Category Archives: Chapter 7

Will Filing Bankruptcy Stop ALL Lawsuits?

Personal Bankruptcy – Brevard County

If you have lawsuits filed against you, it may be time to consider filing a personal bankruptcy case. A personal bankruptcy case can be an effective way to eliminate certain collection lawsuits. However, it is important to understand that not all types of litigation are halted or eliminated in a Chapter 7 or Chapter 13.

Will Bankruptcy Stop My Lawsuits | Melbourne, FL

Below are a few examples of suits that are not stopped by your filing:

Family Law Matters

When you are involved in a case that involves a determination of child support, spousal support, or the establishment of paternity, your bankruptcy filing usually will not stop the family law court from proceeding with its case.

Criminal Proceedings

Filing for bankruptcy protection cannot halt a criminal proceeding. However, if the charges against you include a debt that is related to your criminal charges, that portion of the case against you may be halted by the automatic stay.

Tax Proceedings

The law provides that the Internal Revenue Service (IRS) has the ability to continue pursuing certain audits, issuing tax deficiency notices, demanding tax returns, or issuing tax assessments against a debtor in bankruptcy. The automatic stay will prevent the IRS from issuing tax liens, repossessing property, or seizing your income will your bankruptcy case is pending.

Pension Loans

A debtor is allowed to have funds withheld from his or her wages to repay a loan from certain types of pensions.

If you are planning to file a bankruptcy case and you have lawsuits or forms of legal proceedings filed or pending against you, contact us to discuss what will or will not be affected by the automatic stay. We can review all of the cases pending against you and make sure you understand what your bankruptcy filing will mean in each matter. We can also confer with the other parties involved if necessary so everyone is on the same page regarding your case.

Speak with an experienced Attorney at Faro & Crowder, PA 321-784-8158

The above are just a few examples of the types of legal proceedings that are not halted by the automatic stay. If you are interested in learning more about how a bankruptcy filing will impact your debt or the lawsuits pending against you, contact Faro Crowder, PA to schedule an appointment.  Our office is located in Melbourne, Florida.  We serve all of Brevard County and the Space Coast with Bankruptcy and Debt Relief services.


    Services Areas

    We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

    Get In Touch with Faro & Crowder, PA

    Faro & Crowder, PA
    Phone: 321-784-8158
    Address:
    1801 N. Sarno Road, Suite 01
    Melbourne, FL 32935
    Email

    The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

     

    Required Filings in a Chapter 7 Bankruptcy

    Once you have decided to file for Chapter 7 bankruptcy protection, there are several different pleadings that must be prepared and filed with the court. The law requires all bankruptcy debtors to make full financial disclosures. In other words, you are required to list all of your property, debts, income and expenses.

    Required filings in a Chapter 7 Bankruptcy | Brevard County

    One of your bankruptcy attorneys will assist you with creating all of the necessary paperwork, but it is important that you provide us with all of your financial records.

    Below is a summary of the initial pleadings that we will file in your Chapter 7 case:

    The bankruptcy petition
    A list of everything you own
    A list of all you owe (debts)
    A list of everyone you owe money to (called the “creditor matrix”)
    A list of your current income and expenses
    A statement of your financial affairs
    A certificate from your lawyer demonstrating that (i) you were given a notice explaining the different bankruptcy chapters, (ii) a notice describing the services provided by the credit counseling agencies, and (ii) a statement clarifying that any debtor who intentionally or fraudulently conceals property or makes a false statement under oath is subject to fine, imprisonment, or both.

    The above initial filings are commonly referred to together as your “Schedules and Statement of Financial Affairs.” Once all of your pleadings have been prepared, you will be asked to review them closely and confirm that they are accurate. The trustee will likely ask if you have reviewed all of your pleadings and whether they are true and correct at your meeting of creditors. If you should discover an error, it is imperative that you let your lawyer know immediately so it can be corrected. You file your bankruptcy pleadings with the court under the penalty of perjury, so you want to make sure it is done correctly.

