Bankruptcy and Other Debt Alternatives

Butler County bankruptcy filers wrestle student loans

2011-10-29T14:00:00.000-07:00

Getting rid of federal student loans in a chapter 7 filing is not an easy process. First, it requires expensive bankruptcy litigation so get your wallet out. But wait a minute- you probably don't have any extra money.

Second, you will sue the United States Government who will defend the action. An Assistant U.S. Attorney General will show up in court likely on behalf of the U.S. Dept. of Education. So do not think you will get a default judgment. Your case will be time consuming for you and your attorney.

Now, per the statute, you have to prove to the court it would be an undo hardship to repay your loan back. There are judicial opinions on the issue which establishes hurdles of standards that you must meet. Occasionally, debtors can get a partial discharge or discharge if you carry your burden of proof.

For more information, visit www.getreallylegal.com

Bankruptcy or Out of State Debt Settlement-Debt Negotiations

2011-09-05T04:54:00.000-07:00

Many folks look at bankruptcy as a last resort option which I understand. However, that is not a reason to run headlong into something that defies your own common sense. At our free bankruptcy consultation, we listen to your questions and take the time to discuss other options including debt settlement. While our office offers debt settlement services, it is not the best option for everyone.

Here are some debt settlement tips for Cincinnati and Northern Kentucky bankruptcy and non-bankruptcy clients:

1. Debt settlement with an out of town online company or law firm that you give your bank account number to is a terrible decision! Ask anyone on the Internet re: reviews. If it was such an upstanding business, there would be offices all over West Chester, Cincinnati and Boone County! Beware of a company if it is in Florida or California, or both.

2. Unless they can settle each and every account that might sue you, then you will have wasted time and money paying debts that could have been discharged in Chapter 13 or chapter 7. In other words, they have to bat 1.000. Unless you have two or three or maybe four creditors, the odds of everyone participating and or settling are unlikely.

3. While I don’t get to see the success stories, what happens with my experienced clients is that they pay and pay and pay and then after 6-12 months one creditor refuses to work with the debt settlement company and instead sues the client! That leaves me to ask, "Who cares how many were settled successfully when 25% of your wages are being garnished for months and you now have to pay someone else to file for bankruptcy protection?" Its an all or nothing game, in my opinion.

4. What angers me is that while they are being sued, the out of state debt settlement company or "law firm" strings them along for just one more payment alleging that they are in contact with the suing creditor. However, they are not allowed to represent you in litigation if they are not licensed in Ohio-see para. 1. They have your lump sum money and you play heck trying to get it back without them taking another $2200-3000 fee to close the account.

5. Now there is a garnishment pending, and I am contacted to discuss the bankruptcy strategies and stopping the debt settlement company from raiding your bank account.

6. I understand the lure of this non bankruptcy option. See if you can find a local debt settlement company with the same business model. I bet you can't. Why do you think that is?

7. If you must go it alone, Google your debt settlement company's name(s) for consumer complaints, state investigations and criminal charges.

http://www.bankruptcylawyerincincinnati.com/ will be here to help.

Joseph Beth Bookstore Files for Chapter 11 protection

2010-11-16T18:02:00.001-08:00

The writing is on the wall. I was just commenting in the hallway today re: a telemarketer from Texas trying to sell me a legal treatise for $149.99; who is buying books anymore? Last night at dinner, we discussed whether children who will go to college in the next few years will need to buy textbooks or will it all be computer based? I have been a fan of audiobooks for a while and I the last book I purchased was a diet book(the spine of which is still uncracked).

I really enjoy Joseph Beth Bookstore in Norwood's Rookwood Pavillion. The Bistro is more than a coffee bar and has superior food and baked goods, and I like the layout of the store. Hopefully, they can successfully reorganize in a chapter 11 plan and continue to be an asset to the community.

Veteran's Day and Freedom

2010-11-11T07:21:00.000-08:00

THANK YOU VETS! I enlisted in the Army at age 17 and I am proud to say after 26 years I currently serve as a "weekend warrior" Lieutenant Colonel. As a veteran, my family and I understand some of the hardships of servicemembers and their families. We were blessed in that others faced much more adversity. We experienced many emotions and misery at times. When it was all said and done, we got through it with the help of co-workers, friends, family, church and veterans’ organizations(American Legion, VA, etc.).

Financial hardship is also an emotional and sometimes miserable experience for families but there is help. I encourage you to seek personal help from the above to get through any financial issues you are having. Not necessarily for monetary help, but sharing your struggles with someone you trust can reap benefits and help you find clarity and freedom.

To help work through your financial hurdles, our office offers a free consultation, whether its bankruptcy or a non-bankruptcy option.

Beware of HAMP loan modification offers from third parties!

2010-10-13T09:50:00.000-07:00

A HAMP loan modification can be a non-bankruptcy alternative to stop a foreclosure, or part of a bankruptcy strategy. While much is written on "HAMPs" I wanted to warn consumers about shady practices from some "fly by night" HAMP assistance companies.

Bottom Line: HAMP loan modifications were designed to be completed between the current borrower and current lender without a fee, and without a third party.

Exception: Because most bank's are not staffed to process these loan modifications ( and it goes against their business model) they are not very good at it. If you cannot wait, call me and I will try to find you a local attorney that can process your HAMP loan modification.

Ryan Ruehle 513-621-0999

P.S. Never allow non-local service companies to withdraw automatically from your bank accounts. If a business is legitimate, there is likely someone locally providing the same type of service; someone who cannot merely hide behind a disconnected phone after they have ripped you off. Face to face and local helps prevent consumer fraud.

Stopping Foreclosures- Saving Your Home

2009-12-31T13:33:00.000-08:00

Entire websites are devoted to this topic so I will try to summarize how a bankruptcy can keep you in your home.

Chapter 7- This proceeding can stop a foreclosure temporarily and give you at least 30 days in most jurisidictions to move out and surrender the home, or if you are lucky, work out a loan modification with the lender so you can save your home( very unlikely but possible).

Chapter 13- The better choice to save your home and reorganize your debts. Your past due mortgage payments are spread out over 3 to 5 years so you can take your excess income and pay the bank back.

BANKRUPTCY AND TAX REFUNDS

2009-12-29T08:04:00.000-08:00

Many clients who are seeking debt relief in bankruptcy proceedings are surprised to find that if they file a chapter 7 or chapter 13 their annual state and federal income tax refunds are considered an asset of the bankruptcy estate. The question often asked: ”Is the court going to take my tax refunds?” The short answer is it depends.

Kentucky residents filing chapter 7 have generous bankruptcy exemptions and depending on many factors can usually keep most if not all of their tax refunds.

Recent changes in Ohio law now exempt income tax refunds portions derived from the child tax credit and the earned income credit. For many, this is the main source of the their tax refund dollars and Ohio clients filing chapter 7 normally get to keep this portion of the refund and more.

Depending primarily on when they file their petition, Chapter 13 Ohio and Kentucky clients reorganizing their debts can retain their tax refund or pay it into the plan.

Eye Opener Number One

2009-11-09T09:41:00.000-08:00

Good Morning,

Just a quick "mic check" to ensure this blog is up and running. I am Ryan Ruehle and I have been licensed in Ohio and Kentucky courts for over ten years. I hope this blog will benefit you as we explore general topics involving consumer and small business bankruptcy for which I have a passion.