Tips For Marketing Your Virtual Bankruptcy Assistant Service For Free

Here is another free marketing tip. All it takes is your time.

Publish an article to all the websites provided below. Your first reaction may be that you do not know how to write an article. No problem, we’ve provided one below that you can personalize for your virtual bankruptcy assistant business.

But do not limit yourself to this one article. Feel free to read more from our blog at http://www.713bankruptcy.com and republish some of those. Eventually, if you will take the time to read articles and press releases that others write, you will be able to start writing your own.

SAMPLE ARTICLE TO PUBLISH ONLINE

According to statistics, in 2010 there were more than 1.5 million bankruptcy petitions filed. However, due to the lack of proper training in the preparation of Chapter 7 and 13 bankruptcy petitions, many attorneys and their staff are required to learn these skills on the job. Due to this lack of proper training, errors are made. It is then left up to the bankruptcy court to spend a great deal of their time solving these problems which delays the bankruptcy petition. The debtor filing bankruptcy has no clue why it is taking so long and they suffer because of the stress and fear they feel on a day to day basis of losing their home or paying their bills.

“MyVBAsite.com” is working hard to change all this. Our staff has been professionally trained in the preparation of well-detailed Chapter 7 and 13 bankruptcy petitions by the industry leader, 713Training.Com. We work with attorneys nationwide so they can keep their overhead low, free up staff, reduce paperwork and increase their profits.

For more information about MyCompany.Com please view our website at “MyVBAsite.com”. Please send us an email when you visit and we will be happy to answer any questions.

WEBSITES TO PUBLISH TO

The web address with a large list of free article submission sites is at: http://www.avangate.com/articles/article-submission.htm

It will take some time to work through this list, but your patience will pay off! You normally will be required to sign up and get a username and password on most of them; however, once you sign up, you can continue submitting articles in the future.

Important note: Be sure to read all the submission information at each website so you can be assured your article is posted. If you do not follow the rules, the time you invested will be wasted.

WHERE CAN YOU GET FUTURE ARTICLES TO POST?

Just copy and use the articles we send to you or visit our blog at http://www.713bankruptcy.com. You have permission to reprint and use any of the articles we send you or publish on our blog as press releases to help your own virtual bankruptcy assistant business.

ANOTHER ALTERNATIVE

If you don’t mind spending some money, there is a software program you can purchase. I have used it myself before and it does help to automate the process: http://articlesubmitter.imwishlist.com/

Note: This company also has another software program called Directory Submit. It will submit your website to all the search engines. Before you purchase it, make sure you watch the video at: http://directorysubmitter.imwishlist.com/

SUMMARY

I sincerely hope you will utilize these techniques and build your virtual bankruptcy assistant business. As you work through these suggestions, keep your eyes open for other marketing opportunities. Pretty soon, you will begin to recognize that marketing on the internet can be a fun thing that you do every day. So get to work and build your company so that you will have a fantastic financial future in 2012.

FOR MORE ON HOW TO MARKET YOUR VBA BUSINESS CHECK OUT 713TRAINING.COM

http://www.713training.com/categories/Marketing-Your-Business/

Sincerely,

-The 713 Training Team

www.713Training.com

Disclaimer: We at 713Training.com not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

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How Economic Hardship Affects Your Virtual Bankruptcy Assistant Service

Even if you live under a rock you have heard about and have likely felt the effects of the current economic hardship that has spread around the globe. As a Virtual Bankruptcy Assistant you can rest assured that the bankruptcy filings will continue at a high rate as the economic instability continues. The demand for the type of service a Virtual Bankruptcy Assistant offers has never been greater, and will long be a need in the bankruptcy marketplace. 

What Attorneys Are Saying

713Training.com receives numerous contacts by phone and email each month regarding both Virtual Bankruptcy Assistants and training on how to perform chapter 7 and 13 bankruptcies. Attorneys recognize, both new and veteran alike, that there is a large demand for bankruptcy service. Consumer bankruptcies are nearly double from where they were just five years ago, and are continuing to rise. 

