We have seen how sloppy and aggressive foreclosure processes have taken a toll on homeowners, neighborhoods and the economy in general. Last week's news of a House panel examining lapses and gaps in mortgage servicing regulation caught my attention, but I don't expect a speedy resolution. State attorneys general and the Justice Department are advanced talks with JPMorgan Chase & Co. … [Read more...]
How to Decide Whether Bankruptcy is Right for You
February 16, 2011 By
There are financial and emotional reasons to seek bankruptcy protection. Let's consider both categories. Financial questions to ask yourselfAre you able to make more than a minimal payment on your debts every month? How many times in the last year have you been late or skipped a payment on a debt? What is your total debt relative to your annual income? The higher your debt to annual … [Read more...]
If You Want a Refund Anticipation Loan, Consider Bankruptcy Counseling, Too
January 24, 2011 By
As bankruptcy attorneys we understand more than most professionals how tight the average person's wallet is this year. Today we learned that North Carolina’s unemployment rate increased slightly to 9.9 percent in December from 9.7 percent in November.That's why we like to post tips for avoiding moves that can only worsen a tough situation.One of those is "refund anticipation loans" – … [Read more...]
Who Will Stop Your Foreclosure?
November 22, 2010 By
Increasingly, we hear from new clients that they have paid a substantial sum of money to someone who has promised to “stop a foreclosure.” Generally, these new clients tell us that they found “an agency” or “a law firm” online with an out of state address that advertises such services and requires an up-front, non-refundable fee. Behind the slick ads and promises When we ask for … [Read more...]
Modification Makes You MORE Vulnerable to Foreclosure?
November 16, 2010 By
We often talk to prospective clients who hope to avoid foreclosure and bankruptcy by applying for a mortgage modification. While we always wish them the best of luck, we consider it our professional duty to inform them of what lies ahead if they apply with the Home Affordability Modification Program (HAMP).In October, Bloomberg reported on congressional hearings, which include this fact: even … [Read more...]
Credit Scores After Short Sales, Foreclosures & Bankruptcies
October 27, 2010 By
Clients and prospective clients almost always ask about the effect of their financial difficulties on their credit scores. This information is elusive. Finally, USAA has some guidance on how your score is determined and "hit."A myriad of variables combine to create a score:Your payment track record. How much you owe. How long you've had established credit. Whether or not you're … [Read more...]
Good Alternatives to Foreclosure?
October 25, 2010 By
This week a WSJ article quoted the head of the NY Federal Reserve Bank addressed, saying “the Federal Reserve actively encourages efforts to find viable alternatives to foreclosure, like loan modifications, or deeds in lieu.” Let's take a look at each of these alternatives. How about a modification? If you CAN get a modification, and if the modification allows you sufficient room to pay … [Read more...]
Charlotte & Mecklenburg County Foreclosures
October 19, 2010 By
RealtyTrac is chock full of information about foreclosure trends. Here's a map of Mecklenburg County's foreclosure hot spots based on September 2011 data. The Charlotte region leads the state in the number of foreclosures.We wish more Charlotteans at risk of losing their homes educated themselves and this series we wrote on foreclosure is a good place to start.For answers to your specific … [Read more...]
Challenge Your Foreclosure?
October 14, 2010 By
For struggling homeowners trying to avoid foreclosure, the processing errors admitted to by GMAC and Chase could mean an opportunity to challenge the banks. If you can stomach a bit of crude humor, Jon Stewart sums up the situation rather well.Mon - Thurs 11p / 10cForeclosure CrisisOn a more serious note After 40 years of helping families and businesses … [Read more...]
Financial Coping During Prolonged Unemployment
October 1, 2010 By
We've been writing a great deal lately about financial coping through a prolonged period of unemployment. If you feel you're alone in your financial predicament, here's a wider view of the national landscape.Below the chart, watch a video on preventing employment fraud schemes (from the Better Business Bureau). … [Read more...]