Five Things You Should Know Before Filing Bankruptcy

One of the most common sources of stress, anxiety, and depression in the United States is financial strains. If you’re in debt, you know how crippling it can be, affecting your life in unanticipated ways. Large amounts of debt can make it impossible to find decent housing, maintain your car properly, or take care of other obligations. It can feel like you’re drowning and struggling to stay afloat with no sign of relief in sight. Not knowing where you turn can make debt seem inescapable, but you do have options out there.

If you are considering filing for bankruptcy for debt relief, here are five things you need to know first. 

Understanding Different Types of Bankruptcy 

For the average person, debt solutions in Delray Beach are a foreign language. Bankruptcy laws are full of confusing language that make them difficult to understand without legal experience. Hiring a bankruptcy lawyer in Delray Beach can help you navigate and understand your options. 

The primary options for most people filing personal bankruptcy claims are Chapter 7 bankruptcy and chapter 13 bankruptcy.  

Chapter 7 Bankruptcy 

Also known as liquidation bankruptcy, filing under chapter 7 means that you are unable to make minimum payments on your debts to become debt-free. As the name suggests, this form of bankruptcy requires the liquidation of all assets to settle debts. However, it does give one the option to halt harassing phone calls and foreclosure proceedings, forcing creditors to accept the terms of your settlement. Once a discharge has been issued by the courts, you can then focus on rebuilding your credit. 

It should be noted, however, that not everyone qualifies for chapter 7 bankruptcy. If your debts are over a certain amount or you belong to a higher tax bracket, you may not qualify. Contact the Law Offices of John E. Mufson for more information today!  

Chapter 13 Bankruptcy 

The “reorganization” option for bankruptcy, chapter 13 is a form of consolidation and repayment plan. With a more affordable three to five-year payment schedule, this bankruptcy option offers debt relief without completely surrendering everything. Just as with chapter 7 bankruptcy filing, this option stops harassing phone calls and threats of repossession or foreclosure. Additionally, making your payments regularly and on time helps to build your credit as you pay off the debts. Once you’ve successfully paid off the agreed upon amount, your remaining debts will be dismissed. 

Consequences of Bankruptcy 

Filing bankruptcy isn’t a get out of jail free card. If you choose to liquidate, it will wipe out your good credit as well as bad. Bankruptcy filing also remains on your credit history for up to 10 years, which can affect things like trying to buy a home or car down the line. Having a bankruptcy on your credit history may also affect your chances of approval and interest rates on loans, ability to find an apartment, and other financial transactions. 

 What Bankruptcy Doesn’t Cover 

Not all debts qualify for dismissal through bankruptcy. If you owe child support or back taxes, bankruptcy will not remove these debts. Seeking other debt programs in Delray Beach can help you manage these expenses. The Law Offices of John E. Mufson can guide you through your options. 

Bankruptcy is on Public Record 

If you decide to file for bankruptcy, you should know that information will be available through public records. Not only will potential loan companies, realtors, and car dealerships be able to find the information, but others may be able to find it as well. If this is a concern for you, consider other debt solutions available to you. 

Creditors Can Challenge Your Request 

Filing bankruptcy is not a guaranteed solution. If you owe significant amounts to lienholders or other lenders, they can challenge your bankruptcy correct. A bankruptcy lawyer in Delray Beach can help you navigate the court process should a company decide to challenge your filing. At the Law Offices of John E. Mufson, we are well versed in bankruptcy law and fully capable of helping you make the best decision for your specific situation. 

For more information about how we can help you, contact us now! 



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Tired of Living with Debt? Discover Debt Solution in Delray Beach

Are you living with debt? Have you been doing so for most of your life? Do you want to leave this lifestyle behind? If you have answered “yes” to all these questions, especially the latter, then we can help. In fact, we want to help! The Law Office of John E. Mufson has been aiding individuals in getting rid of their debts once and for all. Nobody wants to carry such a heavy burden, especially if you don’t have to. Come in for a consultation and we’ll discuss a responsible and effective debt solution in Delray Beach.

Speak with Professionals about Debt Solution in Delray Beach

Navigating the financial world can be challenging, and at times quite confusing. Especially if it has nothing to do with your day job, and you lack the tools and resources to drastically change your upsetting financial situation. Thankfully, finances and helping people put away their financial nightmares are our expertise at The Law Office of John E. Mufson. We have been coming to the aid of clients for 25 years and advocate for those who may not know how to resolve debt issues for themselves. Providing bankruptcy representation and debt solution in Delray Beach to individuals and small business owners has been our mission and one that we’ve gladly taken on.