    If you are interested in learning more about how a bankruptcy filing will impact your debt, contact Faro Crowder, PA to schedule an appointment.

    Speak with an experienced Foreclosure Defense and Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158


      Services Areas

      We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

      Get In Touch with Faro & Crowder, PA

      Faro & Crowder, PA
      Phone: 321-784-8158
      Address:
      1801 N. Sarno Road, Suite 01
      Melbourne, FL 32935
      Email

      The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

      Too Much Debt

      Many Americans simply have more debt than they can afford to repay. A chapter 7, or liquidation bankruptcy is an option to clean up your debt.

      Despite what you hear, it is rarely due to irresponsibility.  No one sets out to accumulate $7,000 in credit card debt, but a temporary job loss, sudden illness or other financial emergency can quickly drain savings and force people to charge normal living expenses.

      When coupled with student loans, signature loans, payday loans and other unsecured loans, consumer debt in America tops $3 trillion. Since most people can expect negligible wage growth and have little savings, credit card debt can easily push a family over its own fiscal cliff.

      Even if the debt was not your fault, the bills are still due and something must be done. If paying the bills is not an option, Chapter 7 Bankruptcy may be the answer.

      Chapter 7 Bankruptcy

      In just a few short months, Chapter 7 Bankruptcy can wipe out most unsecured debts including credit cards and medical bills. All that time, your creditors may not take any action against you unless they get special permission from the Bankruptcy Court. After the bankruptcy is over, you still get to keep your house, retirement account, and other valuable exempt assets.

      Contact us to learn more about  debt-elimination programs.

      Speak with an experienced Chapter 7 Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158


        Services Areas

        We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

        Get In Touch with Faro & Crowder, PA

        Faro & Crowder, PA
        Phone: 321-784-8158
        Address:
        1801 N. Sarno Road, Suite 01
        Melbourne, FL 32935
        Email

        The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

        Is It Time for You to File Bankruptcy?

        When you file bankruptcy it can help you obtain a fresh financial start. However, it can be difficult to know when the best time to file your case is. There is no magic formula for pin-pointing the best time to file a Chapter 7 or Chapter 13, but there are many warning signs that a bankruptcy filing should be considered.

         

        A few examples of warning signs that a bankruptcy filing should be considered include:

        • Your mortgage lender is threatening foreclosure of your home
        • Your car, boat, ATV or other assets are being repossessed by creditors
        • Collection lawsuits are pending against you
        • You do not have insurance and your medical bills are overwhelming you
        • Your wages and/or your bank account is being garnished
        • You are being harassed by debt collectors
        • You are delinquent on your taxes
        • Most of your debt is unsecured (such as credit cards)
        • You do not have an emergency fund or any savings
        • Excluding your secured loans (mortgage, vehicle loan, etc), you cannot pay your total debt in full within five years

        It May Be Difficult to Figure out the Best Timing to File Bankruptcy

        Deciding whether to file a personal bankruptcy case is difficult, but figuring out the best timing can be even harder. The above list is just a few examples of the situations that may warrant filing for bankruptcy.

        Collection Efforts Will Stop When You File a Bankruptcy Case

        The good news is that whatever your circumstances, if you decide to file a bankruptcy case, the collection efforts against you will stop. The automatic stay is immediately effective when you file your petition, which prohibits any further collection activity against you. We can review your finances and decide if bankruptcy can provide you the debt relief you need.

        Contact a Brevard County Bankruptcy Attorney today

        If you are interested in learning more about how a bankruptcy filing will impact your debt, contact Faro Crowder, PA to schedule an appointment. We are located in Melbourne, Florida on Sarno Road and serve residents and businesses of Brevard County and the Space Coast.

