Bankruptcy, Foreclosure & Loan Modification Blog

Three Ways to Avoid Foreclosure

When a homeowner cannot afford to make his or her mortgage payments, the home may go into foreclosure. In short, this means the homeowner’s mortgage lender takes possession of the home. However, this is not an instant process. The foreclosure process can take close to a year to complete in Illinois and early in the process, a homeowner can reverse the process and keep his or her home....
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Sexual Abuse Survivor Group Rejects Archdiocese’s Chapter 11 Bankruptcy Plan

The Archdiocese of Saint Paul and Minneapolis has filed for Chapter 11 bankruptcy and submitted a reorganization plan after facing multiple sexual abuse allegations. In a reorganization plan, the filing party’s creditors can make comments about the proposed plan and either accept or reject the plan’s terms. Whether these are incorporated into the final approved plan or not is at the discretion of the bankruptcy court overseeing the case....
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Why Do Americans File for Bankruptcy?

The answer to this question can seem obvious at first. Americans file for bankruptcy because they have large debts that they cannot repay without help. For these individuals, Chapter 7 and Chapter 13 bankruptcy can offer some financial relief. You might be wondering what causes these filers to get into such debt in the first place. Is it our consumer culture? Stagnant wages? A lack of foresight?...
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What Will I be Asked at My Creditors’ Meeting?

The bankruptcy process has multiple stages. You must meet certain requirements before your case can be finalized. One of these requirements is the meeting of the creditors, also known as a 341 meeting. This meeting is part of the process for both Chapter 7 and Chapter 13 bankruptcy cases. At this meeting, the filer and his or her bankruptcy trustee meet with his or her creditors to verify certain pieces of information about the case. It is mandatory for the bankruptcy filer to appear at his or her 341 meeting....
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Pawn America Files for Chapter 11 Bankruptcy

Pawn America, the largest pawn shop chain in the Upper Midwest, has filed for Chapter 11 bankruptcy. The bankruptcy comes after 26 years of operation in four states. According to the company’s bankruptcy filing, it owes somewhere between $10 million and $50 million to its creditors. Most of this debt is from the purchase of fixtures, furniture, and equipment used in its stores....
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Which Debt Collections are Not Halted by the Automatic Stay?

When you file for bankruptcy, an automatic stay goes into effect. This is a legal order to prohibit your creditors from continuing their collection attempts while you focus on working through the bankruptcy process. Do not assume that the automatic stay means that you are no longer liable for your debts or that your creditors cannot resume their collection attempts. Certain debts are not affected by the automatic stay, and in some cases, creditors for debts that are affected can file for relief from the automatic stay....
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What if I Do Not Qualify for Chapter 13 Bankruptcy?

If you are struggling with an intense level of personal debt, consider filing for bankruptcy. Individuals in this situation can file for Chapter 13 or Chapter 7 bankruptcy, depending on the chapter for which they qualify. Often, it is easier to qualify for Chapter 13 bankruptcy, but this is not always the case. Consider Chapter 7 Bankruptcy...
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Payless Shoes to File for Bankruptcy and Plans to Close 500 Stores

Payless Shoesource, Inc., a mall staple and go-to shoe supplier for consumers across the country, has announced that it will file for bankruptcy as soon as early April 2017 to address its $655 million debt. Much of this debt is outstanding payments to Chinese factories, which sparked protests at a container freight station in Xiamen, China....
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What is Chapter 22 Bankruptcy?

You might have recently heard or read that Radio Shack filed for “Chapter 22” bankruptcy. This is not an actual chapter of bankruptcy. Rather, it is a euphemism used to refer to a company’s second bankruptcy, playing on the idea that two Chapter 11 filings equal one Chapter 22 filing....
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  • Newland & Newland LLP, Attorneys, Arlington Heights, IL
  • Lawyer.com