Blog

Filing for bankruptcy feels like a severe and permanent decision. You may be afraid that once you file you are going to regret it. This is why it is so important to have a bankruptcy attorney, like one from The Law Offices of Ronald I. Chorches, on your side. He or she will be there every step of the way so that you can feel confident with each decision you need to make. 

Realize that You Are Getting a Fresh Start

Despite possibly feeling like you are doing something detrimental to your credit score and other financial aspects of your life, you are actually also getting a clean, fresh start. By choosing to file for bankruptcy, you are allowing yourself to get a break from being weighed down with seemingly impossible bills to pay. You will be forgiven of the debt that was causing you so much angst and misery, and you will be able to move on with your life and start fresh. 

This Will Not Last Forever

Your credit score will take a hit when initially filing for bankruptcy, but it will not be like this for the rest of your life. It typically takes about 5 years or more for your credit score to begin really recovering, but in the meantime your attorney can give you tips and tricks to help facilitate this recovery. Knowing that you are free from the debt that was weighing you down should offer a sense of relief. 

Create a Budget that Makes You Comfortable

Whether you hire a financial planner to help you or decide to go over your finances on your own, it is important to change your habits and to always be thinking about the future. By doing this, you will lessen your chances of ever being in this kind of situation again. You should always have some amount of money set aside for fun activities or things that you can splurge on, but need to have a good amount of self control when planning as well. You may need to make compromises with your own desires or your partners, but planning ahead will allow you to prioritize all of your expenses. 

Ask Your Attorney Any Questions You Have

Whether you are concerned about something before, during, or after filing for bankruptcy, you should always ask any questions that you have throughout the entire process. Your attorney is there to help and will be more than happy to help put your mind at ease. It is his or her duty to put you on the road to success, so you should not feel shy about asking. No question is too big or too small for your bankruptcy attorney to handle. He or she has handled many cases like yours and has likely seen it all. You hired an attorney so that you would have years of experience on your side and so that you could trust an expert in any areas that you do not understand. He or she will be more than happy to set up a meeting or phone call to go over all of your concerns. 

Estate Planning Lawyer

Estate Planning Tips: When to Update or Start Your Strategy

If you’re like most people, you don’t want to think about your estate plan. Not only is it a difficult subject for a lot of people, but it can also feel complex and redundant. Still, if you want to ensure that your wishes are honored and that your assets go to the right place, you need to start working on an estate plan now, no matter your age or your income. 

Here are some tips on when you need to work on your plan:

Major Financial Changes

Anytime you have a major financial change, you need to think about your estate plan. You especially want to pay attention to your estate plan when it comes to finding a new, higher-paying job. As you begin to save money and perhaps open a retirement fund, you have moving parts to think about. You need to think about who you want to control your assets and who you want to benefit from your estate.

Major Family Changes

Major family changes can include the birth of a child, marriage, divorce, or blended families. You need to ensure that the beneficiaries are up to date. Likewise, if you have an executor, you do not want to fall out with him or her and then forget to remove the person as executor. If you don’t have an estate plan, you need to think of one when you have dependents. Start to think about what would happen to your children if something happened to you or who would inherit your assets.

Major Inheritances

If you recently came into money or assets via inheritance, you need to start thinking about your estate plan. Inheritances add to your net worth and your assets. If something were to happen to you, where would the money, property, or other valuable items go? If you already have an estate plan, then an inheritance could change your financial picture entirely.

If you don’t have an estate plan, now is the best time to do it. While you should never wait until you have considerable assets, you should not hold off once you do. Suddenly, if you were to die without a will or trust, your next of kin could inherit a major tax bill.

When it comes to your estate plan, the general rule is to check it every five years. The exception to the five-year rule is if you have any major life change that could affect your financial situation or the future of your assets. If you’re unsure about when to start or change your plan, consult with an estate planning lawyer in Fort Collins, CO as soon as possible for more information.

Estate Lawyer

Critical Aspects of Designing a Comprehensive Estate Plan

Creating an estate plan isn’t something we do every day. Because of this, the thought of putting one together can be vexing. Still, it’s important that we have one in place so our after-death wishes are carried out. Here are some estate planning matters that need to be handled.

Write a Will

This essential document tells who will inherit your assets once you’re gone. It should also name a guardian for your children in case you and your partner pass away before they’re grown. Be certain these preferences are legally memorialized.

Make a Trust

Trusts allow heirs immediate access to money. Without one in place, they have to go through probate court to get it, which can be an expensive and draining process. Establish a trust so there’s one less hurdle for them to overcome.

Set Health Care Directives

In the event you become incapacitated, others need to know the limits of what treatment you’re willing to endure. Spell out these wishes so you’ll be cared for accordingly. Further, you can designate someone to make medical decisions on your behalf, in the event circumstances that you and your estate planner fail to consider unfold. 

Buy Life Insurance

Passing away before debts are paid means heirs could wind up being saddled with undeserved financial obligations. Life insurance provides a means of negating this possibility. Consult an insurance provider to determine how much coverage you need.

