Peter Francis Geraci – Bankruptcy Attorney News – Peter Francis Geraci Law, call us at 800 CALL PFG

Student Loan Update

More complications from your politicians.

Check out the article written by Attorney Peter Francis Geraci at https://www.infotapes.com/articles and others. This is an ongoing change, this article originally written 11/22/2022.

There are three branches of Government in the United States, according to the United States Constitution. The legislative branch charged with making the laws. The executive branch, which is the president, in his various departments such as the Department of Justice or the Department of Education, have no power to make any laws. So when the senator from MasterCard, now president Joseph Biden, says that student loans are discharged, courts, which are the third branch of government, rule on whether or not he is violating the U.S. Constitution by trying to legislate by Executive Order.

What does this mean to you if you have student loans? Student loans used to be dischargeable in bankruptcy. Bankruptcy is a federal law. Bankruptcy law was made by the United States Congress, voted on by the Senate and the house of representatives. When Joe Biden was a Sen., he represented the state of Delaware. He was commonly known as the senator from MasterCard, because that was where MasterCard at its headquarters, where it gave Joe Biden and other politicians a lot of money. Joe Biden and some other politicians like his friend Charles Grassley of Missouri, change the bankruptcy law so that student loans were no longer dischargeable in bankruptcy, except if there was a showing of “undue hardship”

“undue hardship” was almost impossible to prove in bankruptcy proceedings. The Justice Department represented the Department of Education and all government insured student loan cases trying to prove undue hardship, and they fought it to the extreme, and opposing terminal cancer patients discharge of student loans on the grounds that they might get better so what is Joe Biden trying to do now? He is ordered the Justice Department to be less aggressive, but still to examine a whole bunch of factors in determining if there is a student loan discharge possible.

The problem with this is that under the current bankruptcy law you not only have to file a bankruptcy case, but you have to prepare a lawsuit within the bankruptcy case called an adversary complaint, and in that adversary complaint you have to set out the factors that you think aloud discharge. When the new Justice Department guidelines are finalized, the Justice Department attorneys have now been ordered not to be so terrible and opposing discharges. But that does not mean that student loans will be dischargeable in bankruptcy to any great extent, because judges still have to rule on it and judges follow the law, not Justice Department guidelines.

If any of our fine politicians are worried about student loan discharge, what they should do is amend the bankruptcy law to permit discharge of student loans after period of time, based upon all the other bankruptcy factors, and either chapter 7 or 13. Sen. Elizabeth Warren and Sen. Richard Durbin propose such a bill two years ago and it is gone nowhere so stay tuned.

If your purpose in filing bankruptcy is to discharge her student loans, and they are not dischargeable in programs that already apply for on your own, it is still going to be an uphill battle.

Dial 1-800-CALL-PFG for a free phone mini-consultation, or make an appointment online 24/7 at www.infotapes.com. Bankruptcy laws are in place to help you. Who knows bankruptcy like Geraci Law? Geraci Law has 35,000 5-star reviews since November 2016!

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

Bankruptcy Can Help You Plan for Retirement!

Instead of paying credit cards, you should be paying yourself!

Check out this article written by Peter Francis Geraci and more articles at https://www.infotapes.com/articles!

Most Americans know nothing about bankruptcy law even though it is in the United States Constitution. They don’t know how to get rid of their debt. That is no accident, since all the financial education courses, when they are required in high school, deliberately do not teach anything about bankruptcy law. You can take my debtor education course by logging onto http://www.pfged.com, or more if you want to spend two hours getting educated.

One thing I teach in my debtor education course is that you should start worrying about retirement early. If you don’t have at least your annual salary saved up by age 30, you are not on track to retire by age 67 very few Americans have their salary saved up by age 30. Very few are putting 5000 or more into an IRA every year but a lot of Americans are paying 5000 in credit cards minimum payments every year.

So if your credit card minimum payments are $500 a month, that is 2% your credit card debt, is probably around 25,000. If you file a bankruptcy case, or chapter 7 for immediate discharge, or chapter 13 to repay with no interest, sooner or later you will have no credit card debt, and can put that 500 a month in an IRA you will have $6000 a year. That means in the next 10 years you will have at least $60,000, even if the IRA does not increase in value.

