In the state of Utah, statistics are showing that there has been an increase in the year-over-year drop in existing home sales.  In fact, home sales in Salt Lake County during the month of August dropped by 26% with only 763 home and condo sales.  Last year during the same time period, there were 1,036 home sales according to a report released by the Salt Lake Board of Realtors.

Many experts in the real estate sector say that high unemployment and foreclosure rates have kept the country and the state of Utah from recovering since the recession.  Additionally, bankruptcy and other factors are deterring residents in Utah from purchasing homes.

Last spring, the housing industry experienced a boost due to the government offering home buyers tax credits.  However, those credits expired back in April and since that time, the housing market has continued to suffer.  Even reduced mortgage rates have not provided enough incentive for people to buy real estate. 

If you need assistance with filing for Chapter 7 bankruptcy or have questions pertaining to foreclosure, contact us to set up a consultation with a Salt Lake City bankruptcy lawyer. 

In Atlanta, Republican candidate Nathan Deal recently addressed his financial issues that left him with $2 million in debt.  Despite his large amount of debt, Deal said he refuses to file for bankruptcy, such as Chapter 7 bankruptcy.

During an interview, Deal told a reporter, "I want to talk to you about the part that makes me real. That is the fact that I face the same challenges that most Georgians face, a downturn economy that has taken its toll on me and my family."

Deal said that he had invested $2 million in a sporting goods store that was launched by his daughter and son-in-law several years ago, but the store failed when the economy began to dwindle.  His daughter and son-in-law filed for bankruptcy and he said he was saddled with the responsibility of paying back $2 million in bank loans that financed the store for a total loss of $4 million.

Supposedly, Deal plans to repay the debt and will not take the bankruptcy route.  He Stated, "I'm going to make sure our obligations are met but I also want to tell you I think it's important for a governor to understand the pain that all Georgians are facing. My daughter and her husband and our family, we're not alone in this downturned economy."

Do you have plans to file for bankruptcy in Utah?  Contact the Stone Law Firm and speak with a Salt Lake City bankruptcy attorney.

Last year, Federal Deposit Insurance Corp. was seized by banking regulators. Now, a federal judge has rejected the company's claim that it is owed more than $900 million from its former parent, Colonial Bank.

In Montgomery, Alabama, Judge Dwight H. Williams Jr. of the U.S. Bankruptcy Court granted summary judgment to Colonial BancGroup Inc. in a ruling which dismissed the FDIC's attempt to go after the parent company for failure to maintain capital levels at the bank.

Judge Williams said the language of the agreements between the parent and the federal and state bank regulators indicates that the holding company, "did not make a commitment to maintain the capital of Colonial Bank."  He also ruled that even though the parent company made a commitment, it would not stand under U.S. bankruptcy law because it could not be "assumed and cured" since Federal Deposit Insurance Corp. was no longer operational.

At this time, the FDIC has refused to tell reporters whether it would appeal Judge Williams' decision.

Filing for bankruptcy in Utah?  Get help from a Salt Lake City bankruptcy lawyer by contacting our law office today!

This past year, the Administrative Office of U.S. Court reported that bankruptcy filings in the country increased by 20%.  Between June 2009 and June 2010, 1.5 million people filed for bankruptcy.  Last year, that number was 1.3 million, noting a 200,000 increase.  For many, the 20% increase is not surprising as the unemployment rate remains high, the real estate market is stagnating and economic times are difficult.

The Administrative Office of U.S. Court also reported that there was a 10% to 15% increase in the number of Chapter 7, Chapter 13 and Chapter 12 filings whereas Chapter 11 bankruptcy filings only increased by 2% in 2010.

Additionally, statistics indicate that the regions that struggled in 2010 were in the Southwest, including California, Nevada and Utah.

If you are thinking about filing for consumer bankruptcy, it is important that you have a Salt Lake City bankruptcy attorney on your side that is committed to protecting your best interests and finances.  To speak with a bankruptcy lawyer, contact the Stone Law Firm now.

