Of course financial woes can affect people of all backgrounds, profession and incomes. Sometimes the issues become so big that homeowners find themselves unable to continue to make payments on their home. For most who are facing this action, it is a stressful and scary time. What if you were facing foreclosure on more than one home?
Many facing financial difficulties may feel that they are alone in it. This of course is not true. Each day, people from a variety of backgrounds find themselves in that same situation. For some, the best option for debt relief is to file for Chapter 7 bankruptcy.
As most people are aware, foreclosure is a very real issue that many residents of Florida are facing. While many assume the famous are not subject to this process, this is of course not true. Former football player O.J. Simpson is currently facing the same fate regarding his Florida home.
The mortgage crisis is lessening, but there are still many people who are about to lose their homes or who are afraid that they will lose their homes to foreclosure. The issues with foreclosure rates are especially significant in big cities like Phoenix, Detroit, Miami, and others where the market is no longer strong.
Individuals throughout the country have felt the financial crunch the last few years. The decrease in property values and loss of jobs has caused many to seek a fresh start by filing for bankruptcy protection. Residents of the state of Florida have not been spared from this. But now, perhaps there is some good news to report on the bankruptcy front. The American Bankruptcy Institute is reporting that nationwide the number of people filing for bankruptcy last month is down from the previous year.
In an earlier post in June, we mentioned that bankruptcy filings were down in the U.S. Bankruptcy Court Middle District of Florida. Between January and June of this year, filings are down 17.2 percent which translates into 5,877 fewer, compared to the same time frame in 2010. If the trend continues throughout the remainder of the year, the Middle District could end 2011 with nearly 10,000 fewer bankruptcy filings than last year.
Our Miami bankruptcy law blog has previously discussed how foreclosure filings in Florida have slowed down after it was discovered last year that thousands of faulty foreclosures were being filed in the state and across the nation. Since last fall, lenders and banks have been required to review their policies and procedures regarding foreclosures in order to ensure that filings are valid and that homeowners are no longer put at risk of losing their property to a faulty foreclosure or wrongful repossession.
Although it is a homeowner's responsibility to make their mortgage payments on time, these past few years have affected many Floridians financially and has made it difficult for residents to stay on top of their bills. Due to high delinquency rates and foreclosure filings, as well as the slow recovery of the economy, consumers have become used to the fact that they may have to deal with letters and calls from creditors regarding unpaid debts. However, consumers do not and should not have to deal with creditor harassment in Florida.
After Florida Stage operated as a well-respected theater company for 24 years in Palm Beach County, the company announced its plan to file for Chapter 7 bankruptcy last month. The company is out of business and plans to liquidate assets in the bankruptcy filing. But what led to the theater company's decision to file Chapter 7 bankruptcy?
Last week, our Miami bankruptcy law blog discussed the financial risks businesses and business owners take and how many factors can contribute to the success or failure of one's venture.