Some financial educators also say that by age 40 you should have three times your annual salary saved. Another rule of thumb is to multiply your living expenses at 25 to see how much money you will need to retire, and last 25 years in retirement. Here’s how that works: if your expenses are 2000 a month or 24,000 a year, five times that is about $600,000. So by the time you are 65 years old should have $600,000 saved. I can you possibly do that? Well if to save $6000 a year or 30 years just to get $180,000. But if you invested 6000 a year and a dividend paying stock, paid a 4% dividend, would get the benefit of compound interest, and possibly also an increase in the stock price, and over 30 years your money just might triple.

If you are paying $500 a month in minimums and credit cards you will pay the credit cards off in about 22 years. That’s a lot different than having hundred $80,000 in savings 20 years from now, isn’t it? That’s why people that file bankruptcy truly get a fresh start, if they take my debtor education course, they learn how to retire with the pension or IRA of at least $200,000. More information is at http://www.infotapes.com.

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

Some Reflections on the Law of Bankruptcy

Letter from 1775 proves bankruptcy is as AMERICAN AS APPLE PIE!

Check out the article written by Attorney Peter Francis Geraci titled, “Some Reflections on the Law Of Bankruptcy.” Read the article below or this article and more at https://www.infotapes.com/Articles.

A year before the Declaration of Independence, the ability to file a bankruptcy case and get a fresh start was prized in America. This letter published in Connecticut, which enacted a bankruptcy law before the American Revolution, written in 1775, proves that. https://quod.lib.umich.edu/e/evans/N05906.0001.001/1:2?rgn=div1;view=fulltext

Among the pearls of wisdom in the letter, which hold true today, there is a common theme: “such a law would be beneficial to the publick, and analogous to reason and our holy religion” In other words, the bankruptcy laws of the United States, allowed by the U.S. Constitution Article I Section 8 that Congress has enacted, are BENEFICIAL, REASONABLE, AND SIMILAR TO HOLY RELIGION!

The letter starts out:

I shall consider this Act in the

FIRST PLACE, As beneficial to the Publick,
SECONDLY, Serviceable in general to the Debtor.
THIRDLY, In general, no Disservice to the Creditor.
FOURTHLY, Agreeable to Reason, and the Genius of our holy Religion.

Other colonies, such as Virginia, were also enacting their own bankruptcy laws. When the U.S. Constitution was enacted in 1787, the power to make a nationwide bankruptcy law was given to Congress. That is why bankruptcy is a Federal statute today, available in every state and U.S. Territory.

The letter points out the evils of not having a fresh start, debtors’ prisons they had in England, advantages to business with a good bankruptcy law, and quotes the Bible, which favors and commands the forgiveness of debt in many places:

of thy Brethren, &c. thou shalt not harden thine Heart, nor shut thy Hand from thy poor Brother;

but thou shalt open thine Hand wide unto him, and shalt surely lend him sufficient for his Need, in that which he wanteth:

If thy Brother be waxen poor, &c. then thou shalt relieve him, &c. that he may live.

If, says JOB, I have seen any perish for Want of Cloathing, or any Poor without Covering; if his Loins have not blessed me, &c. then let mine Arm fall from my Shoulder-blade, and mine Arm be broken from the Bone.

Whoso hath this World’s Good, and seeth his Brother have Need, and shutteth up his Bowels of Compassion from him, how dwelleth the Love of God in him!

My little Children, let us not love in Word, neither in Tongue, but in Deed and in Truth.

When we turn over the Pages of the sacred Volume, wrote from the Mouth of our Divine Master, and there observe the sublime Sentiments of Benevolence, Compassion, Forbearance, Forgiveness of Injuries, and Enemies, &c. enforced by the most powerful Arguments drawn from Life and Death, and the same exhibited in Perfection in his own glorious Person.

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

What You Get When You Choose Geraci Law!

Check us out @ https://www.infotapes.com/. Geraci Law has helped THOUSANDS get control of their finances. We’re not a corporate firm, we’re nice friendly people ready to help. Geraci Law cares about YOU and finding a solution to your financial problem. If we can’t help, we’ll try to come up with an alternative solution.

Here’s what else you get when you choose Geraci Law:

Free phone consultation to go over your debts with a bankruptcy counselor. Call to start now with a free consultation.
Free office or virtual consultation Weekdays and Saturdays.
Fast filing same day available.
No money down filing available for Chapter 13 plans.
Payment plans you can afford available to fit your case.
We handle our own trial and appellate work.
No hidden charges: some firms tack on $150 for what we do for free.
Established bankruptcy law firm with over 100 attorneys and staff.
We do both Chapter 7 and 13, some attorneys only do one Chapter.
We are in court all the time everywhere, it’s no trouble to help you out!
No phony debt settlement schemes: we work within the court system.
Geraci Law is the largest bankruptcy firm almost everywhere we are.
Personal attention, happy clients, and a fresh start for you.
Experience counts: we do so much bankruptcy we see everything.
Geraci Law LLC provides our lawyers and staff with Continuing Legal Education constantly so you get lawyers who are up to date legally!