A new report by the American Bankruptcy Institute shows that the number of personal bankruptcies filed in August decreased.  

The report shows that consumer bankruptcy filings fell by 8% to 127,028 during the month of August.  The American Bankruptcy Institute said their data was based upon statistics from the National Bankruptcy Research Center.  It is said that filings fluctuate month-to-month.  For example, during the month of July, filings rose 9% compared to June.

Despite the drop in August, this year's bankruptcy filings are still outpacing the number of bankruptcies filed 2009.  As of August, there were more than 1 million consumer bankruptcy filings, an increase from just over 921,000 during the same time period in 2009.

If you're planning to file for consumer bankruptcy in the state of Utah, it is important that you work with a skilled Salt Lake City bankruptcy lawyer who can help you with paperwork and guide you through proceedings.  To get the help you need, contact the Stone Law Firm now!

This week, multiple news sources are stating that Teresa Giudice (of the Housewives of New Jersey) and her husband Joe are in a lot of trouble.  Earlier this year, the couple filed for bankruptcy and were later accused of hiding major assets from the United States Bankruptcy Court.

Last week Thursday, but couple's U.S. Trustee Roberta A. DeAngelis, filed a Complaint Objecting to Discharge.  But trustee is asking that Judge Morris Stern refused to grant the couple Chapter 7 bankruptcy due to the omissions in false information included in their filing.

DeAngelis says the couple filed statements and schedules that they knew were incorrect.  He said they made false statements under oath regarding their assets and claims the couple gave the bankruptcy court false income tax returns.

For example, paperwork filed by the couple did not include the $250,000 contract Teresa signed for her recent book one week before filing for bankruptcy.  It is also alleged the couple did not disclose Joe's bank account, properties and their vehicles.

Are you filing for bankruptcy in Utah?  Get the help you need by contacting the Stone Law Firm and speaking with a Salt Lake City bankruptcy lawyer.

When people file for Chapter 7 or Chapter 13 bankruptcy, there are great benefits, but there are also several consequences. For example, when people file for consumer bankruptcy it will appear on their credit reports for a period of 7 to 10 years. During that time, it is very important that people:

Take the time to examine their credit reports to ensure the bankruptcy is reflected as it should be.   Any debt that is part of the bankruptcy should be properly noted usually with a "BK" notation so that creditors know that the debt has been taking care of.

Create a feasible budget and then stick to it. This is the time when people want to start rebuilding their credit and one of the key components in building better credit is having a budget in place and avoiding spending more funds than necessary.

Pay bills on time all the time. This is one of the most important things that people can do as they try to rebuild their credit and move past their bankruptcy filing.

If you are filing for bankruptcy in Utah, contact us now to discuss your options with a Salt Lake City bankruptcy attorney.

This Monday, court documents revealed that days after filing for Chapter 7 bankruptcy last year, star of The Real Housewives of New Jersey Teresa Giudice spent $60,000 on high-end furniture.

At this time, Giudice and her husband Joe are in debt of $10.8 million.  Recently, they appeared in U.S. Bankruptcy Court to discuss the August 22nd auction of their personal belongings. However, the auction was delayed until October so every item's value could be re-evaluated.

Many people are shocked to learn that shortly after filing for bankruptcy, Giudice went on a huge shopping spree. She bought $45,000 worth of blogging, Mears, tables and chairs from high-end stores.

After court proceedings, Teresa refused to comment. 

While appearing on The View this month, Giudice she never lived beyond her means and only spent money that she thought she had.  She said that her husband never told her about their massive debt because he didn't want to worry her.

Planning to file for bankruptcy in Utah? Contact us to set up a consultation with the Salt Lake City bankruptcy lawyer.

This week news sources reported that bankruptcy filings throughout the nation have reached their highest level in five years between the months of April and June. At this time period, bankruptcy filings increased by 11% compared to the same time frame in 2009. Government data was released this Wednesday showing the elevation in bankruptcy filings.

