Too much debt for chapter 13? Sounds odd, right? Technically, you are probably over the debt limits for Chapter 13, per Bankruptcy Code Section 109(e). Let's consider where you go from here. Three Options: 1. Reduce Your Debts (to qualify for 13) You will want professional advice on this one, but it can be possible. Example: If you own two houses and the mortgage debt has pushed you … [Read more...]
Category: Businesses Bankruptcy
For a business in distress, bankruptcy may be viewed as a last resort. Or the business owner may not even understand what bankruptcy has to offer. This blog series is designed to 1) explain the fundamentals of a business bankruptcy, and 2) describe when filing may be most valuable to the business. Scroll through the various posts to see the areas of discussion.
Even though we are emerging from the recent recession, many property owners are still behind on mortgage payments. With stable income, you may be able to catch up on those payments, if the bank would just work with you. Inability to Cure All Arrears At Once. It is not uncommon for a home owner to be able to make ongoing payments, but have difficulty paying off all previously missed payments in … [Read more...]
Loan Modification Deadend For many property owners, loan modification has been a dead end. Sometimes it is an outright denial. In other instances, the lender simply refuses to make a decision, or transfers the loan to yet another servicer. And if there is equity in your home, the lender have no incentive to work an arrangement with you. At this point, there is a good chance the bank is … [Read more...]
When a business is in trouble, the most critical question is usually "why?" In the answer, may be the solution to the problem. Even if all creditors cannot be paid in full, there might be a solution that allows the business to continue operating. And if there is no real prospect for reviving the business, perhaps the critical question is how best mitigate the damage from the business failure (for … [Read more...]