Robert Manchel

On Wednesday, March 24, Bank of America announced that it would eliminate as much as $3 billion in principal owed by thousands of delinquent homeowners whose mortgage balance was at least twenty percent greater than the value of their house. Bank of America’s new program is directed at borrowers who received high-risk loans form Countrywide Financial, a company purchased by Bank of America in 2008.

Bank of America’s newly announced loan modification program both differs from, and supplements, the government’s own modification program announced in 2009, in that it provides a reduction in principal owed, rather than merely a lowered interest rate. With home sales and prices dropping substantially, some commentators have welcomed this shift toward principal reduction, while others are more cautious, emphasizing that this represents yet another temporary fix to a larger crisis.

Bank of America will directly contact borrowers it deems eligible for the program. Eligibility is established where borrowers can demonstrate a hardship in making current payments, are at least sixty days delinquent on their loan payments, and owe at least 120% of the outstanding loan balance. The plan is designed specifically to address troublesome loans such as option ARMs, or adjustable-rate mortgages, of which there are an estimated 900,000 currently in existence.

If you are burdened with a high risk home mortgage, and are having difficulty making regular payments, this is certainly welcome news. However, there are many Americans who either will not be afforded access to this program, or will find that even with a mortgage modification they are unable to avoid a foreclosure action. In which case, it is time to call the Law Offices of Robert Manchel at (866) 503-5655. Our New Jersey bankruptcy attorneys can provide options for saving your house from foreclosure, with or without bankruptcy protection. Contact Robert Manchel today for a free consultation.

Source:http://www.nytimes.com/2010/03/25/business/25housing.html

As the final post in our 10 Reasons to Hire a New Jersey Bankruptcy Attorney blog series, we will discuss how a competent New Jersey bankruptcy lawyer can help you select the right bankruptcy to file.

Choosing which kind of NJ bankruptcy to file can be a harrowing decision. That’s why many indebted individuals choose to discuss their hopes and fears about their finances with a trustworthy bankruptcy New Jersey lawyer. Bankruptcy options abound and include:

• Chapter 7
• Chapter 11
• Chapter 13
• Financial/debt counseling
• Other actions

A competent and trustworthy attorney can review your lists of assets and liabilities, your financial history, your potential to earn more money, and your goals for the future, to help you determine what’s the best kind of bankruptcy to file.

In some cases, bankruptcy will be voluntary; in other cases, a debtor can be involuntarily forced to file for bankruptcy. A good attorney can explain the nuances of voluntary vs. involuntary filing and develop customized solutions and strategies.

Often, debtors who struggle with the specter of foreclosure, want more than anything to protect their homes (or other large assets). They may have been told that filing for Chapter 13 instead of for Chapter 7 will ‘help save their house.’ However, the situation may not always be so clear. A good lawyer can help you make the best decision.

In some cases, debtors may want to work with a credit/debt counselor for an interim period to see whether some debts can be controlled before bankruptcy needs to be filed. In other cases, bankruptcy may be the most immediate and obvious solution.

To summarize: picking the ‘right’ kind of bankruptcy to file requires a deep analysis of your current financial situation, your goals, values, and how all of these factors interpolate with NJ bankruptcy law.

Given how crucial it is to choose the best method of financial reorganization, it makes sense to retain an experienced, responsive, and accessible attorney, like Robert Manchel. Since 1992, the Law Offices of Robert Manchel have helped hundreds of indebted consumers resolve their financial problems, keep major assets like houses and cars, shut down creditor harassment, negotiate effectively with trustees, and learn better practices for financial management to avoid problems down the line. To get help now to resolve your foreclosure or bankruptcy situation, connect with our associates at (866) 503-5655.

Please refer back to our blog for more important information and updates relating to New Jersey foreclosure and bankruptcy resolution.

Welcome to The New Jersey Bankruptcy Lawyer Blog! The attorneys at The Law Offices of Robert Manchel have devoted their practice to the areas of bankruptcy and mortgage foreclosure resolution. Our focus on this particular arena of law has allowed us to become knowledgeable, proficient, and specially qualified to deal with all matters relating to bankruptcy. We have created this blog as an informational resource for our readers.

For more information on bankruptcy related topics, please visit our website at www.bankruptcylawyer-nj.com. It is an excellent source for bankruptcy related information. If you are considering filing for bankruptcy, call us today at 866.503.5655 to find out how NJ bankruptcy lawyer Robert Manchel can help you get control of your finances.

 

 

Robert Manchel is Board certified as a consumer law bankruptcy attorney, by the American Board of Certification, which is accredited by the American Bar Association. Board Certification is highly regarded by bankruptcy practioners. Board Certification requires rigorous standards relating to experience, peer review, continuing legal education, sophisticated knowledge of bankruptcy law and integrity. The bankruptcy reform law specifically recognizes and acknowledges the credibility of the certification.