This year, there were 422,061 bankruptcy filings between January and March. Last year, there were 388,148 bankruptcy filings.

Government data showed that filings exceeded 400,000 for the first time since a record of 667,431 filings reported in the fourth quarter of 2005.

The fiscal year ended June 30^th and it was reported bankruptcy is jumped by 21% from 2009.

If you need assistance with filing for bankruptcy in Utah, contact the Stone Law Firm and discuss your situation with a Salt Lake City bankruptcy attorney.

After filing for Chapter 7 or Chapter 13 bankruptcy, people will have to take additional measures to rebuild their credit scores.  Once people have filed for bankruptcy, it will appear on their credit reports for 7 to 10 years.  Once that time has passed, the bankruptcy is removed from the report and people have a clean slate. 

While people must wait 7 to 10 years for their bankruptcies to be removed from their reports, there are a few things they can due in the interim to rebuild their credit, such as:

• applying for new lines of credit and then acting responsibly by paying bills on time and keeping balances as low as possible.
• applying for installment loans, whether home loans or car loans, and then keeping accounts current.
• maintaining employment and making steady income, which can be used to pay debt and keep credit card and loan payments current.

If you are about to file for bankruptcy in Utah, contact the Stone Law Firm and explore your options with a Salt Lake City bankruptcy attorney!

Many people who choose to file for Utah bankruptcy believe that when they complete the process, all of their debt will be eliminated.  However, only unsecured debt is discharged after people have successfully filed for Chapter 7. 

Unsecured debt does NOT include:

§  child support payments

§  alimony payments

§  settlements or judgments

§  student loans

§  tax debt

Most people wonder why student loans are exempt from discharge.  In June 2007, U.S. Senator Dick Durbin introduced a new Bill that would make private student loans dischargeable under bankruptcy as these loans were in 2005.  Back in 2005, changes to the U.S. Bankruptcy Code made private student loans equivalent to the treatment of government-guaranteed loans, which are not dischargeable.  The Bill would reverse the 2005 amendment and allow for the discharge of any student loans that are considered private.

Have questions about Utah bankruptcy?  If so, contact us to discuss your concerns with a Salt Lake City bankruptcy lawyer.

This week, it was announced that the number of consumer bankruptcies filed in the state of Utah has increased by 31% compared to 2009.  In the first six months of 2010, 8,942 people in Utah filed for Chapter 7 and Chapter 13 combined.  During the same period last year, that number was much less.

Experts who have been monitoring the numbers say that the ongoing housing slump, unemployment rate and consumer debt/over spending are to blame.  They also believe that some people may rush into filing for Chapter 7 and Chapter 13 bankruptcy instead of considering their alternatives.

An employee with AAA Fair Credit Counseling, Preston Cochrane, said, "bankruptcy is not always what people think it is, it's not an easy way out."  He also said that often times, filing for bankruptcy is an emotional decision.

If you are considering filing for bankruptcy in Utah and you would like to learn if this is your best option, now is the time to consult with a Salt Lake City bankruptcy attorney who can advise you.  Contact the Stone Law Firm now!

Most people do not realize that student loans are not dischargeable under Chapter 7 or Chapter 13 bankruptcy.  Only unsecured debt, like credit card debt, is dischargeable. Student loans are considered a secured debt, which means that even if people file for consumer bankruptcy, they will still be responsible for paying back educational loans.

The only way people may be able to avoid paying their student loans under bankruptcy is by proving the loans present an undue hardship, which is quite difficult to accomplish.  In order to prove undue hardship, people will have to file a lawsuit with their bankruptcy proceedings and present evidence to a bankruptcy judge that paying their student loans would be a substantial financial burden. Should people plan to take this route, they will definitely need assistance from a skilled bankruptcy lawyer.

If you have questions about how filing for bankruptcy in Utah will impact the debt accumulated by your student loans, contact the Stone Law Firm and set up a consultation with a Salt Lake City bankruptcy lawyer.

