NY Throwing Homeowners a Line - of Communication

Saturday, December 5th, 2009

Even “the best laid plans of mice and men gang aft agley.” You’re probably already quite aware of the recent foreclosure run in the US, but what may surprise many consumers is the trouble has now spread beyond sub-prime loans. In the third quarter, 1 in 10 home owners were late making their payments nationwide. That is quite a number to swallow.

Fortunately, New York is fighting alongside consumers in the battle to keep their homes. Recent New York legislation, taking effect January 2010 will extend aid to all home owners facing foreclosure instead of just sub-prime borrowers. Now if only they could get that stigma out of home owners’ minds about arbitration and mediation.

New York Leading Battle to Keep Homes Out of Foreclosure

More than one fourth of the consumers who go through New York’s mediation program for homeowners facing foreclosure get to keep their homes. Unfortunately, more than one third don’t even attend the meetings.

For all of New York’s good intentions, nobody is taking them up on the offer. Of course, that isn’t for a lack of want or need. Rather, home owners are afraid. They see the letter from the New York court system and don’t even open it - they know their home will soon enter foreclosure, but they don’t know the court is actually looking to help the consumer keep their home.

Most show up with their keys in hand, ready to give up the house, until a secretary explains what is going on. Almost everyone shows up in tears, sure their home is gone for good. What they don’t realize is they have been given the second chance provided by New York state law.

Lenders are required to provide 90-days notice prior to foreclosure and go through a mediation process with the borrower. For now this law only applies to sub-prime borrowers, but in the beginning of next year all borrowers facing foreclosure can have the same benefits.

Nevertheless, the court system is still fighting the consumer stigma which plagues their efforts. They have revised the invitation letter five times in an attempt to help home owners understand what they are doing, and have considered using a different mailing address to encourage home owners to at least open the letter. For now, all we can do is spread the word and hope home owners realize they have just been handed an opportunity of a lifetime.

Tags: foreclosure, mediation, ny
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An Amicable Senior Divorce

Wednesday, June 10th, 2009

These days, there is a growing divorce rate among seniors as people live longer. And when seniors divorce, they confront different problems compared to the younger ones. Younger couples usually focus on visitation and child support issues while these are some considerations for a senior divorce:

· Life Insurance – is there a policy?

· House – seniors usually have more home value than young couples. Sometimes, they even own more than one home.

· Retirement benefits – do the beneficiary need to be changed when one spouse has been relying on the other one’s retirement benefits?

· Health insurance – typically, one spouse is relying on the health insurance of the other.

Since these issues may be expensive to litigate and complicated to deal with, a mediator can help facilitate an amicable settlement and sort through these issues. They can also work them in a less contentious and cheaper way than bringing it to court. These mediators can meet with the couple and allow a discussion in a non-confrontational manner. The common goal is to address both spouses’ interest and produce an agreed settlement.

Remember that some attorney’s can also function as mediators. They may not necessarily bring the case to court if not needed. Once a mediated agreement has been signed, it only needs to be filed in court and is considered binding.

Tags: attorneys, Divorce, health insurance, house, life insurance, mediation, mediator, retirement benefits, Senior Divorce, seniors
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Recession Divorce

Monday, May 25th, 2009

Cost effective legal divorce is now a welcome path for those people who wish to end their marriages. The stalled housing market, increased unemployment, and deepening recession have negatively impacted the financial situations of most parties. In fact, high mortgages and declining values caused many homes of divorcing couples to stay “under water.”

In addition, even those divorcing couples who are still fortunate to have home equity cannot sell the houses due to a slow real estate market. If you combine these with plummeting real estate values, you will be looking at a bleak marital asset balance sheet.

Historically, divorce rates tend to increase during recession. But attorneys today still see a decline, maybe due to a severe economic downturn. For those with limited resources, it might be overwhelming to incur expenses for two households. On the other hand, net-worth clients may take advantage of diminished values of their properties to decrease financial responsibility.

And to look on the bright side, there are other support alternatives and marital asset division that attorneys can do to help the divorce resolution. Probably, a neutral financial planner can find solutions for custody issues or parenting coordination.

Although some cases would really need to go through litigation, there are other options that the parties could attempt to utilize. These alternative resolution methods may be in the form of a collaborative law model or mediation.

Tags: attorneys, collaborative law model, cost effective, custody, Divorce, divorce rates, divorcing couples, litigation, mediation, parenting coordination
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Mediation: A Better Way to Divorce?

Monday, May 4th, 2009

Even if getting a divorce is the right thing to do, it can still be a difficult process. For many couples today, they go through mediation because it’s less painful.

Typically, traditional divorce treats the spouses as enemies. Each person has a lawyer and they try to claim as much as they can for their client. A judge may make the final decisions if the couple won’t agree. But sometimes, both are not happy with the outcome.

In mediation, however, the couple will be the ones to reach an agreement. The mediator is there only to help them communicate. And since the couple makes the decision, then they’re more likely to stick with it.

Mediation will only work if:

· The spouses agree on getting divorce

· They can talk calmly and make decisions without fighting

· They want to stay in good terms

· They respect and trust each other

However, don’t think that a lawyer is not necessary if you opt for mediation. It’s always a good idea to retain a divorce lawyer who will inform you of your legal rights before starting mediation. You can also request a lawyer to review the mediation agreement before you sign it. To find a lawyer, you can always consult an online law directory.

Tags: Divorce, Divorce Lawyer, law directory, lawyer, mediation
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Your California Divorce Questions Answered

Monday, April 27th, 2009

In California, at least one spouse needs to be a resident for six months before the couple can qualify for a divorce. However, there is a way for you to get California divorce even if your residency is less than this. Simply talk to a divorce attorney to find out how this can be done for you.

To help you further, here are some questions and answers that will shed light on California divorce:

• Should it be automatic for a couple to go to court if they want a divorce?

No, majority of cases can be carried out by just negotiating a deal with your spouse. However, if you cannot agree on certain issues, then it’s imperative for you to settle in court.

• What’s the difference between mediation and collaborative divorce?

Mediation involves a meeting between you and your spouse together with a trained mediator. This can be done on the phone or in person. The mediator is usually a knowledgeable divorce attorney who can work with you and your spouse and answer all your legal questions.

On the other hand, collaborative divorce involves two attorneys (one for each of the spouse) who will meet with them individually and advise them separately.

• How long is the timeframe of the divorce?

In California law, six months is the minimum requirement before you can be a legally unmarried person. Of course, you can also take longer than that. However, if the divorce was not competed within five years, the court usually closes your case.

Tags: attorney, attorneys, California, California divorce, collaborative divorce, Divorce, divorce attorney, mediation
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