Tag Archives: Joseph Wrobel Ltd

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 

Financial Fitness: Develop frugal habits to save money and live well

A wise parent tells their children, “It’s not how much money you can earn, what matters is how much you can save.” We can all remember the first time we started making more money and had discretionary spending power for the first time. Did you buy a new car, clothes you wanted or take a vacation? Did you start an IRA and start skimming off the top of your paycheck for a rainy day? Most of us spend money on things that make us feel good, and experts say we make most of our purchase decisions based on emotion and later we justify them with logic. While saving money and going without new things may not seem very exciting at first glance, the financial security that comes along with good habits is something that we can all use to not only protect us from loss, but also to propel ourselves into financial success in the future.

The best part of the following frugal life tips is that you do not have to change your lifestyle to save money and be ready for life’s curveballs.

10 ways to spend less and live well:

  1. Make a budget. If someone put you on the spot and asked how much of your monthly income you spend on food, transportation or entertainment, would you be able to answer the question? Many of us budget by spending until we run out of money and hope we can make it to the next paycheck. Some of us run low on money and buy out half the grocery store, and end up with more food than we need. It takes time and practice to make a budget and stick to it. Even if it takes a dozen tries, keep working on figuring out exactly how much we really need for monthly expenses and learning how much we really have to put away and save for the future.
  2. Use a grocery-shopping list. Those impulse buys are tempting! Food also looks better when you go to the grocery store on an empty stomach. Never go to the grocery store hungry because you are more likely to buy more than you need and everything looks good. Spending the time to make a grocery store list before you head to the market will help you buy what you really need and avoid coming home with too much produce that could spoil. Sticking to your grocery list is a good exercise in financial discipline.
  3. Get into the coupon game. Cutting coupons can be a fun game when you pretend each piece of paper is money. If you receive a newspaper, even a Sunday paper, full of coupons, flip through them, compare them to your grocery list, and see where you can save some money. Be careful however, and do not use the excuse of cost-savings to buy more than you need. Similarly, just because a jacket at the mall is 50 percent off, does not mean you need to buy it if you already have several good jackets at home.
  4. Buy cost-saving alternatives. We often buy the items we like and that which we are accustomed. If we look around and try new things, it is possible there are other options out there that cost less and are just as good. Take buying salmon, for example, a grocery store chain brand of frozen wild salmon can be just as tasty and healthy as the fresh salmon in the deli. If you can develop the habit of pulling a salmon steak from the freezer and defrosting it in the refrigerator overnight, your grocery store dollar is worth more money.
  5. Pack a lunch. If you spend money eating out for lunch every day, not only are you spending extra money, you also have less control over what you are eating. Saving money by bringing a lunch to work is a frugal win and can be healthier too. Forget the soggy sandwiches in a paper sack and invest in good containers and portable lunch items because you will save money quickly by bringing your lunch. By the way, this does not mean you have to be chained to your desk; find somewhere you enjoy to relax and enjoy your lunch-break.
  6. Buy used items. Plenty of folks buy used furniture on Craigslist and find great pieces while saving money. Buying used cars on eBay is another way to avoid the overhead of a retail store/dealer. When the alternative is to buy new from a store and put it on a credit card, gently used items can be twice as affordable. If you can save a decent down payment, consider an auto loan from a local credit union, buy a used car from a private party, and get more for your money.
  7. Shop and save on utilities. With the deregulation of electric companies, there is more competition on the marketplace than ever. There are several consumer websites helping consumers find the best deals on the utilities and services. Doing some research and making phone calls to the cable, Internet and television providers can lead to significant savings, even if it means changing providers.
  8. Make your own popcorn and get into Netflix. Going to the movies is fun, but it is also a habit, often an expensive one. For the price of a small box of popcorn at most theatres, you can sign up for Netflix or a similar streaming video service, assuming you have the right technology to play Internet on your television. Buying popcorn at the grocery store and saving gas money and avoiding the high price of movie theatre tickets is a good way to save money and relax in the convenience of your home, which you probably spend good money keeping up.
  9. Host get-togethers with friends and family. Easy and affordable entertainment options include inviting people over to your home for a game, movie or simply social occasion. If you suggest your guests please bring either something to eat or drink you really do not have to spend much money, and your contribution is the use of your home and the effort to clean before and after. We do not need an expensive restaurant to enjoy one the good company of others.
  10. Set cost savings goals and reward your success. When you consciously work on these frugal financial success techniques, estimate the money you would have otherwise spent on the expensive alternatives. You might be surprised how much more you have and the fun times you enjoy on less money. Consider your success in savings and treat yourself to a night out at a new restaurant or go to a movie at the new theatre in town, and you may notice, when you do so less frequently, it is even more fun. Nevertheless, you also might want to treat yourself by taking the money you saved and invest it in your future!

