As you begin the bankruptcy petition process with your Nassau County bankruptcy attorney, you’ll be asked to file a statement of intention regarding property secured by liens (usually a car or a house.) In essence, you must decide whether you want to keep (and be obligated to pay for) the asset in question, or if you want to give it up.

Most debts are dischargeable under the federal bankruptcy code, so you can choose to relinquish the asset and have the outstanding debt become eligible for discharge. While this may be a prudent move for many types of secured assets, most people are reluctant to part with their personal vehicle because they rely on it for transportation to and from work.

One method that your Nassau County bankruptcy attorney may counsel you on is a Reaffirmation of Debt. This process can help you keep your personal vehicle during the bankruptcy process – but be warned: A Reaffirmation of Debt is a formal agreement that renews your legal obligation to be financially responsible the property in question. The renewed debt also becomes ineligible for discharge.

Reaffirming a debt also involves a few intricacies which your Nassau County bankruptcy attorney will explain to you in greater detail. For example, even if you and the lender agree to the terms of a reaffirmation, the bankruptcy judge can override it if he or she feels the obligation is not in your best long-term interest.

Additionally, even though you obligate yourself to this new contract once you sign it, most states give you a window of opportunity to cancel it if you later reconsider (usually 45 to 60 days, but again your Nassau County bankruptcy attorney will advise you about your particular situation.)

As a matter of routine, most Nassau County bankruptcy attorneys caution against committing to a Reaffirmation of Debt because it undermines the very protections you are seeking to receive by filing for relief. However, in the right circumstances, a Reaffirmation of Debt may be the best course of action for people who have a steady source of income and can commit to honoring an ongoing installment obligation.

It’s important to weigh all the pros and cons before undertaking a Reaffirmation of Debt. A reputable Nassau County bankruptcy attorney will help you weigh your options so you can decide if reaffirming a debt is the right path for you.

When people become resigned to the reality that they will have to file bankruptcy on Long Island, they often assume it’s best to file immediately.

But that assumption oftentimes leads to a misstep – one that can cost you even more in the end. Depending on your circumstances, it may be wise to hold off on your decision to file for bankruptcy on Long Island. A reputable Long Island bankruptcy attorney can help you assess your unique circumstances, and determine whether filing immediately is truly in your best interest.

What are some circumstances where you should probably NOT file for bankruptcy on Long Island immediately?

• You Want to Stop Collections:  If the sole reason you want to file for bankruptcy on Long Island is because you want to stop the incessant stream of collection calls, you can do so under the Fair Debt Collection Practices Act. You need merely send a letter requesting creditors contact you only in writing and cease collection calls at your home or work. An experienced Long Island bankruptcy attorney can help you write (and send) the letter if you feel you need help doing so.
   
• Your Past Income Was High, But Has Since Dipped:  In order to file under Chapter 7 bankruptcy (liquidation bankruptcy), your Long Island bankruptcy attorney will tell you that you need to be able to pass a “means test.” If your past year’s income was higher than stipulated for your state, you are automatically precluded from a Chapter 7 filing. Instead, you will have to file under Chapter 13 (Restructuring) bankruptcy. If your income has dipped within the past six months, however, it may behoove you to hold off and not file for bankruptcy on Long Island now. By waiting six more months, your re-calculated past year’s income will be lower (which may then qualify you to file under Chapter 7.) A reputable Long Island bankruptcy attorney can help determine what timing may be right for you.

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One of the most feared aspects of Long Island bankruptcy proceedings is the “341 Meeting” with creditors. This name is derived from the section of the Federal Bankruptcy Code, 11 U.S.C. 341, that requires a meeting to verify your financial information under oath. These meetings are usually scheduled around 30 days after the bankruptcy petition has been filed.

Most consumers approach this meeting with a sense of dread or apprehension, and one of the biggest reasons for that is the fear of confronting the creditors. However, creditors usually do not appear at this meeting (although they have the right to later contest or dispute any information given in their absence.)

If you have doubts about who will be at the meeting or what will occur, your Long Island bankruptcy lawyer can meet with you ahead of time to discuss the potential events that are likely to unfold, and can answer any questions you have in more detail.

Another common fear is the mistaken belief that you will have to appear before a judge. This is incorrect, as 341 Meetings are presided over by a bankruptcy trustee, not a judge. The trustee will oversee the meeting and ensure that responses are formally put on record.Rest assured, your Long Island bankruptcy attorney will look out for your interests, and advise you as necessary throughout the process.

