Alpharetta Attorney Blog

Largest Punitive Damage Fine On Record For Single Loan Case

Last week, on April 5, 2012 a Federal Bankruptcy judge in Louisiana ruled that Wells Fargo must pay $3.1 million dollars in punitive damages. According to the story in The Huffington Post, Wells Fargo improperly charged thousands of dollars in fees on Michael Jone's mortgage account. They did not even follow their own terms in their mortgage agreement with Mr. Jones. Besides not properly handling the payments, they also did not correctly calculate the amounts that were owed and then refused to make corrections when it was reported.

After Mr. Jones filed for a chapter 13 bankruptcy Wells Fargo did not follow bankruptcy laws and continued to assess charges on his mortgage account. Federal Judge Elizabeth Magner found Wells Fargo's conduct to be "willful and egregious." In the judge's orders the multi-million dollar fine was a punitive damage award to "deter Wells Fargo from similar conduct in the future." Judge Magner found that the most damaging part of the case was Wells Fargo's unwillingness to correct its error after being informed of it.

Consult With A Bankruptcy Attorney To Determine If Bankruptcy Is Right For You

There are thousands of people across the country finding themselves in financial distress because of the bad economy. Many have lost their income because of job loss, or have suffered financial reversal because of huge medical bills. They need help stabilizing their lives while they seek new employment or look for ways reasonably handle their debt. Some have filed chapter 13 bankruptcy to try to reorder their lives. There are different types of bankruptcy and you should consult with a Georgia bankruptcy attorney for guidance on bankruptcy and if it is the right option for your circumstances. Bankruptcy may not be the right choice for some people making it important to seek legal guidance.

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The numbers of bankruptcies filed in 2011 are slated to be the second highest since 2005. In Georgia in 2011, 54,811 Chapter 13 and 7 bankruptcies were filed with Georgia ranking 3rd in the nation on per capita filings. The number of people filing for bankruptcy reflects on the difficulty Americans are having in paying their debt in the current economy.

Is Bankruptcy The Right Decision In My Situation?

More than seven people file for bankruptcy for every 1,000 people in Georgia. Chapter 13 and Chapter 7 bankruptcy is becoming more commonplace for those struggling financially in the State of Georgia. If you are having a difficult time with managing your debts and are thinking about filing for bankruptcy, call your Alpharetta bankruptcy attorney at the law offices of Daniel W. Mitnick for a free confidential consultation.

North Georgia Bankruptcy Attorneys Provide Free Consultation

Bankruptcy is a major often life-changing decision that has a negative effect on your credit report for up to 10 years. If you plan to file Chapter 13 or Chapter 7, contact the Atlanta Metro and North Georgia bankruptcy lawyers that are experienced in the regulations in the State of Georgia. The law offices of Daniel W. Mitnick can assist you not only in your decision, but expertly guide you through the often confusing legal process.

How Does Chapter 13 and Chapter 7 Bankruptcy Differ?

Chapter 13 bankruptcy involves a court assisted repayment schedule for your debts. Your assets are generally not at risk.

Chapter 7 bankruptcy is a legal process where most of your debts are wiped clean. With this type of bankruptcy you may be at risk for losing certain specific assets which your Cummings area bankruptcy attorney will go over in detail with you.

The Cumming and Alpharetta bankruptcy lawyers at Daniel W. Mitnick are ready to assist you through this difficult time. Contact the office for a free bankruptcy consultation on your specific situation and start to rebuild your life and credit.

According to credit reporting agency, TransUnion, late payments from credit card holders has fallen to its lowest rate since 1994. Does this mean consumers are doing better financially? Not necessarily. Some consumers are simply being more responsible with their debt and many banks are putting a tighter limit on what people can borrow.

If you still find yourself having a hard time making those credit card or loan payments, you're not alone. Though late payments from credit card users are down, it doesn't mean everyone is in the clear. Many people are still filing for bankruptcy due to the financial state of their lives.

Should I File For Bankruptcy?

There is not always a definitive answer for whether or not you should file bankruptcy, but it may be something you should consider if your finances have continued to struggle.

If you are paying the bare minimum amounts on your debts and cannot budget yourself out of your debt in the next five years, then bankruptcy may be an option. Impending foreclosure or a recent job loss or divorce could also be reason for filing for bankruptcy.

What Is Not Covered Under Bankruptcy?

Certain financial responsibilities or debts are not excused by bankruptcy. Alimony and child support must still be paid even after bankruptcy. Also, most recent back taxes and most student loans are not excused by declaring bankruptcy.

If you think bankruptcy may be the next step for your financial life, then contact a trusted attorney. At the Law Offices of Daniel W. Mitnick, our Alpharetta bankruptcy attorneys can help you make sure bankruptcy is the best next step and help you navigate through the process.

Currently, one in every 288 homes is facing foreclosure in Georgia and most of these foreclosures are occurring in the Atlanta area. If you're facing a foreclosure, it's not too late to do something about it. Below are some tips and reminders to prevent it from happening to you.

Don't Ignore It

Leaving mail unopened from your lending company will not take away the impending foreclosure. It is better to know what those notices are saying and be aware of what you can do earlier on. The longer you wait, the more difficult it may be to keep your house.

Know Your Options

Your lender does not want your house. However, they won't be able to help you if you don't contact them early on to ask for options to avoid foreclosure.

Consult An Attorney

It is also important to get the help of a bankruptcy attorney. Foreclosure laws are different for every state and can be difficult to navigate on your own.

Do Your Part

Don't forget to do your part after contacting an experienced foreclosure attorney. Learn how to prioritize the way you're spending money. While trying to avoid foreclosure you may want to cut back on cable TV, various memberships, or eating out frequently. It's important to make these changes on your own as you begin to seek help from an attorney.

If you are one of the metro Atlanta citizens facing a foreclosure, contact our Alpharetta attorneys at Daniel W. Mitnick & Associates, PC for a consultation.