Blogs - Robert J. Adams & Associates
Robert J. Adams & Associates

Blogs


Statute Of Limitation For Debts (Illinois)
November 12, 2018

(contracts, medical bills, repossession, credit cards, purchases, etc.) Creditors can pursue individuals for a limited period of time. This article sets out some of the more common time limits: In general, written contracts (see footnote)1: 10 years Oral contracts: 5 years Sale of goods (automobiles, furniture, natural gas): 4 years Store Credit: 4 years Credit cards in Illinois: 5 years Bad check penalties: 2 years Checks other than bad debt penalties: 3 years Money judgments: 7 years but can be revived up to a total of 27 years. Parking tickets and red light tickets: does not seem to have any… Read More

How Long After Bankruptcy Can I Buy A Home?
November 5, 2018

Many people avoid bankruptcy on the belief they can never get a mortgage. That is not true. Actually, the opposite may be true for many good folks. If you have too many debts or have a low credit score obtaining a mortgage is too difficult. To get a mortgage you have to resolve your debt problems. Bankruptcy may be the answer, and for that you need the help of a seasoned Bankruptcy Attorneys in Illinois, who can guide you and assist you in this whole process. If you file a bankruptcy there will be a waiting period. The time can’t… Read More

Beat The Means Test
November 1, 2018

Bankruptcy laws say you have to do a Means Test. You are to list the gross income in family for the past six (6) months. The total is compared to the Illinois State Standards. If your gross family income is above a certain amount they want you to file a Chapter 13 instead of a Chapter 7. Most people have income below the Means Test. Everyone has to take the Means Test. For most it is only a simple exercise but for some it presents a challenge. Even if your gross income is above the income listed below there are… Read More

Will Bankruptcy Ruin My Credit Forever?
September 24, 2018

The following is a sample of emails or telephone calls that I frequently get. Dear Mr. Adams: I have a lot of bills and can’t get ahead. But, I am afraid if I file Chapter 7 bankruptcy my credit will be ruined for forever. Signed (name withheld for privacy) Dear ABC, Legend has it that filing bankruptcy means your credit is ruined FOREVER. My experience shepherding thousands of people through bankruptcy says the opposite. Fact: your credit starts improving when a person files Chapter 7. Yes, it sounds crazy, so let me explain WHY: When considering bankruptcy, for most people:… Read More

Beep! Beep! Parking Tickets And Chapter 13
September 19, 2018

The city of Chicago and other communities are aggressively handing out tickets. Parking tickets, red light and speed camera violations. Chicago particularly has aggressive collection practices. Booting cars, impounding cars and suspending driver’s licenses. It is a big problem for drivers: consider this: Chicago generates $264,000,000 in revenue; and, Ticket revenue is about 3 to 4% of the budget; Unpaid tickets total about $1.5 billion in Chicago. When tickets are not paid promptly the fine doubles: a $60 ticket becomes $120. Chicago is broke. They want their money. What To Do? Pay any ticket immediately, if possible; If you have… Read More

Dealing With IRS Debt That Can’t Be Discharge In Chapter 7
September 17, 2018

Surprising Benefits Of Chapter 13 Personal income tax debts that are older than 3 years may be discharged. For a fuller discussion see: Can I Discharge IRS Taxes In Bankruptcy? After Chapter 7 discharge there are 2 types of tax that remain: Non-Discharged taxes; and, Tax Liens. The tax liability may have been discharged but the lien remains. What To Do? A Taxpayer may be able to deal with the IRS outside of bankruptcy. Bear in mind that interest and penalties will continue. The IRS may levy wages and/or bank accounts. The second method is to file Chapter 13: Buys Time… Read More

Wage Garnishments – The Law In Illinois
July 31, 2018

This article discusses Wage Garnishments in detail. We have a separate posting on How To Stop Wage Garnishments. Go to: Stop Wage Garnishments Creditors have to first get a judgment before they can garnishment your wages. It comes with little or no notice. Often people don’t know they have been sued. A Wage Garnishment is a demand that your employer pay them 15% of your gross income: not net income. For example, gross income is $600 per week the deduction is $90. What Are Your Options? In Illinois, lawmakers have left you with few choices when you get a brick… Read More

Can I Discharge IRS Taxes In Bankruptcy?
July 27, 2018

IRS debts can be discharged in a Chapter 7. Eliminating Tax Debt in Bankruptcy The following set out the rules to discharge an IRS debt in Bankruptcy: You filed the Income tax return. At times the IRS files substitute returns when an individual has failed to file. Another name for this is Service Filed Returns. The amounts due on IRS filed returns are not dischargeable. The tax is for income-an income tax. You cannot discharge payroll taxes. The tax debt is at least 3 years old. Generally, the due date is April 15th. If April 15th falls on a Saturday… Read More

Title Loans – A Good Way To Lose Your Car
July 23, 2018

You have a clear title to your car, truck or motorcycle and you need money. Title Loan companies will gladly lend you money for a short term loan. But, there is a catch and a big one. The interest rate is high: anywhere from over 100% to 300%. The loan amount can anywhere from 25% to 50% of the value of your vehicle. The average is about 25%. You give them an extra copy of your key: at your expense. The average cost for a short term loan is runs $80 to $115 for every $500 you borrow. What if… Read More

Payday Loans – A Short Term Fix: Long Term Nightmare
July 23, 2018

Payday loans in Illinois have interest rates up to 400%. Unbelievable but true. You need $500 for something real fast. Many Pay Day Loan companies have you give them a post-date check. You pay it in a week or so it’s OK. But when you can’t then nightmare begins. Repaying a $500 loan over a year that will be $172.12 per month. You pay a total of $2,065.44. If you can’t pay at all the calculation after one year is incredible. What Are The Traps, What Are The Good Options, And, Busting The Myths And Lies About Pay Day Loan?… Read More