Healthcare these days is getting more expensive. Your medical bills are usually unsecured debt. And the peculiar thing about medical debt is that they are ongoing, especially the expensive ones. You see the doctor and you are directed to have additional tests and treatments, followed by consultations with specialists and then come the prescription charges. Should your medical bills increase to the point where they are a debt you cannot bear, you may want to consider filing for bankruptcy.
Usually, it is advisable to seek other means of paying medical debts before filing for bankruptcy. You can look around for more reasonable medical fees, discounts on medicines or seek the help of non-profit advocacy groups. But suppose you have already taken these steps and still find yourself drowning under the weight of medical debts. Then you should consider bankruptcy.
The thing about medical debt is that it is not likely you will be allowed to file for bankruptcy only to clear your medical bills alone. You would be required to include all other debts also, including back taxes, credit card debts, personal loans etc.
It is strongly advisable for you to seek the legal counsel of a bankruptcy lawyer to discuss the timing to file for bankruptcy. As I mentioned above, medical debts are ongoing and bankruptcy only discharges your medical debts incurred up to the point of your bankruptcy filing. So if you file for bankruptcy too early you may be left with a large amount of medical bills incurred after the bankruptcy that cannot be discharged.
So call us at (813) 200 4133 for a free consultation on how to best eliminate your medical debts (and other debts) through bankruptcy.
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Filed under Chapter 7 (Tampa) by on Jan 27th, 2012. Comment. 
One of the main sources of unsecured debts for bankruptcy filers is credit card debt. Since the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) was passed in 2005, more restrictions have been put in place to making a bankruptcy filing. This is to prevent anyone from simply filing for bankruptcy and getting all their massive debts written off without paying for them. Thus with the enforcement of the BAPCPA in 2005, credit card issuers now have more clout in your bankruptcy. For one thing, credit card issuers can now block your bankruptcy filing.
It is to the best interests of credit card issuers to file a dispute to prevent you from filing bankruptcy so that you are compelled to pay up all your credit card debts. With this new right they have afforded them by the BAPCPA, credit card issuers will find just about any excuse they can think of to block your bankruptcy. So here’s what you can do to stop their actions:
1. Use only one credit card
If you need to make your purchases of necessities like food or gas, try to make them all using only one card. If that is not possible because of credit card limits, try to use as few cards as you can because one of the reasons the bankruptcy court can use to throw out your bankruptcy filing is multiple card usage to jack up your debts. Also make sure you keep your credit card statements and purchase receipts so that you can prove the necessity of your purchases.
2. Get a refund for luxury items purchases
According to the law, you will be scrutinized for your credit card spending for up to 90 days prior to your bankruptcy filing. So if you have made purchases of non-essential luxury items within that time, you may want to consider returning the items to reverse your credit card purchases and reduce your debts.
3. Keep credit card debt to a reasonable limit
Generally the limit at which the credit card issuers dispute your bankruptcy filing is $10,000 of debt. So try as far as possible to keep your credit card debt to under $10,000. Of course, the amount of credit card debt you hold should be as low as possible. And while this is not an absolute figure, it is a good gauge of how much debt is too much in the eyes of credit card issuers. However, take note that credit card issuers can technically file a dispute to your bankruptcy no matter how little or much you owe them.
So take note of these factors when filing for bankruptcy. If you wish to file for bankruptcy, contact us at (813) 200 4133 for a free consultation.
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Filed under Chapter 7 (Tampa) by on Jan 24th, 2012. Comment.
If your wages have been garnished by the IRS due to non-payment of taxes, there may be a way to eliminate the garnishment. Obviously, the best way to stop wage garnishment is to pay off all your existing taxes. However, if your wages have been garnished in the first place, it probably meant that you could not afford to pay off your taxes in one lump sum. So if paying off your taxes is not possible, what other option is there?
The other option is to apply for a payment plan that puts you in good standing so that the garnishment assignment stops. Yet another option is to make an offer in compromise to the IRS. An offer in compromise is an offer of paying the IRS less than what you owe based on what you can afford.
Another option is to apply to the IRS for your tax debt to be declared uncollectible. This can only be considered if the garnishment of your wages leaves you with insufficient funds to support yourself and your family. The process of applying for this may delay collection efforts until your financial situation improves but it is up to the discretion of the IRS to approve your application.
