit, Debt Relief, Student Loans, Timothy Kingcade Posts

What you Need To Know Before Cosigning a Loan

Posted on October 18, 2017by Admin

Co-signing a loan puts more than your name on the line. It is an all too common practice that gives you the opportunity to help another person, usually a loved one. But it is important to remember that when you co-sign a loan, you essentially agree to repay the loan yourself. For example, you might co-sign for a car you never drive, a house you never live in or even a student loan for someone else’s college education. Nearly 40 percent of cosigners found themselves paying some or all of a loan when the primary borrower they co-signed for was unable to make the payments, according to a survey conducted by creditcards.com.

Here are some important facts you should know before you co-sign a loan:

The effect it will have on your credit report. Once you cosign a loan, the debt appears on both of your credit reports. This means, the loan can help both the primary borrower and the co-signer build a positive credit history if payments are made on time. It can have the opposite effect if the primary borrower begins to miss payments. These late or missing payments will land on your credit report and remain there for several years. You can even end up paying late fees and have your wages garnished as a co-signer. This may also limit your ability to borrow in the future.
You will be treated the same as the primary borrower. As a cosigner, the lender will expect you to pay the loan just as the primary borrower agreed to and will come after you for the payments. Typically, lenders will target the person with the better potential to pay.
A warning about private student loans. These type loans are particularly difficult for the co-signer to escape. Unlike federal student loans, private student lenders frequently require a cosigner since student borrowers are often young and without credit history or income. Approximately 90% of borrowers who request cosigner release are rejected, according to a report from the Consumer Financial Protection Bureau (CFPB).

Here are some tips for managing your risk as a co-signer:

Know the borrower. And know them well. Know their credit history and ability to repay the loan.
Review your budget carefully. If the primary borrower defaults on the loan, can your budget handle the added strain of another monthly payment?
Get copies of everything. In addition to the loan signing documents, request to have duplicate statements sent to you as well so you can keep track of the loan and confirm the primary borrower is not falling behind on any payments.
Get out as fast as you can. Have the primary borrower agree to refinance the loan under his or her name at some point in the future, as soon as their credit history and finances are better established.

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 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

Bankruptcy Law, Credit, Debt Relief, Student Loans, Timothy Kingcade Posts

Steps to Take if You Are Facing a Medical Debt Lawsuit

Posted on October 17, 2017by Admin

If you have been sued by a debt collector or medical service provider, you know how stressful it can be. According to the National Consumer Law Center, half of the collection items on consumers’ credit reports are from medical debt. You may be tempted to ignore a medical debt lawsuit and hope it goes away. But this is one of the worst things you can do, because the debt collector will automatically win by default.

Here are some steps you can take if you are facing a medical debt lawsuit:

Confirm the debt. You cannot properly address the lawsuit if you do not understand where the debt came from. Look back at all past medical bills and find the date of service and itemized list of services rendered. Mistakes can happen, so make sure and confirm all details are accurate.
Seek advice. Consumers sometimes make the mistake of representing themselves in these type cases. Hiring an attorney to advise you is a wise move and does not have to cost a lot. Many lawyers provide a free consultation before taking you on as client. During this consultation, they will advise you on the best course of action for your particular situation.
Prepare for court. You must first prepare an answer to the lawsuit, including any defenses and countersuits. This will involve filing paperwork, mailing paperwork and showing up on the initial court date.
Understand wage garnishment. If you are found liable for the debt or you fail to answer the lawsuit, the judge will rule against you and the court may issue an order allowing the debt collector to garnish your wages. By federal law, they cannot leave you with less than 75% of your income or $217.50 per week — whichever is greater. Medical debt collectors are able to garnish your wages, but they cannot garnish Social Security benefits, disability insurance payments, unemployment insurance payments, VA benefits, pension distributions, child support payments, or public assistance benefits.
Watch out for balance billing. This happens when your hospital or medical provider bills you instead of (or in addition to) Medicaid or Medicare. This is a forbidden practice and you are not responsible for any amounts due when this happens. You can prove if you were a victim of balance billing by requesting an “Explanation of Benefits” from your insurer that states the amount they covered and the amount you still owe.
Stop lawsuits before they happen. Make sure the hospital did not make an error that resulted in a larger bill. Have your bill examined by a medical bill advocate, who is familiar with medical billing and coding and request they review the charges. You can start your search with the National Association of Healthcare Advocacy Consultants. Debt collectors, hospitals, and other medical providers do not want to take you to court. It costs them money, too and the odds of getting the full amount owed is slim. They are almost always willing to work with you before filing a lawsuit. Try to negotiate and apply for financial assistance. You can also set up zero-interest payment plans directly with your healthcare provider. Most importantly, keep the lines of communication open.
Consider bankruptcy as an option. At any point in the process, you can choose to file for bankruptcy, which can completely discharge your medical debt. There are two types of bankruptcy: Chapter 7 and Chapter 13. Chapter 7 bankruptcy is often considered the most straightforward kind of bankruptcy and allows consumers to gain a financial fresh start. This requires you sell off your assets to discharge your debts. Despite what many people believe, it does not automatically mean you will lose your home, your car or your retirement savings. If you file for Chapter 13, you do not have to sell off any assets, but the debt will not disappear. Instead, you will be put on a 3-5 year payment plan in order to settle.

