REBUILDING YOUR CREDIT AFTER BANKRUPTCY – ITS EASIER THAN YOU THINK

We represent hundreds of Maryland residents in Chapter 7 and Chapter 13 bankruptcy’s each helping them eliminate their debt and save their property.  Eliminating debt, however, is only half the battle.  The question that all of my bankruptcy clients ask is “will I be able to get credit again after I file bankruptcy?”  And the answer is.......Absolutely. The fact that you filed bankruptcy stays on your credit report for up to 10 years after the filing.  However, most of our Chapter 7 and Chapter 13 clients are able to get new credit at reasonable interests rates within 24 months of filing.  We have affiliated with a credit rebuilding program called 702creditscore.com and it is a great program.  We are able to offer it our clients at no cost, so rebuilding your credit after bankruptcy is as easy as its ever been. If you have questions about Chapter 7 or Chapter 13 bankruptcy and you are searching for a Maryland bankruptcy attorney, call or e-mail us today.  We have more than 20 … [Read more...]

When Should I Talk to A Bankruptcy Attorney?

Through my national bankruptcy connections I recently became friends with Quinton Pelley, one of the premier bankruptcy attorneys in the state of Texas. He was kind enough to share with me some great articles/blogs that he has written in the bankruptcy field for potential bankruptcy filers. I think that this one is excellent, so I am sharing it with you. If you are searching for a bankruptcy attorney to help you through this most difficult process, contact us today. No two debt situations are the same. However, since we have been helping people resolve their debt problems since 1991, we have noticed quite a few patterns. We know that you did not choose to be in this position. We also know that you were probably forced into your debt situation because of one or more of the following: Loss of job, reduction in income, death, divorce, someone got sick, ridiculously high interest rates, the bad economy, or some other similar life changing event. Life happens. Now you need to make the … [Read more...]

Maryland Bankruptcy and Credit Card Debt

The Basics of Credit Card Debt and Bankruptcy In an economy where housing problems dominate the headlines, high interest credit cards still remain one of the largest issues consumers face in their fight for financial health. It should come as no surprise to learn then, that credit card debt is still one of the primary reasons consumers are forced to file for bankruptcy. When a credit card account has been delinquent for more than 180 days, banks will charge off what is owed as “bad debt” and sell the account to a debt collector who will call, harass and even sue if the past due balances are high enough. Mounting pressure from debt collectors pushes many consumers through the front door of a bankruptcy office because chapter 7 protection is widely perceived as the fastest and best way to get out from under unmanageable credit card debt. While it is true that filing for bankruptcy can help discharge credit card bills, there are some basics that every consumer needs to know before … [Read more...]

Getting Credit After Bankruptcy…..Is it really 10 years?

Clients are always concerned about their credit score. It is not unusual for the question “How will bankruptcy affect my credit score?” to be the first thing that comes out of someone’s mouth when they consider bankruptcy as an option. Although bankruptcy does have an effect on your credit, the effect may not be as bad as many would have you believe. Further, most people fail to compare the alternative effect that not filing bankruptcy will and already does have on their credit. There are a number of facts that will appear on your credit report. Any type of loan, any credit you have taken out, how you use it, whether you have paid it or are in default, are all things that will appear when someone looks up your credit report. Bankruptcy will appear on your credit report for up to 10 years. Any negative occurrences will appear for 7. If your credit is poor, as most people’s is when they consider filing for bankruptcy, bankruptcy may not hurt your credit as much as not filing … [Read more...]

Does My Spouse Have To File Bankruptcy With Me?

No, your spouse does not have to file bankruptcy with you. There is no law stating that both people in a marriage must file bankruptcy. A married person can file a single bankruptcy. If a married person does decide to file without their spouse, some information from the non-filing spouse would be needed. The non-filing spouse’s income would have to be listed in order to do the means test and any joint property owned would also need to be listed. If any of the debt is in both your names, then you would want to consider having your spouse file. Once the debtor files bankruptcy, the co-debtor becomes solely liable for the debt. For example, if you and your spouse have both your names on a credit card, your spouse will become responsible for the debt once you file bankruptcy. Depending on the amount of debt and your individual situation, you may consider both filing bankruptcy. It is not mandatory for a married couple to file bankruptcy jointly. Each couples individual … [Read more...]