Many attorneys are seeking competent Virtual Bankruptcy Assistants and reach out to students of 713Training.com through the National Association of Virtual Bankruptcy Assistants found online at NAVBA.org. There are attorneys who are in the process of totally converting their entire practice to bankruptcy because they see the ever-increasing amount of filings. Other attorneys who have never practiced bankruptcy before are opening new law firms and many of them are seeking to hire virtual assistants to keep their overhead costs low. The attorneys who are solely practicing bankruptcy are hiring more staff, looking for virtual assistants to use as their backup systems and gearing up for a large workload in the near future.

If attorneys are upgrading and expanding their practices, there is certainly no question that your job as a Virtual Bankruptcy Assistant is more than secure. The only problem is that many of you do not have a lot of experience. You have purchased the training materials and learned the basics, but in order to improve on that knowledge you need bankruptcy petitions to work with and learn from. It’s kind of like a Catch 22 situation and we certainly understand your problem. However, it is up to each and every one of you to stand up, take the bull by the horns and put your knowledge to the test by working directly for bankruptcy attorneys.

It is hard for to believe, but once you get out there and start working, you will discover that because you purchased training materials from 713Training.Com, you have more knowledge than most of the law firm staff. Why? Here are only two of the reasons: (1) Most debtor bankruptcy personnel are burned out after 2 years and bankruptcy law firms have high turnover rates when it comes to keeping employees; and (2) Most attorneys know the law but they do not know how to properly prepare a well-detailed bankruptcy petition, let alone a Chapter 13 Plan. This means that the law firm staff receives little or no training in preparing the actual petition. 

If you have not purchased any training materials at this time, visit:
http://www.713training.com/categories/Training-Packages/

If you have purchased training materials, be sure and get the materials to help you market your services:

http://www.713training.com/categories/Marketing-Your-Business/

And get started working for attorneys as soon as possible!

Take Advantage of Training and Support

If you have not joined the NAVBA already, do it now. The NAVBA will give additional credibility to you and your services, and best of all it will be a place where attorneys can locate you. Many members of the NAVBA have stated that the only marketing they did was be a member. It may take longer than actively marketing to attorneys, but many members of the NAVBA have expressed their appreciation for the benefits to their service that the NAVBA provides.

To learn more about the NAVBA visit the site today! NAVBA.ORG

Take Advantage of Training and Support

We have spoken to many of you via phone and email, and many have stated that you are afraid to start marketing to attorneys, because you do not believe you have enough experience to do a petition. First of all, read the marketing book (see link above) because this will convince you to move forward. Secondly, We have developed a wide range of services that provide you with ongoing training and support so you cannot fail.

One excellent service is to provide you with a Bankruptcy Petition Review. This means that 713Training.Com will review your bankruptcy petition, correct any errors and teach you how to improve your skills. Then, when you return the first draft to your attorney, he or she will be pleased with your detail and accuracy. In other words, we make you look good. After a few times, you should pick up most of the skills and only need to contact us in the future when you encounter unique situations that need addressing. Until you get out there and start working as a Virtual Bankruptcy Assistant you may not be able to understand how beneficial and crucial this service is for you. But keep in mind that 713Training.Com is here to help you. You are never alone. Now, get out there and start working for attorneys!

Bankruptcy Petition Review
http://www.713training.com/categories/Petition-Review-Service/

References:
http://www.713training.com
http://www.navba.org
http://www.vbacertification.com
http://www.713bankruptcy.com

Sincerely,

-The 713 Training Team

Join our LinkedIn group: www.linkedin.com/companies/713training.com-llc

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Disclaimer: We at 713Training.com not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

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Bankruptcy Filing Statistics 2011

BANKRUPTCY FILING ARE OVER THE MILLION MARK AND RISING

The most recent statistics released by the government show that bankruptcies are still on the rise. This information is important for anyone looking at starting his or her own Virtual Bankruptcy Assistance business. Here is just some of the information in the recent statistics:

In 2010 there was more than 1.5 million bankruptcies filed, with more than 70% being chapter 7 and majority of the remainder being chapter 13. In 2011 there is a 2.6 percent increase in the number of pending cases (over 1.7 million) as compared to 2010 (1.65 million).

