When Is Bankruptcy Better Than Paying Off Your Debts?

Bankruptcy May Be the Better Choice for Debt-Laden Seniors

The conventional wisdom is that you should always pay off your debts, but that may not always make the most financial sense for seniors. In some cases, filing for bankruptcy may be the better choice.

Many seniors are struggling with large credit card bills and monthly debt that exceeds their income. Bankruptcy may make sense for these individuals – especially if they have already paid off their mortgages – because they will be less affected by poor credit ratings. Filing for bankruptcy can also eliminate a senior's existing medical bills. Another benefit is that most retirement accounts are exempt, which means the funds do not have to be sold during bankruptcy proceedings.

There are two types of bankruptcy for individuals: Chapter 7 and Chapter 13. With Chapter 7 bankruptcy, you can discharge all of your debts, but you must sell some of your property to pay your creditors. However, many assets (like the equity in your house) are protected from bankruptcy, so in reality you may not have to surrender any property. In order to file Chapter 7 bankruptcy, you need to pass a means test, and if your income is too high, you may not qualify (Social Security benefits do not count toward income). Chapter 13 bankruptcy requires you to pay back your debt over time, but you are not required to sell any property. To qualify, you need to be able to show that you have the ability to slowly discharge your debt.

Bankruptcy is not the right choice for everyone, however, and seniors should consult their attorney before making any decisions. For example, while bankruptcy gets rid of existing medical debt, it doesn't do anything about ongoing debt. Many people feel morally obligated to pay off debt, and walking away from debt means higher fees and interest rates for others, so the decision to file for bankruptcy should not be taken lightly.

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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in wills and trusts, estate planning, guardianship, probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for family law issues such as divorce, child custody and visitation, support, and military family law.

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.

Law Offices of Jeremy Howe, Ltd. Participating in Alzheimer's Awareness Events

Elder Law Specialist Jeremy Howe Lectures on Alzheimer's

May, 2011 - Newport, RI - Attorney Jeremy Howe lectured on May 11, 2011 at the Alzheimer's Awareness Events at Calvary United Methodist Church on the topics of Eldercare Legal Issues, Wills, Power of Attorney, Guardianship, Health Care Proxy, and other Elder and Probate Law related issues.

The events continued on Sunday May 15, 2011 with a Community Homecare Services Fair with agencies on hand to discuss their services for families caring for elderly or ill persons in their home.

Attorney Howe said, "Caring for an elderly parent or relative is often one of the most stressful events in a person's life. The expenses involved, coupled with time management and many other issues can create difficult obstacles to providing the best for loved ones. Having a plan in place can significantly help alleviate these stresses by providing a road map for care of aged relatives. I accept every opportunity to help educate families about their options with regard to caring for their elderly relatives."
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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.

Law Offices of Jeremy Howe, Ltd. Participating in SeniorsRULE

RULE - Resources Unlimited Liaisons for Elders

April 22, 2011 - Newport, RI - On May 25, 2011 Kristy Garside, Esquire of the Law Offices of Jeremy Howe, Ltd. will be present as a member of SeniorsRULE (Resources Unlimited Liaisons for Elders) at Butler Hospital.

The purpose of the event is to inform Butler’s employees about what services our office has to offer. The event takes place from 11:00am to 4:00pm in the Butler Atrium, where other members of this “women’s only” group will be there to share information about their elder services as well. Only members of SeniorsRULE have been asked to attend.

Attorney Garside says, “This will be a great opportunity to reach a large number of employees who live in the community we serve, without asking them to take time out of their day to come see us! I hope to educate people about how we can help them or their elder parents in difficult situations.”

Contact seniorsrule@myway.com for more information about the group and the services available.
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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.

Newport RI Probate and Elder Law Attorneys

Family Issues During Death of a Loved One

Very few events in life are more difficult to accept than the pending death or the actual death of a loved one. As elder-law attorneys and estate planners, we see too many cases where the siblings, or the spouses, or other significant heirs or beneficiaries of a person disagree regarding: pre-death care and housing; the choice of attorney-in-fact, personal representative or trustee of the family member; or the testator or grantor’s disposition of their estate contained in the will or trust itself.

Recently I have seen a number of cases where life insurance was left to one child with the intention that the child would use those funds for burial costs or to pay the last debts of the estate. “Family issues” arose and the funds were retained by the beneficiary against the wishes of the decedent. You can imagine the resulting turmoil within the family in any of these cases.

It is our desire to avoid such problems in the first place by planning well in advance of death, by reviewing a client’s entire estate including non-probate assets and by making certain that the representatives for the client will be able to fulfill the intentions of the client without a family feud.

Our complete analysis of your estate is done at a modest flat fee and “We make house-calls.”

Jeremy Howe
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The Law Offices of Jeremy W. Howe, LTD. are ElderLaw attorneys in Rhode Island who specialize in Wills and Trusts, Estate Planning, Guardianship, Probate, and Veterans Aid and Attendance Benefits.

They also are Newport Rhode Island Divorce Lawyers, Attorneys, Mediators, and Arbitrators providing services for Family Law issues such as Divorce, Child Custody and Visitation, Support, and Military Family Law. 

Call them today at 401-841-5700 or visit them on the web at http://www.CounselFirst.com.