        Services Areas

        We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

        Speak with an experienced Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158

        We offer a free initial consult for bankruptcy, debt relief, credit card debt and foreclosure defense.  Contact our office to schedule your consultation and discuss your debt relief options.


          Faro & Crowder, PA
          Phone: 321-784-8158
          Address:
          1801 N. Sarno Road, Suite 01
          Melbourne, FL 32935
          Email: info@farolaw.com

          We are a debt relief agency. We help people file for bankruptcy under the bankruptcy code.

          Are Payday Loans Dischargeable in a Chapter 7?

          Payday loans are generally dischargeable without any arguments in a Chapter 7 Bankruptcy, because these loans are unsecured debts. There are, however, a few special cases.

          Payday Loans

          Fraud

          If you borrowed money within 90 days prior to filing bankruptcy, there is a presumption of bankruptcy fraud. Simply stated, the law presumes that you never intended to repay the money and that you used your bankruptcy filing as a sword instead of a shield. In such a situation, the payday lender may file an objection to discharge and a motion to remove the stay.

          Many bankruptcy judges do not like payday lenders, believing that these lenders charge usurious rates and take advantage of consumers. Whether that perception is true or false is not the point. Because of this attitude, some judges may require the payday lender to prove fraudulent intent. Intent is particularly hard to prove if the actual loan was originally taken out more than 90 days prior to filing, and the consumer had to keep renewing the loan.

          Postdated Check

          Some payday lenders may require you to surrender a postdated check. After you file, they may attempt to cash the check, arguing that they deposited the instrument in the normal course of business.

          But the automatic stay prohibits creditors from taking any action against you, and the payday lender is clearly a “creditor” at that point.

          Vehicle Title Loan

          Many people place title loans and payday loans in the same category. For non-bankruptcy purposes, this classification may be appropriate. But, by accepting cash and putting up your car title as security for repayment, the vehicle title loan is a secured debt. The debt itself may be dischargeable, but the lender’s lien on your car title is still valid.

          One option is a cram-down. If you borrowed $3000 but your car is only worth $1000, you may be able to pay the $1000 and keep your car. Another option is a conversion to a Chapter 13 bankruptcy, when the automatic stay stays in effect much longer, giving you time to pay off the loan.

          To find relief from your creditors, contact us in Melbourne, Florida for your free consultation.

          Contact Faro & Crowder, Pa to Learn About Your Bankruptcy Options

          If you are interested in learning more about how a bankruptcy filing will impact your debt, contact Faro Crowder, PA to schedule an appointment.

          Speak with an experienced Foreclosure Defense and Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158


            Services Areas

            We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

            Get In Touch with Faro & Crowder, PA

            Faro & Crowder, PA
            Phone: 321-784-8158
            Address:
            1801 N. Sarno Road, Suite 01
            Melbourne, FL 32935
            Email

            The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

             

            Small Business and Bankruptcy

            If you are the owner of a small business, your personal finances are probably closely linked with your business. Most small business owners invest a large amount of their time and money in trying to ensure their entity is successful. However, when the business faces financial struggles, it means the business owner is likely to experience financial troubles too.

            Small Business and Bankruptcy | Law Firm Melbourne FL

            It is common for an owner to obtain business loans by providing the lender with a personal guarantee. It is also likely that you have used personal credit cards or personal savings, including loans from your retirement account, to help keep the business afloat. This can result in you accumulating an overwhelming amount of personal debt, as well as the business debt.

            If this is the situation you are facing, it may be time to consider filing a business bankruptcy and/or a personal bankruptcy. If the business is an incorporated entity, it can file its own case. Depending on the circumstances, a Chapter 7 or 11, or a state-court supervised dissolution could allow the business to reorganize its debt and obtain a fresh start, or it could assist with providing an orderly liquidation and closure of the business.