Filings in the three months of April, May, and June totaled 379,790, and of those filings 274,428 were chapter 7 and 102,167 were chapter 13. If you took a snapshot of today compared with just a few years ago in 2008, there is an increase of more than 30% in the number of cases being filed.

According to the BAPCPA 2010 Map (Bankruptcy Abuse Prevention and Consumer Protection Act), statistics show a trend of greater debt and liability load in the coastal states with gradually less towards the central portions of the country.

WHAT DOES THIS MEAN?

It means that the demand for virtual bankruptcy assistants is growing stronger and greater every day. We encourage you to review some of the links below to help you build and grow your business to meet these demands:

Join the NAVBA and Save 10% on Everything You Purchase
http://navba.org/JoinNAVBA

Complete Kit (with and without VBA certification exams) to Begin Your VBA Business

http://www.713training.com/products.php?product=Complete-Chapter-7-AND-Chapter-13-Bankruptcy-Petition-Training-Kit-%252d-NOW-INCLUDES-VBA-%26-CH-13-EXAMS!
http://www.713training.com/products/Complete-Chapter-7-AND-Chapter-13-Bankruptcy-Petition-Training-Kit-%252d-WITHOUT-VBA-%26-CH-13-EXAMS.html

 How to Market a Virtual Bankruptcy Assistant Service
http://www.713training.com/categories/Marketing-Your-Business/

 Personalized Client Intake Forms
http://www.713training.com/products/Personalized-Client-Intake-Forms.html

Call our office at 1-800-535-9984 if you need any help or information. 713Training.Com is here to help you with support, training and assistant in growing your virtual bankruptcy assistant service.

(Source: http://www.uscourts.gov/Statistics/BankruptcyStatistics.aspx)

Sincerely,

-The 713 Training Team

Join our LinkedIn group: www.linkedin.com/companies/713training.com-llc  

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DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

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Would You Like to Receive Attorney Referrals?

Marketing your business can be challenging and take up time you may not have available, so why not participate in passive marketing methods that are available to you? 713Training.com works hand in hand with NAVBA.org (the National Association of Virtual Bankruptcy Assistants) in providing VBAs with certification for their services and the ability to receive work through referrals.

Members of the NAVBA.org are listed in a directory that attorneys can use to locate a Virtual Bankruptcy Assistant. When 713Training.com receives inquiries from attorneys for VBA services we simply refer the attorney to check out NAVBA.org and to contact the VBAs there. 713Training.com receives these types of inquiries on a regular basis, and several of the VBAs listed on the NAVBA even have to turn down work, because they have more than they need.

When a person is ready to take their skills as a VBA to the next level and become certified there are exams available them. These exams are located at:

http://www.713training.com/categories/Exams-and-Certification/

When a person passes the certification they will 3 FREE months of membership to the NAVBA along with their passing certificate and logo to use in their marketing. Now as a member of the NAVBA they will be listed in the directory for attorneys to locate a VBA.

To learn more about the National Association of Virtual Bankruptcy Assistants and the benefits of membership, please visit NAVBA.org.

-The 713 Training Team

Join our LinkedIn group:www.linkedin.com/companies/713training.com-llc

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Marketing Your Virtual Bankruptcy Assistant Business

(Below is a message from one of our recent students.)

Dear 713Training.com,

I want to thank you so much for the materials and information you provide. A little more than two months ago I purchased your complete chapter 7 and chapter 13 training kit and started on my journey to start up my own business.  I have tried numerous work from home type jobs and so called opportunities, so needless to say I had my doubts and anxieties about doing this.

Both my wife and I really enjoyed the materials and learned a great deal (I have never been involved with bankruptcy or the legal industry before). We found the materials easy to follow, and for me the audio discs full of conference calls really motivated me to get out there and go for it.

Due to our financial situation it was important to us to get going quickly, so I started our marketing efforts only a couple weeks after starting the training materials. I have some background in marketing online, so that was the comfortable route for me to take. I built us a website that took about a week for me to complete. For content I used as a resource the information we gathered from the training and other VBA sites were great examples as well. The materials about how to market were loaded with a lot of good ideas and language that helped in scripting the content on our site.

After I got the site up, my wife and I spent a few days searching out attorney contact information (web addresses, email, phone numbers, fax numbers, etc.) in the areas we wanted to market to. We collected well over 1000 attorneys’ information and decided to start marketing.

