Tag Archives: Joseph Wrobel Limited

Mortgage Relief During Coronavirus Financial Crisis

Mortgage Relief During Coronavirus Offers Several Options

Many Chicago area and suburban residents are wondering how they are going to pay their rent and mortgage payments after losing their income sources and suffering financial losses because of the Conoavirus outbreak. Many businesses remain shut down with no clear indication of when they can and will be able to reopen. But in the meantime, the rent and mortgage still have to be paid or many are going to face evictions and foreclosures.

Just as the Coronavirus spread quickly, the financial aid packages and options are being put together and offered to people quickly. What also comes along quickly are utility, food, gas, and grocery bills. Some people are trying to stretch limited resources and are trying to figure out whether to keep the lights on and food on the table, or make their mortgage or rent payment on time.

Homeowners with equity in their homes can use that equity to do a cash-out refinance and use the money to pay bills. This may also be a good time to refinance your mortgage and lower your monthly payments.

CBS News Offers Information on the Government Stimulus. Watch -> Stimulus Checks: Who Gets One? Who Doesn’t?

Bank of America Offers Mortgage Relief During Coronavirus Crisis

The payments will be added to the end of the loan term, but small business and consumer clients can defer their mortgage payments using a Bank of America program designed to help their customers who need mortgage relief during Coronavirus financial crises such as business shutdowns and interruptions to income for businesses forced to close their doors and send employees home.

Here is a link for Bank of America Payment Deferral Requests

Each request for mortgage loan deferments will be made on a case-by-case basis. Bank of America customers can also defer payments on things like small business loans, automobile loans, and credit card payments, for those customers who qualify for Coronavirus financial relief.

What are Governments Doing to Help with Rent and Mortgage Relief?

The city of Chicago will give residence who have suffered to pay rent and mortgage payments, $1,000 grants, on a one-time basis. Chicago Mayor Lori Lightfoot announced the COVID-19 Housing Assistance Grant on Friday, March 27th, for Chicagoans who lost their jobs or have been financially impacted by the Coronavirus pandemic. The city of Chicago Affordable Housing Opportunity Fund is the source of $2 million in payments to residents in need to keep them safe and secure.

See the City of Chicago Coronavirus website to apply for rent and mortgage relief

Fannie Mae, Freddie Mac, and the Federal Home Loan Banks are working on relief for people impacted by the Coronavirus. If you cannot pay your mortgage, loans owned by Fannie Mae or Freddie Mac may be eligible for deferments on mortgage payments. Qualifying applicants for relief will not incur late fees, have reported delinquencies or foreclosures or legal proceedings while in payment deferment.

For more FHA Coronavirus assistance information click here or contact our mortgage servicer as soon as possible.  

Options for Mortgage Relief Through Private Companies and Banks

In this article, we offer an overview of different financial relief options for Coronavirus mortgage relief, but this is not a complete list of all the options. Most major banks and commercial mortgage lenders have some sort of program available to help people defer their mortgage payments until they can afford to make on-time payments after the Coronavirus outbreak is over and people are back to work.

It makes sense for lenders to offer these options because the people who suddenly cannot make their payments are a good credit risk. If they had good jobs before they will have good jobs again. While financial recovery might take longer for some, there is light at the end of the tunnel and most of the mortgage lenders will get financial assistance of some sort for themselves.

Landlords Want to Be Paid, May Owe Their Mortgages, and May Be Lenient

While some landlords own their buildings in full, many have mortgages to pay. Talk to your landlord about financial concerns and see what they have to say. For all you know, they have a little room with making their mortgage payments because of the Coronavirus and they might be able to wait longer than usual for you to make your rent payment. Many landlords of Chicago area rental buildings want to keep good tenants who regularly pay their rents when things are normal, and right now things are not normal.

Bankruptcy May Also Give You Mortgage Relief During Coronavirus

Bankruptcy can also be an option to keep your home. If you already had mounting debts and credit cards you couldn’t pay, a Chapter 13 reorganization bankruptcy might be a good option for you, and it will allow you to keep your house and take three to five years to get caught up on your mortgage and financial obligations.

Joseph Wrobel is an experienced Chicago Bankruptcy Attorney who can help you figure out if you should take advantage of either Chapter 7 Bankruptcy or Chapter 13 Bankruptcy, to save your car, home and sanity during this unprecedented time.

