consumer issues – Jacksonville Bankruptcy Lawyer Blog https://www.jacksonvillebankruptcylawyerblog.com Published by Jacksonville, Florida Bankruptcy Attorneys — Law Office of David M. Goldman PLLC Mon, 31 Aug 2020 21:39:03 +0000 en-US hourly 1 90915732 How Will Stein Mart’s Bankruptcy Filing Affect its Customers, Employees and the Community? https://www.jacksonvillebankruptcylawyerblog.com/how-will-stein-marts-bankruptcy-filing-affect-its-customers-employees-and-the-community/ Mon, 31 Aug 2020 21:39:03 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1388 Jacksonville-based discount retailer Stein Mart filed bankruptcy about 10 days ago.  The company is another victim of COVID-19 and the widespread economic slowdown that the virus has caused. Millions of Americans are still unemployed or earning reduced wages. That means that they are not shopping as much as they were before the pandemic–in person or online.

People often wonder what happens when a store files bankruptcy and shuts down its retail outlets. Store closings and corporate bankruptcy filings affect many kinds of people in the local community: employees and customers and landlords.

Stein Mart started by laying off 100s of employees in its corporate headquarters on the Southbank of the St. Johns River in Jacksonville.  It also furloughed over 8,00 employees in its retail stores and in its supply chain. These former employees can file for unemployment benefits as soon as they are laid off.

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With So Many Floridians Losing Their Jobs or Income, Now is a Good Time to See if You Qualify for Chapter 7 Bankruptcy https://www.jacksonvillebankruptcylawyerblog.com/with-so-many-floridians-losing-their-jobs-or-income-now-is-a-good-time-to-see-if-you-qualify-for-chapter-7-bankruptcy/ Fri, 15 May 2020 18:58:19 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1315 Because of the historic economic impact  of COVID-19, economists are predicting a “tsunami” of personal bankruptcy filings.  Well-known businesses like J. Crew, Beall’s, Goody’s, Gold’s Gym and Neiman Marcus recently filed for bankruptcy protection. Most major airlines could face bankruptcy without a government bailout.

Americans who have become used to using credit cards as a stop-gap measure to survive pay-cuts might not be able to rely  on this method since nearly 50 million Americans just had their credit card limits cut.

For centuries, companies have used bankruptcy as a tool to survive, reorganize or to shut-down. Several airlines have filed bankruptcy over the past three decades, primarily to break contracts and modify pensions.

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What Programs Exist to Help People in Jacksonville Who Lost Jobs or Income Because of COVID-19? https://www.jacksonvillebankruptcylawyerblog.com/what-programs-exist-to-help-people-in-jacksonville-who-lost-jobs-or-income-because-of-covid-19/ Wed, 29 Apr 2020 18:57:26 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1286 The news these days is all about Coronavirus: from television news to social media, the number one topic of the day is COVID-19.  Our screens and feeds are flooded with news about how Coronavirus has devastated the American economy.   Just this morning, NBC News had the “breaking” news that  U.S. gross domestic product (GDP) fell by 4.8% in the first quarter of the year–the biggest decline since the Great Recession.  This is probably is not much of a surprise to most of us.  Economists predict that  the worst is yet to come. Nearly Americans know that the economy has slowed down since millions of us have been laid off, furloughed, or had our incomes slashed. People without jobs and people worried about losing their jobs don’t have money to spend or are hesitant to spend it .  Because of this uncertainty, consumer confidence plunged in April.

Many Floridians are worried about how they will pay for necessities like housing, food and transportation. By now, most Americans who are eligible to receive the Coronavirus Aid, Relief, and Economic Security (CARES) Act Stimulus payments have received their money. In Jacksonville, there will soon be an additional $1,000 available to each Jacksonville household that earns under $75,000 and can show they’ve taken a 25% income loss due to coronavirus.   This program will be run by the city of Jacksonville, but funded by the Federal Government. The city will be issuing payments cards to 40,000 households. One household member must apply for the assistance online or by phone and then go downtown in person (the Main Library on N. Laura Street or the Ed Ball Building on N. Hogan Street) to an appointment to receive the payment. You will go to an auditorium, while practicing social distancing.

In order to get an appointment, residents must show that they had employment as of February 29, and that the Coronavirus epidemic caused them to lose at least 25% of their income. This test should be easy to meet for “non-essential” workers, who lost jobs or income because of the governor’s or mayor’s mandated shutdown.  City Council President Scott Wilson  said he expects the website to be up and running soon, and that “the goal is to start cutting checks — and what we’re going to do is give debit cards or credit cards, gift card type things — within the next seven days.”

