In Minnesota, owning a cabin is the ultimate dream. You have likely saved up for many years to be able to buy one, but now a recent financial crisis (i.e. job loss, medical bills, divorce, etc.) has made it hard to keep up with all of your bills. You may be worried that if you file for bankruptcy you will need to sell or let go of your cabin that you worked so hard to buy. However, when you file bankruptcy, you do not lose all of you assets as many people believe. In most cases, debtors are able to keep their assets while eliminating their debts.

In Minnesota, owning a boat is a rite of passage. You have probably saved up for years to be able to buy a boat but now a recent financial crisis (i.e. job loss, medical bills, divorce, etc.) has made it difficult to keep up with your bills. You just do not have any money left over each month after paying your necessary living expenses to pay your debts. You are worried that if you file for bankruptcy, you will lose your unnecessary assets such as your boat. You do not need to worry. Many boat owners file for bankruptcy relief and keep their boats they’ve worked so hard for.

Not all debts are the same.  Some debts are unsecured (i.e. credit card debt) while some debts are secured (i.e. mortgages).  Most people think of a mortgage as “good” debt because as you pay this debt down, you are increasing your net worth because the equity in your home is increasing. Furthermore, a mortgage is a debt that has a purpose — to provide a home for you and for your family. 

It is easier than you think to get into trouble with credit cards. You begin with one card and before you realize it, you have several credit cards with substantial balances. You may have several major credit cards in addition to store credit cards. Retailers entice customers to open an account by offering a discount on your first purchase. Of course, you only receive this discount if you charge the purchase on your new account. You open the account to “save money” with the intention to pay off the credit card next month. Unfortunately, many people find themselves making the minimum payments even though their intentions were to avoid them. By the time the balance is paid off, you have paid more money in interest than you saved on your first purchase.

Face it, in today's world, credit is almost always necessary. From buying a house, financing a new vehicle, or paying for higher education. The key is to manage credit wisely after bankruptcy. Some people believe that if they file bankruptcy they will never be able to qualify for credit again, but this is not true.

What is Debt Consolidation?

If you are struggling with debt, you may have considered debt consolidation but are unsure if it is right for your situation. Furthermore, you may be confused by the various types of debt consolidation. In its basic form, debt consolidation  combines several debt accounts into one monthly payment. For some people, this may be an affordable solution to debt problems; however, you should only make this decision after discussing all of your options with an experienced attorney.

Congratulations!  You have completed your bankruptcy case. You have taken the first step in improving your financial well-being for you and for your family.  Most debtors feel an overwhelming sense of relief when they complete their bankruptcy case.  They are free from the fear of losing their property, the anxiety of dealing with creditors and debt collectors, and the sense of hopelessness of never being able to climb out of debt. While you may be a little nervous about spending money, it is also a wonderful feeling to know that you can now afford the necessities your family needs. You can now focus on your life after bankruptcy rather than worrying about how you will pay your debts.

Taking the step to meet with an attorney for a free bankruptcy consultation is the first thing you should do on your road to getting your finances under control. Many lawyers provide a free bankruptcy consultation to help you decide what is right for you and your situation. The bankruptcy consultation is an opportunity for the attorney to evaluate your financial situation in detail in order to provide affordable solutions to your debt problems based on the attorney’s vast knowledge of bankruptcy law and his experience helping people solve their financial problems.

Are you struggling to pay your bills each month with less and less money?  Are bill collectors harassing you for payment and are creditors threatening lawsuits, foreclosure, or repossession?  If so, you should consider filing a bankruptcy case to resolve your debt problems.  Making the decision to file bankruptcy may not be an easy process; however, with the right Roseville bankruptcy attorney, the process and experience of filing a bankruptcy case can be less stressful than you may think.

Prior to the enactment of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), the bankruptcy Means Test did not exist.  The purpose of the Means Test was to help prevent bankruptcy fraud by preventing individuals with higher income levels from filing a Chapter 7 bankruptcy to discharge their unsecured debts.  Creditors lobbied congress to pass the Means Test as a way to require individuals who DO have disposable income to pay back some of their debts in a Chapter 13 case instead of filing for a Chapter 7. Requiring those with disposable income to pay back  a portion of their debts in a Chapter 13 case provides a safeguard for creditors and reduces bankruptcy fraud.

Almost  every person who comes into our office for a free bankruptcy consultation with one of our attorneys asks the same question, “Will I lose property if I file a bankruptcy?”  After our attorneys address this common bankruptcy question (most debtors keep all of their property), one of the next common follow up questions from the person is, “Is it difficult to buy a car after bankruptcy?”

Eliminating calls from creditors, reducing finance charges, lowering interest rates, and only having one debt payment to worry about each month sounds wonderful to someone who is struggling to pay his or her debts.  That is exactly what debt consolidation companies promise clients.  Debt consolidation companies promise to cut years off your debt payments, help reorganize your debt, alleviate your stress and anxiety, and improve your financial situation. 

One of the most common questions that we are asked is, “If I file bankruptcy, will I lose all of my property.” A common misconception is that if someone files bankruptcy they will lose his or her property. Unfortunately, the fear of losing property keeps many people from seeking the debt relief that bankruptcy provides.

Have you fallen behind on your mortgage payments and the mortgage company is threatening foreclosure?  Have you been served with a foreclosure complaint or is your home scheduled for a foreclosure sale?  If so, you are not alone. You are one of thousands of people in Minnesota who are facing losing their home through a foreclosure process.

Maple Grove, MN was founded in 1858 and is located in Hennepin County with an estimated population of 68,119. It is a vibrant part of the Minneapolis-Saint Paul metropolitan area with many retail, dining, cultural, and entertainment options.  The city is also home to research, development, and manufacturing facilities. With a median household income of $92,188 and a strong commercial presence, the city is attractive for anyone looking for a stable economy and ample job availability.

Many people ask us, “Will filing bankruptcy affect my spouse’s credit?” This is a common question we hear in our law firm when one spouse needs to file a bankruptcy case but the other spouse does not. The concern that one spouse’s debt problems will negatively affect the other spouse is a normal concern; however, there are many cases where one spouse can file bankruptcy and the other spouse is not affected at all.