Call the Chicago Bankruptcy Law Firm of Joseph Wrobel, Ltd. for Mortgage Relief During Coronavirus at (312) 781-0996

COVID-19 Coronavirus Bankruptcy: Save Your Home, Car, and Possessions

Chapter 7 and Chapter 13 Relief for COVID-19 Coronavirus Bankruptcy Business Closures

COVID-19 Coronavirus Bankruptcy filings are expected to increase. You should know your rights and options in the Bankruptcy Code if you need financial relief from debts you cannot pay. This is NOT YOUR FAULT. Many of your friends and neighbors know someone who is affected by the government-forced business restrictions and shutdowns. So many of our residents live paycheck to paycheck and they rely on consumer spending to pay for their bills and feed their families.

Find local information about COVID-19 Coronavirus on the Illinois Department of Public Health website. See also the City of Chicago Coronavirus Response Center.

Chicago Bankruptcy Attorney Joseph Wrobel will help save your home, save your car, and save your sanity when financial emergencies threaten you and your family. Call Attorney Joseph Wrobel now (312) 781-0996.

What to Expect in the Next Several Months Following COVID-19 Coronavirus Business Shutdowns

There will be an increase in bankruptcy filings in the coming months due to COVID-19 Coronavirus-related company layoffs, closures, payroll reductions, dramatic drops in the stock market, and self-quarantines.

We do not know how long the COVID-19 Coronavirus business closures will last. We also don’t know how long many people will be able to hold on or get new work to cover their needs.

If you have questions about bankruptcy you should get the information you need. Learn the difference between a Chapter 7 and a Chapter 13 bankruptcy by reading our article on point, How Is a Chapter 7 Different from a Chapter 13 Bankruptcy?

Are the Government Bailout and Assistance Plans Enough?

While Congress works on financial assistance programs and options for people affected by forced government shutdowns of businesses, the relief may not be enough to cover all the unpaid bills. One of the plans may allow for additional time to pay rent and mortgage payments. Right now, details on these options are still being determined and we are committed at Joseph Wrobel, Limited to sharing that important information that might be a help to you or your neighbor.

When the stimulus check and other options are not enough, and you fear a foreclosure and repossession of your car, we can solve your problem immediately with the filing of a Bankruptcy Petition.

The Automatic Stay Provision in the Bankruptcy Code Saves You Immediately

The moment your Chicago bankruptcy attorney files your petition for a Chapter 7 or a Chapter 13 bankruptcy, the “Automatic Stay” provision PROTECTS YOU. The automatic stay prevents any bill collectors from contacting you, suing you, or doing anything to pursue you over debts during the entire time you are in a bankruptcy case. So, from the moment you file until the date of discharge, you are safe.

If you have a Chapter 13 bankruptcy, your automatic stay lasts three to five years, because that’s how long your Chapter 13 repayment plan may be. Read our article to learn more, The Automatic Stay: It Stops Bill Collectors in Their Tracks.

Need A Payment Plan to Pay for Attorneys Fees and Filing Fees? We Can Help You with Your COVID-19 Coronavirus Bankruptcy at the Chicago Bankruptcy Law Firm of Joseph Wrobel, Limited in Chicago (312) 781-0996

Podcast: October 2017 Chicago Bankruptcy Question and Answers with Joseph Wrobel

Joseph Wrobel is a Chicago Bankruptcy Attorney
Chicago Bankruptcy Attorney Joseph Wrobel

Chicago bankruptcy and consumer credit attorney Joseph Wrobel shares news and updates in bankruptcy law as well as business and consumer financial matters. It has been documented that financial troubles can cause all sorts of ailments, the most common of which is sleeplessness. Joseph Wrobel helps clients alleviate their anxiety created by the inability to pay bills and the embarrassment of financial distress.

Click/tap here to listen to this podcast interview anytime.

Sample questions answered in this 30-minute show:

  • How soon after filing bankruptcy can my divorce be finalized?
  • Can I file for bankruptcy to get rid of medical bills I cannot afford?
  • On Social Security Disability, can I have my bankruptcy fees and costs waived?
  • I am on the deed of my mother’s house and she is going to file bankruptcy, if she were to die, what would happen to the house?

Joseph Wrobel has been a practicing attorney since 1973 and has experience in a wide variety of law relating to legal matters for individuals and families. Wrobel helps clients get out of debt and get a fresh start. He is an active member in several bar associations and the Bankruptcy Panel of Pro Bono Program of the Chicago Volunteer Legal Services. After serving the U.S. Army Reserve 363rd Civil Affairs Unit, Wrobel earned a B.A. in Psychology from Northwestern University and in 1973, he earned a JD from DePaul University Law School.

Don’t forget to keep up with us on Facebook, Twitter, LinkedIn and Avvo, where you can read client and peer reviews!

Visit our Chicago Bankruptcy website online for more about the firm or call for more information at (312) 781-0996 or e-mail at JosephWrobel@ChicagoBankruptcy.com.

