Tag Archives: Joseph Wrobel Ltd

What would you do with the worst car loan known to man?

A young professional recently learned he had one of the worst car loan deals in history when he found out some extensions on his loan pushed the loan maturity date farther into the future than he expected.

The companies who make loans when others might decline the buyer

When people have struggling credit, or are financing a vehicle with considerable negative equity (they owe more than their trade is worth) there might be fewer options for conventional financing. Alternatively, there are companies who will make the loans to people who otherwise might not be approved. Unfortunately for the buyer, the companies who make the higher risk loans are not always the most honest and ethical.

The fine print and details in the terms of car loans is confusing, especially the information about how interest is calculated and how much of the payments are applied to the principal balance of the loan. Too often people need the new vehicle so bad that they are willing to sign just about anything to get the deal done and the keys in their hands.

Here’s what to watch out for if you have a high-risk car loan:

  • When do you make your payments?

Your car loan servicing company to whom you make payments can tell you exactly when you are supposed to make your payment. If you make it early, you could run into fines if that makes the next payment not made early occur more than 30 days after the first payment. Sounds confusing? There are all kinds of deadlines and time frames to watch out for to make sure your payment is made and received on time and the most amount of money possible, if any, is applied to the principal loan balance.

  • Allowed payment skips adding payments later:

Beware of the option to skip a payment this month and add it to the end of the loan. When you do this, you may be paying fees and interest that totals to a large amount of money many times more than your monthly payment. People who found out the hard way expected their loan payoff date to be very different than what the loan servicer was then saying. The way they calculate interest when you extend your payments is what can cost you so much more money.

  • Dealing with foreign-owned loan companies:

Many people believe they will be able to contact the Consumer Financial Protection Bureau, the Better Business Bureau or a local attorney to help them with a problem they are having on a difficult car loan. If the company is foreign and not based in the U.S. you may have fewer options as to who can do something to help you. In some cases, you may be at the mercy of the foreign company who owns your car loan.

The young professional we mention at the beginning of this article encountered all the problems listed above and wonders if he is stuck paying a $20,000 car off to the point it becomes more than $40,000 worth of payments? How is that possible? It happens too often.

Bankruptcy may be an option if he wants to consider the impact of the bad car loan considering his entire financial picture. The bad deal might be an inconvenience, or it might be a deal breaker to the point a Chapter 7 or 13 bankruptcy looks rather appealing.

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!

To buy or rent in Chicago, a few things to consider

While some people are only interested in owning their home, others are quite satisfied renting for the foreseeable future. As real estate and financial markets change we often see news stories with industry leaders telling us it is a good time to be selling a home or whether it is a good time to buy. Not everyone is in the position to buy a home and many are content with renting forever. While financial experts tell you that building equity in a home is the best way to be prepared for the future and retirement, there are plenty of alternative ways to save for the future and continue renting.

What are some of the barriers to buying a home if the conditions are right?

The first thing most people think about when buying a home is saving up to make a 20% down payment, however a good credit score may be the most frequent concern, especially for people who have struggled with job loss or financial difficulties. The good news on credit is that when you follow a few steps and practice smart credit your score will improve, often quicker than you realize. Read our blog article about credit repair for more information.

When it comes to money down, you might qualify for one of the programs for buyers backed by the government. There are veteran’s loans, FHA loans and similar programs where there is no down payment required. You must meet income criteria, which many easily satisfy.

Why some homeowners are jealous of their friends who rent their homes.

Taxes on homes in the Chicago area are a significant concern for homeowners. Over time, taxes increase and homeowners must follow procedures to challenge their tax rate. Meanwhile, renters aren’t worried about tax rates, and if they have been renting their home for some time, they may be paying significantly less than the current market rental rates.

Homeowners may be jealous of their renting friends who do not have to spend their extra time and money repairing hail damaged roofs, windows, air conditioners and so forth, on a seemingly endless list. Renters are also the envy of homeowners who get new neighbors that frustrate their living situation. It is not so easy to pick up and move, especially if the housing market is not in favor of sellers.

Saving money for the future without having equity in a home can be easy.