            Bankruptcy can also benefit the business owner with eliminating personal debt incurred in connection with the business, in addition to any other personal debt such as credit card and medical bills. If the business is a separate legal entity and it does not file for bankruptcy protection, the owner’s filing typically will not impact the business and it can continue normal operations. It is important to understand, however, that the value of an owner’s stock interest in the business is considered an asset, which means it must be disclosed in the personal filing. Usually a trustee has no interest in the business assets when the business owner files bankruptcy, but it is vital that you seek legal counsel to determine if or how your filing could affect your business.

            If you are a business owner and have questions regarding how bankruptcy could benefit you and/or your business, contact us for a free consultation.

            Speak with an experienced Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158


              Services Areas

              We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

              Get In Touch with Faro & Crowder, PA

              Faro & Crowder, PA
              Phone: 321-784-8158
              Address:
              1801 N. Sarno Road, Suite 01
              Melbourne, FL 32935
              Email

              The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

              Tips for Discussing Bankruptcy with your Children

              It is a natural reaction for parents to attempt to shield their children from dealing with financial troubles. However, if you are considering filing a personal bankruptcy case, it is wise to discuss it with your entire family, including your children. You can tailor the conversation to fit the age of your children, but it is important that they hear it directly from you.

              bky talk with kids pic

              So, how should you go about discussing filing a Chapter 7 or Chapter 13 case with your kids? There is no magic formula, but below are a few considerations:

              • You should be open and honest about your financial situation. This may mean different things depending upon the age of your children, but the primary focus should be on how the bankruptcy filing will be beneficial for the family. It is essential that your entire family understand how adjustments in your finances will need to be made.
              • One of the most important ways you can make your family feel secure while going through bankruptcy is to have a plan for your housing situation. When your kids know that they have a safe place to live, it makes them feel more secure. Thus, even if you intend to surrender your house back to your mortgage lender during the bankruptcy case, having a plan for new housing will help the family feel more comfortable about your circumstances.
              • Try your hardest to keep your normal schedule and routine while your bankruptcy case is pending. Children feel secure when they know what to expect. The less you disrupt their daily lives, the better they will feel about the process.
              • Finally, if possible you should strive to keep your kids in the same schools. Having to change schools, especially in the middle of the school year, can be very disconcerting. However, if it is necessary for your children to switch schools, be sure to make an effort to keep them in-touch with their established friends.

              We understand that filing for bankruptcy can be stressful for everyone involved. We assist families every day in obtaining the debt relief they need in the least disruptive way possible. Let us help you get the financial help you need and ensure that the process goes as smoothly as possible.

              Speak with an experienced Foreclosure Defense and Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158

              The legal team at Faro & Crowder is ready to help. Our office is located in Melbourne, but we proudly serve individuals, families and businesses across the State of Florida.


                Services Areas

                We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

                Get In Touch with Faro & Crowder, PA

                Faro & Crowder, PA
                Phone: 321-784-8158
                Address:
                1801 N. Sarno Road, Suite 01
                Melbourne, FL 32935
                Email

                The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

                Your Credit Rating after a Negative Event

                One of the main concerns people have when they are facing bankruptcy or another negative financial event is whether or not they will ever be able to own a home again. You may have heard that it is not possible to buy a home after you have experienced an adverse financial event, such as a foreclosure or bankruptcy, but this typically is not true.

                Credit Rating | Credit Report Search

                Bankruptcy Attorney serving Cocoa Beach, Florida

                Before you give up hope consider the following:

                • It takes time. You may not be eligible to qualify for a mortgage immediately, but give it time. For example, if you completed a Chapter 13 bankruptcy and you have good credit afterward, you may be able to get a home loan after one year. However, after a foreclosure, you will need to wait seven years before you qualify for a conventional loan that can be sold to Fannie Mae or Freddie Mac. There are also several time frames between these two. The point is, don’t assume that filing for bankruptcy will prevent you from every owning a home again. It will take time and hard work, but you might be surprised at how quickly you can qualify for a mortgage again.
                • Work on your credit score. After a bankruptcy, foreclosure or short sale, it is important that you work on improving your credit score. This means making payments on time and showing financial responsibility. Additionally, you should review your credit report on a regular basis to ensure it is correct. If you discover any errors, you should immediately have them corrected.
                • Plan ahead. It is essential to understand what the consequences are of filing for bankruptcy protection or foreclosure or short sale of your home. A seasoned attorney can help you understand what to expect and to assist you in obtaining the necessary financing when you are ready to buy a new home.

