Bankruptcy Myths

When Your Employer Files Bankruptcy… In today’s economic climate, it’s not enough to be careful with your own finances – you may face the bankruptcy of your employer.  Then what?  Does your employer have to continue to pay you, and give you health and retirement benefits?  Will you still be able to get paid what [...]

Bankruptcy is very often a time-sensitive process and pre-bankruptcy planning can be critical in protecting assets. Chapter 7, in particular, the trustee’s responsibility is to “look back” at the actions the debtor has taken to insure that there hasn’t been a fraudulent conveyance of assets, a non-allowed preference payment to creditors or other actions that [...]

Will I Lose My Job if I File for Bankruptcy? It is prohibited under the bankruptcy code for a person to be fired because they have filed bankruptcy.  Now, I have never in my years had a client complain that they were let go because the employer subsequently found out about the bankruptcy.  Even if [...]

MISTAKE #1: Taking out a second mortgage against your home, often called a home equity loan. You can’t borrow your way out of debt. Many people hope to avoid Illinois bankruptcy by getting a home equity loan to pay off medical bills, credit card debt, and other obligations. And, not surprisingly, banks and other lenders [...]

Bankruptcy Enjoys Federal Oversight Not everyone needs to or should file a bankruptcy case.  Bankruptcy is something that should be a last resort.  But when financial pressures become unbearable, bankruptcy is most likely the best option. First, bankruptcy enjoys federal oversight and protection.  Debt consolidation commercials, which try to stigmatize bankruptcy, conveniently omit the fact [...]