One of the most pleasant surprises petitioners encounter is that 341 Meetings are usually short (sometimes lasting under five minutes!). While it is a momentous event to you, it’s really just a matter of business as usual for the trustee, who can hear upwards of 20 cases an hour if things go smoothly, as well as your experienced Long Island bankruptcy lawyer who will guide you through the day’s proceedings.

Remember – despite your apprehension, you’ve come this far in the process, and the 341 Meeting is just another step along the path towards financial recovery and freedom. By working with an expert Long Island Bankruptcy attorney, you’ll finish the day that much closer to the final outcome – a fresh start towards regaining your financial footing in life.

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Tests. Not only are they a dreaded part of high school, they also play a critical role in determining eligibility for filing Chapter 7 bankruptcy in Long Island.

Chapter 7 – also known as liquidation bankruptcy – is used for those consumers who have few assets and/or limited means to meet their financial obligations.

Many people mistakenly believe that if they own a valuable asset (such as a home), that they are disqualified from filing Chapter 7. Conversely, some people may think that because they have what they deem to be little disposable income left over at the end of the month, they’re automatically eligible to file for Chapter 7 bankruptcy in Long Island.

There is no hard, fast rule that denies homeowners the right to file for Chapter 7 bankruptcy in Long Island (nor conversely automatically grants those with limited discretionary income protections under Chapter 7 either.)

Instead, the Bankruptcy Court relies on what is known as the Means Test – a formula that takes numerous factors into consideration and then calculates whether a debtor qualifies to file for a Chapter 7 bankruptcy in Long Island.

A Means to an End: Your State’s Median Income

The first step to getting started in implementing the Means Test is to determine whether your income is above or below your state’s median income. In NYC, for example, if you are below the state median then you automatically qualify to file Chapter 7 bankruptcy in Long Island.

If you are above your state’s median, then you’ll need to complete the Means Test in its entirety. The Means Test is merely a formula that deducts certain monthly expenses from your current average monthly income to determine your final official level of disposable income.

Why Use the Means Test?

The purpose of the Means Test is to delineate those who earnestly cannot pay their debts, from those who have some means to do so. Many people want to file a Chapter 7 bankruptcy in Long Island, believing that it will erase all of their debts. While this can sometimes be the case, there are also many instances where this is not so.

Furthermore, for those with assets such as a home, Chapter 7 may not be the right solution for you. Only by working with a competent attorney who handles Chapter 7 bankruptcy in Long Island will you be able to determine which filing is right for you.

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Filing bankruptcy is often a last resort for most people who’ve done everything in their power to try to pay their debts. After exhausting all other avenues of settlement, bankruptcy is often the only viable solution to help people regain their financial footing.

Because of the complexities of the legal system, it’s prudent to seek counsel from a local bankruptcy lawyer in Nassau who can help guide you through the legal process. One key point your lawyer will go over with you is what form of bankruptcy filing is right for you.

Chapter 7 bankruptcy – also known as Liquidation Bankruptcy – is commonly used when the debtor has little property except for basic necessities (such as furniture and clothing.) In order to qualify, however, a petitioner has to have little or no money left after paying basic monthly expenses, but your bankruptcy lawyer in Nassau can advise you in greater detail regarding this criteria. Other things typical of a Chapter 7 filing include:

• - Most unsecured debts can be completely eliminated
• - The process is relatively quick compared to other types of filings
• - You gain the benefit of protection from contact from creditors, both during the filing and after the debts are discharged.
• - Many courts require mandatory credit counseling, which can help you make the most of the fresh start you’re embarking upon.

The process for commencing a Chapter 7 bankruptcy starts with a comprehensive consultation with a bankruptcy lawyer in Nassau, who will begin the process to prepare the petition.

While the benefits of Chapter 7 bankruptcy are grand for those in debt, there are downsides that need to be weighed, including losing most (if not all) of your non-essential assets, having your personal business on public record, and a negative impact on your credit history. That said, Chapter 7 bankruptcy has helped thousands of people regain their financial footing, and a reputable bankruptcy lawyer in Nassau can help put you back onto the road to financial freedom.

