Goldman & Beslow, LLCGoldman & Beslow, LLC2026-05-29T13:39:04Zhttps://www.nj-bankruptcylaw.com/feed/atom/WordPress/wp-content/uploads/sites/1200469/2020/01/cropped-site-icon2-1-32x32.jpgOn Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Garnishments can derail a household budget]]>https://www.nj-bankruptcylaw.com/?p=504942026-05-28T10:21:11Z2026-05-28T10:21:11ZIf you’re dealing with creditors demanding payments at a time when you can’t pay, you may eventually face legal action for those accounts. That may lead to you ending up with a wage garnishment, which means that money is withheld from either your bank account or paycheck.
If you’re living paycheck to paycheck or have a tight budget, a wage garnishment can be devastating. It can sometimes mean that paying normal household expenses, such as rent and utilities, becomes impossible.
What should you do if you’re facing a wage garnishment?
One of the first things you should do if you’re facing a wage garnishment is to determine what type of debt it’s for. This can help you to determine how to proceed. There’s not always a lot you can do for things like student loans or past-due taxes, except to try to apply for a payment plan.
Are there limits on how much can be garnished?
Wage garnishments typically require a court order, so the amount of the garnishment should be listed in that document. Federal law places limits on how much of your disposable income can be taken to satisfy the debt. Understanding what will come out of your check may make it easier to budget until the garnishment ends. In some cases, the answer to handling a wage garnishment is filing bankruptcy. This makes it possible to handle these debts either through a Chapter 7 liquidation bankruptcy or a Chapter 12 wage earner’s bankruptcy. In these cases, some debts are discharged at the conclusion of the bankruptcy. Working with someone who’s familiar with these matters may be beneficial, so they can help you to determine how to proceed as you seek financial relief.
]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[How would bankruptcy affect a car loan with a cosigner?]]>https://www.nj-bankruptcylaw.com/?p=504922026-05-14T17:56:52Z2026-05-14T17:55:41Zcosign the vehicle loan with them. This can enable them to piggyback on the other person’s good credit to in order to get the vehicle.
What happens if their financial situation deteriorates to a point where they can no longer keep up with all of their debts and need to file for bankruptcy? How will this affect the cosigner on the loan?
You must inform the cosigner
If you file for bankruptcy, that can leave your cosigner on the hook for the outstanding payments on the vehicle. The very reason the lender wanted you to have a cosigner was so they had someone to hold responsible for payment if you were not paying as agreed.
This is true even if you are allowed to keep the car under a Chapter 7 exemption. While you may be freed of the obligation to pay, your cosigner won’t necessarily be. If you file for Chapter 13 and you restructure your vehicle payments, the lender may agree to hold off on collecting from your consigner, provided you abide by the new payment schedule.
To find the best solution for you as well as for your cosigner, it is wise to seek experienced legal guidance as early as possible to understand the options relevant to your unique situation.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Is mortgage modification or bankruptcy better for homeowners?]]>https://www.nj-bankruptcylaw.com/?p=504882026-05-13T23:41:00Z2026-05-13T23:37:08ZEach option has certain benefits
Some homeowners can potentially avoid bankruptcy and foreclosure by negotiating specific mortgage modifications with their lenders. Successful negotiations may require legal representation, as lenders are not always receptive to modification requests when people have already fallen behind on their financial obligations.
Mortgage modifications help people catch up on missed payments, make their mortgage obligations more sustainable and prevent foreclosure. A mortgage modification can lock in a lower interest rate. People can also change the type of mortgage they have. For those with adjustable interest rates or a future balloon payment due, converting the type of mortgage to one that is more predictable can help them maintain a sustainable budget.
Lenders may agree to extend the mortgage repayment period. Homeowners can even ask to move the payments they missed to the end of the repayment timeline instead of scrambling to come up with thousands of dollars for multiple missed payments immediately. Mortgage modifications are often effective tools for those with reliable income or assets they may not be able to exempt in a bankruptcy.
Bankruptcy filings are especially helpful in scenarios where homeowners are already three or more payments behind on their mortgages. With foreclosure imminent, the automatic stay can prevent the lender from initiating foreclosure or force them to halt the process.
In a Chapter 13 bankruptcy case, property owners have more leverage to negotiate a mortgage modification with their lender. The company may be more open to the idea of altering the mortgage to minimize the legal expenses and other losses triggered by foreclosure.
