Monthly Archives: September 2014

Bankruptcy And Foreclosure

foreclosureANDbankruptcyWhy write about bankruptcy and foreclosure?

Again?

Because another foreclosure crisis is coming.

Of course, the main S.O.B. from the last foreclosure crisis still says he did nothing wrong.

The government has continued to prop up real estate prices, but, if something cannot go on forever, it does not.

i have blogged about how the student loan crisis depresses the housing market, because people who should be new home buyers are living in their parents’ basements.

Well, do not expect any healthy changes on that front.

Instead, the government is dishing out more of the same, lending even more money to people with no assets and no income.

As David Dayen states in his New Republic story, the last foreclosure crisis was never solved, just kicked down the road.

Instead, a series of temporary relief measures and legacy issues from the crisis will begin to bite in 2015, causing home repossessions that could present economic headwinds. In other words, the foreclosure crisis was never solved; it was deferred. And next year, the clock begins to run out on that deferral. 

The overall economy has not recovered to the extent needed for people to afford the mortgage payments that have been reduced, temporarily.

How Can Bankruptcy Help With Foreclosure?

All chapters of bankruptcy, Chapter 7, Chapter 13, Chapter 11, stop all collection actions as soon as the bankruptcy case is filed.

So, in Michigan, although judicial foreclosure is allowed, most are done by publication, the mortgage company law firm puts a notice in the Legal News, and on your home, of a sale date.

A bankruptcy has to be filed BEFORE a foreclosure sale to stop the sale, and give you time to catch up the payments.

Although filing Chapter 7 bankruptcy stops a foreclosure sale, it does NOT provide a means for you to catch up on missed payments.

Chapter 13 and Chapter 11 bankruptcies are payment plans that provide a means to catch up on missed payments, over time, but CANNOT reduce the principal balance on the first mortgage on your residence.

Lots more on bankruptcy and foreclosure throughout this sit, or, ask me.

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When Is It Too Late To File For Bankruptcy In Michigan?

bankruptcy afraid to file

You are being foreclosed.  Garnished.  Sued.  Behind on the car payment. When Is It Too Late To File For Bankruptcy In Michigan?  Don’t be afraid, like the chicken in the picture, to talk to an attorney. BEFORE something happens. Foreclosure Michigan allows foreclosure by advertisement, the usual choice of mortgage creditors. A notice is published,Continue Reading

Some Debt Collectors ARE Worse Than Bankers

DEBT collector HELL

Last week I asked the question about debt collectors;  this week I answer  it. The regular violators, which is a large group, should be cast into the fires of debt collector hell, as in the picture. For certain, the student loan debt collectors who, allegedly at this point: Navient Corp, the student loan specialist formerlyContinue Reading