CAN I KEEP MY HOUSE, CAR, TAX REFUND, ETC?
Most of the time, yes you can.

Homestead

When you file a bankruptcy, you are allowed to keep a certain amount of property so that you don't end up on the streets. We want you to keep your home, your clothes, your furniture, and car so that you can go to work and stay off of welfare. Your home's value minus the debt is your home equity. You are able to keep a portion of that equity, depending on your age, family size, income or any disabilities. That portion of the Equity is called by law, your homestead.

If you want to keep your house, you do have to pay for it if there are loans.

Trained Real Estate Professionals from Credible Referral Sources

What you may need is a Referral to the Right Real Estate Professional. Often you may need to do your level best to preserve your credit rating. You may be planning to open a business or to expand a present enterprise. You may be planning to buy a rental house or an investment property. You may be planning to move to a better neighborhood or when your present job ends. Buying houses and investment properties requires you to have the best credit rating you can have.

After a Bankruptcy even if you were to go through Credit Repair and get the Bankruptcy taken off of your credit report, you would still have to disclose that you did one for several years into the future. Not disclosing it would be a material omission of a fact that could change a lender's reliance on your credit worthiness. In other words, leaving it out if you've done it would be fraud. So, it may sometimes be better to avoid a bankruptcy to preserve your credit rating.

Nevertheless, in most cases it should only take you as little as two to three months to bring your credit Score High enough, even after a Bankruptcy, to buy real estate, and that's if you work slow.

Home Loans to Pay Credit Cards

Over the last dozen years I have seen so many people who have taken out 2nd mortgages to pay off credit cards. Then they run up the credit cards again and end up calling me anyway. If you're going to do a 2nd mortgage to pay your credit cards, make sure you also close most of them at the same time. You can prepare letters that escrow can mail at the same time as the checks to your credit card companies requesting that the accounts be closed. If you don't owe a lot of money, it's a good way to preserve your credit rating.

However, if you owe a lot of money and it's going to eat up a major portion of your home equity, CALL me before you sign your Closing Papers.

Occasionally, it may make more sense to file Bankruptcy the first time around. If you're happy with your house, neighborhood and career and you are not planning any major changes to them in the next couple of years, I can help. I can help you keep the house, get rid of the cards and now your monthly payments go down by the amount of the monthly payments on the cards without adding a 2nd mortgage, the nest egg is protected and the cards are all closed automatically.

Perhaps you may need to save your equity

When it comes to retirement, paying off your home may be more important than your ability to refinance your home. At retirement time, if your home is paid off, you won't need to refinance it to lower the payment to below zero. By then you may prefer to have discharged your credit cards through bankruptcy rather than shifting the debt to your house. We don't know what's going to happen in the stock market except that another crash is probably on the way. We do know that your house will probably still exist. If there's a crash, you can't eat a 401k plan but you can plant a garden.

Don't feel bad about filing

Whatever your circumstances, medical bills, divorce, work related injuries, or maybe you just slowly got behind while an expected income wasn't realized. In the Bible the Jubilee is celebrated and all debts are forgiven. Under today's laws you just pick which year is the right Jubilee year for you.

And what about Estate Planning?

What will you leave your children? Why do an estate plan if there is no equity to fund the plan? If you got hit by a truck tomorrow, would you rather leave your small children a home that can fund their college educations and start in life, or would you rather leave them a second mortgage?

Once Your Bankruptcy is all Over, What then?
Don't Gamble on Your Credit!
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