The following information includes frequently asked bankruptcy questions. The answers provided here are general in nature and are not intended to apply to every bankruptcy and/or debt consolidation situation. Each case is unique and carries its own set of circumstances which requires thorough review by competent legal counsel. At the Law Offices of Neil Crane, you will receive a personal consultation regarding your specific financial situation.
Q: Can Bankruptcy stop my home from being foreclosed and/or my car from being repossessed?
A: Bankruptcy can prevent a foreclosure of your house or a repossession of your car. Bankruptcy law dictates that an "automatic stay" the instant a bankruptcy is filed. The automatic stay stops the foreclosure process and prevents any collection actions, repossessions, liens or wage garnishments. Bankruptcy also provides a means to cure your mortgage or automobile balance, and make payments on those debts over time through a repayment plan designed by Attorney Neil Crane.
Q: Will Bankruptcy stop a lawsuit against me?
A: If you are being sued, we strongly urge you to speak with Connecticut debt relief Attorney Neil Crane about filing for bankruptcy. A bankruptcy filing will stop a lawsuit immediately and prevent your creditors from placing a lien against your house, seizing your bank account or garnishing your wages.
Q: Do I have to go to court?
A: No, you are not required to go to court. Instead under Chapter 7 or 13, there will be an initial meeting of creditors approximately 20 days after the filing of your case. An attorney will be present with you at the meeting, which usually lasts for five to ten minutes. This meeting is generally held in an office building or a hearing room after full preparation by our office.The trustee will ask you questions that you have already answered in prior meetings with our office.
Q: Can I keep my car and/or my home?
A: Yes, under Chapter 7 you continue to make mortgage and car payments, while retaining your home and vehicle. Chapter 7 discharges unsecured debts, meaning your creditors are legally prevented from taking your car or your home as long as you continue to make your regular monthly payments.
Q: Will I lose my personal possessions?
A: A properly prepared bankruptcy petition will protect all of your personal possessions. Bankruptcy law allows you to take exemptions to protect your home and personal belongings. While there are some limitations, these exemptions are both generous and flexible. Our experienced bankruptcy attorneys know how to maximize all the exceptions available in your case.
Q: Can I rebuild my credit after bankruptcy?
A: Absolutely, Although bankruptcy is on your credit report for up to 10 years, with proper advice, you can begin to reestablish your credit immediately after your bankruptcy discharge. In fact, it is likely that pre-approved credit cards will arrive within weeks of a bankruptcy filing. We know how to help you improve your credit, get good rates, and avoid future problems.
Q: What is foreclosure?
A: Foreclosure is the State Court legal process whereby lender tax authority or secured creditor seeks to take back the title to your house. It starts with service by a state marshall of a foreclosure writ, which need not be served to you in hand, but instead can just be left at your property. The rest of the process happens in the county court house with notices sent by mail only. The court system requires that you file an appearance to assure notice of all actions by all parties to the foreclosure. In Connecticut, foreclosure takes between 3-6 months and can be further delayed or stopped by informed, strategic legal action, by a foreclosure defense attorney at the Law Offices of Neil Crane. Don’t delay – Get experienced counsel today.
Foreclosure is an important legal process that is intended by the lender to take your home. Seek immediate and experienced legal advice or representation if you are threatened with or presently a defendant in a pending foreclosure.
Foreclosure is just the beginning of a solvable and somewhat prolonged process. Don’t panic. Instead, get prompt, experienced help.
Q: If I am in foreclosure, will I lose my home?
A: Absolutely NOT. Thousands of Connecticut residents in foreclosure save their homes every year, but it’s imperative to seek help from the best possible legal counsel with knowledge and experience gained by saving thousands of Connecticut homes. Don’t rely on a bank, government agency or out of state website to save your home from foreclosure. Get prompt, local and experienced legal advice. Other alternative end up costing you money and losing your home. Furthermore, direct discussions with your bank don’t stop the court process. Many banks give people a false sense of impending resolution while they use their lawyers to speed forward and take your house through the legal process. No amount of discussion stops the court process.