August 2017 Chicago Bankruptcy Question and Answer Podcast with Joseph Wrobel

Chicago bankruptcy and consumer credit attorney Joseph Wrobel shares news and updates in bankruptcy law as well as business and consumer financial matters. It has been documented that financial troubles can cause all sorts of ailments, the most common of which is sleeplessness. Joseph Wrobel helps clients alleviate their anxiety created by the inability to pay bills and the embarrassment of financial distress. Click/tap here to listen to this podcast interview anytime.

Sample questions answered in this 30-minute show:

  • When can a bankruptcy be removed from my credit report?
  • Will I lose my US citizenship or be deported if I file for bankruptcy?
  • If you file for bankruptcy, is every credit card you have included?
  • Can another party collect from me in small claims court if I am in bankruptcy?
  • If I file for bankruptcy, can I keep my home and my car if I was never late on those?

Joseph Wrobel has been a practicing attorney since 1973 and has experience in a wide variety of law relating to legal matters for individuals and families. Wrobel helps clients get out of debt and get a fresh start. He is an active member in several bar associations and the Bankruptcy Panel of Pro Bono Program of the Chicago Volunteer Legal Services. After serving the U.S. Army Reserve 363rd Civil Affairs Unit, Wrobel earned a B.A. in Psychology from Northwestern University and in 1973, he earned a JD from DePaul University Law School.

Don’t forget to keep up with us on Facebook, Twitter, LinkedIn and Avvo, where you can read client and peer reviews!

Visit our Chicago Bankruptcy website online for more about the firm or call for more information at (312) 781-0996 or e-mail at JosephWrobel@ChicagoBankruptcy.com.

Credit repair tips: Secured credit cards, limited balances and OptOutPrescreen.com

There are many misconceptions out there about which path is the right one to financial freedom and success. One thing to always ask yourself is, “Who has something to gain by the decision I make?” If you are researching whether bankruptcy or a debt repayment plan is going to work, you will likely hear a variety of things from people with a wide range of opinions regarding the best route to a good credit score. If you have bad credit because you fell on hard times, it can be fixed. People who file bankruptcies typically qualify for conventional home loans with competitive rates within four years of filing bankruptcy. In a bankruptcy, you can discharge some or all debt you cannot repay. After the bankruptcy, when you are not suffering from all that debt, it is easy to get a secured credit card or two and follow a few credit building rules if you want to qualify for a good mortgage.

How does credit scoring work, generally?

Your credit scores all vary slightly among the three major credit reporting bureaus, TransUnion, Innovis, Equifax and Experian. While it may seem like a mystery calculation behind the magic curtain, there are a few basic rules that make logical sense. Your credit scores reflect the amount of risk a lender is taking by giving you a loan, mortgage or credit card. The better the score, the more likely you are to pay your bills and loan payments on time. If you owe less debt and don’t have a dozen minimum monthly credit card payments, you likely have the money to pay your bills – this is your DTI – debt to income ratio. You want your income to be enough that after you pay your bills you have extra spending money to save for a rainy day. If that is you, you are less likely to default on your bills and loans.

Regarding credit cards, there is a similar calculation of how much credit you have and how much you use. The information on your credit report indicates how high your balance may be and the amount of your credit limit you use. A significant portion of your credit score is an equation of how much credit you have available and how much you use. People looking to get into a new mortgage are often told to never use more than 20 percent of the available balance on a credit card. So, if you get a credit card with a $300 limit, don’t charge more than $60 a month. Always make the payment on time but do carry a small balance instead of paying it off in full – because if the credit card company is reporting zero balances it looks like you have credit cards you are not using and that can hurt your score.

You can always get a secured credit card even if you don’t qualify for a regular credit card yet.

Secured credit cards are easy to obtain. Most local banks offer them. You pay a $200 deposit, for example and your secured card will have a $200 limit. You can use it to pay a small monthly bill or two, like Netflix, every month, and you are now boosting your credit score. If you fail to pay the credit card bill, the company cancels the card and you forfeit the deposit. If there are more charges you can be on the hook for them as well and a collector will hurt your credit score and call and harass you until you pay up. If you are working on credit to apply for a mortgage, use the same rules that apply to conventional credit cards, and always keep your balance due somewhere between 10 and 20 percent of the available balance on the card. Again, avoid maxing out the card, even if you pay it off every month in full or always make the minimum payments on time. Just like the debt to income ratio, your available to used credit is important to monitor.

The easiest thing to boost your credit may take only five minutes on OptOutPrescreen.com.

