No Relief from Foreclosures on the Horizon
Notices of defaults have spiked in the Central Valley. The chart to the right is only for Modesto but it represents a similar trend throughout the worst hit counties in the Central Valley. The increase is partly due to the end of the year-long “freeze” in foreclosures because of the “robo-signer” scandal. As you may...Continue reading→
Will I go to jail (in California) if I don’t pay my debts? What about if I file bankruptcy?
NO! You will not go to jail if you do not pay your debts. And you will not go to jail if you file bankruptcy. Prior to the mid 19th century debtors’ prisons were a common way to deal with unpaid debt. In 1833 the United States abolished Federal imprisonment for unpaid debts, and most states outlawed...Continue reading→
Bank of America Signs onto Principal Reduction Program
Bank of America announces in this press release that it has signed on to the principal reduction component of the Keep Your Home California program, which uses federal funds reserved for the 2008 rescue of the financial system to help homeowners behind on their mortgages. According to the press release, Keep Your Home California’s Principal Reduction Program...Continue reading→
Debt is the Slavery of the 21st Century
While this is a particularly strong statement, this article written by Brian Carr is relevant and thought provoking. As Mr. Carr succinctly explains, debt means you owe someone, and you must work to pay off that debt. He points out that when you owe massive debt, the creditor owns you. You are not earning money for...Continue reading→
Can I keep my house after bankruptcy?
The short answer is yes, but you must be able to make the payments. In general, a Chapter 7 bankruptcy is not going to order a debtor to move out of their home. The bankruptcy is not going to remove a debtor’s name from title to their house. The only effect the bankruptcy will have...Continue reading→
Is Debt Settlement Legitimate?
Many clients come to me after they have attempted to work out payment plans with their creditors, usually by signing up with a so-called “debt settlement” company. Debt settlement is an alternative to bankruptcy that could be useful – if the debt settlement companies actually did any work. Usually, I hear that all the company...Continue reading→
Flawed Foreclosure Documents Thwart Home Sales
The slowdown in foreclosures by banks appears to be creating a whole new set of problems, according to an article in today’s New York Times. “This crisis takes a situation that’s already bad and kind of cements it into place,” said Joshua Shapiro, chief United States economist for MFR Inc., an economic consulting firm. With...Continue reading→
Bank of America Halts Foreclosure Cases
Bank of America has temporarily frozen all foreclosures as it examines whether it rushed the foreclosure process for thousands of homeowner’s without reading the documents. In an e-mailed statement, Bank of America said it would “amend all affidavits in foreclosure cases that have not yet gone to judgment.” The reason for the halt stems from...Continue reading→
New Website!
We launched our new website in September, 2010