- Connecticut law offers mandatory foreclosure mediation on all residential foreclosures. This allows homeowners to present their case for mortgage modifications to the lender at the courthouse.
- Foreclosure is extremely dangerous and stressful, but with our legal help it is an opportunity for well prepared homeowners to present their case for modification. Prompt, experienced legal representation saves homes. But never go it alone. The lender will be represented by a very experienced counsel dedicated to taking back your home. Be sure that you are well-represented by an experienced attorney dedicated to saving your home.
- Don't despair — There are many ways for our attorneys to succeed in modifying your mortgage.
Q: Should I seek legal advice if I’m behind on my mortgage or in foreclosure?
A: Definitely, Whether you’re in foreclosure or not, our properly qualified attorneys have the experience to assist you and maximize your chances for success. Financial problems that involve your home are legal issues and an experienced attorney can save your house. Don’t rely on the assurances of non-qualified "experts," or out-of-town companies, court mediators or "friends" who have limited knowledge or experience. All foreclosure problems are difficult. Your situation is specialized to you and needs to be treated with an importance and uniqueness that is specific to your exact problem and the proper solution.
Q: What are my legal options if I’m in foreclosure?
A: Connecticut has various laws to protect homeowners from foreclosure. They include the right to decelerate your loan by back payments, underemployed or unemployed protection, foreclosure protection and mediation. Mandatory mediation in court has become an excellent option available to all Connecticut residents who take proper advantage of this state law protection for homeowners. There are also various legal defenses to combat lending and foreclosure abuses. Most importantly, there is an entire set of federal laws that are available to rescue Connecticut residents from losing their home through foreclosure.
Q: Should I pay my credit cares if I’m struggling with my mortgage?
A: No, Many borrowers continue to pay high interest unsecured credit card debt while they’re in the process of losing their homes. This is a major mistake, but it occurs on a regular basis for a few reasons:
- Borrowers truly do want to pay and have been conditioned to make timely monthly payments even if they are actually in jeopardy of losing their homes.
- People want to pay as many people as possible so they don’t have problems and battles with everyone. They deplete their available money in an effort to pay as many creditors as possible, even when it doesn’t solve their real problem and can actually make their problems worse.
- People are very concerned about their credit score and will go to all lengths to preserve their score, often losing their homes in the effort to pay other bills. Of course, this doesn’t help because credit score has nothing to do with a successful mortgage modification, and credit scores are still becoming impaired by mortgage defaults.
- People pay credit card companies to avoid the interest rate increases and brutal late charges imposed b y threatening credit card collectors. In most cases this doesn’t even avoid the imposition of these fees and costs anyhow. Credit card companies can legally raise your rates for any reason they deem appropriate. And they do, It’s a trap.
- People pay credit card companies and waste precious financial resources that could better go to their mortgage/house to avoid relentless phone calls from credit card companies and collectors. Collectors for unsecured debt can call many times per hour on a daily basis and people often give in and deplete their monthly budget to avoid the endless and often harassing phone calls at home and at work. Giving in to these threats and harassment is a common mistake, even though you have a right to not be contacted by telephone and should never pay collectors just to avoid calls.
Credit card or unsecured debt is the last thing you should pay. It does nothing to feed, clothe or house you or your family. Most credit card payments accomplish nothing, since nearly all the payment goes strictly to interest on past purchases and provides nothing for a family’s present day needs.
Saving your house is far more important than paying credit card debt. Credit card payments are among the leading causes of home loss in America. Paying high interest unsecured debt robs families of the resources necessary to save their homes from foreclosure. Which would you rather have, your house or a maxed out credit card? If you are facing a choice, check your priorities – pay your mortgage, not your credit cards. You can handle unsecured debt later. They can’t take anything from you, and they’re always negotiable for a small dividend on the dollar.
Contact our Connecticut Bankruptcy and Foreclosure Attorneys
With a thirty year history, we are uniquely situated to provide straightforward answers and practical solutions to all your concerns about debt and your financial future. Your initial consultation with an experienced attorney is free. Call us today at 203-230-2233 or toll free at 888-249-3027, or complete our online contact form. When you call us, you will speak to an attorney right away.
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We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.