Understand Chapter 7 Bankruptcy basics in 2 minutes
Understand Chapter 7 Bankruptcy basics in 2 minutes. 
With so much noise out there about bankruptcy, it helps to understand the basics. After explaining Chapter 7 hundreds of times to hundreds of people and groups over the past 25 years, I can finally compress it into a 2 minute video.
It is not a secret, but not widely known, that taxes can be dealt with in a bankruptcy. There is a concise explanation of how taxes can be handled or eliminated in a bankruptcy proceeding on my information web site GQLaw.com.
Please let me know if this is helpful (or not).
GQ
Dark Chocolate and Chili Peppers
Drs. Oz & Roizen:
Make Your Good Mood a Habit
Take a few steps to recharge your cheerfulness
Estate Planning in 3 minutes!
Estate Planning in 3 minutes!
Exercise Overrated
We all MUST stay in shape (or get into shape) physically and fiscally.
The article linked below analyzes 3 “overrated” exercises to avoid because they do not really work. I was intrigued by the title and read through it. It makes sense to me, I believe it, and I am going to make a better exercise program and follow it.
Please click here to follow the link to “Overrated Exercises”
Fiscally, many of us have the same problem of doing the same thing over and over getting the same crummy results.
Credit card debt, for example. How many of us pay the minimum payment every hoping that it will just go away – and it doesn’t.
OR – pay a fixed payment every month but then use the card again and it never goes away.
Perhaps it is time to change the routine. It will take commitment and discipline, but over time as those balances go down, you will be feel better.
I recommend a book – I get nothing for this recommendation – “Winning With Money – The budget book for people who hate budgets”. I have given the book to many of my radio show listeners to help them budget for the future – and to get out of debt. Some are following its strategy, others need more help and are considering debt relief through bankruptcy protection.
It is time to get in shape fiscally, isn’t it?
We cannot act like the government and throw borrowed money all over the place hoping problems will go away – they won’t.
Let’s make a better fiscal plan and follow it – TODAY!
Motivational Speaker – Chris Farley on SNL
With the intensity of the Presidential race increasing daily, I thought we needed a good laugh.
I remember seeing this episode of SNL in 1993 when it aired and I laughed then too.
Enjoy Chris Farley as Matt Foley, the “Motivational Speaker”
Click the link below the picture.
GQ
Heart Attack! Get Away From Me!
On the Craig Sewing Show on Wednesday, Craig and I talked about ideas on maintaining a healthy heart.
I was saddened by the death of Michael Clarke Duncan due to heart problems. Since I am his age, it makes me pay attention to the cause of his death.
Craig found a list of suggestions to maintain heart health. Some I am not sure about, but bear mentioning. So think about it and do your own research. Do what works best for you – but . . .
TAKE CARE OF YOUR HEART!
Here you go:
1. Ask your dad how your grandparents died—and when.
2. Eat vitamin C-rich foods like citrus fruits.
3. Snack on cherries.
4. Soak up the sun.
5. Spice up your food. When researchers at the Chinese University of Hong Kong studied the effects of capsaicinoids—compounds that lend flavor to chili peppers and jalapenos—in hamsters, rodents fed the spicy foods showed lower levels of LDL (“bad”) cholesterol
6. Shed your spare tire.
7. Keep a water bottle by your desk. 8oz
8. Take a glass-half-full attitude. Be an optimist.
9. Start your morning with grapefruit.
10. Swig cranberry juice. 3 cups daily.
11. Pick whole grains, nuts, and beans
12. Eat a burger—just make sure it’s grass-fed. loaded with heart-protective vitamin E.
13. Clean house. Just 2.5 per week of chores like mowing the lawn or carrying groceries helps circulation.
14. Schedule a checkup. Even if you’re in your 20s, you could benefit from a cardiovascular risk assessment.
17. Fill up on fiber.
and:
18. Listen to the Craig Sewing Show weekdays 6 – 8pm on 1170 KCBQ and catch the “health nut” segment. I am on with Craig every Wednesday 6 – 8pm.
A Debit Card will be Fine! – Seriously?!
College Kids with Credit Cards – WATCH OUT!!
Watch the short news story linked below and see how I feel about new college kids with credit cards:
Consumer Bob – NBC 7/39 – visits KCBQ & KPRZ studios to get GQ’s opinion on college kids with Credit Cards.
At a dinner meeting last night a long-time friend of mine jumped on me and said “Your kids are gonna hate you” – “What, no Credit Cards for Gary’s college kids?” “Gary want’s his kids’ passwords?” – He had seen me on Consumer Bob’s TV report on NBC 7/39 saying that college kids don’t need a credit card.