A great portion of the work we do at The Law Office of John E. Mufson has to do with representing consumer debtors and businesses who file under Chapter 7 or Chapter 13 of the bankruptcy code. We also assist those who need workouts with creditors, mortgage foreclosures and credit card lawsuits filed by creditors. We lend our undivided attention to each case, listening carefully to our clients’ concerns, developing a strategy specifically tailored to their unique circumstances. With great expertise and experience in such matters, it’s no surprise that our clients keep recommending us to others who are struggling with debt and need a way out, through either debt solution in Delray Beach or another approach better suited to their situation.

Review a Debt Solution Strategy in Delray Beach

The idea behind most debt solution methods in Delray Beach is to negotiate a deal with your creditors to reduce the amount of money owed, reduce the interest rate, extend a loan period, or at times a combination of these. Such objectives can be met through various debt solution plans. It is important that you commit to one that will ultimately work for you and your individual concerns. Luckily for you, that’s exactly what we can do for you at The Law Office of John E. Mufson. We can set you up with the best debt solution plan in Delray Beach so you can embrace a new life free of debt! Call us today at (561) 272-1003 and schedule an initial free consultation to talk about your options!

What is Debt Consolidation?

Debt consolidation is essentially when multiple debts are rolled over into a single one with a lower payment. One could use either a personal loan or a credit card to consolidate debt. If you’re unfamiliar with the idea of debt consolidation, you may want to see how it works, when it’s a good idea, and determine in which cases it is a bad idea. Equally important, you’ll want to find out who is the best team to consult when considering debt consolidation. Luckily for you, we’re here to tell you that The Law Office of John E. Mufson is exactly who you will want to seek counsel from at times like these. We can provide you with useful information about the various consolidation programs in Delray Beach and more.

How Does Debt Consolidation Work?

Before you commit yourself to any sort of debt solution method, it’s imperative that you are well informed about precisely how it works and if it will benefit or affect you, depending on your unique circumstances. To understand how debt consolidation works, let’s break down the process. According to industry experts, there are two main ways to consolidate debt, and both concentrate your debt payments into one monthly bill. The first option has a 0% interest, balance-transfer credit card: transfer all your debts onto this card and pay the full balance during the promotional period. You can also opt for the second option, which is a fixed-rate debt consolidation loan: you can use the loan to pay off your debt, then pay back the loan installments over a set term. Besides these two methods, there is the home equity loan and the 401(k) loan, which tend to be riskier choices since they could affect your home or retirement. Ultimately, the best way forward will depend on your credit score and profile, and other relevant details. Whatever option you consider, speaking with a professional about consolidation programs in Delray Beach is the best way to get started.

Is Debt Consolidation Good for You?

The answer to this question will be highly dependent on your situation. Debt consolidation is considered the best approach if you, for instance appear like a suitable candidate for a 0% credit card or low interest debt consolidation loan, if you have secure and frequent income to cover the payments toward the debt, and if the total of your debt, taking out your mortgage, doesn’t go over 40% of your income. Of course, every case will be different, but these are some of the key points you’ll want to look out before fully committing to debt consolidation.

For those who are overwhelmed by debt and think they will not be able to pay it off even with reduced payments, then debt consolidation may not be your best option. If you have a small debt load, then you may be better off by paying your debt in increments over a period of six months to a year. If the totality of your debts goes over half of your income, then you may need to seek debt relief instead. In any case, scheduling a consultation with a specialist in the matter is the best thing you can do for yourself. Call The Law Office of John E. Mufson at (561) 272-1003 and we’ll discuss the best consolidation programs for you!

Looking for the Best Debt Programs in Delray Beach?

You are in debt. Frightened about your financial condition and desperate for answers, you’re searching for debt programs that can help you somehow regain your stability. Let us just tell you that you’re not the only one facing this kind of hardship. Many people today are in debt and they, just like you, are constantly looking for new and safe solutions to eradicate their debt and balance their status once and for all. In these circumstances, the best thing you can do is consult a specialist in the matter. You are already dealing with a less than comfortable scenario, the last thing you want to do is get yourself into another predicament. With the expertise and experience of the team at The Law Office of John E. Mufson, that won’t ever be the case. We will set you up with the best debt programs in Delray Beach, finally giving you the fresh start you need.