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Which One is Right One for You

There are many bankruptcy lawyers in Suffolk County, so how do you choose the best one for you? How do you sift through all of the possibilities, and find the one that will best fight to protect your interests? The one that will always give you the best legal counsel, while treating you with compassion and respect?

 

Many people facing financial difficulties tend to become paralyzed with fear, and wait so long to seek help that oftentimes bankruptcy seems like the only solution. Sadly, many bankruptcy lawyers in Suffolk County are happy to steer their clients down that nice, tidy, formulaic path, because doing so often involves far less work than sitting down with a client and educating them about the many options available to them (as well as the correlating benefits and repercussions for each option.)

 

At the Law Offices of Ronald Weiss, however, we do things a bit differently. We’re among the best bankruptcy attorneys in Suffolk County because we believe in taking the time to truly converse with you, our potential client – to get the facts unique to your specific situation. Only then do we begin to strategize to custom-tailor a plan specifically for you.

 

So remember, when it comes time for you to choose from among the many bankruptcy attorneys in Suffolk County, choose wisely. While all men may be created equal, all bankruptcy attorneys in Suffolk County are not. Call the Law Offices of Ron Weiss today, and let us show you the many options available to you.

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Over the last generation, private employer-sponsored retirement plans have replaced traditional pension benefits programs. This was fine while the going was good and the economy prospering.  The biggest advantage of the plans was that they were so easy – the contribution was deducted from the salary, so not only did people not miss the deduction, they had to do nothing themselves. The problem is that with things so automatic, people did not ever think about what was going on with the money they placed in these plans. Everyone presumed that it would magically appear upon retirement to take care of their post-career days.

 

Unfortunately, this is the real world and there is no room for magic. The banking and stock market collapse of the last few months has caused huge erosion in the values of 401(K) plans and other retirement funds. People, even in up market areas like New York’s Nassau and Suffolk counties are suddenly finding themselves bereft of any form of financial security for their post employment life. While younger workers are actively looking at other savings and investment options, those closer to retirement have little time to find a viable alternative that will allow for adequate resources to accumulate by the time they retire.

 

As a result bankruptcy and foreclosure have become major concerns. These are frightening terms for most people. Rather than bury our heads in the sand, it is better to face up to the facts and find solutions and remedies to the ills that the loss of savings has caused. And the best way to do this is to contact a local bankruptcy lawyer. It is never too early to start protecting yourself from the consequences of the losses you have suffered through no fault of your own. Bankruptcy is not the end. It is merely a stage in our financial life and a good bankruptcy lawyer will be able to help you get over the hurdle with the minimum of difficulty and assist you in finding ways to repair the financial damage inflicted on you.

 

If loss of your savings or other impacts of the ongoing recession have caused you problems with your mortgage payments, contacting an experience foreclosure lawyer in your area is something you should not delay. Foreclosure is a complex issue and with the government implementing innovative programs to help people who are having mortgage problems. Seeking help from an expert may be able to help you to stop home foreclosure.

 

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Speaking recently before the Senate Banking Committee, Federal Reserve Chairman Ben S. Bernanke presented a sobering view of the economy. Mr. Bernanke said if, and the key word here is IF, the actions of the new administration are successful in bringing back financial stability and restoring consumer confidence, 2010 may be the year of recovery.

 

Obviously he could not make any rash promises. The point of contention is that the rescue packages and stimulus plans are a great leap into the unknown. Everything sounds good in theory, but how it will actually work in practice is something that people can only predict, not guarantee. Even as Mr. Bernanke appeared before the Senate, reports of falling housing prices and collapsing consumer confidence kept getting worse.

 

New York seems to be one of the most affected states, with bankruptcies and foreclosures on the rise. Bankruptcy law firms in Long Island NY are receiving and ever growing number of calls from people looking for protection to help them retain what little they have left in the face of this disaster.

 

The fact remains that while all the long term plans for economic revival sound great, the average American family is not looking towards the next year. Rather, they are wondering how to survive the next month. Certainly, lower gas prices have helped and elevated levels of consumer spending have kept the economy afloat, for the most part. But foreclosures and bankruptcies continue to rise. Gas prices have maintained low price along with other day-to-day expenses. The logic is, money saved on day-to-day expenses should be used to pay off mortgages and other debt, but this does not seem to be happening. Perhaps this is because we, as a society, are very dependent upon credit.

 

With people caught between a rock (bankruptcy) and a hard place (foreclosure) it’s not easy to decide which way to go. And with no immediate resolution to our economic woes, unpleasant decisions need to be made and made soon.