Our first week of marketing we contacted between 200-300 attorneys, and the results were quite honestly disappointing. We received no interest in what we were offering and felt a bit doubtful about what we were doing. We were questioning whether it was our marketing or if it was the industry at that point. We had to stop this negative thought pattern however and really evaluate our situation.

We first of all reflected on all the evidence we did have that told us there was a market out there. Before we even got the materials we had searched the Internet for other VBAs and we had called them and spoke with them about their experience as a VBA. That was awesome. We spoke to one stay at home mom (she also home schools her children) who did a couple petitions a month. She was happy with earning $500 -$1000 per month and said she could easily do more if she wanted to. We spoke with another person who had basically started their own firm where they employed four people who did the work with them, and they were doing upwards of $40,000 per month! We spoke with a couple others who had stories of success in between these two, and they all said a couple things in common.

One, they loved 713Training.com and had all learned from the training materials you provide. And two, they all said the biggest challenge is the marketing. The thing they all had in common with regards to the marketing was that they all said it took persistence and patience. Their stories all said that if you keep trying you will get the work you want.

With this as our evidence we decided to scrutinize what we were sending to attorneys. What we were sending honestly sucked (sorry, but I have to be honest). We were sending a letter/email that sounded like a plea from someone looking for a job. We were telling attorneys about how we were fully trained and would love to work for them, and it just sounded so pathetic. I could go off about it for a while, but lets just leave it at I have no clue what we were thinking to send out what we had.

Knowing we needed to change things up, it hit me. I said to my wife, “As much as I hate to say it, but I think we need to change our message to sound like spam. Meaning we need to sound like the advertisements we see in our own email and on the Internet. It obviously works or people wouldn’t send it out.” So we went through our own junk mail emails and found ones that were about service-oriented businesses and fashioned our own message to fit our services.  We decided to contact 300 attorneys with our new message that next week and see what happens.

Wow, is all I can say. We received numerous inquiries into our services, a few by phone and a few by email. We also received several contacts asking us to take them off our list (gladly!). We spoke to those who were interested and three of them really wanted to give it a try, and it was at this point that my wife and I panicked.  We are charging $300 for each chapter 7 petition and $400 for chapter 13, so we were happy with just getting around 20 petitions a month for meeting our schedules and income goals, but if all three of these attorneys hired us they would be sending us up to 60 petitions a month, and we did not feel ready for that much work. Out of sheer anxiety we decided to stop marketing and just follow up with these attorneys. That was mistake number two.

 We discovered that attorneys are very busy, difficult to follow up with, and do not make quick decisions. We wasted the whole next week trying to get a hold of these attorneys and get them to actually hire us. After a week of that we had another epiphany, which was that we do not stop marketing until we actually have contracts signed and the work flowing in. We figured that if we have to turn away attorneys that would be a great problem to have rather than wasting our time trying to slowly get the amount of work we want.

 Well that was just over a week ago, and today we have two attorneys who I just sent contracts to, and six others who are very interested and we will continue to follow-up with, and we are not stopping our marketing efforts until we have to start turning away attorneys because we have to much work. We are so excited and grateful for 713Training.com and the opportunity it has given us. I hope you will share my story with others and let them know how real this is, and let them know that there truly is a market out there and all it takes is the persistence and patience to make it happen. Thank you, thank you, thank you!

 Warmest regards,

John and Brittany

We really appreciate John and Brittany for sharing their experience and hope that you get out of it that this opportunity is real, there is a market out there, and if you just stick to it you will succeed!

Check out the eBook: How to Market Your Virtual Bankruptcy Assistant Business

http://www.713training.com/products/How-to-Market-a-Virtual-Bankruptcy-Assistant-Business-%28EBOOK%29.html

How to Market Your Virtual Bankruptcy Assistant Business contains 45 pages of the best marketing information specifically for a virtual bankruptcy assistant business available today. Here are some of the things you will learn:

 ** The 3 main reasons people do not market their VBA business are because; (1) they are too scared to approach an attorney; (2) they lack confidence in their knowledge and therefore are afraid the attorney will ask them a question they may not be able to answer, and (3) they do not feel they can get work because they have no experience. How to Market Your Virtual Bankruptcy Assistant Business will address each of those concerns in great detail and teach you how to solve all of them.

