WHAT YOU SHOULD DO professional UPON REALIZING YOU ARE IN FINANCIAL TROUBLE
1. The first collections letter you receive you should fax or email to our office immediately! Fax any and all collections letters to (919)238-7281.
We review these letters for free. Make sure to include your contact information. If you would prefer to email, you can email either
Jane@EDNCBankruptcy.com or Michael@EDNCBankruptcy.com. Please include both sides of all letters. If by email, PDF format please.
2. Sit down and have a realistic talk with your spouse, significant other or family. Set goals. If need be, speak to a professional such as a financial consultant or a Bankruptcy Attorney. Don't be afraid to ask for referrals. The vast majority of the Bankruptcy Bar will not put you into a bankruptcy if you don't need to be in one. At our office, we turn away 6 or 7 for every 1 we end up taking on. Just because a bankruptcy isn't right for you, there might still be some illegal creditors out there or abusive creditors that we can help you with. Either way, sit down with a professional. If this is as simple as money management, Dave Ramsey's Financial Peace University is an excellent choice.
3. Don't be afraid to speak to an attorney!!! This is our job. We love what we do. We are happy to talk to you about your financial situation. Don't wait until the hour before the foreclosure sale is final either. The earlier a knowledgeable attorney gets into the game, the earlier better your results can be.
4. Start collecting documents. All deeds to real property, car titles, all collections letters, last six months pay stubs, all bank account statements, last two years tax returns and pull a free credit report from www.annualcreditreport.com . This site is literally free. No continuing obligation.
5. After discussing your situation with us, we can decide to either file for a Chapter 13 or a Chapter 7 Bankruptcy and then pursue creditors' violations individually in federal or state court . If we can not help you with your situation, we will help you find somebody who can. Remember, if you want to save your house and you are behind on your payments, get to a Bankruptcy Attorney immediately.
If you are concerned, we are too. Call us at (919)828-7977
Here it is..................
The non-exclusive list of what you should never do!
# 1) DO NOTHING! This is quite possibly the worst idea that you can have. As you know, the collection agencies and Repo agent will not just quit. There is an entire cottage industry built around suing on debt that is outside the statute of limitations. Nevertheless, the longer you let things build up the more difficult it may become for you to obtain credit when it is important.
# 2) Debt Settlement or Debt Adjustment Companies: Here is the truth on Debt Settlement Companies. IN NORTH CAROLINA, ALL OF THESE COMPANIES ARE ILLEGAL. WITH LIMITED EXCEPTION, YOU MUST BE AN ATTORNEY WHO IS LICENSED IN NORTH CAROLINA TO ASSIST NORTH CAROLINIANS WITH DEBT RELIEF. In our experience, these so-called "debt adjustment companies" have left our clients with trashed credit scores, no resolution, being sued by creditors, and ultimately forced to file for bankruptcy.
Lists of Debt Settlement Companies can be found in the links below. WE DO NOT ENDORSE ANY OF THEM! WE HAVE NEVER SEEN ANYBODY GET ANY POSITIVE BENEFIT OUT OF THESE DEBT SETTLEMENT COMPANIES.
So if you have paid money to any debt settlement company, contact us. We can probably get it back for you. Whether you file for a Chapter 7, 13 or choose not to file, we can help you with your recovery effort.
3) Get a H.A.M.P. Modification! We just looked at the most recent HAMP figures. There was over 38 BILLION DOLLARS given to the lending institutions to modify home mortgages. As of October, 2010 the estimate that was given to Congress was 500,000 to 750,000 permanent modifications, permanent means only five years. The Government hasn't told us what is going to happen when and if they pull the plug on the program in 2013. Meanwhile, while you keep listening to your lender to keep paying the "trial plan payments" you are accruing additional late fees, charges and interest which will all eventually have to be paid. Remember, any unpaid interest gets added to the new principal unpaid balance. Consequently, if you are ultimately "approved," you end up paying interest on interest. Based on our experience, bankruptcy is the most effective form of foreclosure defense.