How do I select my Bankruptcy Attorney?

The hiring of a bankruptcy attorney is an important decision that should not be based solely upon advertisements. Before you decide, ask them to provide you with free written information about their qualifications and experience.
In making your decision, you may want to consider the following factors:

- How many consumer bankruptcy cases has the attorney filed?

- How many Chapter 13 bankruptcy cases has the attorney gotten confirmed?

- How many Chapter 7 cases has the attorney prosecuted to a full discharge?

- How many claims and proceedings has the attorney filed against creditors in consumer bankruptcy cases?

- How many of the creditor claims have been successful?

- Is the attorney a litigator? (“litigation” is filing motions, taking depositions, and appearing in court for hearings and trial before the Bankruptcy Judge).

- How long has the attorney been practicing consumer bankruptcy law?

- Besides filing a complaint against a creditor, what will the attorney do to prosecute the case to a final judgment?

- Does the attorney take depositions in cases filed against creditors?

- Has the attorney ever been disciplined or suspended from the bar?

- Has the attorney attended Max Gardner’s Bankruptcy Boot Camp?

- Has the attorney signed up for Max Gardner’s Online Boot Camp training?

- Does the attorney participate as an active member on Max Gardner’s exclusive Bankruptcy Boot Camp listserv?

722 Redemption for Homeowners?

Professor Porter has written about a proposal for homeowners who continue to struggle with second mortgages. These "junior lienholders" have been described as one of the leading reasons that mortgage modifications are falling apart for so many homeowners. I see it in my practice daily. Professor Porter suggests allowing chapter 7 filers to redeem under section 722 where they cannot now. Professor Porter writes" Current bankruptcy law permits debtors in chapter 7 bankruptcy to redeem personal property, such as cars, by paying the lienholder the value of the collateral. This redemption right exists regardless of the terms of the loan contract. The effect of the redemption is to remove the lien from the collateral. To redeem, a debtor must pay the secured party the amount of the allowed secured claim that is secured by such lien in full at the time of the redemption"


This means that an homeowner/debtor who has real estate, where they owe more on the 1st mortgage than the value of the home the debtor would file a motion under 722 may pay nothing! Motions would be scheduled quickly and help could be on its way.


Professor Porter thinks and I agree, that this could be the stick needed to force banks to negotiate where and when they will banks not now. Also it avoids the fight that have so far have yielded no results for a cram down amendment in chapter 13.

Norton Bankruptcy Study: Bankruptcy Reform did not work the way it was supposed to!

New study published in the Norton Bankruptcy Law Advisor surrounding bankruptcy reform (BAPCPA) and credit cards. Interesting conclusions: The new bankruptcy laws benefited credit card companies and hurt their consumers. Bankruptcy protections became LESS available, while at the same time credit card companies increased their prices 5% to 17%. Profits for credit card companies were $7 billion dollars higher in 2006 than 2005, while 2007 2007 profits were $10 billion higher than profits for 2006.

This shows that the push for bankruptcy "reform" by the credit card companies was a sham. The credit card companies still hide fees and have pricing structures that mislead the consumer, even now. It also shows that the credit card company's pricing failed to respond to the consumer, even after they got the law they wanted and still made more money and profit.