 ** Steps and techniques you can use immediately to confront any fears you have that will not cost you a penny.

 ** How to quickly and easily find answers to questions an attorney may ask you so you do not appear inexperienced.

 ** Sample conversations you may have with attorneys so you will feel more confident in talking their language.

 ** Steps in putting together a professional Portfolio Package so it will sell your VBA services for you.

 ** How to show an attorney how much money they will make using your services. This approach alone with help you to walk out of the door with petition work in your hands and money in your pocket.

 ** Sample letters for marketing by mail order or on the internet.

 ** How to show an attorney the benefit of how your VBA services can save their law firm time. Besides, time is money; and this gets their attention immediately.

 ** How to differentiate between different bankruptcy attorneys and where to locate them.

 ** How to do a little research to define your target market on the internet. Learning this skill will save you time and bring money in the door faster.

** How to handle yourself and the situation when meeting an attorney face-to-face. Actually, you have a better advantage meeting them in person compared to sending them a letter or brochure through the mail.

 ** How to properly market to an attorney by phone. How to talk and respond to their office staff so you have a better chance of talking directly to the attorney and much more.

 ** Marketing analysis of a sample cover letter broken down paragraph by paragraph. This information is worth more than the price of the book alone.

 ** How to write and properly use a Press Release as well as links to online services that are free to promote your Press Release.

 ** and much, much more.

-The 713 Training Team

Join our LinkedIn group:www.linkedin.com/companies/713training.com-llc

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 DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

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713Training.com Q&A

Below are just a few examples of some common questions we get at 713Training.com along with our responses. Enjoy!

QUESTION:
I have no experience in bankruptcy petition preparation, so would you give me a hint on how to approach the virtual bankruptcy assistant field and where to start? Which of your training materials would be best?

ANSWER:
We have developed a wide range of products in both printed, eBook and video format to provide people with a choice of which type of training works best for them depending on their knowledge base and experience.

For a person who is new to the bankruptcy field we have two packages that we recommend. They are:

Complete Chapter 7 AND Chapter 13 Bankruptcy Petition Training Kit – NOW INCLUDES VBA & CH 13 EXAMS!

Complete Chapter 7 AND Chapter 13 Bankruptcy Petition Training Kit – WITHOUT VBA & CH 13 EXAMS

These packages will educate a person with no prior knowledge or experience in bankruptcy on how to prepare petitions, both chapter 7 and chapter 13 bankruptcies, develop a business strategy, and how to market to attorneys. By the time you complete these trainings you will be as knowledgeable as if you had been doing petitions for a while.

The difference between the two packages is that one includes the exams to receive a certification from the NAVBA.org, which you can then display and reference to in all your marketing efforts. This will provide added credibility to your bankruptcy petition services.

QUESTION:
I was wondering if it was okay to use the downloadable Client Intake Forms for my marketing packet, along with my finished practice petition? Please let me know. Thanks!

ANSWER:
Certainly! The Client Intake Forms are a great resource for any attorney and showing them that material will help to enhance your image as a professional.

QUESTION:
I just wanted your advice. Two different attorneys who are swamped by bankruptcy petitions looking for assistance contacted me. They both seemed extremely interested in my services until they asked what software I used. When I told them Best Case, they said they use EZfile and have been using it for years; and at that point their interest ended. Even though I told them I could efile for them or send them the completed petition in PDF format, it was clear they would not use my services unless I had EZfile.

ANSWER:
Why would you destroy your marketing efforts? If the attorneys had the work to give you – do whatever they want. They are the customer. You cannot dictate to your customer what you want them to do. If they want you to use EzFile and they have been using it for years, use EzFile. There is nothing written in stone that says you must use Best Case. I use it because I like it. But if an attorney wanted to give me a lot of work, I would use whatever software he or she wanted me to use.

Your purpose as a virtual bankruptcy assistant is to provide services in preparing well-detailed bankruptcy petitions. All bankruptcy software programs are going to be similar because all bankruptcy forms are the same. Never destroy your potential future over an argument about what software program to use.

