Published Tuesday, June 1, 2010 @ 8:10 am

While millions of struggling Americans still working hard to find employment might disagree, economists are heartened about prospects for growth this year as industries increasingly report better profits and add new jobs.

In fact, job growth is said to be at its fastest pace in 10 months.  In recent surveys, American employers were found to have added 162,000 jobs in March 2010, the most in three years. Wages and salaries also are improving.  And, obviously higher salaries bode well for the recovery, since consumer spending accounts for as much as 70 percent of our nation’s economic activity.

So, are you still looking for work? Well you’ve come to the right place. Or, at least, the place where you can find the best “places” to find work as The Milken Institute, a nonpartisan economic think tank, released its annual Best Performing Cities Index earlier this week.

And where are these bastions for hiring and employment boom towns? Would you believe deep in the heart of Texas?

The 2009 top 10 performers (with 2008 rankings) of the 200 largest metros:

1. Austin-Round Rock, TX (4)
2. Killeen-Temple-Fort Hood, TX (13)
3. Salt Lake City, UT (3)
4. McAllen-Edinburg-Mission, TX (7)
5. Houston-Sugar Land-Baytown, TX (16)
6. Durham, NC (21)
7. Olympia, WA (9)
8. Huntsville, AL (5)
9. Lafayette, LA (14)
10. Raleigh-Cary, NC (2)

Yep, that’s right, the Lone Star state as it happens made up four of the top five cities in the Milken report. In it, the index editors suggested that these large Texas towns rose to the top of the employment heap, along with a notable pair from North Carolina, due to their resources and technology sectors, in addition to the “state’s favorable business climate and its ability to attract jobs and corporations away from higher-cost states”:

“Regional economic factors also strongly influenced the rankings this year, with the oil and gas sector, technology and alternative energy providing stability among metros in Texas, North Carolina, Washington and Louisiana, which also benefited from low dependence on housing/construction. Austin in particular has been helped by its strong tech industry. It is the first metro to ever be ranked number one twice on the index, the last time being in 2000.”

For many of the cities, rising to the top of the rankings was a matter of not losing ground, and, as The Huffington Post put it “sidestepping the worst pitfalls of the recession in order to maintain the status quo.”

As the Milken reported found:

“‘Best performing’ sometimes means retaining what you have,” said Ross DeVol, director of Regional Economics and lead author of the report. “In a period of recession, the index highlights metros that have adapted to weather the storm. As we move forward in a recovery that still lacks jobs, metros will be further tested in their ability to sustain themselves.”

Cities in the index were also ranked based on how well they create and keep jobs, illustrating reflected both long- and short-term measurements of employment, wages, salaries and the aforementioned tech growth. But whether you’re in Texas or the Tar Heel state, these rankings aren’t definitive….and, in this lingering economic recession, neither is job certainty.

In tough times, why not turn to something that is definitive: a smart move to a better financial future through bankruptcy. If you have been effected by the economy and are wondering how to get back on track, knowing a qualified bankruptcy attorney can also help you to conquer your creditors and face your financial fears, yielding the right kinds of support, information and insights—at a low cost— for a viable and secure future beyond our own “Great Recession.”  The bankruptcy experts at the Law Offices of John T. Orcutt offer a totally FREE debt consultation and now, more than ever, it’s time to take them up on their offer. Just call toll free to 1-800-899-1414, or during the off hours, you can make your own appointment right online at www.billsbills.com. Simply click on the yellow “FREE Consultation Now” button.

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Published Tuesday, January 5, 2010 @ 6:29 am

The New York Times recently published an insightful article detailing the struggles of homeowners facing foreclosure in the outer boroughs of New York City. At the New York State Supreme Court building in Jamaica, Queens, they come face-to-face with the lawyers representing the banks and the loan servicers that are pursuing foreclosure on their homes. These lawyers oversee large caseloads and don’t appear to the Times reporter have the time to delve into each individual matter.

New York state lawmakers have passed laws requiring lenders to negotiate with homeowners in court. That’s why the court’s docket is full of homeowners facing foreclosure. However, the banks in question, and the loan servicers that represent them, aren’t cutting deals to modify mortgages, despite the efforts of lawmakers to force the banks to do so. As a court referee says in the article, “I have yet to see an attorney for a servicer cut a deal.”

The evidence suggests there isn’t enough incentive for lenders and servicers to try to bargain with homeowners. The federal government has provided small financial incentives to services to allow loan modifications. But, because the servicers also make money from the foreclosure process, especially through fees charged to homeowners, the servicers don’t have as much of a reason to take the federal government’s money.

Even when modification is a possibility, the modification process often breaks down over logistics. For instance, homeowners often struggle to produce all of the paperwork lenders demand to see in order to process a modification. The Times also reports on an initiative to bring the documentation process online, allowing homeowners to store their documents in a database for safekeeping and to electronically track the progress of their modification efforts. A consultant quoted by the Times, however, remains pessimistic, stating bluntly, “[m]arginal improvements are not going to have a significant impact on increasing loan modifications.”