When people file for Chapter 7 or Chapter 13 bankruptcy in Utah, they will be responsible for fulfilling paperwork production requirements.  These requirements are outlined by Section 521 (a)(1)(B) and in order to move forward with bankruptcy, people must produce the following documents:

§  An attorney certificate.  As required by Section 342(b) of the Code, people must have a certificate or attorney or a petition preparer that shows they were given information notice.

§  Monthly net income statement.

§  Proof of income.  People must submit specific proof of income, such as pay stubs, that were received 60 days before their bankruptcy petitions were filed.

§  Anticipated change of income.  A statement must disclose any expected changes in increased income or expenditures over a 12 month period following the filing of a bankruptcy petition. 

§  Educational IRA (individual retirement account).  This is filed with the court to record interests in an educational IRA.

If you have questions about what documents must be produced when you file for bankruptcy in Utah, contact the Stone Law Firm and speak with a Salt Lake City bankruptcy attorney.

Before people can file for Chapter 7 bankruptcy  or Chapter 13 bankruptcy, they must complete credit counseling as it is mandatory requirement in the United States.  Below, our firm addresses some common questions people have about credit counseling:

What is credit counseling?
This is a form of financial counseling where people who are filing for bankruptcy meet with a qualified agent or individual that is approved of by the U.S. Trustee.  During the meeting, people's income, assets and debt are reviewed and they are provided with information related to debt management and the bankruptcy process.

When must credit counseling be completed?
People must complete credit counseling 180 days prior to filing for Chapter 7 or Chapter 13.  After people have completed credit counseling, they receive a certificate of completion as proof.

How long does it take?
Generally, a credit counseling session takes 60 to 90 minutes.

How much does it cost?
A typical credit counseling session costs around $50.00.

If you have questions about the bankruptcy process and steps you must take, contact our law office and schedule an appointment with a Salt Lake City bankruptcy lawyer from our firm.

Generally, people choose to file for Chapter 7 bankruptcy when they realize that they cannot keep up with their debt.  People who consider Chapter 7 usually know that they cannot afford to repay the debt that they owe over time as they would if filing for Chapter 13 bankruptcy.  They may also want to have their debt discharged, which means that all the balances they owe for unsecured debt would be eliminated.

When people are thinking about filing for Chapter 7, they may have long-term financial problems, multiple sources of debt or may be at risk for losing their homes.  People also tend to file for Chapter 7 when they become unemployed, divorced or suffer from an illness.

As you can see, there are several reasons why people may choose to file for Chapter 7 bankruptcy.  If some of these reasons apply to your situation or if you have differing reasons for considering Chapter 7 in Utah, why not take the time to speak with a Salt Lake City bankruptcy attorney?  This way, you will receive the information you need to make an educated decision.  Contact the Stone Law Firm now!

In the month of June, RealtyTrac reported that national foreclosures continued to decrease.  Compared to the month of May, foreclosures dropped by 3%.  In the month of June, RealtyTrac says that 313,841 homes were foreclosed in the United States.

On a state-wide basis, not much changed.  The states with the highest foreclosure rates remained consistent with the top four being Nevada, Florida, Arizona and California.  The state of Utah was reported as number five, taking the spot from Michigan.

For the most part, the majority of states experienced a drop in foreclosure rates, which may be promising news for real estate market.  Additionally, there was a 30% decrease in the foreclosure rate compared to the same timeframe last year.

If you are facing foreclosure and would like to learn more about filing for consumer bankruptcy in the state of Utah, a Salt Lake City bankruptcy lawyer at the Stone Law Firm can help.  Contact us today to set up an initial consultation.

There are countless people in the United States that are currently dealing with or who have had to deal with creditor harassment due to credit card debt.  The question most people ask when they are harassed by their creditors is how can they get the harassment to stop?  Below, we have provided several tips for those who wish to put an end to creditor harassment once and for all:

1)  If you find that you are unable to pay your bill on time, avoid harassment by calling your creditor first.  Explain that you are unable to pay your bill and ask for payment options.  By doing this, you will combat creditor harassment before it happens as it is usually in your creditors' best interest to work with you.