While the traditional plan for many was to pay off their house before they retire so they only must pay tax and not a mortgage, many people today elect to rent. The overall cost of home ownership versus renting can be a close equation. If while the homeowner spends money on repairing a roof, the renter puts that same amount of money in an investment, they may be in a good position to start and continue saving for the future.

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!

 

Using credit cards and boosting your credit score after bankruptcy

 

After a bankruptcy discharge of those pesky debts you don’t miss, your available cash flow is increased and you should have more spending power. Your credit score is a function of several variables, not a mean person sitting in judgment of you. As you have more cash flow and spending ability, the decision to extend credit to you is easier because you are more likely to pay the bills when you can afford to. Once you get new credit cards there are a few things you should do to maximize your opportunity to boost your credit score.

Your credit score is determined by a variety of financial factors:

  • Credit card utilization
  • Payment history
  • Derogatory marks
  • Age of credit history
  • Total accounts
  • Hard inquiries

When you use credit cards and are working on boosting your credit score to qualify for a new home, many credit advisors will tell you to use your credit cards but not more than 30 or 40 percent of the available credit rating. It’s a good idea to pay your fixed expenses such as phone or internet with the credit card. Since you know you must pay that bill anyways, why not build your credit?

The next step with the credit cards is setting up automatic minimum monthly payments to be made by your debit card or checking account so you never have to worry about a late payment. When you pay your bill, which is easy to do now on apps on your phone, do not pay the entire balance. It is better to leave a few dollars on your balance so that it appears you are actively using the card – once a month the credit cards send a report to the credit bureaus and if your balance is zero it may look like you are not using the card and that can damage your credit score.

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!

March 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:

  • How can I keep my car when I file for Chapter 7 bankruptcy?
  • How can my bankruptcy come off my credit reports but still shows up in public record searches?
  • What happens to my house if I file bankruptcy and my name is on the deed but not the loan?
  • I surrendered my car in my bankruptcy but the finance company hasn’t picked it up, now what?
  • What does it mean if a creditor has written off debt that’s included in my Chapter 13 plan?

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.

January 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:

  • What happens when my cosigner files for bankruptcy and I am still making loan payments?
  • Is filing bankruptcy the best option when there is a significant lawsuit filed against you?
  • Do I still have to pay when a credit card company writes off a debt as a charge off?
  • Can my tollway fines, and other tickets be included in a Chapter 7 bankruptcy?
  • Can I file bankruptcy to reduce or remove past child support obligations?

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.

November 2016 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 I file Chapter 13, will the judge go over the credit card statements?
  • Can you file Chapter 7 bankruptcy in another state from where the debt came from?
  • If I declare bankruptcy for my medical bills, will my wife be accountable for my bills?
  • What can I anticipate as the amount of Chapter 13 payments on a certain amount of debt?
  • Can I file for bankruptcy before an inheritance check comes in?

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.

Beware of IRS scams in several forms, report the “bad guys!”

Most people born and raised in this country know how the IRS works, and that an IRS agent calling themselves “officer” does not call you on the phone one day and extort a payment under threat of an arrest warrant. Sounds too amazing to be real? Guess again. Just one of the scams the “bad guys” are using involves demand of full or partial payment of an overdue balance to the IRS, with the promise (or threat) that law enforcement may be speeding to your door at any minute to arrest you and toss you in IRS jail until you cough up the money they’re demanding. The story sounds like something out of a bad movie about tourists being scammed abroad in countries where the police cannot help.

In the real world, police actually are here to help you, when it comes to your reporting IRS scammers.

Tax time is a perfect time for scammers who know you may have recently filed your IRS tax return and either expect a refund or to make your tax payment(s). Many of these “bad guys” conducting the scams are calling non-native Americans and commonly targeted minority groups, hoping they find someone who does not know how the IRS really works, or worse, is fearful of being deported in the event they are not in the country legally.

One day, however, the “bad guys” called a realtor, very aware of these types of scams, and the realtor fired back at them, calling the local ABC television station to help them warn viewers about IRS refund scams. The realtor said the man who called him had a noticeably foreign accent and very quickly determined the person he was talking to did not work for the IRS.

