Creditor - Secured Category Archives — Page 3 of 7 — Jacksonville Bankruptcy Lawyer Blog Published by Jacksonville, Florida Bankruptcy Attorneys

Published on: December 15, 2011

Mobile Informational Call Act of 2011

The U.S. House of Representatives introduced a new bill, the Mobile Informational Call Act of 2011, that would allow businesses to dial consumers’ cell phones using an automatic dialing system. This practice is oftentimes called “robo-calling”. This means that the operator does not have to manually dial each number. Rather, the computer system can dial the numbers and play a prerecorded message on many phones at once. The current law is that operators have to manually dial the numbers (unless the customer consents to robo-calling), which is not very profitable for many collection agencies.

The down side to this bill would obviously be that creditors would be able to start robo-calling your cellphone. This does not sit well with many consumers. But some creditors say that the current regulations have not kept up with the technology of today, and that a lot of people do not have home phone lines anymore. Creditors are wanting robo-calling access to cell phones.

The upside to the bill, however, is that an airline company could robo-call passengers if a flight was cancelled or is running late. Or your credit card company could set up a system to automatically call you if they think someone is fraudulently using your card. Or your bank could robo-call with a message that someone changed the address or PIN number on your account.

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Published on: December 14, 2011

Falling Florida Home Values; Beyonce Feels the Burn

By David M. Goldman

Beyonce Home Underwater, Bankruptcy Singer Beyonce Knowles, recently sold her Miami, Florida condo for nearly 25% of what she paid for it. According to TMZ, Beyonce bought the 190 square foot condo in 2002 for $465,000 only to sell it this November for $110,000. This is a $355,000 loss on what TMZ suggests was essentially a private restroom. This is a far greater loss than most mortgage holders face, but this also wasn’t Beyonce’s homestead, it was a luxury property. With so many homes underwater in Florida, it’s no wonder the star lost out on this investment. One things is for certain, with an income like hers, a small property like this won’t be irreplaceable.

Published on: December 13, 2011

Disclose Everything in Bankruptcy

By David M. Goldman

Bankruptcy, Honesty, Oath, Perjury When filing for bankruptcy, it is very important to be very honest and disclose everything. If you do not, you risk having your bankruptcy denied, discharge revoked or even prison time in the worst case scenario. When you sign your bankruptcy documents, you are doing so swearing that they are true under penalty of perjury. If the trustee finds out that something you have in your schedules is incomplete or untrue, this will raise a red flag and the trustee will scrutinize your bankruptcy schedules even more.

A common way that people fail to disclose everything in bankruptcy is trying to hide assets. Debtors might leave off a gold watch or a private bank account. This is a big mistake. When filing for bankruptcy, you must list all of your assets. Even if you think an asset is inconsequential or minute, you should list it. It is better to have overkill than to raise a red flag.

Another thing debtors sometimes fail to list is creditors that happen to be friends or relatives. Or maybe the debtor does not want a specific creditor to know that they have filed for bankruptcy, so they do not want to list that creditor. You should not do this. You need to list all creditors to whom you currently owe any kind of debt on your bankruptcy papers. The trustee wants to make sure that all of your creditors get their fair share of your estate. No matter your intentions, make sure to list every creditor. If you do not and the trustee finds out, this will raise a red flag.

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Published on: December 9, 2011

Creditors Get Scammed, 2 Men In Prison

By David M. Goldman

Jeffrey Summers, of Taft, California, and Stafan Miller, of Santa Clara, California, perpetrated a scam upon multiple creditors. They formed Maxwell, Turner & Associates, a collection services company who employed around 20 people. From February 2009 until May 2010, their company did not deliver on their promises to clients. Summer and Miller would provide false information about legal proceedings and tell their creditor clients wrong contact information for debtors. Also, if the company did collect any money from debtors, it would not pass this money along to the appropriate creditor. Instead, the two would pocket the money. The scheme took in more than $2.7 million.

Summers was convicted for conspiracy to commit mail fraud and sentenced to 8 years in federal prison. Miller was ordered to serve 6 years and 9 months for conspiracy to commit mail fraud and money laundering. The two have also been ordered to repay $1,311,700 in restitution to the victims of their fraudulent scheme.

If you feel that you have been defrauded in any financial situation, you should speak with a Jacksonville Consumer Law Attorney to see if a remedy this available for you.

Published on: December 8, 2011

Having a Lawyer Represent You in Bankruptcy

By David M. Goldman

Filing for bankruptcy can be very confusing for those trying to go it alone. As an in-depth legal process, it is greatly beneficial to have a Jacksonville Bankruptcy Attorney to help you navigate your way through a successful bankruptcy. Here are some reasons why:

1. There are many calculations that must be done correctly. To file for bankruptcy, you must first know which Chapter you qualify for, a Chapter 7, 13, 11 or 12. One step to figuring it out is by completing a Means Test. This is complex thing to do. You must know things which deductions you can use for food, clothing, personal care, health care, housing, and many more. You’ll need to how the allowances for vehicles work and what involuntary deductions you can take. You must know how to list future debt payments correctly. And the list goes on and on. Without the proper knowledge and skill, this can be very difficult to do right the first time. If you do not do this correctly, the court could dismiss your case without a discharge, penalize you with fines or in rare cases, even send you to jail. Hiring a Jacksonville Bankruptcy Attorney would be beneficial because someone with knowledge and experience would be handling these issues, taking the stress off of you.

