New California Law Increases Paycheck Protection

People with low incomes that are facing wage garnishment to pay a debt can keep a little more of their paycheck beginning July 2013 thanks to the passage of Assembly Bill 1775.  AB 1775 provides a modest increase on the amount of wages that are exempt from a wage garnishment. Under the present law, someone…

Bank Levies Just Got Easier in California (Debtors Beware)

Bank account levies in California will become easier starting in January 2013 thanks to the passage of Assembly Bill 2364.  Under the prior law, a judgment creditor seeking to sweep the bank account of a judgment debtor needed to have the papers served at the branch where the debtor had the account.  The new law…

The Bankruptcy Automatic Stay

One of the most important important reasons people file for bankruptcy is the automatic stay.  Think of the automatic as a federal court order that prohibits of any attempts by creditors to contact you or to collect a debt.  It goes into effect the moment your bankruptcy petition is filed with the court, thus it…

Getting Back Garnished Wages

Sometimes a client waits to see me until after a creditor has obtained a judgment and is having money taken out of the client’s paycheck.  Although I always want to file a bankruptcy before a client receives notice of a wage garnishment, it may be possible to get some of the money back after the…

It Isn’t a Sob Story, It is Your Story

As a bankruptcy paralegal, I’m the first one to answer the phone at our office and something really hit home with me this week.  A woman started talking to me about her financial situation and then started to tear up.  Tearing up over the phone is not uncommon for callers, but this caller almost got…

Removing a Judgment Lien in Bankruptcy

Judgment creditors will often place a lien on the judgment debtor’s home as one of the first steps taken to collect the judgment.  In California, the creditor creates the lien by recording an Abstract of Judgment at the county recorder’s office.  Although lawsuits and having a lien placed on your home are serious matters, bankruptcy…

Should My Wife File For Bankruptcy Too?

Question:  I live in California and have a lot of debt from when my business failed,  My wife wasn’t really involved in the business and we want to protect her credit rating. Does she have to file for bankruptcy with me if I file? Answer: The general rule is that the bankruptcy discharge only protects…

Credit Repair and Identity Theft

One of the most common questions that clients ask me is how bankruptcy will impact their credit score. While most of my clients see at least a moderate improvement in about 12-18 months after their case is over, every situation is different. In this article, I offer a few tips that will help you maximize…

Junior Seau…Rest In Peace

You may wonder why a bankruptcy attorney is writing about the death of former NFL superstar.  In my bankruptcy practice, I often encounter people who are depressed because of their debt problems and I hope to offer encouragement to people to seek help for whatever problems they might have. I did not know Junior Seau…

I Spent Too Much on Christmas Gifts…Now What?

I have previously posted tips on how to avoid a Christmas debt hangover.  Maybe you didn’t get the memo, but that’s okay.  Pull up a chair and we’ll roll up our sleeves to see what we can do. The first thing to do is not to panic.  December is traditionally a slow time for bankruptcy…