Archive for the ‘Credit Cards’ Category

Manhattan Chapter 7 Bankruptcy Attorney discusses the emotions behind filing for Bankruptcy

Monday, August 9th, 2010

When you’ve dealt with as many Chapter 7 Bankruptcy cases in Manhattan or Brooklyn or Queens as I have, a particular type of client emerges. You know, almost within the first few minutes of walking into the door, whether that person will be filing Chapter 7 Bankruptcy at that time….or not. You know because its an emotional response.

The first type of client, lets call him/her, “The Filer” (I didn’t go to Law School for originality) comes in and says “Hi, Im in debt way over my head and I need to file for Bankruptcy”. That person, as is pretty obvious, is likely filing for Bankruptcy right then and there. They’ve gone through the options, figured out they don’t make sense and has decided to take control and get out of this debt.

The second type of client is the “Meh” client. This client comes in and knows that Bankruptcy will likely be their best option, but they still have a multitude of concerns. Everything to “When is my credit coming back” to “What happens if I get a higher paying job after filing for Bankruptcy.” However, this client, emotionally, is also ready to file. They just need some reassurance that this is not financial armageddon.

The third type of client is the “Cmon” client. Ive had two of these in the past week. It’s an odd situation. This type of client is different from 1 and 2. They want to be re-assured that Bankruptcy ISNT right for them. And for some people, its not. People who have a small amount of debt and a large amount of income. People who have a large (over $100,000) amount of equity in their homes. People who own brand new cars outright. But many of these people that come see me do not have this issues. They simply believe that Bankruptcy is a trick. “What do you mean I get to get rid of this debt.” “Why wouldn’t everyone file for Bankruptcy then?” “Are you a cop? (j/k)” In any event I explain to these clients that they arent emotionally ready to file (like Jennifer Love Hewitt in the Ghost Whisperer) and that they should take some time to think over their options again. Many of them are in such financial dire straits that there is literally nothing that will get them out of their hole other than Bankruptcy, but they refuse to accept it, and there is only a limited amount I can do as a Bankruptcy attorney to get them there.

Its my pleasure and realistically I am blessed that so many clients meet with us on a weekly basis to discuss their options. Its just that at the end of the day Chapter 7 Bankruptcy in Manhattan is as much an emotional decision as it is a legal one.

No matter what client you are, we’d be more than willing to talk to you about your options.

Posted in Cars in Bankruptcy, Co-Op, Credit Cards, Debt Settlement, Gersh Blog, Homes in Bankruptcy, Jobs and Bankruptcy | View Comments

Queens Bankruptcy attorney Daniel Gershburg constantly hears “I did not get served by Mel Harris and they’re suing me”

Friday, April 9th, 2010

Lets put it this way, I am not singling out Mel Harris.  I hear about not getting served from firms such as Rubin & Rothman, Cohen and Slamowitz, Pressler and Pressler, and many other debt collection firms in New York.

So you didnt get served but they’re suing you…now what?

Well, this Queens Bankruptcy Attorney would tell you NEVER to call them and leave it at that.  You think a phone call is proof of anything but you having a phone?  Its not.  And don’t send in random letter either (notarized doesnt it make it the end all be all either).  If you’re getting sued by any of these debt collection firms and you don’t think you were ever served with papers then it’s your job to go into court and “answer” the complaint against you, or hire a lawyer (hi!) to do that for you.  New York law has explicit requirements as to how you can be served in these actions.  Believe me, you’re not alone in thinking this suit came out of nowhere.  Thousands upon thousands of people across Queens, and all of New York say that they were never served with any papers but now there are judgments against them.  If they can’t prove they served you, they would have to restart the case all over again, or, in some instances, they could have the suits completely dismissed altogether.

So the lesson of the day is not simply to fight back against these firms by sending certified mailings, but its instead to have proper representation in court and make them prove their case before they start freezing your bank accounts and taking your salary and having it be a complete surprise to you.  The worst thing you can do is nothing at all.

Posted in Consumer Advocacy, Credit Cards, Debt Settlement, Gersh Blog | View Comments

Credit Card Judgments entered even when you weren’t served with papers

Tuesday, April 14th, 2009

Here is a tip.  Lets say you were served with what looks like court papers in the mail.  And you were ONLY served in the mail.  That means nothing was left nailed or taped to your door, and nothing was given to you in person. There is a good shot you werent served with the papers properly and you MAY have a way to throw out that specific judgment against you.  Again, I stress may because it really does involved the particulars of each case.  However, you should know that many credit collection law firms seem to engage in these practices.  What usually happens is that you receive court papers in the mail either on time, or too late for you to even make an appearance in court.  Or sometimes youll even receive papers stating that a judgment was entered against you when you didn’t even know there was an outstanding judgment in the first place.  You may have even called the collection firm who told you that even though you only received this piece of mail, the judgment is still legitimate and you still have to pay.  Wrong answer…collection firm people (what forceful language I used there).  In fact, there is a good chance that you werent served accurately and you may not (and I stress may) have to pay the judgment amount.  This might be an example of what is known as sewer service.  The jist is that these credit collection firms have so many cases, that they constantly screw up (legal term) service, in which case, the court may not have jurisdiction in your case (meaning the court may not be able to hear your case as it is right now, let alone enter a judgment against you.)  The best way to know is to get the affidavit of service from the collection firm.  Easier said then done however.  Many of these firms will not allow you to speak to an attorney, or will ignore these requests outright (even though they cant).  Speak to an attorney about your case if you think this happened to you.  It may save you grief, time, and money.

Posted in Consumer Advocacy, Credit Cards, Gersh Blog | View Comments

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