                If you have questions regarding how a foreclosure, bankruptcy or short sale will impact your ability to buy a new home in the future, contact Faro & Crowder today.

                Don’t delay any longer. Call us today to schedule your initial consultation. Our office is located in Melbourne, but we proudly serve individuals and businesses across the State of Florida.

                Speak with an experienced Bankruptcy Attorney at Faro & Crowder, PA 321-784-8158


                  Services Areas

                  We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

                  Get In Touch with Faro & Crowder, PA

                  Faro & Crowder, PA
                  Phone: 321-784-8158
                  Address:
                  1801 N. Sarno Road, Suite 01
                  Melbourne, FL 32935
                  Email

                  The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

                  Filing Bankruptcy Can Help with Foreclosure

                  Although the housing market appears to be on the rebound, there are still many homeowners that are struggling to pay their mortgage payments. If you have fallen behind on your mortgage loan and you believe that a foreclosure is in your near future, you should consider filing for bankruptcy protection under Chapter 7 or Chapter 13.

                  Foreclosure Defense Brevard County

                  Bankruptcy can be an effective tool for individuals who are trying to avoid a foreclosure action.

                  Individuals who file bankruptcy most commonly file under Chapter 7 or Chapter 13. Each type of case offers its own advantages and disadvantages. One of our seasoned bankruptcy attorneys can review your unique circumstances and assist you with determining which type of filing you qualify for or will be most beneficial for you.

                  Chapter 7 | Liquidation Bankruptcy

                  Chapter 7 is often referred to as the “liquidation” bankruptcy because your non-exempt property can be sold by the trustee to pay your creditors. The reality, however, is that most Chapter 7 debtors have very few (if any) non-exempt assets and they keep all of their assets.

                  While a Chapter 7 filing does not completely stop the foreclosure process, it can buy you some additional time in your house. During this time, we can help you try to negotiate with your mortgage lender too. In order to proceed with the foreclosure, your creditor must seek relief from the automatic stay from the bankruptcy court.

                  If the court grants the motion and your home is foreclosed, your Chapter 7 filing will discharge or eliminate any amount you still owe under the mortgage after the foreclosure sale. This can save you from owing thousands of dollars.

                  Brevard County Foreclosure Defense

                  Foreclosure and Bankruptcy Attorney serving Brevard County

                  Chapter 13 | Reorganization Bankruptcy

                  A Chapter 13 debtor must submit a plan of reorganization which sets forth how the creditors will be paid, fully or partially. Your repayment plan will last a term of three to five years, depending on your individual circumstances.

                  During this time, you can make small payments under the plan that are applied to the mortgage loan delinquency. When your Chapter 13 case is over, you will be current on your mortgage loan. While your Chapter 13 case is pending and you are making your plan payments, the foreclosure process is halted.

                  Speak with an experienced Foreclosure Defense Attorney at Faro & Crowder, PA 321-784-8158

                  Don’t lose your home in a foreclosure. We offer a free initial consult for foreclosure defense or bankruptcy.  Contact us to discuss your different options for saving your home and whether filing bankruptcy is the solution.


                    Faro & Crowder, PA
                    Phone: 321-784-8158
                    Address:
                    1801 N. Sarno Road, Suite 01
                    Melbourne, FL 32935
                    Email: info@farolaw.com

                    We are a debt relief agency. We help people file for bankruptcy under the bankruptcy code.

                      Contact Us For A Free Consultation








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