Atty. Raymond Bulaon

New bankruptcy law to make mortgage modification easier

Thursday, 15 January 2009 22:46 Atty. Raymond Bulaon

There may be some good news for struggling homeowners facing foreclosure. A few days ago, Senator Dick Durbin introduced new legislation in Congress which, if passed, will give bankruptcy judges the power to modify mortgages on residential real estate. This practice is currently prohibited by our current Bankruptcy Code. The bill is appropriately titled "Helping Families Save Their Homes In Bankruptcy Act of 2009."

Similar proposals in the past failed to get enough support to get through Congress. This time, however, with the dark cloud of a recession looming over the horizon, this new proposal seems to be on fast track and is on top of our legislators’ priority list.

New bankruptcy law to make mortgage modification easier

Tuesday, 13 January 2009 22:29 Atty. Raymond Bulaon

THERE may be some good news for struggling homeowners facing foreclosure. A few days ago, Senator Dick Durbin introduced new legislation in Congress which, if passed, will give bankruptcy judges the power to modify mortgages on residential real estate. This practice is currently prohibited by our current Bankruptcy Code. The bill is appropriately titled "Helping Families Save Their Homes In Bankruptcy Act of 2009."

Wrong thinking can lead to financial disaster

Tuesday, 06 January 2009 23:05 Atty. Raymond Bulaon

IN 1912, the sinking of the mighty ship called the "Titanic" sent 1,516 people to a watery grave. The "Titanic", first thought to be unsinkable, sank to the bottom of the ocean. Could this tragedy have been avoided? The answer is YES. It was later discovered that 3 days before the terrible accident, the ship’s operator received the first message that gigantic icebergs were on the ship’s path. But the ship’s operator simply ignored the message. Why? Well, he had been told that there was no way that the Titanic could sink, so why bother?

Over the next 3 days, 4 more urgent messages were received warning of the impending danger but the same thing happened- No one paid attention! As a matter of fact, even after the ship finally rammed an iceberg which cut a gash 300 feet long and the ship started sinking, many people refused orders to go to lifeboats. Why should they obey? They heard that the Titanic was unsinkable! Testimony later revealed that the lifeboats could actually have saved 500 more passengers. The people who died unnecessarily from the Titanic disaster were locked into wrong thinking because they simply followed the crowd and refused to exercise independent thinking. It was the blind leading the blind.

Bankruptcy: Face reality and start fresh

Wednesday, 31 December 2008 13:32 Atty. Raymond Bulaon

THE decision to file bankruptcy is not an easy one, but sometimes it’s the decision that could change your life for the better. When you are seriously in debt and have no other way out, not doing something about your situation only guarantees that your problems will get worse through your inaction. If you were physically sick and needed medical attention, I am sure you would go see a doctor. If you were financially sick, you also need to get relief so that you can recover. Don’t wait until your situation becomes a financial emergency that threatens the welfare of your family. Things don’t have to go from bad to worse, unless you let them.

File bankruptcy and improve your credit

Tuesday, 23 December 2008 00:47 Atty. Raymond Bulaon

PEOPLE who are considering bankruptcy are often faced with numerous concerns. But the one that tops the list is the worry that their credit will be so damaged that securing a loan in the future- especially a car or home loan- will be close to impossible. Are you one of these people? The information in this article may surprise you.

In many cases, the damage done to your credit by a bankruptcy filing is not as bad as you think especially if you have a long-term focus. So if you need to file bankruptcy to get out of debt and start over, don’t lose hope. Instead, get informed. Over the long run, obtaining a credit score high enough to get the type of loan that you need is achievable but you need to have a game plan. And it’s not as difficult as you may think.

Foreclosure: Should you save your property or just walk away?

Tuesday, 16 December 2008 23:56 Atty. Raymond Bulaon

A LOT of homeowners who are behind on their mortgage payments are asking me: Is it better to lose your house to foreclosure or file for bankruptcy protection and try to save it? What are the effects of both on my credit? Will I be able to buy another home again with a foreclosure or bankruptcy on my credit record? Of course, these are important questions to ask yourself if you are in this situation. But I think that the more important question to ask is: What is the most realistic option I have under the circumstances and do I have any contingency or back-up plans if things don’t work out as expected? In other words, hope for the best but prepare for the worst. As everything in life, there are no guarantees.

Are you facing a debt crisis?

Wednesday, 10 December 2008 00:24 Atty. Raymond Bulaon

NO one ever wants to get into debt but at some point in your life, you may face a debt crisis. The reason is irrelevant. The problem may be self-caused or can be a result of circumstances beyond your control. Whatever the case may be, you need help and you need it fast. Oftentimes, options can be confusing so a lot of people end up doing nothing. This makes things even worse. Don’t let this happen to you.

Having debts does not make you a bad person. Things happen. Most people do their best with the resources that they have but sometimes, it’s just not enough. Generally, I find that most people find it very uncomfortable to talk about the subject of money and debt so they tend to deal with their problems on their own.

How Can Bankruptcy Avoid or Delay Foreclosure?

Tuesday, 02 December 2008 23:15 Atty. Raymond Bulaon

IF you are currently facing foreclosure, perhaps you are curious as to whether filing for bankruptcy can help your situation. Maybe you have tried and failed with all other options and are now looking at bankruptcy as a last resort. Can bankruptcy really help?

Contrary to all the negative things that you may have heard about bankruptcy, it may actually be the solution that you need to help you keep your home. If you’re already behind on your mortgage payments and the lender has filed a Notice of Default against your property, you may have very limited time to act especially if your lender is not being cooperative in working out a resolution. Filing bankruptcy (Chapter 7 or Chapter 13) automatically stops the foreclosure by directing your lender to immediately cease all collection activities. In order to continue with the foreclosure after being notified of a bankruptcy filing, the lender needs to get court permission to do so.

Bankruptcy can help you get out of a financial mess

Monday, 24 November 2008 22:47 Atty. Raymond Bulaon

IF you have serious debt problems, you may feel depressed and alone. It may seem like the end of the world. Your self-esteem may have suffered. You may feel angry, depressed, guilty- or a combination of all three. You may consider yourself a failure, perhaps feeling angry with yourself for certain decisions you have made in the past that led to your present situation. I understand how you feel.

A lot of people in your shoes feel the same way, but I’m here to tell you that like most things in life, whatever you’re going through is most likely only temporary and will soon pass. How can I possibly say this? Well, did you know that as I write this article, millions of honest, hard-working people just like yourself are having problems paying their debts? As a matter of fact, there are more than 1 million personal bankruptcy filings in the United States every year as a result of being in debt. Do you think these people file bankruptcy simply because they do not want to take personal responsibility for their debts? Far from it! It is an established fact that most people who file bankruptcy do so as a result of circumstances beyond their control. Study after study has shown that some of the most common reasons why people file for bankruptcy -unemployment, sickness, disability, death in the family- are events which are beyond our control. It is not always your fault. So quit blaming yourself because doing so will not get you anywhere.