Actions, Not Promises with Our Debt Programs in Delray Beach

The worst thing you can do, if you’re currently struggling with debt, is to ignore the problem. Problems don’t need to be ignored, they need to be dealt with and resolved. What’s important is that whatever solution you’re considering is safe and eliminates the issue at the root. At The Law Office of John E. Mufson, we are used to working with clients who may have tried every possible resolution but have sadly not been able to put a definitive end to this challenge. The truth is that many haven’t filed for bankruptcy because they are afraid of the bankruptcy system, and have therefore decided to invest in other debt relief options such as loan modifications, debt consolidations, and more. Such measures, however, often achieve zero results and can leave the individual in worse financial shape. Don’t waste your time with these debt workout schemes, when you can consult a professional and get actual help.

Protect Your Assets with Our Debt Programs in Delray Beach

At The Law Office of John E. Mufson, we are experts at helping you resolve your debts while keeping your assets intact. In fact, we use the bankruptcy system to protect the rights of our clients and avoid repossession, foreclosure, and creditor lawsuits. During a free initial consultation, Mr. Mufson will review your situation thoroughly and advise you about the best ways to proceed in your particular case.

Contact Us to View the Various Debt Programs in Delray Beach

Debt isn’t something you should take lightly. However, you don’t have to worry if you act soon. Speaking with a known professional in the matter is the best thing you can do to secure your present and your future. Find the relief that you need today by calling the team at The Law Office of John E. Mufson at (561) 272-1003 and schedule your first appointment with our leading expert to discuss the best debt programs in Delray Beach.

Alternatives to Bankruptcy: Negotiating Debt and Credit in Delray Beach, FL

Bankruptcy Delray Beach

Are you finding yourself in the footsteps of Sisyphus, condemned to an eternity of rolling a boulder uphill which will always roll back down again? Financial burdens of past debts can often feel this way and can take away from your ability to move forward in life. Are you struggling with the inability to look past to your debt overcome, have fallen behind in significant insolvency, or are at the verge of creditors taking legal action against you for a lack of repayment? —congratulations on taking this step toward most-permanently resolving your financial and debt concerns with unending creditors by negotiating your debt and credit in Delray Beach, Florida.  

When seeking solutions for credit negotiation and debt resolution, there is an array of steps that you may take toward reversing the negative effects listed on your credit if you have fallen behind on debt. In choosing to settle your debt in an effort to negotiate credit, cutting some of the interest off the debt or even some of the principal, depending on your unique hardships and your state’s legal statutes regarding consumer, debt and creditor rights, are viable strategies in Delray Beach, Florida.   

Know what is Negotiable  

A creditor may be more likely to negotiate with you if the Statute of Limitations on your debt is about to expire and if you have already tried options in debt management.  

Creditors will also have standard policies for how much off a loan principal it will forgive when you haven’t made payments for a certain period of time, which is a form of debt negotiation that you may do independently on your own while speaking with creditors to manage debt. For such independent negotiations, it is advised to get the agreed upon terms in writing before making any repayment, recording the conversations had with the creditor may also help, as often what is understood by either party may be different, leading to potential complications in the negotiation process. However, attaining a written agreement before repayment is key and necessary to protect yourself from legal action renewed by a creditor. If you are incapable of managing your debt, and are behind in the process of repayment, speaking to a legal professional may be beneficial in understanding your options for permanently overcoming unmanageable debts. The Law Offices of John E. Mufson, P.A., in Delray Beach, Florida, can examine with you your specific financial concerns and potential solutions.    

What is the Statute of Limitations (SOL) on a Debt  

The Statute of limitations on a debt is how long a creditor or debt collector can successfully and lawfully pursue legal action to collect a debt. Most often, the statute of limitations starts when you miss the first payment with the original creditor and not when the debt is sent to collection. In the event that a creditor attempts to sue you after this period has expired, you could raise the Statute of Limitations as a defense to legal retribution taken for the given debt.  Keeping this in mind, there is a stark difference between the timeframe that debts may appear on your credit report, often seven years, and that of debt collection statutes. As well, be particularly aware that if you have already fallen behind on your debt, a partial repayment can restart the statute of limitations on a debt or it can restart the time period for how long the negative information continues on your credit report.  