2. Another daunting task is drafting a Chapter 13 Plan. This Plan is very important, as it outlines your responsibilities over a three to five year period. You must know which creditors get paid, how much is required to go to unsecured creditors, and how to allocate the Trustee’s portion. You want to make sure that you get all the benefits you can through your Plan. It is not the job of the Court or Trustee to watch out for your interest, it is there job to be sure that the code is being applied properly.

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Published on: December 6, 2011

Have a Credit Card Company Complaint?

By David M. Goldman

Is your credit card company driving you crazy? Think they are trying to rip you off or aren’t taking your complaints seriously? The Dodd-Frank Act created the Consumer Financial Protection Bureau (CFPB), an agency to whom you can voice concerns regarding your credit card companies. Since their opening in July 2011, the office has fielded more than 5,000 consumer complaints. Some of the most common complaints dealt with collection practices, debt protection services, account closures, identification theft, fraud, and fees.

After a complaint is filed, the CFPB acts as a go-between in order to resolve the issue between you and your credit card company. So far, approximately three quarters of the complaints have been either partially or fully resolved by the credit card company. The rest are either still under review or there was no relief found.

Consumers can submit their complaints either online with Consumer Finance’s Government Site or by calling 855-411-CFPB (855-411-2372). In the near future, CFPB will be fielding complaints for all kinds of consumer financial products, including mortgages and other loans.

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Published on: December 5, 2011

American Airlines Files For Bankruptcy

By David M. Goldman

AMR, the parent company of American Airlines, announced November 29, 2011 that they filed for Chapter 11 bankruptcy in the Southern District of New York. The company said that in the first nine months of 2011, they lost $868 million and project that they will lose around $1.1 billion by years end. AMR, a Fort-Worth based company, listed $24.7 billion in assets and $29.6 billion in debt in their bankruptcy Schedules.

An article in the Financial Times says “the move brings to end a nearly decade-long effort to avoid Chapter 11. In 2003, American chose to avoid bankruptcy, while its rivals used the process to shed their pension plans and reduce structural costs, leaving it at a substantial disadvantage.”

The company’s CEO, Gerard Arpey, was not in favor of the company filing for bankruptcy. In fact, he had spoken out several times saying that he did not want AMR to file for bankruptcy. So he retired. Tom Horton, previously the company’s president, will now step in as the new CEO.

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Published on: October 27, 2011

Debt Collectors using Facebook: Debt Collectors Banned From Facebook / Twitter in the UK

By David M. Goldman

With more than 800 million active users, it’s no surprise that creditors are using the social networking site to contact debtors in attempts to collect monies owed. One Florida woman from St. Petersburg Florida received a friend request from a creditor using a fake name. Once she accepted that request her telephone number and ‘friends’ contacts were made available to the creditor who then contacted her family regarding her debts.

Similarly, a Chicago case dealt with a man who was ‘friended’ on Facebook by a young woman in a bikini. Once he accepted her request she posted on his public wall, “Pay your debts, you deadbeat.”

Although these situations were found to be violations of the Florida Consumer Collection Protection Act (FCCPA), that hasn’t stopped creditors completely. A report out of Great Britain has shown that their Office of Fair Trading is now working to implement laws to protect debtors from creditors taking the same actions in their country. A 59% increase in new complaints about debt collecting has been reported, some of which is probably linked to Facebook activities.

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Published on: October 13, 2011

I Would Like To File Bankruptcy. What’s Next?

By David M. Goldman

If you would like to file for bankruptcy, come in and speak with our Jacksonville Bankruptcy Attorney during a free consultation. Call 904-685-1200 to schedule an appointment that is convenient for you. During the consultation, the attorney will discuss your particular situation. Next you need to fill out a bankruptcy questionnaire, which will aid us in drafting your bankruptcy schedules. You will be given this questionnaire at your consultation and can fill it out at your leisure. Before we file for you, you will need to complete your credit counseling. There are many different online sources that offer this service. If you supply them with our fax or email address, they will send over a certificate after you have completed your counseling. After we have drafted your schedules, you need to review them to make sure that they meet with your satisfaction. Then we can file your case!

The process is designed to be convenient and as seamless as possible. Contact our Jacksonville Bankruptcy Lawyer today to get started!

Published on: October 11, 2011

The Classification of Debt

By David M. Goldman

Debt can be classified as secured, unsecured, or priority. A secured debt is one that is collateralized by property. This means that if you default on the debt, the creditor can take the property that secures the loan. Your mortgage loan is probably secured by your home. Your auto loan is probably secured by your auto.

An unsecured debt is when you make a promise to repay the debt, but the debt is not secured by any collateral. If you default on the promise, the creditor cannot take your property without obtaining a judgment.

A priority debt is a debt that is entitled to repayment ahead of other debts that you owe. Taxes and some attorney fees are priority debts. A list of priority debts can be found in 11 U.S.C. §507.

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