A Chapter 7 bankruptcy can provide a much faster bankruptcy timeline than Chapter 13 proceedings. Filers who can exempt their home equity and other valuable assets and who can pass a means test may benefit from eliminating other debts to help them rework their budgets and make their mortgage payments consistently every month. The best option depends on what caused missed mortgage payments, the income of the property owner and other case-specific details.
Reviewing mortgage paperwork and any communications about potential foreclosure with an attorney can help homeowners evaluate mortgage modification as an option or begin the bankruptcy process. Taking action promptly can help people protect their homes.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Why balance transfers can worsen credit card debt]]>https://www.nj-bankruptcylaw.com/?p=504872026-05-12T13:43:02Z2026-05-12T13:43:02ZCredit card debt is a leading cause of financial strain in the United States. The fact is that life happens, and unexpected medical bills, car repairs or gaps between paychecks can leave even the most careful budgeter relying on credit cards to get by.
Anyone who carries a balance from one month to the next typically accrues interest. They could also be at risk of fees imposed by the credit card company. It's completely understandable to feel anxious about your finances when those balances keep growing despite your best efforts.In some cases, an existing credit card might offer a generous balance transfer. Other times, a new card offer comes with an introductory balance transfer offer. Although a transfer might seem helpful, it may actually trap a borrower in worse debt.
Transfers don’t reduce what people owe
The main reason that credit card balance transfers may not be truly helpful is that they do nothing to reduce or eliminate financial obligations. The full amount is still due. The main change is that a different credit card company now has the right to demand payment from the borrower. The offer may come with a low rate, but it is likely promotional. If the borrower doesn't pay what they owe in full before the promotional period ends, the remaining balance may begin accruing interest at a much higher rate going forward. Additionally, fees are standard when transferring a balance.The total amount of credit card debt might increase as well. When the original card suddenly has available credit again, it can be tempting to use it. Many people find themselves with balances on both cards, doubling their monthly obligations and stress.
You have options
Recognizing the risks that come from transferring balances can help people avoid potentially costly mistakes. If you're struggling with overwhelming credit card debt, you deserve to know all your options, including solutions that can provide real, lasting relief rather than temporary fixes.
People struggling with overwhelming credit card debt may benefit from exploring the options for filing for personal bankruptcy. Bankruptcy protection can provide relief when debt becomes unmanageable, but it's not right for every situation. Consulting an experienced attorney can help people make this determination.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Can bankruptcy affect your employability in the future?]]>https://www.nj-bankruptcylaw.com/?p=504852026-04-28T07:49:01Z2026-04-28T07:49:01ZMost people understandably don’t want to file for bankruptcy unless it’s the only way to escape their overwhelming debt. However, when weighing the pros and cons of bankruptcy, it’s important not to fear things that likely won’t happen.
For example, many people believe that having a bankruptcy filing in their credit history will prevent them from getting a job – or at least one that will help give them the financial stability they need. It’s important to know the facts.
The law offers some protection
Some state laws consider a credit history check by employers a form of illegal discrimination. New Jersey doesn’t have a law like that. However, the federal Fair Credit Reporting Act (FCRA) does require employers to disclose any intention to obtain a credit report and obtain an applicant’s written authorization to do so. It also requires employers to give applicants a copy of the report so they can dispute any inaccurate information and to disclose whether a decision not to hire them was based in any part on the results.There are some types of careers and jobs where checking a person’s credit history is relevant and allowed. For example, those with careers in finance and law enforcement, and any job that requires a security clearance, generally need to be considered especially trustworthy with valuable assets as well as confidential information. Employers also can’t have these employees subject to blackmail. Certainly not everyone with money troubles is “blackmailable.” However, they don’t want to take chances.
Bankruptcy vs. deep in debt
If you’re concerned that filing for bankruptcy will look bad on your credit report, remember that owing multiple creditors money doesn’t look good either. If you’re questioned by a prospective employer about your bankruptcy, be prepared to articulate how you found yourself in over your head (maybe due to something you couldn’t control – like medical debt or a job layoff) and took steps to turn things around. Bankruptcy isn’t anything to be ashamed of. With experienced legal guidance, you can learn more about it and whether it’s the best solution for you.