Understanding the difference between Written Contracts vs Open/Unwritten Accounts 

These are both critical categories that may benefit you to understand under the guidance of a legal professional if you are being sued for repayment by a creditor or collection agency.  In Delray Beach, Florida, the Law Offices of John E. Mufson, P.A., can discuss with you cost-free how your specific debt and credit concerns may be negotiated to limit its negative effects from your future.    

In the state of Florida, open accounts, which are generally considered credit card debts, have a Statute of Limitations of four years. Written contracts on the other hand, which may include financial obligations such as instalment payments, mortgages and auto loans, have Statutes of Limitations of five years.  

For student loans, it is advised to verify if there are tax consequences or income garnishing when opting for debt forgiveness. Likewise, there are several types of student loans anywhere from privately to federally issued, it is wise to keep in mind that the Statutes of Limitations for your specific type of student loan vary, and to consult with a legal professional if you are unsure. Acknowledge also, when choosing how you may negotiate your credit and debt, some of the time, if a portion of your debt is forgiven by a creditor, it could be counted as taxable income on your federal income tax, checking on these provisions previous to making any agreement with a creditor is helpful and recommended. If you are in Delray Beach, Florida, the Law Offices of John E. Mufson, P.A., can assist you in understanding credit and debt negotiation options depending on your unique circumstances.  

It is Important to Check Your Credit Before Negotiating and After

It is important to check your credit to see when the dates for the Statute of Limitations and collection were recorded, also the fact that some judgements may have been made on these negative elements that you did not know existed, and to find out where and how these items are affecting your credit. Credit.com, for instance, reports that one in five Americans has mistakes on their credit. As you know, negative credit items affect many aspects of your daily life, including your ability to finance further credit and find work. When you have a law firm on your side, it is even more possible addressing such concerns on a more timely and thorough basis. Credit that is not reported correctly is often not challenged, and it is quite possible to do this, even after the debt has exceeded the timeframe that these may legally appear on your credit report.  Many instances of credit error go unaccounted and may be affecting your finances negatively as is. Discussing your particular credit status and debt concerns in Delray Beach, Florida, with the Law Offices of John E. Mufson, P.A., can help you understand where you stand in your current financial hardship and your future. Give us a call if this is you, (561) 272-1003, stop by our office, 1615 S Congress Ave #103, Delray Beach, FL 33445, or even use our chat system, https://www.mufsonlaw.com/.

Negotiate Credit in Delray Beach

Debt Consolidation Delray Beach

How to Negotiate Credit in Delray Beach

The majority of Americans have a significant level of credit card debt, leaving many to negotiate their credit in Delray Beach. It’s not uncommon, but it’s certainly not an easy venture. Here, we’ll talk about three healthy steps you can take to negotiate your credit. The first step, however, is to call The Law Offices of John E. Mufson. By having a professional law office specializing in debt, you can rest at ease that throughout this process, you’ll be making the best decisions for you.  

Step One to Negotiate Credit in Delray Beach: Choose a Plan  

With a lawyer from The Law Offices of John E. Mufson, you can begin choosing a plan that is right for you. There are multiple negotiating routes to choose from, and though none are as easy as one may like, having a professional of law by your side can reduce your fears and give you the best fighting chance. Some plans available include negotiating a lump-sum settlement, a “Workout” arrangement, a Forbearance program if it is a short-term issue, or a debt settlement program. There are also debt management programs that may be beneficial for you now and in the future. 

Step Two: Assess Your Finances

The next step is to sit down with a lawyer from The Law Offices of John E. Mufson and assess your finances. You’ll want to look at what you make and how much you owe. This will help you understand why you’re in debt, what to cut spending on, and how to better manage your finances. It may also provide you with a clearer path to a debt-free lifestyle.  

Step Three: Make the Appropriate Calls

Last, but certainly not least, start making calls. One of your first calls should be to a lawyer, but not any lawyer. You need an experienced lawyer at The Law Offices of John E. Mufson. We can negotiate on your behalf. A lawyer has many years of experience in providing the best rates for their clients. Trust in their expertise! They’ll also know that having those terms agreed upon in writing is essential so that nobody can come after you in the future.  

If you’re drowning in debt, and you need to negotiate debt in Delray Beach, call The Law Offices of John E. Mufson today. We specialize in bankruptcy and debt law, making us your one-stop firm for all of your financial troubles. We know that debt is difficult, but you don’t have to go through this experience alone. Call us today at (561) 272-1003. It’s your time to find solutions that will benefit you now, and forever.