If possible, call the attorneys back right away and tell them you looked at EzFile software and you would be happy to use it for their law firm. Then, NEVER make this smistake again.

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The Hair Piece that Could

When drafting bankruptcy petitions, it is very important to document and report ALL allowable monthly expenses that the debtor has.

With some clients, this can mean the difference between filing a Chapter 7 bankruptcy (potentially discharging all debts) or a Chapter 13 bankruptcy (repaying some or all of debt over a 3-5 year period); and even in a Chapter 13, it could make a significant difference in the debtor’s monthly payment, allowing them a more realistic monthly payment, and giving them a much greater likelihood of successfully complete their Chapter 13 plan, (as it has been reported that roughly 80% of Chapter 13 filers do NOT complete their plan, allowing creditors to resume collection efforts).

This requires analytical thinking, and is the skill that separates the professionals in our industry from those that just “data entry” a bankruptcy petition.  Those of us that use our mind to think outside the box are the ones that become very successful VBA’s.

One example of this is a bankruptcy petition I drafted a while back for a client that had a $150 monthly payment for the hair piece he got from the hair club that he was a member of, due to balding.  This monthly payment was listed on Schedule J of the client’s bankruptcy petition, and was allowed by the bankruptcy court.

In another bankruptcy petition, we reported $250 per month in cigarette consumption.  Again, this was not disputed by the court.  With this debtor, we also reported a $450 per month contribution to help the debtor’s mother pay her mortgage.  The debtor had to provide a history of this to the trustee, but again, it was allowed.

Get creative, use your mind to SOLVE your client’s problem…help them get a fresh start, with their best foot forward.

We’re not trying to take advantage of the system, rather, we are trying to utilize everything available within the system to help the person(s) filing bankruptcy, and help our attorneys representing them to be their hero, while simultaneously saving the attorney time and money…THAT my friends, is the job of a VBA.

Wishing you health and prosperity.

Sincerely,

-Your Friends at 713 Training

 

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DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

Posted in Bankruptcy Topics | Leave a comment

How to Report Expenses for Debtors with Separate Households

When you are drafting a bankruptcy petition for a couple who is separated and maintain their own separate households, there is a nearly complete duplication of all expenses, including things such as rent/mortgage, phone, water/sewer, trash, food, electric, gas, cable/satellite/internet, etc.

With this kind of duplication of expenses, how is this to be reported on the bankruptcy petition?  There’s only one Schedule J, right?

Some may be tempted to add both of the spouses’ expenses together and enter the combined amount into Schedule J of the petition, but this wouldn’t provide an accurate picture of the debtors’ expenses.

Instead, check your bankruptcy software for an option to report the spouse’s expenses separately.  In Best Case, you would go into Schedule J, and at the bottom of the first tab, an option will appear that reads: “Check here if a joint petition is filed and debtor’s spouse maintains a separate household or to itemize the separate expenses of a non-filing spouse”.  If you check the box next to this option to enable it, a button will appear at the lower right that is labeled “Spouse’s Schedule”.  Clicking this button will pop up a new window that provides you a place to provide all of the spouse’s  expenses, so that you can easily account for the duplication in expenses that this spouse has by maintaining a separate household.  When you’re done entering the spouse’s expenses, you just click the “Close to debtor’s schedule” button to return to your usual Schedule J window.

You may have noticed too, that this same option is also useful for “…itemizing the separate expenses of a non-filing spouse”…good information for you to know.

Sincerely,

-The 713 Training Team
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DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

Posted in Bankruptcy Topics | Leave a comment

Recent Bankruptcy Q&A

Below are some recent bankruptcy questions and answers:

Q.
I am an out of work paralegal in Birmingham, AL, and have bankruptcy knowledge.  I will obtain “virtual bankruptcy assistant” training next week.  If I might ask, how are things working out doing this? Thank you for your time!

A.
To give you a feel for how in demand the VBA service is, one of our students had 5 attorneys contact him in the last few days, and one of them is looking to outsource about 40 bankruptcy petitions per month, which will produce about $14,000 of monthly income…from just ONE attorney.  One of the other attorneys also just sent two Chapter 7 petitions to draft.