2)  If you are currently being harassed by your creditors, write a cease letter.  In your letter, you should ask your creditors to stop harassing you.  Tell them why you cannot pay your bill and what your payment intentions are.   By law, creditors must stop collection efforts after they have received a written request.

3)  Finally, if harassment persists, it is a wise idea to obtain representation from a bankruptcy attorney that handles creditor harassment cases.

If you are struggling with creditor harassment, contact the Stone Law Firm to speak with a Salt Lake City bankruptcy attorney.

Anytime people plan to file for Chapter 7 in Utah or any other state, they will have to take the means test to determine if they meet bankruptcy eligibility requirements.  If you would like to know whether or not your means test result will allow you to file for Chapter 7 bankruptcy, subtract the following from your current monthly income:

§  any secured debt (car loans or mortgage payments) that are due over five years divided by 60

§  mortgage or vehicle arrearages that could be cured in a Chapter 13 plan divided by 60

§  prior debts (taxes, alimony, etc.) divided by 60

§  allowed expenses permitted by the IRS (defined in its financial analysis standards)

§  health insurance or health savings account payments

§  charitable donations (up to 15% of your income)

§  5% allowance for food and clothing (this will require court approval)

§  any costs incurred monthly while caring for a dependent (such as a disabled family member)

§  up to $1,500 annually for school expenses for a child under 18

§  utility costs

If your remaining income is below $100, you will have passed the means test and may be allowed to file for Chapter 7 bankruptcy in Utah.

For additional questions about Chapter 7 and the means test, speak with a Salt Lake City bankruptcy lawyer.  Contact the Stone Law Firm now!

Are you planning to file for Chapter 7 or Chapter 13? If so, you should not borrow money against your home to pay off your debt or consolidate debt.  In the past, people thought this was a good idea, but it is not.

In 1999, the Homestead laws in Utah were amended and are now more or less in the favor of people who are in debt.  When people file for consumer bankruptcy in Utah and they own homes, the present exemption is $20,000 for a primary residence owned by an individual.  For couples, the exemption is $40,000. 

For this reason, it is more advantageous for homeowners to resolve their debt by filing for Chapter 13 or Chapter 7 in the state of Utah.  They can then claim their homes as exempt from bankruptcy and their equity in their homes may remain intact instead of being lost.  Also, by filing for bankruptcy instead of borrowing money against homes, people will avoid accruing additional debt.

If you have questions about your home and what will happen when you file for consumer bankruptcy, contact the Stone Law Firm and take a moment to talk with a Salt Lake City bankruptcy attorney. 

Deciding to file for Utah bankruptcy is a huge decision that can impact a person's life for many reasons to come.  Before you move forward with filing for consumer bankruptcy, answer these three questions:

1)  Do you see your situation improving anytime soon?  If you answered "no", bankruptcy may be the right choice for you.  However, if you think your financial situation may improve for the better in upcoming days, weeks or months, you may want to look into bankruptcy alternatives.

2)  Are your debts secured or unsecured?  Remember, when you file for bankruptcy, not all of your debts are dischargeable.  Bankruptcy only allows for the discharged of unsecured debts, like credit card bills.  You will still be responsible for any debt that is considered secured, like your student loans.

3)  Do you fully understand bankruptcy and what you will be getting yourself into?  Before any person files for bankruptcy, it is imperative that they understand how it will impact their finances, credit and life in general.  If you need to learn more, it is advised that you consult with a Salt Lake City bankruptcy lawyer.

Are you ready to file for bankruptcy?  Contact the Stone Law Firm today to get the legal help you deserve!

According to 11 U.S.C. 362, when a person files a bankruptcy case under any chapter of the Bankruptcy Code, it will trigger an injunction (stay) against the person's creditors.  This means that the creditors will not be allowed to continue any action against the person in debt or the person's property.