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 FacebookTwitterLinkedIn 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.

Divorce and Bankruptcy: Considerations for divorcing families with bankruptcy questions

Debts owed to creditors are collectable despite a divorce. Even if there is an agreement for the parties to divorce to split some or all the debts, the creditor’s legal right to collect on a debt remains despite a family court order dividing responsibility for debts. A collector can proceed on debt collection. Collectors may file lawsuits to lien and foreclose on properties as well as attempt to seize other assets and garnish wages. A bankruptcy can stop that collection activity but a divorce proceeding cannot stop the collector.

The automatic stay provision of the Bankruptcy Code can stop all collectors from pursuing collection of a debt during an active Chapter 7 or Chapter 13 bankruptcy. For more about stopping creditors, please read our article, Examples of the automatic stay and how it operates in bankruptcy law.

A divorce and family law court will distribute marital assets and debts, some of which are dischargeable.

In a divorce case, the family law court reviews all the assets and liabilities shared in a marriage. Using the family code property division laws, a share of assets and debts are awarded to each spouse. After a divorce, a spouse may have significant assets, but too often, there are spouses who leave divorce owing debt. In some cases, the spouse ordered to pay debts does not and leaves the other spouse on the hook for the debt and still exposed to the collectors, despite the family court’s orders. It is important to note that some of the assets kept or divided in divorce include 401K accounts, which are excluded from a bankruptcy case. Therefore, it is never wise to invade the 401K to pay divorce debts.

Financial liabilities such as mortgages, car loans, credit card debt, bank loans and money court judgments can be eliminated through a Chapter 7 (full discharge) or a Chapter 13 (partial discharge and repayment) bankruptcy case.

Spousal alimony, maintenance and child support cannot be discharged in bankruptcy, in most cases.

After a divorce court distributes assets and debts, child support and spousal alimony, called maintenance by the courts, is awarded in a fixed amount and duration in most cases, and you cannot eliminate the financial obligation through bankruptcy. As a general rule alimony, maintenance, and/or support are not dischargeable divorce and separation agreements. There are exceptions however, where alimony, maintenance or support payments can be discharged:

(A) the debtor does not have the ability to pay such debt from income or property of the debtor not reasonably necessary to be expended for the maintenance or support of the debtor or a dependent of the debtor and, if the debtor is engaged in a business, for the payment of expenditures necessary for the continuation, preservation, and operation of such business; or

(B) discharging such debt would result in a benefit to the debtor that outweighs the detrimental consequences to a spouse, former spouse, or child of the debtor.[i]

For best results, an experienced bankruptcy attorney can advise as to all your best options.

There may be further and more detailed questions about when to file a bankruptcy, before or after the divorce, and there may be other legal issues and outcomes that should be considered. An experienced bankruptcy attorney has worked with many clients with divorce actions before or after a bankruptcy. Joseph Wrobel and the associate attorneys at Joseph Wrobel, Ltd., can help get the conversation going with a free review and assessment of your options.

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] 11 U.S.C. Section 523(a)(15)