]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Can Chapter 13 bankruptcy help you with medical debt?]]>https://www.nj-bankruptcylaw.com/?p=504842026-04-14T09:25:32Z2026-04-14T09:25:32ZMedical debt can quickly become overwhelming, especially when unexpected health issues lead to high bills. Many people find themselves struggling to keep up with payments while managing daily expenses.
Understanding your options is important when facing this kind of financial pressure. Chapter 13 bankruptcy may provide relief because it offers a structured way to handle debt while keeping your finances organized.
Understanding how medical debt is treated
Medical debt is generally considered unsecured debt. This means it is not tied to property like a home or car. Because of this, it can be handled more flexibly in bankruptcy compared to secured obligations. In Chapter 13 bankruptcy, unsecured debts are grouped together into a repayment plan, which allows you to manage medical bills alongside other debts in a more structured way.
Creating a manageable repayment plan
A key feature of Chapter 13 is the repayment plan. This plan usually lasts between three and five years and is based on your income and expenses. Instead of paying each creditor separately, you make one regular payment that is distributed accordingly.
Potential reduction of total debt
One important benefit is that you may not need to repay the full amount of your medical debt. After completing the repayment plan, any remaining eligible balance can be discharged. The exact amount you repay depends on factors such as income, assets and overall debt. In many cases, individuals pay only a portion of what they originally owed.
Protection from collection actions
Filing for Chapter 13 triggers an automatic stay. This stops most collection efforts, including calls, lawsuits and wage deductions related to medical bills. While Chapter 13 requires commitment, it can also provide a path toward rebuilding your financial life. By following the repayment plan, you demonstrate responsibility and create a foundation for improved financial habits.Chapter 13 bankruptcy can help manage medical debt by offering structure, potential debt reduction and relief from collection efforts. Seeking professional legal guidance can help you understand if this option aligns with your financial situation and long-term goals.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Don’t let embarrassment get in the way of bankruptcy]]>https://www.nj-bankruptcylaw.com/?p=504792026-03-24T15:39:22Z2026-03-24T15:39:22Z12% rise in consumer bankruptcy from 2024 to 2025. As the cost of living continues to rise, those figures will likely do so too.
Getting over any embarrassment may be crucial to forging a better future
If you do feel embarrassed about filing for bankruptcy, it’s worth taking a look at some of the people who are now considered very successful who have bankruptcies in their past – either personally or for their business. These include Walt Disney, Henry Ford and financial guru Dave Ramsey. The current U.S. president had had multiple businesses bankruptcies, and Elon Musk has said his companies have come close to it on several occasions.
It does not take much to tip someone over the financial edge. Losing a job, experiencing a medical emergency, rising interest rates on a mortgage or just wages that fail to keep up with the cost of living can all cause it.
If filing for bankruptcy can allow you to build a better future, then it is something that is worth carefully considering. Getting experienced legal guidance is a good place to start.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Common mistakes when filing for bankruptcy with a tax refund]]>https://www.nj-bankruptcylaw.com/?p=504772026-03-23T12:55:21Z2026-03-23T12:55:21ZSpending on luxury or non-exempt items
Spending all your tax refund on expensive vacations and luxury goods before filing can be a major red flag. The bankruptcy trustee can view this as hiding or wasting assets that should go to creditors. They may seek to claw back funds or liquid assets to pay your debt.
Making preferential payments
Bankruptcy laws aim to maintain equity among creditors. If you pay a loan from your relative but avoid settling your credit card bill, the trustee can view this as a preferential transfer. They can sue the person you paid to take that money back and distribute it among your other creditors.
Misunderstanding exemptions
Failing to list your tax refund with an exemption in your paperwork can cause issues. The trustee can legally take it from you, even if you have already spent it. Moreover, they may demand that you pay that equivalent value into the estate or object to your discharge.
Commingling funds
Commingling funds can complicate your ability to prove which money is exempt. This can make your refund lose its exempt status, potentially leading to a dispute with the trustee over whether the funds are protected.
Timing your filing strategy
While it is tempting to handle the paperwork yourself to save money, errors can lead to the loss of assets or the dismissal of your case. Before you deposit that check or sign a filing, reaching out to an experienced attorney can give you the guidance you need to move forward.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Using Chapter 13 to manage large medical bills]]>https://www.nj-bankruptcylaw.com/?p=504752026-03-10T10:51:36Z2026-03-10T10:51:36ZMedical bills can arrive suddenly and pile up faster than many people expect. Even with insurance, a hospital stay, surgery or ongoing treatment can leave families feeling buried beneath massive debt.
