New Jersey Bankruptcy Law Blog

Future uncertain for briefly popular MoviePass company

On behalf of of Goldman & Beslow LLC posted in chapter 13 on Tuesday, August 14, 2018.

For companies in New Jersey that are facing an uphill battle with recovering from financial loss, the future can seem incredibly bleak and hopeless. Fortunately, there are options to help failing companies regain a second chance at succeeding. Some of these options include refinancing debt, restructuring financial operations or turning the company over to another entity who is better equipped with the resources to nurse it back to health.

However, there are also situations where a company is unable to recover as it struggles to stay afloat with bankruptcy looming ahead. In a recent example, the briefly popular company MoviePass appears to be suffering an ongoing downhill battle with unsuccessful profits. In recent communications, the company has disclosed that it is not optimistic about its ability to continue operating without substantial offerings. As it continues to work through bankruptcy proceedings, new information has come to light that its shareholders are now suing the company.

Things to know regarding credit, post-bankruptcy

On behalf of of Goldman & Beslow LLC on Tuesday, August 14, 2018.

If you're currently facing financial problems and are considering filing for bankruptcy, you may be hesitant because you're worried how it might negatively affect your credit score. It's true that Chapter 7 or Chapter 13 bankruptcy will lower your score but just like a financial crisis is almost always temporary, so is the record of your bankruptcy.

If you know what steps to take to begin rebuilding your credit rating, you may find yourself back on track sooner than you'd imagined. One thing's for sure: You are definitely not the first, nor will you be the last person to undergo serious financial strain in New Jersey. A key to financial recovery lies in what type of support you access as you're exploring options to overcome the obstacles you now face.

Can I keep my car if I file bankruptcy?

On behalf of of Goldman & Beslow LLC posted in asset forfeiture on Tuesday, August 7, 2018.

If your debt becomes uncontrollable, you may have no choice but to file for bankruptcy in New Jersey. Doing so will change your finances and possible lead to you losing some of your assets. If you have an auto loan, you may wonder if there is any way to keep your vehicle, especially if it is the only one you have.

According to Bankrate, whether you can keep your car in a bankruptcy depends on your lender. You cannot leave the auto loan out of your bankruptcy as it will automatically be included. This means your bank could take the vehicle back to satisfy the loan. If you want to keep it and not have it seized as part of your bankruptcy, then you need a reaffirmation agreement. This agreement is made with the court and is a promise that you will repay the debt.

Did one or more of these issues cause your credit card debt?

On behalf of of Goldman & Beslow LLC on Friday, August 3, 2018.

Do you tend to avoid discussions about finances because they stress you out? If so, you are in good company as many other New Jersey residents do the same. Your financial journey has probably included a lot of ups and downs, with some months or years a lot better than others. Many people are currently facing serious financial problems, some that stem from major credit card debt.

Perhaps you can relate those who say they thought they had their credit card balances under control when one or more issues arose that tipped the scales in the wrong direction. You'll be glad to know that most financial crises are temporary and that many people have been able to restore financial stability by starting over with clean slates. By exploring options, such as bankruptcy, you may be able to rebuild your finances as well.

Can I file Chapter 13 without an attorney?

On behalf of of Goldman & Beslow LLC posted in chapter 13 on Wednesday, August 1, 2018.

Filing for bankruptcy is a complex process. You may wonder if you need to hire an attorney to file in New Jersey. While you are not required to have an attorney, the United States Courts highly recommends that you use one when filing. The process of filing is difficult and there are many steps. There are also some things that could be confusing. If you make a mistake or miss a deadline, then your case may be dismissed.

Getting an attorney to help with your bankruptcy can ensure that you are included all the required information and not missing any important details that could affect your filing. He or she can ensure paperwork is properly filled out and filed at the correct times. Your attorney can also offer you advice and provide legal counsel as you work through the process.

Can debt consolidation work for me?

On behalf of of Goldman & Beslow LLC posted in debt relief on Tuesday, July 24, 2018.

Unfortunately, it is not difficult to get into a situation where you have more debt than you can handle. People end up in this same situation every day in New Jersey. How you handle it can make the difference between reviving your credit and ruining it, though. One option is called debt consolidation, which Experian explains is when you use a loan to put all your debt into one account with one monthly payment.

There are good and bad things about consolidation. You will likely pay more in the long run due to interest charges, but your monthly payments may be lower and more affordable. If you are falling behind in monthly payments, then this could really help you to avoid bad marks on your credit report.

Bankruptcy, debt consolidation or debt settlement -- what to do?

On behalf of of Goldman & Beslow LLC on Friday, July 20, 2018.

Are you one of the many New Jersey residents who is struggling financially? If you have a large amount of debt, getting rid of it as soon as possible would grant you and your family some relief. What is the best way to go about eliminating debt? Bankruptcy, debt consolidation or debt settlement?

Each of these debt relief options has advantages and disadvantages. You simply have to decide which best suits your individual needs and financial goals.

How can delaying filing for bankruptcy harm me?

On behalf of of Goldman & Beslow LLC posted in chapter 7 on Wednesday, July 18, 2018.

Bankruptcy is such a dreaded concept for some people that they will do all they can to avoid filing for it. However, even if going through Chapter 7 bankruptcy makes it harder in the future to apply for New Jersey loans or mortgages, delaying bankruptcy is often a worse option. Not only does delaying bankruptcy not improve your financial state, it can make things worse for you.

According to Nerdwallet, waiting to file bankruptcy can deplete more of your assets than if you chose to file as soon as circumstances warranted. Without bankruptcy protection, debt collectors are free to file lawsuits to collect their outstanding debts. Debt collecting efforts may force you to spend more money and effort trying to fend them off in court, deepening your financial hole. Also, the lack of bankruptcy protection can result in debt collectors taking assets like your home or your vehicle.

What property can I keep after a bankruptcy?

On behalf of of Goldman & Beslow LLC posted in asset forfeiture on Friday, July 13, 2018.

There are many different types of protected property that you could be able to keep after certain types of New Jersey bankruptcy, especially chapter 13. For example, you might be able to keep your car or your home. However, your situation is likely to require an exacting analysis to maximize asset retention while still appeasing your creditors.

Bankruptcy type is the main factor that determines which assets you could keep. For example, you would trade asset liquidation for debt forgiveness in chapter 7 bankruptcy. In chapter 13, you would set up a repayment schedule to handle your debts over a court-determined period of time, usually several years.

Is filing Chapter 13 better than Chapter 7?

On behalf of of Goldman & Beslow LLC posted in chapter 13 on Monday, July 2, 2018.

Filing any type of bankruptcy is best avoided if at all possible, but if you find yourself in a bad situation where bankruptcy is the only option, then you may have no choice. The next consideration you have to make is which type of bankruptcy to file. There are good and bad points to filing both Chapter 7 and Chapter 13, but you may find filing Chapter 13 is better in the long run.

The first thing to know is that Chapter 7 wipes out your debts whereas Chapter 13 is a repayment plan. The American Bar Association notes that this difference actually is huge when it comes to deciding which type of bankruptcy to file because it affects many of the details of the bankruptcy.