The IRS issued responses and advisory statements to the public in light of these and other scams.

In a recent announcement the IRS stated that, “Aggressive and threatening phone calls by criminals impersonating IRS agents remain a major threat to taxpayers, but now the IRS is receiving new reports of scammers calling under the guise of verifying tax return information over the phone.[i]

The IRS will never call and ask you to verify personal information over the phone. Everything that happens with the IRS is done with paperwork and they will send field agents to your home before calling you. If you ever receive a call from someone who says they are an IRS agent, call the IRS directly or your local police department if you suspect a scammer. The realtor who received a phony phone call from one of the “bad guys” notified his local police department, who told him they were receiving several calls from people telling similar stories about scammer phone calls.

Joseph Wrobel, Ltd., works with clients on consumer issues including bankruptcy and they can offer additional information to find out if you qualify for Chapter 7 or 13 bankruptcy, and your options and rights under the law. The firm will also publish notices and warnings about consumer fraud scams to keep you aware of the “bad guys.”  

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!

 

[i] IRS, Consumer Alert: Scammers Change Tactics, Once Again

May 2016 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 ANYTIME

Sample questions answered in this 30-minute show:

  • My real estate taxes are going to be sold, would Chapter 7 or Chapter 13 help me?
  • What can I do if I need to file for bankruptcy but cannot afford to hire a lawyer?
  • Can someone still sue me to get a judgment if I file for bankruptcy?
  • My husband lost his job, we are on disability, and have medical debt, what can we do?

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.

March 2016 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.

Listen to the March 2016 Bankruptcy FAQ Podcast

Sample questions answered in this 30-minute show:

  • Should I file for Chapter 7 bankruptcy or pay off charged-off debts?
  • Can I file for bankruptcy if I am involved in an automobile accident with no insurance?
  • How can I remove a creditor still reporting on my credit rating after my bankruptcy?
  • How long after a Chapter 7 bankruptcy discharge must I wait to file a Chapter 13?

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.

Bankruptcy: Landlord-tenant rights and options

When life events lead to financial emergencies many people ask if bankruptcy might be an option to help them get back on their feet with a fresh financial start. In many instances people considering bankruptcy are renters with leased homes or apartments. In the event a bankruptcy petitioner is behind on rent and facing potential eviction there are options for a tenant and their landlord regarding leases and evictions. The bankruptcy code considers a landlord a creditor entitled to notice of bankruptcy proceedings. Even if rent payments are current and have always been paid on time, the landlord is still required to receive notice of the bankruptcy petition. There are options available to tenants seeking to keep their home or apartment lease while proceeding through bankruptcy.

The automatic stay provision may affect landlords and their tenants in bankruptcy.

Prior to 2005 when the bankruptcy code was updated, the “Automatic Stay” provision of the bankruptcy code prevented landlords from continuing the eviction process while a tenant is in bankruptcy. The automatic stay provision takes effect when an individual files their petition for either Chapter 7 or Chapter 13 bankruptcy. The automatic stay stops creditors, collectors and landlords from pursuing the repayment of old debt. To learn more about the automatic stay provision, please read our article titled, Examples of the automatic stay and how it operates in bankruptcy law.

Was the bankruptcy petition is filed before or after the landlord obtains an eviction judgment?

Since the 2005 change in the law, landlords may now ignore the automatic stay provision and continue with eviction, but only if the landlord obtained the eviction judgement before the tenant filed for bankruptcy protection. In the instance that the tenant already filed a petition for Chapter 7 or Chapter 13 bankruptcy, the landlord may not proceed with an eviction without taking a few extra steps and seeking the approval of the federal bankruptcy court. The landlord has the option to ask the court to lift the automatic stay as it applies to the eviction, and in most cases the court will allow the eviction to proceed, despite the bankruptcy, because the lease agreement has no effect on the value of the tenant’s assets and liabilities.

Joseph Wrobel, Ltd. counsels individuals considering bankruptcy who also have landlord-tenant questions and concerns.

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!

Image Source: Salerno Protective Services, supervised evictions http://bit.ly/226NUrj