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 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:

http://www.wftv.com/consumer/clark-howard/clark-your-life/before-you-respond-to-a-medical-debt-lawsuit-take-these-10-steps/616709645

Bankruptcy Law, Credit, Debt Relief, Timothy Kingcade Posts

Tips to Reduce Your Medical Debt

Posted on September 6, 2017by Admin

When dealing with an unexpected medical bill, such as a trip to the emergency room or overnight hospital stay, one approach many consumers are taking is to negotiate the debt. This trend is likely to continue. According to a recent study, 20 percent of those 65 and older struggle to pay medical bills, and 30 percent of working adults with health insurance struggle with the same. Almost half of Americans surveyed said they had trouble paying an unexpected medical bill of more than $500.

Whether your medical debt is the result of a high-deductible, out-of-network charge or procedure not covered by insurance, these tips will help reduce your medical debt.

Be proactive. For a planned operation, make sure your insurance company covers the cost and the doctors and medical professionals working on you are ALL in-network. Get a confirmation from your doctor in writing or through email correspondence. This will help you later if you learn an out-of-network provider was used.
Research. Whether you are negotiating in advance or after you receive a bill, websites such as Fair Health and Healthcare Bluebook can help you determine what insurers pay in your area.
Confirm the bill is correct. Ask your insurer if a portion of the bill will be covered or all of it. Then call the provider that sent you the bill. There may be some back and forth with this, so it is important to be patient- and persistent.
Offer to pay cash. If you are able to pay most of the bill, offer to do so. Medical advocates say they can often get a 15 to 20 percent “prompt pay” discount this way.
Let them know if you cannot pay. If you are on a fixed income or struggling financially, letting the provider know you are not able to pay will give them a reason to offer you a discount or be placed on a reasonable payment plan. If you cannot pay, tell them why you cannot pay. Some states require hospitals provide free or reduced care to consumers within certain income limits. Florida is one of these states.

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.

Related Resources:

https://www.consumerreports.org/medical-billing/six-smart-steps-for-lowering-medical-bills/

Bankruptcy Law, Timothy Kingcade Posts

The Cost of Bankruptcy and How to Pay for It

Posted on August 2, 2017by Admin

You are struggling financially and need to file for bankruptcy. A common question is how I can afford the cost of hiring an attorney when I can’t even meet my bills? Many people think they cannot afford to file for bankruptcy. However, bankruptcy laws allow you to eliminate some debts and lower payments on others. This now “freed-up” money, oftentimes hundreds of dollars a month, can be used to cover the cost of your bankruptcy attorney and filing fees.

The U.S. Federal Bankruptcy Laws were designed to give you a fresh start and a second chance when it comes to your finances.

When it comes to the cost of bankruptcy, you will face two expenses: the court filing fees to handle your case and the attorney fees for your bankruptcy lawyer who files your case and represents you in court.

There are several types of bankruptcies to choose from, but the most common consumer bankruptcies are Chapter 7- where most of your debts are forgiven, and Chapter 13- where your debt is reorganized and restructured into a payment plan.

Filing fees remain the same nationwide, but your attorney fees can vary greatly, depending on location, the complexities of your case and your attorney.

	Chapter 7	Chapter 13
Filing fees	$335	$310
Attorney fees*	$500 – $3,500	$1,500 – $6,000
Total	$835 – $3,835	$1,810 – $6,310

Here are some tips on how to pay for your bankruptcy:

Work out a payment plan with your attorney. Payment plans can vary. Some lawyers allow you to spread the payments over six months, others over three months. Most will want payment in full before filing your case. The simple reason: Chapter 7 bankruptcy eliminates most of your debts, so you would not be legally obligated to pay your attorney any outstanding fees after filing.
Raise the money. Try to earn some additional income. Consider having a garage sale, selling items on consignment, on Ebay or Craigslist (i.e. – think old electronics, hand bags, etc.) or taking on a part-time job to earn some fast cash.