Essentially, once the automatic stay is in place, a certain amount of protection is extended to the person that is in debt.  Additionally, all of the debtor's assets and creditors have a chance to get on the same page so issues can be resolved by the bankruptcy court.

After an automatic stay has been issued in a bankruptcy case, whether chapter 7 or chapter 13, creditors will not be allowed to:

§  begin or continue lawsuits

§  make collection calls

§  conduct repossessions

§  commence foreclosure proceedings

§  garnish wages or issue levies

Automatic stays remain in effect until:  a judge lifts the stay per a creditor's request, the debtor's debts are discharged or the item of property is no longer property of the estate.

If you have additional questions about bankruptcy or automatic stays, contact the Stone Law Firm and schedule a consultation with a Salt Lake City bankruptcy attorney.

In Utah, it is reported that former House Majority Leader Kevin Garn was listed as a creditor in an individual's bankruptcy petition.  The woman filing for chapter 7 asserts that she was paid by Garn to keep silent about a nude hot-tubbing incident that occurred twenty years ago.  At the time of the incident, the woman was 15 years old.

In court documents filed last week Friday, Cheryl Ann Maher stated that she owed Garn $153,300 because she defaulted on a contract that was established in 2002.   She had listed Garn as a creditor as a precaution to prevent the former Utah House Majority Leader from demanding the repayment of "hush money" that stemmed from the hot tub incident in 1985.

In a phone interview, Maher said, "I filed ... because I don't have the money to repay him."  Even though Garn has not asked for repayment, she said that she is covering herself.  According to Maher, Garn agreed to pay her a lump sum o $150,000 in 2002 and $3,300 between the years of 1986 and 2002.   At first, Maher said Garn offered her $20,000, but her sister and ex husband persuaded the politician to pay her more.

When asked about the "hush money" incident and if he would challenge the $153,000 as a debt, Garn allegedly launched a profanity laced tirade. 

If you are planning to file for bankruptcy in Salt Lake City, know that the Stone Law Firm is here to help you.  Contact us to speak with a Salt Lake City bankruptcy attorney today!

When people are about to file for consumer bankruptcy, they have many concerns.  Often times, these concerns can be addressed and dealt with when people meet with a Salt Lake City bankruptcy lawyer.  Below, the Stone Law Firm lists common concerns people have when they are about to file for chapter 7 or chapter 13:

§  Not getting credit in the future.  While people may not be able to get new lines of credit immediately after filing for bankruptcy, they can obtain credit cards in the future if they act responsibly.  More and more lenders are allowing people who have filed for bankruptcy to obtain credit.

§  Losing homes.   Anytime people are afraid that they will lose their homes or other valuable possessions, they should consult with a bankruptcy lawyer.  In some cases, people are able to keep their homes after filing for consumer bankruptcy.  Of course, this varies case-to-case.

§  Embarrassment.  When people need to file for bankruptcy, they can feel ashamed or embarrassed.  However, the reality is that many people throughout the country have had to file for bankruptcy because they could not contend with financial hardships.  For this reason, people should never feel embarrassed.

If you would like to discuss your bankruptcy concerns, do not hesitate to contact the bankruptcy attorneys at the Stone Law Firm.

Many people wonder what happens during credit counseling and have questions about the credit counseling process.  In this post, we aim to provide people with the information they need to understand credit counseling before they file for Utah bankruptcy.

As mentioned in our prior post, "Credit Counseling Pre-requisite to Bankruptcy", people must fulfill the credit counseling requirement 180 days prior to filing for consumer bankruptcy.  When people go through credit counseling, they will meet one-on-one with a specialist or professional that is approved of by the U.S. Trustee Office.  Usually, the meeting will last for 60 to 90 minutes and will cost around $50.

People who go through credit counseling will have their personal finances evaluated and receive additional information related to the bankruptcy process.  After people have completed credit counseling, they will receive a certificate of completion which is automatically generated by the U.S. Trustee Office. 

If you have questions about credit counseling or bankruptcy, now is the time to contact the Stone Law Firm and speak with a Salt Lake City bankruptcy lawyer.