Chicago Bankruptcy Lawyer Blog

The foreclosure saga continues. This week, the Washington Post reported that unemployment has officially overtaken subprime mortgages as the leading cause of foreclosure. An estimated 1.8 million homeowners could lose their house to the bank this year, compared to last year's 1.4 million.

Folks without jobs have an extra hard time qualifying for loan modification (so much for the federal government's modification program). As if that's not bad enough, lenders like to tack on late fees for delinquent borrowers - so that when they do find work again, they have to pay a lot more than just their missed mortgages.

But that's enough negativity for one post. How about some good news? Here it goes - even if you're dealing with unemployment, you still don't have to give up your house!

What's the catch? You need to act fast.

Continue reading "Bankruptcy Can Protect the Unemployed From Foreclosure, Advise Chicago Attorneys" »

In our last post, we debunked a common myth about bankruptcy: some folks misguidedly believe filing will cause them to lose their belongings, including their house. But bankruptcy can not only eliminate your debt, it can actually help you save your home, car and other possessions. Want to see for your own eyes? Take a look at your state's exemptions. In addition to federal exemptions, each state has its own list of items that are protected from repossession.

In Illinois, for instance, you can exempt up to $7,500 of your home's equity or up to $1,200 of the equity in your vehicle. In Georgia, it's $5,000 for the house, $1,000 for the car. If you're married, you're in luck - those amounts double.

Continue reading "Illinois and Georgia Bankruptcy Exemptions Part 2" »