When payments fall behind, the stress can affect nearly every part of daily life. Many people begin searching for a way to regain control without losing everything they have worked for.
How can Chapter 13 help with medical debt
Despite the Affordable Care Act, medical debt continues to be a leading cause of bankruptcy in the United States. Unlike credit card balances or loans that build slowly, medical costs often appear all at once after an emergency, illness or unexpected diagnosis.Chapter 13 is a type of consumer bankruptcy that offers a structured way to handle those large bills. Instead of trying to pay every creditor immediately, it allows people to reorganize what they owe into a manageable payment plan that typically lasts three to five years. During this time, collection calls, lawsuits and wage garnishments are generally able to be paused, giving families breathing room to focus on recovery and stability.Another benefit is that Chapter 13 can allow individuals to keep important assets while they work through their repayment plan. Rather than liquidating property, the process focuses on creating a realistic monthly payment based on income and necessary living expenses. For many people dealing with overwhelming medical debt, that structure can turn an impossible situation into something far more manageable.Medical bills themselves are usually considered non-priority unsecured debt, which means they may not need to be paid back in full through the plan. Once the repayment period is completed, any remaining eligible balance can often be discharged, allowing individuals to move forward without the weight of those old bills.If medical debt has begun to feel impossible to manage, it may help to speak with a knowledgeable legal professional who can review the situation and discuss possible options for relief. A short conversation can often provide clarity and help determine whether a repayment plan like Chapter 13 could offer a path toward financial stability.]]>On Behalf of Goldman & Beslow, LLC Attorneys At Law<![CDATA[Is bankruptcy better than borrowing against your home’s equity?]]>https://www.nj-bankruptcylaw.com/?p=504712026-03-02T15:30:05Z2026-03-02T15:30:05ZWhen debts pile up and creditors start calling, many homeowners consider borrowing against their property’s equity to consolidate their bills and get them back under control. After all, if you have the equity, why not tap into it?
Unfortunately, that may be the wrong way to tackle your debt problem, and a move that could backfire on you down the road. Home equity loans and home equity lines of credit (HELOC) are frequently marketed as quick, easy solutions for debt relief – but that isn’t always the most financially safe or effective option. For many homeowners, bankruptcy can actually be a far better way to deal with overwhelming debt, especially when compared to turning unsecured debt into debt secured by their homes.
The risk of turning unsecured debt into secured debt
Most consumer debts, including medical bills, credit card debt and personal loans, are unsecured. Rolling those into a home equity loan changes their nature, making them secured debt. That’s a significant difference. If you fail to make payments on unsecured debt, your home is not automatically on the line. If you fall behind on your home equity loan, it is, and the lender can pursue foreclosure. In other words, debt that once carried no direct risk to your home suddenly becomes tied to it.
Bankruptcy can eliminate debt far more quickly than a loan
Home equity loans don’t eliminate debt. The debt just changes form. Even worse, you may be looking at a monthly payment on that second mortgage for many years to come, with interest. That makes the total cost of repayment even steeper over time.Bankruptcy, by comparison, can offer real financial relief without having to give up your home. Those who file bankruptcy in New Jersey can use either the state or federal exemptions, and the federal exemptions are usually more generous. If you file for Chapter 7 protection, you can protect up to $31,575 of your home’s equity (or $63,150 if you are married and your spouse files bankruptcy with you) as of late 2025. If you have more equity than that, a Chapter 13 bankruptcy may be a viable alternative. In Chapter 13, your unsecured debts are restructured through a three- to five-year repayment plan, after which any remainder will be forgiven. Chapter 13 can also make it possible to rescue a home from foreclosure, if that is your situation.Either way, bankruptcy is going to ultimately eliminate all that unsecured debt in far less time, at far less cost, than it would take to pay off a home equity loan or line of credit.Every financial situation is unique, and there are circumstances where a home equity loan may be a reasonable option. However, homeowners should think carefully before converting unsecured debt into debt that is tied directly to their home. If your debts have you stressed and uncertain about what is right for you, speaking with an experienced New Jersey bankruptcy attorney before you make another financial move is wise.]]>