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

When Do I Stop Paying My Creditors?

Generally, you will stop paying all other creditors, such as charge cards, as soon as you make the decision to file a bankruptcy petition.

Read Chapter 23 of Attorney Peter Francis Geraci’s, “Complete Book on Bankruptcy” below. For more, visit https://www.bankruptcybookbypeterfrancisgeraci.com/

Generally, you will stop paying all other creditors, such as charge cards, as soon as you make the decision to file a bankruptcy petition. Whether you are doing a Chapter 7 or a Chapter 13, there are some bills you will always want to pay. These are personal expenses, such as rent, food, school tuition and current utilities.

In a Chapter 7 bankruptcy, generally the only bills other than regular living expenses that you will pay are for mortgages or cars that you want to keep, or for non-dischargeable debts such as government insured student loans or loans or grants from non-profit schools, first due less than 7 years ago. You may also want to pay collateralized loans, such as furniture and electronics purchases.

In a Chapter 13 debt repayment plan, you are proposing to pay your creditors by making one payment to the Chapter 13 trustee, who then divides it up between the creditors. Therefore, you pay no one individually, or “outside the plan,” because your Chapter 13 payment pays them. The only creditor that is generally paid “outside” the Chapter 13 Plan is a mortgage on real estate.

If I am representing you, I will advise you on which creditors to continue paying, and which not to. Generally, you never continue paying charge cards and similar debts, but this is a complicated area and is best left to your attorney to advise you.

Problem: Lou and Wendy can pay their car payment this month, but due to higher rent, can’t pay their credit cards, or the IRS taxes due for Lou’s side jobs from last year.

The Peter Francis Geraci Chapter 7 or 13 Solution: Perhaps they can file a Chapter 13, which may pay all their bills for the same amount as their car payment; the car will be paid for by the Chapter 13 payment, first, before other creditors. They can use the car payment money for their first Chapter 13 payment. Or, they may want to continue making their car payment, stop paying all the credit cards, and just pay down their IRS debt, doing a Chapter 7.

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

Heating Gas Prices Triple!

Inflation hurting everyone!

Read, “Heating Gas Prices Triple” a press release from Geraci Law. You can read this and more at https://www.infotapes.com/Press.

In Northern Illinois, not to mention Indiana and, of course, Wisconsin, Ohio, Michigan, etc., it’s cold outside right now! So, turn up your heat, but be prepared for a big natural gas bill (thankfully we have gas heat, not electric which is even more costly).

According to NICOR, the natural gas supplier, the price of a therm of natural gas in January 2021 was 29 cents vs. January 2022 is 61 cents per therm. DOUBLE

1) Peoples Gas prices for October 2020 were 24 cents per therm and in October 2021, they are 72 cents per therm — a 198% increase. TRIPLE

2) Nicor Gas prices for October 2020 were 28 cents per therm and in October 2021, they are 61 cents per therm — a 125% increase. MORE THAN DOUBLE

3) North Shore Gas prices for October 2020 were 35 cents per therm and October 2021, they are 67 cents per therm — a 91% increase. JUST ABOUT DOUBLE

Geraci Law is increasing the budget expense for new Chapter 7 and 13 filings accordingly, so clients can meet their living expenses, and pay less to creditors under the “means test” that Democratic leaders (you know who) pushed through in 2005 to make debtors pay more to creditors. But with inflation, bankruptcy filings are designed to insure that debtors can pay their regular living expenses, before they pay creditors, or even discharge their debt so they can pay their gas bills. Thank your politicians for making it tough on everyone!

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

Debt Collectors can text you, email you, and contact you on social media!

The federal agency Consumer Financial Protection Bureau doesn’t seem to be protect you much when they passed new rules that let debt collectors email you, text you, and message you on social media.

Read article below by Attorney Peter Francis Geraci and more @ https://www.infotapes.com/Articles

The federal agency Consumer Financial Protection Bureau doesn’t seem to be protect you much when they passed new rules that let debt collectors email you, text you, and message you on social media. They do have to identify themselves as debt collectors. On social media, they can send you a fried request. They have to give you the option to opt out of being contacted online. Any messages have to be private, not on you public or contacts page.

