Rumors untrue about Parliment House Bankruptcy...one of their lenders filed, not the P House.

http://www.watermarkonline.com/index.php/News/orlando-lgbt-news/4516--House-caught-the-middle-bankruptcy-battle.html

NEW FEDERAL LOAN MODIFICATION RULES NOW WORK WITH

BANKRUPTCY LAWS & ORLANDO BANKRUPTCY COURT’S CHAPTER 13 MORTGAGE MEDIATION PROGRAM

As of June 1, 2010, new HAMP rule changes now make it possible to seek mortgage modification while in an active bankruptcy case.  Under prior U.S. Treasury rules, mortgage lenders are not required to consider modifications under the federal government’s Making Home Affordable Program (HAMP) while a homeowner is in an active bankruptcy case; however, these rules have now changed and they will prevent lenders from saying no to mortgage modification during bankruptcy cases. 

This will make it much easier for homeowners to seek modification of their mortgages and save their homes while adjusting and discharging other debts in a single proceeding.  The rules also allow use of the schedules filed in the bankruptcy case to be used as the modification application and other streamlined procedures that will make it easier to communicate with lenders and avoid the typical runaround homeowners get when trying to modify their mortgage. It also gives the homeowner the added protection of a Court Order approving loan modifications to prevent future mortgage problems caused by the mortgage company.

In the Orlando Division of the Middle District of Florida, the U.S. Bankruptcy Court has also just launched a Mortgage Mediation Program to bring mortgage lenders to the negotiation table and offers sanctions against mortgage lenders who refuse to participate.  I currently serve on the Subcommittee with the Chapter 13 Trustee to help make this new Mortgage Mediation Program a success in the Orlando Division.  This will make the lender come to the table!

These new Treasury rules and the Orlando Bankruptcy Court’s Mortgage Mediation Program make filing a Chapter 13 Bankruptcy case a much better option to seek mortgage modification and stay other creditors at the same time.  It can also allow for the “stripping off” of second mortgages if the current home value is less than the amount owed on the first mortgage, lowering car loan payments and a minimal if any payment to unsecured credit card debts.  A homeowner who files for Chapter 13 Bankruptcy to reorganize may emerge from the case with a modified first mortgage, a second mortgage that is gone forever and be otherwise debt free upon plan completion and discharge.

Finally a rule change to help the Florida Homeowner save their home. Most homeowners I meet with here in Central Florida need a mortgage modification AND bankruptcy relief and now it is possible to get both types of relief at the same time. I believe this will really give homeowners a better chance to save their homes and resolve other debt problems through Chapter 13.

To learn more about how these new HAMP rules and Bankruptcy Court Mediation in the Orlando Bankruptcy Court may help you, visit my website www.legalquestion.com or call me toll-free at 888-841-3588 for a free consultation.  You can also visit our Facebook fan page and follow me on Twitter at www.Twitter.com/BakerLawFL for up to date information.

Was remembering my Ben Franklin recently and some gems came to mind in these difficult times.  In his "Poor Richard's Almanac" as well as "The Way to Wealth" Ben has some wisdom to share that we all need to remember:

"Industry Pays Debts while Despair Increaseth Them"

"Diligence is the Mother of Good Luck and God Gives all things to Industry"

"One Today is Worth Two Tomorrows"

I will be speaking at a Continuing Legal Education Seminar September 9, 2010 in Orlando Florida.  The seminar is for Attorneys who want to learn more about Lien Stripping Mortgages in Chapter 13 Bankruptcy.  

It is hosted by www.LawReviewCLE.com so for more information, visit their website.

This is a hot topic in bankruptcy because of the ability to "strip off" second mortgages due to a sharp drop in real estate values.  Many people do not realize that this is available under existing bankruptcy law and may mean the difference between saving your home or letting it go...Visit my website for more information at www.LegalQuestion.com

No Surprise that filings are up given the economy, especially in light of recent Federal Reserve comments this week...

Personal Bankruptcies Rise, Reversing Trend - WSJ.com

online.wsj.com

U.S. personal bankruptcies rose 9% last month, reversing a trend of declining filings over the previous three months and highlighting the continuing financial struggles of many consumers.

Great reminder from a great attorney and fellow NACBA member that how you look at your situation and the words you speak have power in your life. Let your words echo your attitude and have faith and hope and look at Bankruptcy as a new beginning.

http://www.legalquestion.com Attorney Richard Baker

http://www.bankruptcylawnetwork.com/2010/08/07/isaiah-5719-and-bankruptcy/?utm_source=twitterfeed&utm_medium=twitter

Principal Reduction on Mortgages.  This Reuters Article/Blog finally discusses principal reduction being on the table for Fannie Mae and Freddie Mac...about time!

http://blogs.reuters.com/james-pethokoukis/2010/08/05/an-august-surprise-from-obama/?cp=5#comment-8818

Look folks...the blame game is pointless.  Stabilizing the US Housing Market is the KEY to ending the recession.  If the cramdown bankruptcy bill would have passed in May 2009, the real estate market would already be stable and more people would have kept their homes...this is just an executive version of that bill.  

Hey, we've already paid Fannie & Freddie the $75billion.  The bankruptcy cramdown would have done the same except not on the backs of taxpayers.  Thank Republicans for the extra TAX! 

Many members of Congress already got their $$$ from the banks so cramdown failed.  Wanna blame somebody, blame the GOP, Big Banks and their stranglehold on Congress for many years before President Obama.

The irony is when we try help THE PEOPLE, it's a handout....when we help the banks, its a bailout!  This is non-sense.  Moral problem if it's a US Citizen but no moral problem when a bank walks away from a bad investment.  The only reason people are walking away from their homes is they are now thinking like bankers...it's a business decision.  This gives them a reason to keep paying and keep their home!  Consumer Bankruptcy Attorney Richard R. Baker, Orlando, Florida www.legalquestion.com

Many people do not know about Chapter 12. This is a bankruptcy case for farmers and fisherman. One advantage is you can cramdown and restructure your home mortgage, something you cannot do in Chapter 13. Our good friend Doug Neway, Jax Chapter 13 Trustee administrating these case and leading the way! Good job Doug!

No. 1 in Chapter 12 - District leads nation in farmer, fishermen bankruptcies

www.jaxdailyrecord.com

Jacksonville has another distinction. The Middle District of Florida leads the nation in Chapter 12 bankruptcy filings. Within it, the Jacksonville Division leads other divisions nationwide, too. Chapter 12 is designed for family farmers and family fishermen with regular annual income and allows t...

Hmmm. A Pause...well as long as the banks are doing okay...right? Give me a break!  When will we all stand to what the banks continue to get away with while I see so many families on the brink of financial ruin.

There is a saying going around right now:  If you have a job, it's a recession, if you are unemployed, it is a Depression...Rick Baker, Esq. www.legalquestion.com