Bankruptcy Law/debt relief

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Expert: - 9/5/2008


Question
Three years ago my uncle and aunt were co-applicants on a loan for a new RV. My uncle died a year later and in addition to losing her spouse of 55 years my 76 year old aunt has been struggling to make the $900 loan and insurance payments on the RV along with the $2,500 annual tag renewal fee while living on a fixed income of only $1,700/mo. She is in poor health still recovering from major breast cancer surgery last year and is emotionally stressed. My uncle always handled their financial affairs and she is not accustomed to having this huge responsibility. She no longer wants nor can afford the RV and we desperately want to sell/dispose of the RV ASAP. Our problem is that the loan payoff is 130K but the RV's approx. book value is only 95k. We need help ASAP and after researching and considering many options, as a last resort are wondering if bankruptcy may be her best/only option to relieve her of this tremendous financial burden. WE NEED HELP!!!

Answer
What a sad situation, especially for an older person in bad health and recently widowed.

Please take her to see a local bankruptcy attorney right away for a consultation. Most lawyers charge nothing for an initial bankruptcy consultation. The lawyer will need to review her assets and financial affairs and will then be able to advise on whether she should file, (but it sure sounds like you are on the right track, and she is very lucky to have a nephew who cares so much. Good luck to her.)

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Los Angeles Bankruptcy Lawyer Leon D. Bayer

Expertise

Leon Bayer has successfully represented clients in bankruptcy for over 30 years. He is frequently called upon by the media, the California Bar and other associations to provide insight and help educate attorneys on bankruptcy issues. If you or other readers want to keep up with my blog postings about life in and out of bankruptcy, you can follow my blog at http://www.bankruptcyblogger.org/ and my personal web site at http://www.debt-relief-bankruptcy.com and A Human Guide to Bankruptcy at http://www.thebankruptcyguide.net/ Leon also writes about bankruptcy law for Nolo, see http://www.nolo.com/law-authors/leon-bayer.html and his "Ask Leon" bankruptcy law blog column at http://blog.nolo.com/bankruptcy/

Experience

Leon is a Certified Specialist in Bankruptcy Law by the State Bar of California, and has been a practicing bankruptcy lawyer in Los Angeles, California for 33 years.

Organizations
National Association of Consumer Bankruptcy Lawyers, California Bar Association, Los Angeles County Bar Association.

Publications
Author, ?The Essentials Of Chapter 13,? Daily Journal Report, December 18, 1987.
Contributing Editor, Basic Bankruptcy, California Practice Handbook, Matthew Bender 1992, 1993.
CEB Consultant, CEB-Personal and Small Business Bankruptcy Practice in California, 2003.


Education/Credentials
B.A., J.D.

Awards and Honors
President, 1995-1996-Los Angeles Bankruptcy Forum; Member - Los Angeles County Bar Association Committee on Commercial Law & Bankruptcy, 1988. Law Advisory
Commission-Personal & Small Business Bankruptcy Law of the State Bar of California, 1996-2000

MR. BAYER SAYS: The big banks and credit card companys have been working overtime for many years to undermine the Consitutional right of the American people to be able to claim bankruptcy protection. In 2005 the banking lobby successfully convinced Congress and the President to make the laws and proceedures more complicated, hopeing that it will stymie legitimate people from filing bankruptcy. They succeeded in gaining these complex new legal proceedures by greasing the legislative system with hundreds of millions of dollars in "campaign contributions." The good news for the American people is that while the new laws have made the proceedures needlessly complex to the point where inexperienced people can't help but trip over the maze of new rules and regulations, the process is still doable, especially with a lawyer who is well trained and experienced in this specialty.

Past/Present Clients
I have probably handled something on the order of about 15,000 bankruptcy cases thropughout my career.

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