Julian Credit Management is a non-profit, nationwide
debt consolidation and credit counseling organization, located in Central Florida.
Our dedicated counselors can help you restructure your bills
and make a payment plan that can cut years and thousands
of dollars off your long-term debts like credit cards, mortgages, and other loans.
Our debt management program can help you repay your debts:
We help you establish a spending plan, determine your financial options,
save money on interest and late fees, get your creditors off your back,
and provide you with useful information.
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During the end of President Clinton's term, Republican Congressmen, under pressure and support from business and creditors lobbies attempted to pass what was termed the Bankruptcy Reform Act.
The proposed Bankruptcy Reform Act was designed primarily to prevent debtors who had the financial means to pay their creditors from filing a Chapter 7 Bankruptcy and simply eliminating all their unsecured debts. Anyone who had the ability to pay should file a Chapter 13 Debt Consolidation plan and at least pay their creditors something.
President Clinton vetoed this legislation towards the end of his term, President Bush promised to back its passage upon his entry into the presidency. However, with the economy faltering and then the September terrorist attack, this legislation was given diminished priority. To date no Bankruptcy Reform Act has been passed.
Although no new Bankruptcy Act exists, the Bankruptcy courts are implementing the spirit of the Act. How can they do this? Simply by enforcing the laws that already exist.
Each Bankruptcy Court is assigned a US Trustee. The US Trustee is like a policeman who investigates whether persons filing Bankruptcy are behaving honestly and whether those who have the ability to pay their creditors are doing so.
The US Trustee office is now with greater urgency and efficiency reviewing every Chapter 7 Bankruptcy being filed. The trustee's office will especially examine unreasonable or unnecessary expenses.
For example, a debtor who is supporting his grown children or has a $500.00 per month car payment may entice the Trustee's scrutiny. If a filer's expense appear too high or he appears able to make a meaningful payment to his creditors, the US Trustee can file a 707 Action.
This will either seek to dismiss the Chapter 7 Case (withholding Relief under Chapter 7) or to compel the debtor to convert to a Chapter 13 Debt Consolidation, thereby making a monthly payment.
What this all means is if you are considering Bankruptcy, you may want to get competent advice before proceeding. You never know when the mummy might show up!
Julian Credit Management is a firm that practices exclusively in the area of Bankruptcy and Debt Consolidation and has offices in Clearwater (Pinellas County), Port Richey (Pasco County), Tampa (Hillsborough County), Lakeland (Polk County) and Orlando (Orange County). We represent persons throughout the State of Florida.
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