New college kids need to focus on studying. Maybe a Credit Card after their freshman year. My son Ryan was interviewed by Consumer Bob too and he wants to be responsible and build credit. That’s great. If he can get his own CC with a small limit and be responsible – GREAT!
I see too many parents who give their kids a joint CC with mom or dad – or worse a mom and dad card! That’s just CRAZY! That $25 dinner charged on the card will take a long time to pay off – remember he or she won’t even see the bill for a month.
Great credit is very important. Teach correct principles – over time, kids will learn . . . well.
Parents Co-signing on loans?
Most important part of Bob’s interview is me answering Bob’s question: “Should a parent co-sign a loan with a child?” My response . . . NEVER EVER EVER!
That’s my opinion.
GQ
Happy Graduation – Welcome to Crazy Town!!
. . . and yet there is something in the back of your mind – a little annoying thought that gives you the tingles every once in a while. It is like that dream that you have in college that you are late for the big test or you forgot to turn in your assigned project. The dream where you dream that you wake up and still cannot function properly. But finally you do wake up and you are OK – the test is tomorrow.
What am I talking about? Your student loan is coming due. It’s that dream that you forgot something. The thing you forgot, after 3 or 4 years of college, is that you now have student loan debt – perhaps more than you thought you would have.
Congratulation on graduating from college. Now you really are a “grown-up” (well, by some definitions) and your student loan lender will soon remind you that your first loan payment will be due in 6 months or so. No problem, you think, “I will have a good job by then” – “I’m pretty sure I will” – “I’m not worried”. . .
Student loans are the next big financial disaster that looms over the horizon.
Nationwide student loan debt now exceeds all credit card combined. The problem with student loan debt is that it is easy to get and very hard to get rid of. In 2005 the Federal Government made it nearly impossible to get rid of student loans. Even if you cannot pay the loans, you cannot eliminate them in a bankruptcy. Nearly everything else can be eliminated in bankruptcy – including many taxes, but not student loans.
Even student loans from a private lender are protected under the 2005 BK code. Yep. Welcome to Crazy Town!
Student loan debt will keep many graduates from buying cars, traveling, renting, eating out, and basically contributing to commerce. They will not have that money to spend. Some graduates have obtained loans of over $100,000 to get a job that pays $25,000 per year.
What’s my point? Avoid student loan debt like the plague. Go to cheaper schools. Get an associate degree at a community college, then finish at your dream school.
And parents. NEVER get “parent student loans”. I have seen families destroyed financially because of them.
Bottom line. Avoid debt – especially student loan debt.
GQ
IRS Big News!!
Nice IRS! Kinder? Gentler?
FORGET IT!
As of April the IRS changed its policy on Direct Debit Installment Agreements raising the amount of qualifying outstanding tax to “less than $50,000”, up from the previous $25,000. Great idea!! Great news!
But, you would think they trained all their agents about it. Not so. I spend hours on the phone talking to agents who do not know the new “policy” or “guideline” exists.
Why does this happen? I suppose that since the IRS is the largest collection agency in the world, it has limited resources for getting the word to all its agents. Is that a good reason? Not in my mind. This new policy could make it much easier for delinquent taxpayers to resolve tax problems – but it seems to have suffered an implementation failure!
Did you know that the Federal Government has proposed seizing the Passports of traveling US Citizens if they have an unresolved IRS situation of over $50,000. Imagine after making all the arrangements to travel for business, personal, or otherwise and having the US Customs Agent seize your Passport. “Sorry sir, you can’t travel because the IRS says you owe them money!!!!!” “You will have to stay here, but your family can go on ahead”
Looks like you still need a professional to help slug through the frustrating administrative process.
Big IRS News
IRS announced yesterday that it has been “working to put in place common-sense changes to the OIC program to more closely reflect real-world situations”. That’s big news in my world as a Financial Solutions Attorney. We have struggled for many years with the ridiculous rules that have made the IRS Offer-In-Compromise (OIC) program useless for many taxpayers.
According to the announcement, the IRS will finally allow the taxpayer’s budget to include payments on student loans, payments on state and local delinquent taxes, and only look to future income over a 1 to 2 year period rather than the 4 to 5 year period in the past.
Even better, if they truly implement it (this may be too good to be true) they will not look to the equity in income producing assets of an on-going business in the calculation of reasonable collection potential. In the past, the IRS calculated an artificial business value which included income producing business assets. The artificial business value caused many small business OIC’s to fail.
We are going to be implementing these new changes immediately on our OIC cases. This could be great.
Here’s hoping.
GQ Law
