Things to Know Before Declaring Bankruptcy

Things to Know Before Declaring Bankruptcy.

Declaring bankruptcy is a legal process that can help people who are struggling with overwhelming debt get a fresh start. However, it is important to understand what bankruptcy entails before you file. This blog post will discuss the basics of bankruptcy, including the different types of bankruptcy, what debts can be discharged in bankruptcy, and the impact of bankruptcy on your credit score.

What is Bankruptcy?

Bankruptcy is a legal process that allows individuals or businesses to get a fresh start by discharging, or eliminating, certain debts. This can help people who are struggling with overwhelming debt to stop debt collectors from contacting them, get rid of their legal obligation to pay off their debts, and prevent the termination of their utility services.

Types of Bankruptcy for individuals

There are two main types of bankruptcy: Chapter 7 and Chapter 13.

Chapter 7 bankruptcy is the most common type of bankruptcy. It is a liquidation bankruptcy, which means that you will sell off most of your assets in order to pay off your creditors. If you have enough equity in your home or other assets, you may be able to keep them, but you will have to pay off the debt that is secured by those assets.

Chapter 13 bankruptcy is a reorganization bankruptcy. This means that you will create a repayment plan that allows you to pay off your debts over a period of time. You will be able to keep your assets, and you will not have to pay off as much of your debt as you would in a Chapter 7 bankruptcy.

Chapter 13 bankruptcy can be a good option for people who have a steady income and who are able to make regular payments. It can also be a good option for people who want to keep their assets.

Debts That Can Be Discharged in Bankruptcy

Not all debts can be discharged in bankruptcy. Some of the debts that cannot be discharged include:

* Tax debt
* Child support
* Alimony
* Student loans
* Debts that were incurred through fraud or intentional injury

Impact of Bankruptcy on Credit Score

Bankruptcy can have a negative impact on your credit score. The length of time that the bankruptcy will stay on your credit report will depend on the type of bankruptcy you file. A Chapter 7 bankruptcy will stay on your credit report for 10 years, while a Chapter 13 bankruptcy will stay on your credit report for 7 years.

When to Consider Bankruptcy

Bankruptcy is a serious decision, and it should not be taken lightly. If you are considering bankruptcy, it is important to speak with an experienced bankruptcy attorney to determine if it is the right option for you.

Conclusion

Declaring bankruptcy can be a helpful tool for people who are struggling with overwhelming debt. However, it is important to understand the implications of bankruptcy before you file. This blog post has provided you with some basic information about bankruptcy, but it is not a substitute for legal advice. If you are considering bankruptcy, you should speak with an experienced bankruptcy attorney to get the best possible advice.

Here are some additional things to keep in mind when considering bankruptcy:

* Bankruptcy will stay on your credit report for up to 10 years.
* You may have difficulty getting a loan or a job after filing for bankruptcy.
* You may have to pay taxes on any debt that is discharged in bankruptcy.

#declaring bankruptcy, #bankruptcy, #regolaw, #Alfred R Rego Jr, #Rego & Rego

Landlord's Return Of Security Deposits.

Landlord's return of security deposits.

In Rhode Island, a landlord who fails to comply with the law concerning the return of a security deposit within twenty days can be be assessed a damage payment of twice the amount illegally withheld plus attorneys fees. R.I.G.L. 34-18-19.requires the security deposits be returned within twenty days "after" the tenant gives proper notice, moves out, returns the key and provides a forwarding address.

When returning the deposit, the landlord must send the tenant an itemized notice listing any legal deductions withheld. These deductions can be for unpaid - outstanding rent and physical damages other than ordinary wear and tear.

A tenant's failure to provide a forwarding address or providing notice that he or she is vacating will be argued by the landlord in defense of punitive damages. When does the twenty day notice period begin? When did the landlord become aware that the tenant vacated? Written notice is important!

Regardless, the security deposit after deducting for damage and back rent, has to be returned.

In short, if a tenant fails to provide notice or a forwarding address, he or she will forfeit any right to recover statutory damages and attorneys fees from their landlord.

To ignore estate planning for small estates can be a huge mistake. A small estate may not incur estate taxes, but we all will incur funeral costs, medical expenses, loan and credit card debt obligations, state and local taxes and administration fees that are applied during estate settlement.

