Congress for sale? Big banks had contributed millions of dollars to Senators and Congressmen for years seeking “bankruptcy reform” due to the perceived notion that people were irresponsibly walking away from debts without cause. Never mind the billions in profits the banks were earning by charging interest rates upwards of 30% or more after certain stressed consumers were labeled “slow pay” — which only pushed them closer to bankruptcy. Consumer groups fought the legislation. But money talks so Congress listened to the banks lining their pockets with “campaign contributions.”
Despite these changes in the law, most people who qualified for Chapter 7 bankruptcy before the new law still qualify for Chapter 7 today. The fact is, this “kick them when they’re down” legislation has done NOTHING to slow the filing of consumer bankruptcies according to the Associated Press. Even if you “think” your income is too high to file Chapter 7 bankruptcy, in most cases we can find a way to get you into a Chapter 7 anyway.
In our bankruptcy practice, we find that people generally fall into one or more of the following three categories: The bankruptcy is due to (1) divorce, (2) unemployment (3) medical disability or bills. Usually it is a combination of all three. In general, people do NOT simply run up large bills intentionally and walk away from them.
The truth of the matter. Very few people filing bankruptcy are well-to-do individuals trying to cheat the system and stiff their creditors. According to a 1999 study by federal bankruptcy judges, the average person filing for bankruptcy earns just $22,000 per year. Most have suffered a significant period of unemployment before filing.
According to a report by Consumers Union, publisher of the well-respected Consumer Reports magazine, 85% of elderly debtors cite medical or job problems as the reason for bankruptcy. Consumers Union also says that single moms trying to make ends meet make up a large portion of bankruptcy filers.
Half of all bankruptcies are triggered by sudden uninsured medical expenses, according to a recent Harvard study by Professor Elizabeth Warren.
Protect your right to bankruptcy relief — even under bankruptcy reform. The Office of the United States Trustee has never successfully brought an objection to discharge or motion to dismiss against a client of Morris Law Office. In a recent 2008 case, the Trustee moved to revoke the discharge of one of our clients. In this case, it was a single, impoverished, divorced woman. The Trustee’s motion to dismiss was based on nonsense from her abusive ex-husband, but the staff attorney for the U.S. Trustee’s Office refused to back off.
Following trial, a United States Bankruptcy Judge found in favor of our client, ruling against the U.S. Trustee and upholding the client’s discharge of her debts. This client preserved her right to walk away from tens of thousands of dollars of debt. Selecting a good Denver Bankruptcy Lawyer can make or break your bankruptcy.
Our guarantee: An accurate bankruptcy filing, not just a “fast” filing. Nothing destroys your credibility faster with the bankruptcy court — and causes unwanted scrutiny — than a bankruptcy filing that is incomplete, inaccurate, or that otherwise doesn’t cross-check properly from schedule to schedule. We file your case fast. But we make sure it is done right. By ensuring an accurate bankruptcy filing that makes factual and mathematical sense, we help to minimize the scrutiny your case receives from the U.S. Trustee’s Office. Complete legal analysis and cross-checking is something you cannot get and will not get from an unlicensed document preparation service. Just ask our past clients!