The good news is that you will be more aware of collection activities, so you can do something about your financial mess before you get sued or garnished. Of course, most people who have debt collectors contacting them don’t do much of anything if it is just one small debt. But if you have $10,000 or more in consumer debt, outside of student loans, and you are getting emails and texts, you can be sure that it just isn’t going away, and debts have at least a 5 year statute of limitation before the debt is to old to collect

Chapter 7 and 13 bankruptcy stop all collection efforts during the bankruptcy proceedings, and stop all collection permanently on debts you obtain a discharge for. The sooner you contact Geraci Law if you have over $10,000 in debt you can’t pay, the sooner you will be able to decide what to do.

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com.

Can Bankruptcy Discharge of Debt Help My Credit?

Studies by Harvard and the Federal Reserve show that people who file bankruptcy and generally in a better position than those who remain in debt.

Read this article by Attorney Peter Francis Geraci titled “Can Bankruptcy Discharge of Debt Help My Credit?” and more at https://www.infotapes.com/Articles

Studies by Harvard and the Federal Reserve show that people who file bankruptcy and generally in a better position than those who remain in debt. The Federal Reserve said,

“[people who file bankruptcy] experience a sharp boost in their credit score after bankruptcy, whereas credit scores recover at a much slower pace for individuals who remain [in debt].

The credit score of bankrupt individuals exceeds the credit score of insolvent individuals by 40-80 points. In addition, those who go bankrupt open new unsecured accounts post-bankruptcy at a higher rate (by around 15 percentage points) than those who don’t file bankruptcy, while the number of inquiries is very similar across the two groups.

This indicates a difference in access to credit, not demand for credit. [The Federal reserve] conclude[ed] from this evidence that the ability to file for Chapter 7 bankruptcy is associated with better access to credit, and while both insolvency and bankruptcy are forms of default, the debt discharge associated with bankruptcy leaves filers in a better financial position than individuals who become insolvent in similar circumstances.”

If you are contemplating bankruptcy, you have probably received charge cards in the mail, and bought things with no money down. After a bankruptcy, that easy credit will be harder to get. Most times, you can get a charge card by giving a $400 or more savings account with the issuing bank, so that if you do not pay the charge card, they can deduct from your bank account.

Many clients may be able to buy a home within a few years after filing a bankruptcy or even during a bankruptcy. How do I know? Every week an old client calls me and asks for proof that their bankruptcy got rid of their old bills, so they can give it to their mortgage company. Mortgage companies want to know that people buying houses don’t have creditors chasing them, because those creditors can put liens on the house. Also, if you have a lot of bills to pay, you probably can’t afford house payments. Filing bankruptcy may be the first step to buying a house.

Geraci Law makes it easy for you to apply for mortgages and credit. We post your filed bankruptcy petition on your Client Corner so you can log in and get it when you need it. We provide you with any help you need to show that you got out of debt.

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com

Thankruptcy

Read about Thankruptcy!

There’s a lot to be thankful for. Geraci Law is thankful to our clients and the ability to help people receive a fresh start. We have a phrase at Geraci Law called Thankruptcy! Our clients are so happy with their experience, they don’t say Bankruptcy they say – Thankruptcy!

Check out our Thankruptcy video below!

Homes & Bankruptcy

Will I lose my house if I file for bankruptcy?

What happens to my home if I file my bankruptcy? Do I lose my house if I file a Chapter 7? Questions asked by every homeowner looking to file for bankruptcy. The answer is the only thing you lose if you file for bankruptcy is the DEBT.

If you in a Covid 19 or C19 mortgage deferral, if you do not have the repayment in full – filing a Chapter 13 can HELP! Talk to an experienced Geraci Law attorney today about your options.

Attorney Peter Francis Geraci answers the question of Homes and Bankruptcy in InfoTapes segment. Watch below! If you want to review your debt relief options, we’re a phone call away or you can schedule online @ https://www.infotapes.com/Bankruptcy/OfficeLocator

Dial 1-800-CALL-PFG for a free phone mini-consultation, or make an appointment online 24/7 at www.infotapes.com. Bankruptcy laws are in place to help you. Who knows bankruptcy like Geraci Law? Geraci Law has 30,000 5-star reviews since November 2016!

Read ALL ABOUT DEBT RELIEF at www.bankruptcybookbypeterfrancisgeraci.com

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