Debt concerns can include a mortgage, car loans, unpaid school loans and recurring bills. Failure to plan can result in liquidation of assets, sometimes at a discount to cover obligations. Modest estates can pose planning challenges because liquidity may not be there.

Some planning tools to consider:

• joint ownership
• beneficiary designation
• Will
• Living Trust
• Durable Power of Attorney
• Life Insurance
• Long Term Care Insurance
• Reverse Mortgage (if over age 62)

Some issues everyone should address:

• avoid family disputes - Will and/or trust considerations
• plan of succession - who gets what and when
• election of executor and/or guardian for minor children
• update beneficiary designations on policies and joint accounts or accounts of convenience
• life, disability and long term insurance considerations


Making sure all family members understand your wishes can go a long way in preventing post-death battles and hurt feelings. Just as important, you should review your estate plan every few years or when significant changes occur. Just as important the above considerations have to be coordinated in order to void inconsistencies.

Living Will v Heath Care Proxy v Medical Directives are all different documents…?

The most common types of advance directives are the living will and the durable power of attorney for health care (in Massachusetts a ”health care proxy”).

These directives allow you to say you don’t want to be resuscitated, you want to make organ or tissue donations, and desired quality of life and end of life treatments you don’t want to receive.

You also can include instructions for other situations, such as if you are unconscious for a short time, or impaired by Alzheimer disease or a similar condition.

I should note that choosing not to have aggressive medical treatment is different from refusing all medical care. A person can still get antibiotics, nutrition, pain medicines, and other treatments, but the goal of treatment becomes comfort rather than cure. It is important to make clear exactly what you want and don’t want.

The living will is a formal legal document that must be written and signed by the patient. Rhode Island does have a model form and the document must be witnessed.

The witnesses cannot be spouses, potential heirs, doctors caring for the patient, or employees of the patient’s health care facility.

A living will can include:
• the use of equipment such as dialysis machines or ventilators
• do not resuscitate orders, DNR and use of CPR
• tube feeding - fluids and/or nutrition
• treatment for pain, nausea, comfort care
• whether you want to donate your organs

A living will is more limited than a health care power of attorney – health care proxy. Both apply when you are unable to speak for yourself, but the living will takes effect only if you are terminally ill or permanently unconscious.

In a durable power of attorney for health care, you name a person to be your agent (proxy) to make all your health care decisions if you become unable to do so. The agent should be someone you trust to carry out your wishes.

Even though your living will attempts to set out your wishes, such documents can never cover every circumstance. The durable power of attorney for health care is there to fill in gaps for situations not covered or in case your living will is invalidated for any reason.

Typical rights and/or duties of an agent would include:
• providing medical decisions that are not covered
• enforcing healthcare wishes in court if necessary
• hiring and firing doctors and medical workers
• having access to medical records
• visitation rights

You should give a signed copy of both to your doctor and your agent.

What you should know about premarital - postmarital agreements?

A prenup (premarital agreement) establishes property and financial rights of each spouse in the event of a separation or divorce. These contracts are used to protect assets of wealthy spouses but can be used to protect assets slated for children of a first marriage.

If you are already married, a postmarital agreement can be entered into.

What would you like to happen if you separate or divorce, or if either of you dies or are seriously injured while married? If you are unable to agree, how would you like to resolve your differences - mediation or arbitration?

Some issues to considered
• Property or investments acquired before marriage
• Assets acquired after marriage
• Contributions during the marriage
• Income
• Debts acquired before and during the marriage
• Payment of joint living expenses
• Charing for children you already have or may have in the future
• How to handle illness, aging and retirement

However, pre or post marital agreements have to be done with a degree of formality to be valid.

* They need to be in writing to be enforceable.
* They must be signed before the marriage.
* They need to be read and reviewed, but if with the aid of independent counsel.

Reasonable time is needed for review and consideration (last minute signing before the wedding would probably be invalidated by a court.)

Invalid or illegal clauses or incomplete or false financial disclosure will also probably invalidate the agreement.

Unconscionable contracts are generally invalidated by the courts, pre or post marital agreements are no exception.

It is important to speak to an attorney - most offer free initial consultations. With fifty percent of marriages ending in divorce, securing you and your children's personal assets should be paramount.