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How to Protect Your Coronavirus Stimulus Payment from your Creditors https://www.jacksonvillebankruptcylawyerblog.com/how-to-protect-your-coronavirus-stimulus-payment-from-your-creditors/ Wed, 15 Apr 2020 17:30:12 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1278 Last  Friday approximately 140 million American households started  receiving Economic Impact Payments, or Stimulus “checks.” Most Americans will be receiving these payments, of at least $1,200 or more, this week. (The amount of your payment depends on your gross income and whether you have dependents.)  The Treasury Department will be directly depositing the funds into the same bank accounts where it directly deposited your 2019 tax refund. (The Stimulus payments are also being sent to people who don’t usually  file or pay federal income taxes, for example, most people who receive monthly payments from the Social Security Administration.) You can track the status of your payment at this IRS site starting today.

The reason for these payments is that the federal government wants to try to “stimulate” the economy, which COVID-1, or the coronavirus, has wrecked.  Millions of Americans have lost their jobs or seen their pay reduced since March. It has been estimated that nearly 1 out of 5 Americans has lost a job or wages because of the virus.  When consumers don’t have money to spend, the ripple effect causes most businesses to struggle. People are not buying goods and services from brick and mortar businesses, which in turn have to lay off employees who can no longer buy goods and services from other merchants. Goldman analysts see the U.S. economy contracting 24% in second quarter, a rate nearly five times as large as bank’s previous forecast

While the government wants us to spend this money to keep the wheels of commerce rolling, some banks want to seize this money to recover money owed to them by their customers. When Congress passed the CARES Act authorizing these payments, it did not characterize the funds as federal benefits, but as tax credits. This means that private debt collectors may take the money once they are in a bank account.

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Bankruptcy Could Help You Deal With the Economic Impact of Coronavirus https://www.jacksonvillebankruptcylawyerblog.com/bankruptcy-could-help-you-deal-with-the-economic-impact-of-coronavirus/ Tue, 17 Mar 2020 18:54:30 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1252 Americans can’t go online, turn on the TV or go shopping without being bombarded with news about coronavirus. Our Facebook feeds are rife with posts about the virus and how much impact it will have on our every day lives.  Just a few months ago, we were gearing up for March Madness, spring break at Disneyworld, PGA Golf Tournaments and Lucero at the  Ryman Auditorium.    Now those events have been postponed or canceled, and even Orlando theme parks are closed for the rest of the month.  Just today, IRS  postponed the deadline on which income taxes are due to July 15.

Our lives have changed in a flash.  The Associated Press warns that Americans must brace for new life of no school and growing dread.  We now spend more time in line at Walmart buying toilet paper than we do lining up for Black Friday sales. Parents worry about their jobs while they wonder who’ll watch their children while they are at work since schools have extended spring break or shut down for weeks.

The world has changed.  We are told to practice “social distancing” and not come within so many feet of our fellow human beings. People are wearing medical masks and gloves when they go out. Some people walk around with Lysol bottles.

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How filing Bankruptcy will affect being a renter in Jacksonville, Florida? https://www.jacksonvillebankruptcylawyerblog.com/how-filing-bankruptcy-will-affect-being-a-renter-in-jacksonville-florida/ Mon, 09 Jul 2018 21:09:32 +0000 https://www.jacksonvillebankruptcylawyerblog.com/?p=1219 Many people in Jacksonville, Florida rent their home residences, which is why so many of my clients ask me “how will filing Bankruptcy affect being a renter?” It seems no matter where you are in Jacksonville, Florida you cannot help but notice all of the rental complexes as well as the many new apartment and condo complexes constantly being built. There is no question about it. Jacksonville, Florida has a huge renters market. That is why it is so important to understand how filing bankruptcy will affect being a renter in such a huge rental market.

First, you will be very surprised to learn that bankruptcy most likely will not have the devastating impact on your ability to be a renter as you might expect. Of course, everyone’s specific situation is going to differ. But as long as you had a good rental history prior to filing bankruptcy, have a steady job, and make sure you do not make the same mistakes that led you into bankruptcy, you should be perfectly fine. Albeit, you might be required to make a larger security deposit or jump through a few more hoops. And the longer it has been between the time you filed bankruptcy and when you apply for a new rental agreement, the less of an affect filing bankruptcy will have on being a renter. Below are several factors potential landlords might take into account:

  1. Rental history: As already mentioned, your rental history prior to filing bankruptcy is a huge consideration as well as your rental history after bankruptcy.
  2. When you filed bankruptcy and your credit history since. Just like in every other aspect of life, everyone makes mistakes. The important thing is that you learn from those mistakes and do not repeat them. That is why having a good credit history after bankruptcy is so important. It will show a potential landlord that although you filed bankruptcy at some point in your life, you took steps to ensure that would not happen again and can manage your finances perfectly fine.
  3. Income. Your income is another important aspect that a potential landlord will take into account. Having a large income is not nearly as important as having a history of a steady income as well as a history of paying your bills on time.
  4. Disposable Income: Your disposable income, the income you have left over after you pay all your monthly bills (including all minimum debt payments), is also significant.
  5. Why you filed Bankruptcy. If it has not been long since you filed bankruptcy, a potential landlord might even take into account why you filed bankruptcy. As already stated, everyone makes mistakes. What you do with those mistakes is what is important. Also, many people fall into bankruptcy out of no mistake of their own. Many of my clients were forced into bankruptcy when the market crashed and many long-time jobs were lost.

