What to do in the Shadow of the Perfect Financial Storm
Perhaps, from where you stand, it is looming on the horizon. Perhaps, it’s already raining. Either way, this recession we are still experiencing has reached out and touched more of our population that you might otherwise think in “The OC.” While I am still hopeful for a recovery, the statistics we work with paint a slightly different picture. Bankruptcies shot up 33% in 2009 to more than 1.2 million. During the first three months of 2010, the number of new filings appears to have grown by another 20% to almost 400,000. An even greater surprise is the fact that Chapter 11 bankruptcies shot up 69%. A small percentage of those Chapter 11 bankruptcies were businesses — most are individuals, indicating that even the once financial elite are now finding their way into bankruptcy court. Add to this a looming shadow inventory of foreclosures and bank-owned properties yet to hit the market, all of the other poor economic news and there are likely few of us who will escape this storm unscathed.
What can you do to protect yourself?
First, do not wait until you are at meltdown; a little planning can go a very long way. Consult with an experienced, qualified attorney to address your concerns and situation. Believe it or not, information on the web, particularly when it comes to debt and bankruptcy, is very often not correct. By way of example, did you know that if you pay back money your brother/mother/daughter loaned you before bankruptcy, they can be sued for recovery? A $5,000 loan you repaid could cost your relative three times that amount in attorneys’ fees. You may also be able to avoid bankruptcy entirely through debt settlement. It’s important to know your options early. The simple point is that the sooner you get good advice, the better equipped you will be to ride out what is proving to be a persistent, very nasty storm.
The Gibbs Law Firm, APC was founded in 1974 by Gerald R Gibbs. From day one, The Gibbs Law Firm, APC has been dedicated to providing its clients with the highest level of professional service, to upholding the dignity of the legal profession and to serving the local communities through on-going participation in charitable organizations. With an emphasis on Bankruptcy, Manufactured Housing, Real Estate and Business Law, we strive to provide a full range of legal services to individuals and businesses. We endeavor to make your experience with our firm one of dignity, respect and successful resolution of your problem. Call us at (949) 492-3350.
The Gibbs Law Firm, APC
110 E. Ave. Palizada #201, San Clemente
p: (949) 492-3350 | f: (949) 492-3697
The Gibbs Law Firm, APC is a “Debt Relief Agency” pursuant to 11 U.S.C. § 528(b). We help people file for bankruptcy relief under the Bankruptcy Code.