The credit bureaus encourage consumers to be educated about credit offers and opportunities with good interest rates. As your credit score starts rising you will start receiving pre-approval letters in the mail. The credit reporting companies share your improving credit information with these companies. The Fair Credit Reporting Act (FCRA) is the federal law that imposes rules and restrictions on credit companies. The law gives you the right to “Opt Out” of receiving credit offers. Did you know that taking advantage of your opportunity to opt out can raise your credit score, by 25 points in many cases?

Why does Joseph Wrobel Ltd. care about your credit score?

Our Chicago bankruptcy law firm has been around for decades and we have a solid reputation. We don’t put people into bankruptcies simply to earn a fee and move clients through a big law factory like some of the big bankruptcy firms. Instead, we focus on teaching potential clients about the options they have and how they can best fix their finances. We know that the bankruptcy will show up on your credit score and it may take a little while to be approved. What matters is not the bankruptcy or what lead to it, what matters is what you do after the bankruptcy. Following simple credit use tips and maintaining control over your finances can help you get back to a very good credit score much quicker than you realize. While we are not a credit score repair business, we do know a few things and have credit repair professionals who can help.

About us: Joseph Wrobel, Ltd., works with clients to find out if they qualify for Chapter 7 or 13 bankruptcy, and their options and rights under the law. The firm will also advise and assist clients with questions and concerns about the collectors and their rights to pursue you.

Joseph Wrobel, Ltd. helps people get control of their finances and a fresh start at financial freedom. The firm’s website contains informative videos about financial issues as well as bankruptcy protection for families who want a fresh start.

Don’t forget to keep up with us on Facebook, Twitter, LinkedIn and Avvo, where you can read client and peer reviews!

When it comes to bankruptcy, we might all take some advice from Donald Trump

Donald Trump and bankruptcy are popular topics that seem to run together lately. Trump has never filed for personal bankruptcy protection but four of his business enterprises have been in bankruptcy, and the news certainly covered it. In a recent editorial article, a journalist stated that Donald Trump is right about bankruptcy, “Namely, he’s right about the attitude, morals and balance of sympathies we should bring to questions of debt and bankruptcy.[i]” Donald Trump is likely a greater success in business because he knows when to cut his losses. There’s no good way to grow when carrying old debt around. Business deals can go wrong and economic disasters happen that would make it impractical to pay off bad debt getting in the way of new income.

People who look down on others who take advantage of bankruptcy are probably jealous.

The people who work hard and earn and protect a perfect credit score are not inherently better people than others, they simply have good finances and no financial trauma. But with the blink of an eye all of that can change. Many dual income earning households would slowly grind to a financial hault if something happened to the earning capacity of one of the spouses in any of our given neighbors. Are they bad people if they have to file for bankruptcy? Should they be shunned for their misfortune?

In the recent GOP presidential debate, Chris Wallace criticized Donald Trump for the four of his businesses that were in bankruptcy, asking, “With that record, why should we trust you to run the nation’s business?[ii]” Trump responded that those were four out of hundreds of deals he has done.

There are similarities between Trump’s business bankruptcies and your option to reorganize your finances in a Chapter 13.

Business bankruptcy, Chapter 11, is different from personal bankruptcy. The goal in a Chapter 11 is to eliminate parts of the business that are no longer working or profitable, for the purpose of otherwise saving the business so it can operate and profit again. In personal bankruptcy, Chapter 13 has a similar feel to it, eliminating some of the bad debt and getting the consumer on a reasonable monthly payment plan, which eventually terminates and the individual moves forward to make money and keep up with their debts, assuming no intervening financial emergency takes place.

There’s no room for guilt and bad feelings in money and personal finances, it’s just business.

Taking the moral and value attitude judgment out of bankruptcy helps people see the laws for what they are, laws designed to bail people out of financial crisis so they can get a fresh start and get back on their feet again. The lenders who lose in bankruptcy expect, as part of their business plan that some borrowers will file for bankruptcy. That is why they charge interest to make income on borrowed money in the first place. Trust that most lenders are making enough money on their other accounts, that your bankruptcy will not shut them down anytime soon.

Joseph Wrobel, Ltd. helps people get control of their finances and a fresh start at financial freedom. The firm’s website contains informative videos about financial issues as well as bankruptcy protection for families who want a fresh start. To keep in touch and read about consumer finance news and stories you can “Like” the firm’s Facebook page and “Follow” Joseph Wrobel. Ltd. on Twitter. If you need immediate legal assistance, please call Joseph Wrobel, Ltd. by calling (312) 781-0996 to talk to an attorney today.

[i] The Week, What Donald Trump gets right about bankruptcy, by Jeff Spross, Aug. 10, 2015.

[ii] See HN1 above.