 

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We have a new President and he is urging us to keep the faith and hold on until things start to improve. Absolutely! President Obama, despite his recent slip in the ratings, is still looked upon by most Americans as the man who can lead the country out of the morass we are in.

 

The President has been as good as his word and has set the ball rolling with a $787 billion stimulus package, a bank rescue plan and a housing program which seems like a great start. But the question that is causing much debate is, whether this is the right way to go about it and if the funds are going to be properly utilized. We are still hearing of executives padding their paychecks with money that is coming not from their profits, but from handouts given by the government, or, in other words, the taxpayers. They are still flying to meetings in their luxurious corporate jets. No one is saying that commercial activity should stop or that American industry should appear before the world dressed in rags. But have the people who caused this problem in the first place learned their lessons?

 

Even as the measures were announced, more banks appeared to be on the verge of collapse. Federal Reserve Chairman Ben Bernanke recently stated that we probably would not begin to see the first signs of recovery until sometime in 2010.

 

While no one expects a miracle, the question many working class Americans are asking themselves is how long can they hold on? Economic recovery for the country may take a year or two, but they can’t afford to wait that long for their personal finances to improve. The growing number of people you find in the waiting areas of foreclosure attorneys in Nassau County, and bankruptcy lawyers in Suffolk County and so many other places both in and around New York as well as other places in the country are evidence of this.

 

But the fact that these folks are facing up to their financial problems and getting legal advice on what actions they can tale to protect themselves and their families when faced with the prospect of financial disaster is a positive sign. Things will improve; there is no doubt about that. But until the tide turns, wise people in the Greater Long Island area will be consulting foreclosure & bankruptcy lawyers.

 

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Okay, we all know we do it: as Americans, we get pretty set in our ways.  We are accustomed to our particular ways of life, and we notice and raise heck immediately when a change is made.  While at first this might seem like a detrimental factor, it is probably something that keeps our country mostly honest and successful.  We all want the good life, and we’ll work very hard to achieve it; whatever that means for each of us as individuals. With that said, it is surprising that more Americans are not aware of the sneaky little marketing and packaging ploys that are being enacted all across the country.  Since our economy began its slide down this long economic hill, some practices have been established that are shady to say the least.  With all this talk about bear markets and bull markets, elephant parties and donkey parties, we’re missing what the wolves are doing. 

 

Let’s start with the cost and packaging of food as one example.  The wolves know that Americans notice if the cost of groceries increases even nominally.  We depend upon steady prices in order to maintain our budgets.  So when the cost of transportation and other services went up, grocers knew they had to pass on the increases to consumers.  But they had to do it without anyone noticing, and they knew precisely how to do it.  You know the 24oz box of cereal you buy for around $4?  Well, the packaging looks the same, and the price is the same, however, guess what?  It’s now only 20oz.  There’s no notice of this, of course.  Just a subtle change that causes you to wonder why it seems like the box is empty sooner.  But hey, you’re paying the same amount, so for the most part, you don’t notice.  The problem with this complacency is that the grocers have done this just about all groceries.  The normal content of just about everything has been reduced, while the price stays the same.  So as a whole, you’re taking a pretty big hit when you go to the supermarket, considering that you’ll be there again sooner than expected. 

 

This is not only occurring in the supermarket.  In the car sales industry, there are similar tactics at work.  Take for example traditional deals like $2000 cash back on the purchase of a new vehicle.  This has been a standard incentive at most car dealerships for quite literally decades.  But suddenly, the deal has changed.  That cash back award has been changed to a $1500 gas card.  The wolves figure that because gas is such a prominent topic today they can appeal to our desire to obtain the most “bang for our buck.”  They count on the fact that we won’t consider that we’re getting $500 less; that if we could still get the previous deal, we could buy $2000 worth of gas.  In this, the wolves are right, because very few people are really noticing.  In fact, gas cards are quite popular incentives with many major and minor purchases now.  So, before you lay your cash down or swipe your card, take a look at the content of what you are purchasing, and look for changes.  It might not make you happy, but at least you will be aware of what’s happening, and be able to account for that in your budget.  This simple step of awareness can be quite beneficial.  Especially for people in high cost of living places like New York, it could go a long way to preventing financial trouble such as a bankruptcy and foreclosure.

 

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