Consumers who owe debt know the fear associated with going to the mailbox, answering the phone when it is an unknown number. This fear is eliminated once hiring an experienced bankruptcy attorney. Debt collectors must stop contacting you immediately and communicate only with your attorney- thanks to the protections in the Fair Debt Collection Practices Act (FDCPA).

If you have any questions on this topic or are in a 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.

Related Resources:

https://www.nerdwallet.com/blog/finance/bankruptcy-costs-pay/

Bankruptcy Law, Debt Relief, Timothy Kingcade Posts

Supreme Court Supports Bids to Collect Expired Debts in Bankruptcy

Posted on May 18, 2017by Admin

Voting 5-3, the U.S. Supreme Court has ruled that debt collectors can use bankruptcy proceedings as a means to collect old debts, where the statute of limitations has expired. The court ruled that this was not a violation of the U.S. Fair Debt Collection Practices Act.

Consumer advocates accused debt collectors of violating the law by filing tens of thousands of outdated claims with bankruptcy courts in hopes that some debtors would not object.

Justice Sonia Sotomayor filed a dissenting opinion in which Justices Ruth Bader Ginsburg and Elena Kagan joined. “Professional debt collectors have built a business out of buying stale debt, filing claims in bankruptcy proceedings to collect it, and hoping that no one notices that the debt is too old to be enforced by the courts. Debt collectors do not file these claims in good faith; they file them hoping and expecting that the bankruptcy system will fail,” Sotomayor wrote. This practice is both “unfair” and “unconscionable,” she added.

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, Debt Relief, Student Loans, Timothy Kingcade Posts

New Legislation If Passed Would Allow Student Loan Debt to be Discharged in Bankruptcy

Posted on May 15, 2017by Admin

Bipartisan legislation was introduced last week by Rep. John Delaney, D-Md., that would allow student loan debt to be discharged in bankruptcy.

The Discharge Student Loans in Bankruptcy Act (H.R. 2366) reforms federal bankruptcy rules to establish parity between student loan debt and other forms of debt. Rep. John Katko, R-New York, is the lead republican co-sponsor of the bill.

Currently, student loan debt is non-dischargeable in bankruptcy. The only exception is if a filer can prove undue hardship, which is extremely difficult in most circumstances. Last year, total student loan debt hit a record high of $1.3 trillion dollars.

Click here to read more on this 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 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

Tips for Seniors Struggling with Credit Card Debt

Posted on May 2, 2017by Admin

If you are a senior struggling with credit card debt, you are not alone. For the first time, middle-class households headed by someone 50-plus years of age carried more credit card debt on average than households of people younger than 50, according to a recent study by Demos National Survey on Credit Card Debt. Half of the respondents said they carried medical debt on their credit cards and a third said they used credit cards to pay for daily expenses.

Seniors carry credit card debt for a variety of reasons. Some are still paying off educational loans or their children’s educational loans. Many seniors are carrying credit card debt into retirement. The debt may have been management when they were working, but has become a burden when their income level drops. Oftentimes, medical debt compounds the problem, as health insurance only covers a portion of healthcare costs.

Here are some tips for seniors to help take control and manage their credit card debt:

Find a nonprofit credit counselor. The sooner you seek help, the better.
Contact your credit card company to see if you can work out a payment plan.
Adjust your lifestyle. Cut your expenses (i.e. – expensive cell phone plans, cable and Internet packages);
Get help with budgeting. Paying off your debts only works if your spending is under control. Know where your money is going every month. Making a few small changes to your monthly expenses can add up and give you more money to pay down debt.
For medical debt, talk with your doctor’s office to see what your options are. Avoid medical credit cards they may offer you; these come with very high interest rates, regardless of your credit score.
Consider a reverse mortgage. There are many ways you can use your home to get through difficult financial times, but there are risks associated with taking this route. Make sure this will solve your financial problem without adding to it.
Consider bankruptcy. If you are struggling with insurmountable credit card or medical debt, bankruptcy may be right for you. This option will allow you to reorganize your financial situation and discharge your debts if you cannot pay them. There are several different types of bankruptcy, so you want to carefully weigh your options. Many bankruptcy attorneys offer free consultations and will advise you on the best course of action.

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 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.