Just like how filing Bankruptcy will affect being a renter in Jacksonville, Florida in a much less devastating way than expected, bankruptcy will most likely not have an overwhelming devastating impact on many other aspects of your life as well. Of course, filing bankruptcy will touch just about every aspect of your life in some way, but it will hopefully be in a way that gives you a fresh start towards a much brighter future. Contact the Law Office of David M. Goldman, PLLC to discuss whether filing bankruptcy is your best option.

 

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When Do I Know it is Time to File Bankruptcy? https://www.jacksonvillebankruptcylawyerblog.com/when-do-i-know-when-it-is-time-to-file-bankruptcy/ Sat, 17 Oct 2015 04:10:39 +0000 http://www.jacksonvillebankruptcylawyerblog.com/?p=1055 The thought of having to file bankruptcy can be very scary. There are a lot of unknowns at first. One of the biggest unknowns is determining when it is time to finally give up, throw in the towel and actually declare bankruptcy. Meeting with an experienced bankruptcy attorney can be very helpful, but if you are not quite ready to speak with an attorney, here are a few questions to ask yourself if you are trying to decide if you should file bankruptcy now.

  1. Are you only able to make your minimum credit card payments or no payments at all?
  2. Are your wages being garnished by a Wage Garnishment Order?
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How will my debts discharged in bankruptcy appear on my credit report? https://www.jacksonvillebankruptcylawyerblog.com/how-will-my-debts-discharged-in-bankruptcy-appear-on-my-credit-report/ Mon, 22 Jun 2015 16:34:55 +0000 http://www.jacksonvillebankruptcylawyerblog.com/?p=989 pastdueFiling for a Chapter 7 or 13 Bankruptcy is a great way to start over and free yourself from overwhelming debt. A question I often receive is how does the discharged debt appear on my credit report after the bankruptcy court has officially granted me a discharge. This article will explain what information should and should not appear on your credit report once your debt has been discharged through bankruptcy.

 The Fair Credit Reporting Act.

The Fair Credit Reporting Act, or FCRA, is the act that controls how creditors, buyers of credit, and credit reporting agencies may report debt. This act was enacted to ensure creditors and the like maintain accurate information regarding a person’s credit information. Creditors are required to truthfully and accurately report information to consumer reporting agencies.

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Is bankruptcy right for you? https://www.jacksonvillebankruptcylawyerblog.com/is-bankruptcy-right-for-you/ Thu, 11 Jun 2015 17:12:28 +0000 http://www.jacksonvillebankruptcylawyerblog.com/?p=984 bankruptcy-photo-thumb-250x219-6996Filing for Bankruptcy can be both a scary and exciting prospect that allows a person deep in debt to make a fresh financial start. However, bankruptcy isn’t always the right answer. Here are a few factors to consider when deciding if declaring bankruptcy is right for you.

What type of bankruptcy should I file?

When a person decides to file for bankruptcy, he or she may be able to file two different types of bankruptcy: Chapter 7 or Chapter 13.

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Should I file bankruptcy before I get married? https://www.jacksonvillebankruptcylawyerblog.com/should-i-file-bankruptcy-before-i-get-married/ Fri, 29 May 2015 18:31:51 +0000 http://www.jacksonvillebankruptcylawyerblog.com/?p=976 Deciding when the best time to file for bankruptcy can be a very difficult issue for couples. Especially for couples who are planning to be married. While married couples can still file for bankruptcy jointly and/or separately, being married can make it more difficult to qualify for the bankruptcy chapter you wish to file.

Filing a joint bankruptcy is normally a more convenient process as it allows a couple to wipe out their debts together in a single bankruptcy. This means the couple will not have to attend separate hearings. A joint filing will save the couple money on court costs, as the filing fees are the same for an individual or joint bankruptcy. And attorneys will also charge less for a joint bankruptcy filing than if the attorney was filing two separate bankruptcy petitions.

However, filing a joint bankruptcy may not always be in the best interests of the couple depending on the couple’s income, assets, and debts. Once a couple gets married, they may have a more difficult time qualifying for a Chapter 7 Bankruptcy.

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