As a society, we value marriage. Culturally speaking, there is probably no more important institution than the institution of marriage. I am also happy to see this institution authorized for all members of society not just certain segments of society. But did you know that the one the single most important symbols of marriage, the wedding ring, could be seized to pay ones debts in Minnesota? Crazy but true.

Have you ever heard the expression, “bad things happen to good people?” No where in the law is this more true than in the bankruptcy world. Trust me when I tell you, your clients don’t come to you with overwhelming debt dreaming that would be the position they would find themselves in one day. Nobody grows up thinking some day I would like to find myself divorced, with 3 DWI’s and sure let’s toss in overwhelming debt too.

Roseville MN Bankruptcy and MN Divorce Law find themselves intersecting all the time. It’s almost as if these two areas of law go hand and hand. Debt causes marital strife which leads to divorce. Divorce causes a loss of income to both parties, separate households and therefore separate expenses, and typically debt as a result of the investment in getting the divorce itself; lawyers, custody studies, child support, alimony, and many other expenses associated with getting a divorce. In a lot of cases this all leads to bankruptcy eventually. 

A common question your Eden Prairie MN Bankruptcy Law Firm is asked all the time is do I have to have a minimum amount of debt in order to qualify to file a bankruptcy in Minnesota? The phrase it’s all relative is quite appropriate in answering this question. To a millionaire, 10k is pocket change. To a person making $8.00 per hour, 10k might as well be a million dollars. If I had to guess what the average size of a person’s debt is who comes in to see us a bout possibly filing a bankruptcy case, I would guess it averages roughly $20,000.00. That doesn’t seem like a lot of money if you are making 100k per year but again consider what 20k worth of debt looks like if you pay check every two weeks is only $512.00!?

Continuing on with our theme of the week- the top 5, next we tackle the top 5 questions your Roseville MN Bankruptcy Law Firm is asked. We do this for those of you who would like to know what it would be like to be a bankruptcy client of ours and what questions are commonly asked by our bankruptcy clients. I know that for me, you cannot give me too much information. I take in information like someone is giving me water through a fire hose! At Kain & Scott in Roseville, MN there is no dumb question- at all. We welcome all questions and would be happy to answer them again too! We recognize that this a foreign process to our guests and we want to take the time to answer all questions to your satisfaction. So, without further ado, here are the five most commonly asked questions by our current clients at Kain & Scott.

The Bankruptcy Attorneys in Maple Grove, MN and I spend our workdays meeting with people who are facing significant debt problems. The problems have reached the point where the people I meet with can’t handle their debt. They are in default, in foreclosure, in suit, in garnishment, in levy. They are in trouble. My clients come to me with a range of emotions. But almost all of them share one emotion: they are embarrassed to be here in a difficult financial situation. The stress of the debt they have is part of the feeling they have. But there’s more to this bad feeling than that.

How long will it take? The Maple Grove Bankruptcy Attorneys At Kain & Scott, get this question often. We don’t blame you either. Once you have made the decision to file a bankruptcy, get your life back, and protect your family, you want to get on with it and get this done. Scores of other clients feel the same way. Most former clients felt that the longest part of the process is deciding and agonizing over how to resolve an overwhelming debt problem. However, once they made the decision, and what once they got their lives back, they have all found that they had wished they would have filed bankruptcy much sooner than they did. I suppose it’s human nature to anguish over any problem whose resolution is a word most people would rather not hear- the “b” word or bankruptcy. Now maybe there are better words in the English dictionary, but I can think of far worse too.

I am always struck by the amount of courage people have to face a problem. Oh sure, flowers bloom at different times, and we all open up in our own ways. I respect that. Once you make the decision to file a bankruptcy and get your life back, your work is not over. In fact, selecting a Roseville Bankruptcy Attorney to represent you is just as important as the decision to file a bankruptcy. Why? Because to me, you just made one of the most brave decisions in your life and now, you want the job done right, with dignity and yes, with grace too.

It happens all the time. We receive phone calls from anxious Minnesotans looking at their bills and wondering how in the world am I going to pay these? I am continually amazed at how long good people can hang onto a seemingly hopeless financial situation. It is not that uncommon to see people do it for years, decades even.

When it comes to debt, human nature has a common thread that runs through all of us: we want to pay it. We want to pay all of our monthly bills and yet still have enough left over to eat, keep the lights on, and make the rent/mortgage payment to keep the roof over our heads. Most of us don’t want much beyond this.

Life is humbling is it not? Who among us starts out in life with the dream of incurring overwhelming debt we cannot pay for? Naturally, none of us do. And yet, it happens to 10,000 plus Minnesotans each year. At Kain & Scott, we have been practicing bankruptcy law since 1972. We have never seen a person yet who says something like- hey, I just got back from a fabulous trip with all my friends, using my credit cards, knowing I was going to file bankruptcy when I returned.

I was born near the tranquil backwaters of the Mississippi river in a small Minnesota town, called Foley, Minnesota. I was one of 9 children brought up in a home that was built in 1901 using square headed nails! My dad was a factory worker and my mom was a stay home mom and entrepreneur (she babysat up to five more kids!). We grew up poor but rich with family values and small hometown spirit. I knew growing up we were poor but you never really felt that way. It’s hard to feel poor with a family of 11 growing up in a small town- living a simple lifestyle. Heck, everyone around us was poor too so we didn’t know any better anyway.

I often tell clients that banks don’t care if you pay your creditors. What? How can that be? I thought credit scores and paying your creditors was the most important thing to banks when they look at the decision to either lend you money or not. Turns out, that is not always true. Let’s look at a case study to illustrate the point.

Article I, section 8, clause 4 of the United States Constitution states that . . . ”The Congress shall have the power to establish . . . uniform laws on the subject of bankruptcies throughout the United States . . . ” And so it is that the framers of the Constitution envisioned that the people of the United States would have the right to File Bankruptcy in the United States and that Congress will have the power to establish uniform bankruptcy laws throughout the United States. When you hear of individuals having a Constitutional right to file a bankruptcy, that is a bit of a misnomer. Technically, the US Constitution gives the Congress the power to give you the right it does not give you the right to file bankruptcy directly in the Constitution.

Have you ever had the experience of buying a piece of furniture that was in a box, not yet assembled? Oh how I hate and I mean HATE assembling furniture. You take everything out of the box, lay it on the floor, and think well this doesn’t look that complicated. So, without further ado, you start screwing this together, and that piece with this piece and things are going fairly well. And then it happens, you are 2/3 finished when a piece of the furniture remains and the furniture just doesn’t quite look right- right?

Suffering from overwhelming debt is crushing and draining physically and mentally. When the weight of debt is upon your shoulders you may feel like you are the only one experiencing overwhelming debt. Trust us, you are not alone. Life can be very humbling. Have you ever gone to a medical clinic for an infection? Maybe the infection was in an embarrassing location on your body? I doubt highly the medical professionals find your infection or it’s location interesting at all. In fact, their job is to hear about your problem, see the problem, diagnose the problem, and then solve the problem. This is what to expect when you file wIth our maple grove bankruptcy attorneys.

At Kain & Scott, we get the question all the time, "What happens to my credit score if i file bankruptcy?" It is a question that concerns every Minnesota debtor facing bankruptcy and wondering what the bankruptcy aftermath looks like. I am high anxiety so I would be asking the same question too. Fortunately, what makes up your credit score and how bankruptcy affects it is a lot better than you would think.