It should be good news for homeowners that the federal and state governments have stepped in to provide incentives for lenders and servicers to modify mortgages. However, an incentive is only an incentive, and sadly, evidence suggests that lenders and servicers generally choose to foreclose rather than modify. If you are a homeowner experiencing difficulty making your mortgage payments or facing foreclosure, relying on modification as a last resort may land you in a lot of trouble.

Filing for bankruptcy, on the other hand, can in many instances protect your home from creditors and keep foreclosure out of the picture. If you have a regular income, a Chapter 13 bankruptcy filing offers the opportunity to catch up on your missed mortgage payments, and your home will be protected by the bankruptcy court’s automatic stay, which stays, or freezes, collections actions, including foreclosures. A Chapter 7 bankruptcy filing may also protect your property, depending on the circumstances and the extent of your other outstanding debt. If you are looking for bankruptcy advice you can trust, do not hesitate to contact the attorneys at The Law Firm of John C. Orcutt.

If you’re one of the many North Carolina homeowners facing foreclosure, contact the Law Offices of John T. Orcutt today to discuss how Chapter 13 bankruptcy can save your family’s home. Call today: 1-800-899-1414.

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Published Sunday, December 20, 2009 @ 6:52 am

Thus far in the Preventing Foreclosure series, you’ve received an introductory look at how to hold on to your home; learned the best ways to work with your mortgage lender; and were provided with a more permanent plan to keep your house through Chapter 13 bankruptcy.

But Chapter 13 isn’t the only option for average Americans struggling with mortgage debt and facing foreclosure. With Part IV of this six-part series, it’s time to get a better understanding of how filing for Chapter 7 bankruptcy can also help protect yourself and prepare you for a stronger financial future.

Part IV – Chapter 7 Bankruptcy

Stop Foreclosure
As is the case with Chapter 13 bankruptcy, the Bankruptcy Code’s automatic stay is a powerful court order that kicks in as soon as you file your bankruptcy papers. In addition to pausing any foreclosure proceedings, the automatic stay will put a stop to all forms of collection by creditors, including, repossessions, garnishment, lawsuits, and harassing phone calls. If you’ve made the decision that you simply can’t afford your mortgage payment, consider a pre-foreclosure Chapter 7. Your unsecured debt will get wiped out, and the bankruptcy will stall the foreclosure, giving you some time to save up some money for your next step.

Protect All of Your Property
Chapter 7 bankruptcy is, in some ways, win-win situation for homeowners facing foreclosure. Chapter 7 dispenses all of your unsecured debts, including credit cards and health care bills. While creditors, in turn, are entitled to proceeds from a sale of some of your valuable assets, in almost every personal Chapter 7 bankruptcy case there is no property sales of any kind. Thanks to Chapter 7 bankruptcy exemptions, most or all of your property is probably fully protected from sale or repossession, including your home and possibly your cars. With the recent passage of new homestead exemption legislation in North Carolina, chances are, all of your property is protected.
Keep in mind, if you own more than one home, vacation properties or a more expensive home (with a value above your state’s maximum amount) you may want to protect these properties by filing Chapter 13 bankruptcy instead—a better option to protect a home for families with more regular or disposable income.

Dispense With Other Homeowner Debts
Chapter 7 bankruptcy may not only cancel all mortgage debt, but also dispenses with additional mortgages and home equity loans. In addition to removing mortgage debt, new tax laws mean you may no longer face tax liability for defaulting on a mortgage or home-improvement loan.

Avoid Dead-End Solutions and Foreclosure Scams
Amid an uncertain economic period full of rising unemployment, high debt loads, plunging housing values and wobbly stock prices, Chapter 7 bankruptcy provides safe and legal solutions to your foreclosure fears and avoids today’s endless array of rescue scams preying on the vulnerability of desperate homeowners.

Sometimes its Better to Just Walk Away
As 2009 comes to an end, more than 3 million foreclosures are predicted, as homeowners are increasingly incapable of paying the mortgage during this brutal recession. Filing for Chapter 7 bankruptcy pending foreclosure can provide a much-needed stopping point for those drowning in homeowner debt—as well as debts related to credit cards, medical bills, and more—and a comparable starting point for a family’s more viable financial future. The lending industry has taken advantage of consumers, driving home prices to unrealistic heights. With home prices collapsing, and many homeowners owing more than their home is worth, it makes better financial sense to walk away. Chapter 7 allows you to do so with a clean slate.

To get the big picture on how Chapter 7 works and how the laws in North Carolina can help you, speak with a professional bankruptcy lawyer at the The Law Offices of John T. Orcutt.

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