Account for Funeral Expenses

When families are grieving, the last thing they want to discuss is payment for burial. Relieve loved ones of this burden by setting aside money that becomes available upon your death. An estate planning lawyer may also write language regarding end-of-life wishes, such as whether you want to be cremated or buried, and desires regarding organ donation.

Safely File Everything

It’s vital that those responsible for taking care of important concerns after you’re gone have access to every piece of estate planning documentation. Lock paperwork inside a safe, and tell executors where these files are. Don’t forget to provide them with the combination or key that’s necessary to retrieve them. Recommend that they store it in a memorable place where they’ll have no trouble finding it despite being in mourning. 

Estate planning is the only way to make certain our wants are carried out precisely as we desire after we’ve moved on. Contact an estate lawyer in Fort Collins, CO to provide assistance with the legal side of events after your passing.

Whether you’re getting married, looking for more space to raise a family, want to stop renting and start investing, or maybe you’re looking for a rental property you can make some extra cash on – The reasons people have for wanting to buy a home can vary. However, whatever your reason, you’ll want to be sure to avoid these top 4 mistakes (trust me, you can’t afford to make them!)

#1: Let’s start by talking about “Agent Hopping” – This is something you’ll want to avoid doing when it comes time to purchase a home. To position yourself for success when it comes to finding and getting an accepted offer on your (insert correct answer: dream home, starter home, investment property, etc), you’re going to want to have someone representing YOU! On the flip side, let’s say you don’t want to be tied to anyone specifically, you think you know enough about the process and want to be in control. Well in that case you’re most likely going to be contacting the agent who is listing the house you are interested in. That means you won’t have anyone to educate you about the process (it’s not HGTV, so unless you’re a licensed Real Estate Agent, there are going to be things you don’t know). You won’t get detailed information on the market, recommendations for how much to offer, or any red flags you should be aware of.

You’ll want to interview agents before you start looking at homes so that you can find someone you trust to be your advocate throughout the entire process. Buying a home is often the biggest financial investment you will make and you’ll want someone who works in this industry to be your advocate along the way.

#2: Miscalculating the costs associated with buying a home – Purchase price, check! Down payment, check! All set? Not so fast! There are other costs associated with buying a home that you’ll want to be aware of well before the time comes. Your down payment could potentially be the largest expense but there is also the earnest money deposit, the home inspection, the appraisal, radon testing, and other expenses you’ll want to talk to your Real Estate Agent and lender about.

When it comes to costs associated with the financing side (in addition to your down payment), you’ll want to check with your lender to find out an estimate on your closing costs and how much you’ll need upfront for homeowners insurance and taxes. You can also see if there are any first-time home buyer programs that may help offset some of these costs. Sometimes, the lender will allow you to ask for a certain percentage in closing cost credits from the seller. Depending on your situation, this is something you could include in your offer to purchase to help offset some of your closing costs. Make sure to discuss these options with both your agent and lender so that you fully understand how they work and how best to use them.

#3: Skipping the Home Inspection – “But I’ll save $500 if I skip it and I’d rather spend that money on new home decor from West Elm!” – Pretend Buyer. Home inspections are not necessarily required in order to purchase a home. So during the transaction it might seem intriguing to some buyers to skip the home inspection and save some extra cash to put towards the home itself. However, I highly, highly, highly (I REPEAT – HIGHLY) advise against skipping the home inspection. Number one, you’re going to want to know about any major issues the home could potentially have. You’ll also want to know about smaller repair items that need to be addressed along with any future maintenance issues to watch out for. A home inspector is there to spot the major red flags that could end up costing you a lot of money if you don’t figure them out before closing. Ask your agent for home inspector recommendations or feel free to do some of your own research. You can use whoever you feel comfortable with as long as they are licensed in your state.

#4: House hunting without a pre-approval – I’m sure you’ve heard this one as your eyes roll back into your head and you think “enough is enough with the pre-approval!” As much as it may sound like a broken record, it is a big deal and you’ll want to know why! For starters, most agents won’t show you a home without a pre-approval letter and most sellers won’t entertain an offer without one either. So if a house comes along that happens to be your dream home and you’re not prepared, you could miss out just because you didn’t take the time to get pre-approved (and trust me, it doesn’t take long).

Lastly, if you haven’t found a lender you want to work with or gotten pre-approved, you may be shopping outside of your budget. You might know what your monthly budget is but there are several other factors taken into consideration besides your paycheck. Have you checked your credit score lately? Do you know your debt to income ratio? What about the various types of loans and what they entail? Some will require higher down payments than others. If you start searching for houses listed for more than what you can actually afford, you’ll set yourself up for disappointment when you realize you can’t buy the house with the awesome home theater you had your heart set on.

If you’re ready to jump into the home buying process right now, make sure you’re avoiding these big mistakes! If you want to discuss this in more detail, feel free to reach out and we can set up a time to grab coffee (your go-to coffee order is on me!) I love teaching buyers about the ins and outs of the home buying process to ensure they have the best experience possible and avoid any mistakes that can throw you for a loop!

If you are facing a real estate issue and need legal guidance, contact a real estate attorney like the professionals at Silverman Law Office, PLLC.