#prenup #postnuptial #mediation #premarital

Chapter 7 and 13 Bankruptcy

When you need debt relief, you may be concerned about the consequences of #bankruptcy. You may wonder what will happen to your credit score, if you will ever be able to purchase a home, and what will happen to your existing assets. A #bankruptcyattorney can help you explore all of your debt relief options and alternatives so that you understand all of your rights and obligations before filing.

Bankruptcy is a debt relief option available to you to provide a fresh start:
Attorney Al Rego can help you explore all of your options and claim your right to financial security and debt relief.

#Regolaw is experienced in representing individuals and married couples in consumer bankruptcy cases. There are a number of options available and we will help you to understand debt consolidation and payment plans that may help you to avoid bankruptcy. If bankruptcy is right for you, we can assist in filing and ensuring that your rights are protected throughout the process.

Chapter 7 and 13 allows consumers to:
• Stops foreclosures on homes
• Keep car from being repossessed
• Reduce or eliminate credit card debt
• Reduce or eliminates high medical bills
• Stop creditor harassment

Chapter 7 Bankruptcy:
Chapter 7 is available to remove all unsecured debt including medical expenses and credit card debt. You must qualify for #chapter7 using a means test, which compares a family income compared on an annualized basis to the family income average. In the event that you do not qualify for a Chapter 7, you may be able to file for Chapter 13 bankruptcy.

Chapter 13 Bankruptcy:
Chapter 13 is usually used by individuals or families that do not qualify for Chapter 7 or they have a home or other secured assets they are interested in protecting against bankruptcy. A #chapter13 allows you debt relief though repayment plans and consolidation.

For a free telephone consultation call 401-253-2500. #Rego&Rego is located at 443 Hope Street, Bristol, Rhode Island. For more information visit www.regolaw.com

See an informative statistical article at http://www.justice.gov

THE REAL ESTATE CLOSING PROCESS - WHAT YOU SHOULD KNOW

Purchasing real estate should lead you to your attorney’s office. If you need a mortgage to help finance your house or business, your attorney will act as your personal representative and act as closing agent for your lender. These two functions complement one another – logistically it is more cost-efficient for your attorney to perform both functions. Some lenders will allow your attorney to act on your behalf and as closing agent – others will require an attorney from their approved closing list to conduct the closing.

A) PERSONAL REPRESENTATION ATTORNEY FUNCTIONS:

• to oversee the transaction
• answer your questions
• review and negotiate documentation
• address any disputes between yourself and the seller
• work with your realtor and parties toward a smooth closing

Your attorney’s responsibilities also include some of the following:

a. title examination at the various Registries of Deeds and Probate ;
b. review of title examination abstracts;
c. obtain municipal lien and tax information;
d. if the property is a condominium unit, order, obtain and review resale certificates from the condo association;
e. obtain and review mortgage and lien payoff information;
f. At the closing — review the final settlement statement with you for accuracy, explain the lender’s mortgage loan documents and assist you with any issues or concerns that arise
g. prepare and issue title insurance policies certifying the Buyer has good title to the property and that the records of the Registries of Deeds and Probate have been searched;
h. record documents.

B) CLOSING AGENT TASKS:

The Closing Agent’s function is to make arrangements necessary to close the lender’s mortgage transaction. He coordinates all of the efforts outside of the loan approval process. Sometimes issues arise regarding the title to the property. When possible the Closing Agent tries to resolve these title issues and disputes.

The closing agent’s costs quoted to you by the lender include a variety of items and services:

a. prepare loan documents, including the settlement statement;
b. communicate and coordinate with Buyers, Sellers, real estate agents and lender;
c. receipt of the proceeds of the transaction and maintaining them in a safe and separate IOLTA account;
d. conduct the closing, final rundown of title at the Registry of Deeds;
e. prepare and deliver proceeds to pay off all outstanding mortgages and liens that affect the property;
f. disburse transaction proceeds;
g. copy and deliver loan documents to the lender and Buyer;

In brief, your personal attorney focuses on you and the lender’s closing agent attorney focuses on the property you are buying. These functions actually complement one another, making it logistically easier and cost-efficient if one attorney performs both functions.

Since 1976, Rego & Rego has provided residential and commercial real estate services in Rhode Island and southeastern Massachusetts. For more information, visit our website at http://www.rego-law.com