The final option to stop your wage garnishment is to file for bankruptcy. A bankruptcy filing may either stop your garnishment temporarily or permanently.
These are your options to stop your wage garnishments. Call us at (813) 200 4133 to discuss which option is best for your situation.
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Filed under Chapter 7 (Tampa) by on Jan 23rd, 2012. Comment.
If you wish to file for bankruptcy, it is highly advisable that you hire a competent bankruptcy attorney instead of filing for bankruptcy by yourself. But as in any profession, there are good bankruptcy attorneys and there are bad ones. A good bankruptcy attorney is a dream to work with but a bad one…well, let’s just say you will wish you never met him.
Here’s what a bad bankruptcy attorney looks like:
1. Exorbitant fees
If the attorney charges sky high fees, it should raise a red flag with you. But that does not mean you should hire the cheapest lawyer in town. Most times, you get what you pay for. Attorneys who bank on undercutting their rates just to secure the most number of clients will not be able to give you the necessary attention your case needs. The best thing to do would be to do some due diligence on what the general rates are among most bankruptcy attorneys and if you find one that is either way above or below the norm, you should avoid him or her.
2. Hidden fees
When discussing your case with the bankruptcy attorney, be sure to bring up the question of fees and ask him or her to explain a breakdown of the fees. You have a right to question what every charge is for. And you should avoid bankruptcy attorneys who are not upfront with how much they will charge you.
3. Pushy attorneys
If you come across a bankruptcy attorney who seems pushy and wants you to sign a contract as quickly as possible without giving you enough time to go through it, you should be wary of him or her. It is legally required of all bankruptcy attorneys to outline all parts of a contract to you so that you thoroughly understand it before you sign the dotted line.
4. Incompetent attorneys
Bankruptcy can sometimes get rather complicated. So if an attorney does not have enough experience handling bankruptcy cases, it would be better if you look for someone else. In your research, ask the attorney about his or her past cases. Look up his referrals of past clients and look through his credentials in independent attorney rating services like avvo.com.
If you need advice about bankruptcy or are looking for a competent bankruptcy attorney, call us at (813) 200 4133 for a free non-obligatory consultation.
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Filed under Chapter 7 (Tampa) by on Jan 20th, 2012. Comment.
Filing for any type of bankruptcy is a major decision that will have repercussions in your life for many years. That is why it is important not just to hire any lawyer but to hire a competent and qualified bankruptcy lawyer. A competent bankruptcy lawyer can be a great strength and asset to have on your side in your fight to fend off creditors and pay off your debts. A good bankruptcy attorney can not only guide you through the bankruptcy process but also help protect your assets and advise you about what to do with unreasonable and difficult creditors.
When choosing a bankruptcy attorney, you should do a few things starting off with asking friends or family members who have filed for bankruptcy before for advice. Someone who has gone down the road you are taking will not only be able to empathize with you but also recommend a good lawyer to you (or tell you which ones to avoid).
If you do not know anyone who has filed for bankruptcy personally, you can do an online search for a bankruptcy attorney. Get all the preliminary information about a lawyer from his or her website. Go to lawyers’ rating agencies like AVVO (www.avvo.com) and read the independent ratings and comments of the lawyers you think are good bankruptcy lawyers. Also read past clients’ comments on these lawyers. After doing your due diligence online, shortlist all the good lawyers and call the ones you think can potentially represent you and request for a consultation.
You should not limit yourself to choosing an attorney that is only within your city. These days, it is easy to communicate with anyone even from another state. We have had clients from outside Florida who we have successfully represented as bankruptcy attorneys. So from your shortlisted list of lawyers, call each of them for a consultation. If an attorney will not see you or if you have to jump through too many hoops to get a consultation with an attorney, then you should strike that attorney off your list. Most good bankruptcy attorneys will see you once you have made an appointment and most will grant you a free consultation. If not, simply move on to the next bankruptcy lawyer.
When discussing your case with the bankruptcy attorney, be sure you ask about the fees. Then compare fees among lawyers. You do not necessarily have to go for the lowest fee, but it is a valid factor to bear in mind when making your final choice of bankruptcy lawyer.
If you are looking for a bankruptcy attorney to represent you, call us at (813) 200 4133 for a free consultation.
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Filed under Chapter 7 (Tampa) by on Jan 16th, 2012. Comment.