Do I Have to Probate an Estate if There is No Will?

Losing a loved one is difficult, and that process can be further complicated by lengthy legal proceedings to determine the fate of that loved one’s estate. Many people want to avoid probate courts whenever possible. However, when someone dies without a will, the decedent’s estate will likely automatically be subject to the probate process. 

First, the term “probate” describes the process that a court will go through to organize a decedent’s assets, manage their debts, and distribute their estate. Typically, this process is completed according to the decedent’s will and that state’s Probate Laws. A will is a written device that outlines how a decedent, also called a Testator, would like their property and other remaining assets to be distributed upon their death. But not all of the decedent’s property is subject to the probate process, even if there is a valid will in place. Some assets have predetermined beneficiaries that will pass to those recipients upon the death of the decedent. Some examples of these assets include: bank accounts, life insurance policies, trusts, and jointly owned property. 

In contrast, a person dies intestate when they die without a valid will in place. Each state has their own laws outlining intestate succession that will guide how an estate will be divided. It is important to note, however, that assets with predetermined beneficiaries are not subject to intestate succession. 

So, what happens when an individual dies without a will? Their estate will likely go through the probate process, only without the guiding structure of a will. Instead, the state’s laws of intestate succession will determine how that estate will be administered and who it will be administered to. 

When the decedent dies intestate, the court’s role in a probate process is to ensure that the decedent’s estate is properly and legally administered. Often, the court’s role in this process is helpful when disputes arise among potential heir’s regarding the decedent’s property. The court can serve as a nonbiased party to fairly decide what assets, if any, each heir will inherit. 

To begin a probate process, the court must first appoint an administrator or personal representative. Generally, the person who first petitions to the probate court will be appointed by the court to fill this role. The administrator has the same role and duty as an executor of a will, however unlike an Executor, they were not specifically named by the decedent to serve in this role. Some duties of the personal representative include: evaluating the value of decedent’s estate, paying the decedent’s remaining debts and taxes, and locating the decedent’s assets. 

Once a personal representative is appointed, the court will determine the decedent’s heirs at law. Typically, a decedent’s surviving heirs would be the recipient of their estate. Each state’s intestacy laws outline which heirs receive their estate dependent upon their relationship to the decedent and which other heirs are surviving. While intestacy laws vary from state to state, a general chain of succession of the decedent’s estate would be to the surviving spouse, followed by surviving children, parents, or other relatives. After determining who will inherit the estate and which assets each heir will inherit, the court concludes the probate process by issuing a court order that outlines how the estate will be distributed.  

While the intestate probate process has some benefits, one major drawback to the process is the decedent’s inability to control who will inherit their estate. In some cases, the heirs that a decedent would include in their will are the same heirs who would inherit at law. However, that is not always the case.  Having a will is likely the best way to ensure that property is transferred to the desired friends and family upon the death of the decedent.

If you have questions about estate planning, contact an estate planning lawyer, like the attorneys at the Brandy Austin Law Firm for help with your case.

Will Lawyer

Creating a Will

A valid will must be in writing and include a creation date with signatures from two witnesses. Video wills are not enforceable, but you may choose to make a video to accompany your will for various reasons. 

It Can Provide Proof of Intentions and Sound Mind

Disgruntled family members may try to contest your will in court, hoping to cause the redistribution of your assets. Contesting your will requires someone to prove that you signed it under duress, that you did not understand its contents, or that you structured it using impaired judgment. A video that features you explaining your wishes can counter those arguments. 

It Shows Your Capacity for Making Sound Decisions

Suppose you think that your asset distribution choices will disappoint your friends or relatives, who might attempt to persuade the court to overturn your wishes by challenging your mental state. In that case, a video can help counter those accusations. Although a video won’t prevent resentments and hurt feelings, explaining the rationale behind your choices will reveal your motives and capacity for rational decision-making, potentially reducing the risk that someone will contest your will.

It Promotes Transparency

Sometimes, when people are dissatisfied with their share of an inheritance, they will contest a will with an accusation that someone else with a devious motive forged your signature on the document. Most states address this concern by requiring you to participate in a formal will-signing meeting, which involves two witnesses who are not beneficiaries. After watching you sign the will, both witnesses must sign an affidavit acknowledging that you clearly stated the meeting’s purpose, exhibited a clear understanding of the type of document you were signing, and you signed it voluntarily. 

Aside from discrediting allegations that your signature is fake, creating a video that includes the will-signing meeting can hinder claims that you, your lawyers, and the witnesses did not adhere to the state’s guidelines for the will’s execution. 

To Clarify Your Wishes

You may not trust your family members to honor your wishes regarding your final arrangements, the distribution of your assets, or any other conditions of your will. A video can help clarify the feelings, intentions, and motives surrounding how you choose to allocate your estate. It can also eliminate speculation by the heirs you exclude about what you were thinking.

Video wills by themselves are not legally enforceable, but they are excellent companions to standard wills that can promote your final wishes and possibly prevent family schisms.

Speak with a will lawyer in Fort Collins, CO who can guide you through creating a video will that serves your needs.