With gas prices pushing $4.00 a gallon – many people are unaware of the actual expenses incurred in operating their cars. With married couples everything doubles and then start adding kids and your budget goes red in a hurry. Transportation costs include not only gas, but the following: Oil changes; tires; brakes; fluids; car washes; repairs; as well as licensing and registration fees. Unless you own or lease a brand new car, you are going to spend at least $100 a month (the annualized average) on everything in addition to gas. If you spend $50 a week on gas (which is typical) and add $100 a month for the other costs – you can plan on a monthly budget of at least $325 a month…

Successful people file for BANKRUPTCY because they understand the brilliance of the BANKRUPTCY CODE. Here it is in a nutshell: 1. AUTOMATIC STAY.The minute you file all collections, foreclosures and garnishments stop. 2. EXEMPTIONS. The federal exemption allowances allow you to keep all of your property and your 401k (up to $1,000,000 – yes, that’s a million). 3. LOAN MODIFICATIONS. Chapter 13 allows for certain loan modifications. 4. DISCHARGE. Upon completion of a Chapter 7 or a Chapter 13 Plan – all of your dischargeable debts disappear and you get a “fresh start.” Ignorance is not bliss. Get educated and become another BANKRUPTCY DOCTOR Success Story. Our State of the Art Computer system allows us to serve all of the Counties and Cities in the…

Budgeting is the key to success in life. You don’t need to buy a book or go to a Dave Ramsey show. All you need to do is google “simple budget.” It’s a free spreadsheet that will help you get started with budgeting. I am in shock at the number of people who have no idea of where there money is going. It is down right scary. Do you really think that “Big Brother” is going to take care of you? Think again my friend. Budget, budget, budget. Get it down and make it a habit and become a success story – like Henry Ford, Walt Disney, Donald Trump and yours truly. Our State of the Art Computer system allows us to serve all of…

Maybe. This past week I sat through a session with a couple who left feeling offended at the truth of their situation. We went through their budget and they could not afford their life style.  Just remember – the numbers don’t lie. If you can’t afford your house in the neighborhood of your dreams than you better get ready to move, get a job or win the lotto. Bankruptcy does not create income – it only manages debt. After an hour or so of “whoa is me” and the usual “pity party” , I cut to the chase with this couple:  What do you want to do? I was direct, professional and to the point. I pulled a credit report (on my dime) and ran…

When you file for BANKRUPTCY IN MICHIGAN there are 3 things that you never do: 1. Never lie. – tell the truth – fraud in an Bankruptcy proceeding is a 2 year felony and up to a $250,000 fine. 2. Don’t make any preference payments or transfers – you can’t prefer one creditor over another and you can’t make transfers – sell things – for less than fair market value. Another biggie that comes up all the time is – You can’t repay loans to relatives within one year of filing.  3. No fraudulent conveyances. Don’t try to hide assets. You will get caught. The transfer will get set aside and the Trustee will take the asset. These are simple rules and they come up…

Here is a sample letter. You will find the proper address on the back of your mortgage statement. This letter is written from a lawyer’s perspective and would require an authorization and release. If you send it yourself, you would not not need a separate authorization and release. You (and your co-borrower – typically your spouse) would sign the request. You would want to send this out before or during the MORTGAGE LOAN MODIFICATION process. All you have to do is “cut and paste” the following: Please treat this letter as a “qualified written request” under the Federal Servicer Act, which is a part of the Real Estate Settlement Procedures Act, 12 U.S.C. 2605(e).   Enclosed please find authorizations for release of this information.   Specifically, I…

Although domestic support obligations and property settlements are non-dischargeable in Chapter 7, property settlement debts are dischargeable in Chapter 13. Settlement agreement language can help determine how a judgment or property settlement will be viewed by a bankruptcy court. Settlement agreements should include a provision contemplating potential bankruptcy by either party. Support provisions and integration clauses creating reciprocal consideration for property settlement provisions can alleviate dischargeability issues. Property settlement agreement language should clarify to a bankruptcy court the parties’ intentions and provide the court with a basis for interpreting the settlement for debt dischargeability purposes. Our State of the Art Computer system allows us to serve all of the Counties and Cities in the North East Michigan including: Saginaw (Saginaw, Frankenmuth, Chesaning, St. Charles, Hemlock,…