Avoid Foreclosure
Are there tax consequences if my property is foreclosed? Foreclosure can trigger tax consequences to you, depending on the tax basis of the property, whether the property is your residence, etc. Know that the bankruptcy estate in a Chapter 7 and 11 is a separate, tax paying entity, distinct from the individual debtor: if the property is property of the estate when the foreclosure takes place, the tax consequences should fall to the estate, not the debtor.Yes! We have loan programs to fit almost any situation, regardless of past credit problems.
What happens if I do not pay my tax bill? Tax payments must be received on or before the due date to avoid interest charges. If payment is not made within 30 days of the original date of mailing, the account will begin to accrue interest at the rate of 14% per annum, computed from the date the bill was due. A demand notice will be sent and a demand fee of $5.00 is charged against the account. If the account remains outstanding 14 days after the issuance of the demand notice, a warrant notice is sent. The warrant fee is $9.00.Documentation for medical expenses would be copies of unpaid medical bills within the past 6 months. An eviction notice or letter from the landlord stating the amount needed to prevent eviction or foreclosure is acceptable documentation.
Why would anyone pay for this service? You offer your client one of the most important services they will ever need. You will be SAVING THEIR MOST VALUABLE INVESTMENT – FROM FORECLOSURE! The cost of moving is far greater than our fee for saving their home. In addition to helping stop the foreclosure process against their home and saving their equity, you can also prevent a possible tax liability to your client.
Will bankruptcy prevent a foreclosure on my home and/or my repossession of my car? Bankruptcy can prevent a foreclosure of your house or a repossession of your car. An automatic stay arises by law the instant a bankruptcy is filed. The automatic stay stops the foreclosure process and prevents any collection actions, such as repossessions or garnishments. Bankruptcy may also allow you to consolidate your mortgage arrears or automobile balance, and make payments on those debts over time through a repayment plan designed by your Attorney.Generally, a hardship withdrawal may be made to prevent foreclosure on your primary residence, purchase your primary residence, pay for post-secondary education and for medical bills not paid by insurance.
What happens if I do not pay my tax bill? Tax payments must be received on or before the due date to avoid interest charges. If payment is not made within 30 days of the original date of mailing, the account will begin to accrue interest at the rate of 14% per annum, computed from the date the bill was due. A demand notice will be sent and a demand fee of $5.00 is charged against the account. If the account remains outstanding 14 days after the issuance of the demand notice, a warrant notice is sent. The warrant fee is $9.00.Tax payments must be received on or before the due date to avoid interest charges. If payment is not made within 30 days of the original date of mailing, the account will begin to accrue interest at the rate of 14% per annum, computed from the date the bill was due. A demand notice will be sent and a demand fee of $5.00 is charged against the account. If the account remains outstanding 14 days after the issuance of the demand notice, a warrant notice is sent. The warrant fee is $9.
What about my house? Bankruptcy is about giving debtors a fresh start and it would not be much of a fresh start if you found yourself out on the street. So the bankruptcy system does have ways to protect your home. Bankruptcy is often used by homeowners as a tool to prevent foreclosure. By filing a bankruptcy petition you can stop a incomplete foreclosure proceeding. But you need to be serious about reorganizing or otherwise dealing with your debts. A haphazard filing can do more damage in the long run.