Recent Blog Posts in May 2010

Bankruptcy can save your home from foreclosure!

The moment a bankruptcy case is filed with the bankruptcy court the automatic stay comes into effect. The automatic stay prevents creditors from taking certain actions against you including foreclosing on your property.

 Bankruptcy will even stop a foreclosure if filed minutes before the foreclosure sale.

Once the case is filed and the foreclosure stopped you may be able to catch-up missed mortgage payments during the course of a chapter 13 plan, eliminate second or third mortgages, or have time to work out a modification with the bank.

All initial bankruptcy consultations with Attorney Kovacs are free. And there is no time limit!

During the consultation we will first talk about you, your assets, income, expenses, and debts. I will explain to you the several different bankruptcy chapters and how your situation will fit in. I will make a recommendation on which chapter is best for your situation. Also, I will take you through the process itself, what happens before the case is filed, during the case and then life after bankruptcy (including how to improve your credit score post bankruptcy).

We will talk about what your goals are and how we can reach them.

If you would like to setup a free consultation give the office a call or send an e-mail.

When you stop paying your credit card bill the bank will want to find a way to get you to start paying again. The first step will likely be making phone calls and sending letters. If that does not work the bank may hire a debt collector to turn up the heat on you.

The collection agency will call, a lot. And send many letters. If still you are not paying your bank will likely hire a local debt collection law firm to attempt to collect.

The law firm will likely again send more letters and make more phone calls. If still not payment is made then they are likely to bring a lawsuit against you.

In order to start a law suit the bank will have to file a complaint and serve a summons on you.  

In my experience it typically takes 10 - 12 months from the time of the first missed payment and the time of the law suite.

Filing for bankruptcy will likely stop all collection calls, letters, and law suits the moment the case is filed.