Fixing Credit Report Errors

Why is it that credit reporting companies have so much control over our lives?  One false report on your credit report could cost you the ability to buy a house, car or to even obtain a credit card.  Is that fair?  No way.  Is there anything you can do about it?  Yes, there is.  It's not easy, and, frankly, it's a pain in the neck.  However, you can fix mistakes on your credit report if you need to, and here's how. The first thing you need to do is order a copy of your credit report. The three major national credit bureaus are: Equifax, PO Box 740241, Atlanta, GA 30374-0241; (800) 685-1111. Experian, (formerly TRW), PO Box 2002, Allen, TX 75013; (888) 397-3742. Trans Union, PO Box 1000, Chester, PA 19022; (800) 916-8800. When ordering a copy by mail, make state your name, current address, addresses where you have lived for the last five years, your social security number, date of birth and a include copy of your driver’s license. You are entitled to a free copy of your … [Read more...]

The Chapter 7 and Chapter 13 Bankruptcy Process

I want to give you all an idea of the bankruptcy process. I'll try to keep this simple and cover only the "normal" case and not cases involving objections from creditors and other complications. Once you've chosen an attorney, provided all the documentation requested and paid the required fees, it's time to file your case. If you are in a Chapter 7 case, then the procedure is the case gets filed with the Clerk's office in your jurisdiction. Upon the filing, an automatic stay goes into effect. This stay immediately stops your creditors from doing any collection proceedings, including court-ordered garnishments, license suspensions, phone calls, billings, etc... About 4-6 weeks after your case is filed, you will have to attend a "meeting of creditors" or "Section 341" meeting. This is a hearing that debtors are required to attend. Typically, if you've hired a full-service bankruptcy law firm such as ours, an attorney will be at your hearing with you. An interim trustee appointed by the … [Read more...]

Ten Bad Habits

I was searching the web today and I came across a very interesting and informative article which relates to bankruptcy.  It was called Ten Bad Habits That Lead to Bankruptcy.   Many consumers in Maryland with high credit card debt could have taken steps to prevent it.  At the Maryland Bankruptcy Center we will not only file your personal Chapter 7  bankruptcy for you but we will also give you tips on how to stay out of financial trouble in the future.  Call or e-mail us anytime for a free consultation.  The ten bad habits are: 1) Misusing Balance Transfers - All of us have found offers for new credit cards that provide a "teaser" rate. "Transfer balances and pay no interest for a year" is a common sales pitch. While it can be a good idea to manage debt by taking advantage of these types of offers, you still have to be disciplined and concentrate on paying down the debt. The common mistake is that the person continues to use the card and creates new debt. 2) Not Checking Credit … [Read more...]

Foreclosures in Maryland

Maryland’s courts adopted a rule to make it easier for homeowners in foreclosure proceedings to challenge lenders’ documents that they believe are fraudulent. The rule, approved by the Court of Appeals of Maryland today, can shift from homeowners to lenders the burden of proving documents are legitimate. Hundreds of inaccurate or fraudulent affidavits have turned up in Maryland foreclosures, Alan Wilner, chairman of the Court’s Standing Committee on Rules of Practice and Procedure, told the court’s six-member panel. Governor Martin O’Malley had asked the court’s chief judge to suspend foreclosures for 60 days to ensure people are not wrongfully thrown out of their homes. Robert Bell, the chief judge, said he didn’t have that authority and suggested that the rule be changed instead. The rules committee has been “scrambling to find a way to deal with this national calamity,” Wilner told the panel. Up to now, the courts have assumed the accuracy of the affidavits. Now, … [Read more...]

Why do we call bankruptcy Chapter 7?

Very few people know why the type of personal bankruptcy that eliminates a persons debts is called CHAPTER 7.  Well, here's the answer.  There is huge volume of books that contain all of the laws that our Federal Government passes.  Those books are called the United States Code.   That Code has TITLES, and within those TITLES are CHAPTERS.  TITLE 11 of the United States Code is all about bankruptcy, and is sometimes called by bankruptcy code.  Within TITLE 11 is Chapter 7, which is called  the "Liquidation" section of TITLE 11 of the United States Code.  Chapter 7 Liquidation means that in exchange for liquidating all of your property (with exemptions that usually means that you get to keep everything you own), you are permitted to discharge, or eliminate your unsecured debts in Chapter 7.  Chapter 13 and Chapter 11 are other Chapters of TITLE 11 of the United States Code, and they will be discussed elsewhere. Click below if you would like to see all of Chapter 7 as actually written … [Read more...]