Q.
With the experience you have, can you please tell me how to determine what fee to charge the attorney…can you give some kind of guideline?

A.
The fee that VBA’s charge is a personal decision.  Many new VBA’s charge $300 for 7’s and $400 for 13’s, if that’s helpful.


Q.

Here in the Southern district of Florida they are starting to use retail value to determine vehicle exemption exemptions.  I don’t really know what retail value means? Do I use the price that the dealer sells the vehicle for or the price a private individual will sell it to another private party for?

A.
You should ask the attorney whether he/she wants you to use the dealer or private-party retail value.  If you want to be proactive, you can call the trustee’s office on behalf of your attorney to obtain this information.


Q.

After the drafting of the petition is done, do you recommend a copy be saved for the attorney (somewhere down the road he/she may need a copy).  I read in the study materials that a copy could be saved to the attorney CD & sent annually)…is that okay?

A.
It’s between you and the attorney as to how and what to back up, based on what the attorney would like you to do, as it is his/her information you are working on, and he/she is ultimately responsible for it.  Backing up data and sending a CD to the attorney could be a valuable service to some attorneys though.


Q.
What type of back up system do you recommend (to protect against computer theft & viruses)

A.
The most cost effective way to backup data is to a USB hard drive that you can keep elsewhere when your backups are complete.

Most computers run built-in firewall software to prevent unauthorized access.

Regarding viruses.  Most computers come with antivirus protection, but there are good free tools such as AVG, or industry standard tools such as Symantec Antivirus and Mcafee.  Please note that we do not endorse any particular antivirus product.


Q.
What type of accounting system does a VBA need?

A.
Because a VBA business is very simple to run, an accounting “system” isn’t really necessary.

A VBA business has VERY few expenses (e.g., web hosting, cell phone, internet access), which can easily be tracked in a spreadsheet, or something similar.

It can be handy to have a checkbook balancing software product to help you keep track of your business (and personal) checking account, but that is purely personal preference, and is definitely optional.


Q.

How do I handle mobile homes in a bankruptcy petition?

Example:  Debtor has a mobile home on wheels that she is still paying on, but owes more than the last appraised value which was done over 5 years ago.

First of all, how do you describe the property?  Could it be:  Mobile Home:  1995 Fleetwood 16×80 single wide, 2 bedrooms, 1 bath, on wheels without skirting parked in St. Paul, Va.  (it is not in her possession, but parked in a relatives yard in their possession but she is on deed and makes the payments).

Could that be correct?  And since it does still have wheels it would be categorized #25: Automobiles, Trucks, Trailers, and Other Vehicles?  Not real property, right?  Also, how do you come up with a value on this without paying a fee?  Is there a web site that gives value like a vehicle?   I tried Kelley Blue book and NADA with no success.  I googled for a site but found no source that did not want a fee.

Or do I just take the last value she got years back since it is viewed as a vehicle with registration and no deed?

A.
As you pointed out, whether or not a mobile home still has wheels on it, can help you determine whether to list it on Schedule A as real property (e.g., no wheels), or on Schedule B as personal property.  A better indicator though, would be whether or not the mobile home is sitting on a permanent foundation or not.  If it is on a foundation, it’s likely to be considered real property; whereas if it is not on a foundation, it’s likely to be considered personal property.

The description you gave is likely to be acceptable to both the attorney and trustee; the attorney should tell you if he/she would like any changes made to the description after his/her review.

Regarding where to obtain a value on a mobile home, NADA (www.NADAGuides.com), provides these in the “Manufactured Homes” section of their website.  If the particular model you are looking for doesn’t seem to be there, you can get creative and look for similar models for sale on Craigslist, ebay, or even as you did, search via Google or another search engine.  If you come up empty, ask your attorney what he/she would like you to do.
Best wishes.

Sincerely,

-The 713 Training Team

 

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DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

Posted in Bankruptcy Topics | Leave a comment

Recent Bankruptcy Q&A

Question:
I have a debtor who has several wage garnishments filed and some are already being deducted from his paycheck.  My question is do I list these on Sch. F as well as entering info on Stmt Affairs (suits filed)?  One is from the Calif.  State Tax Board so is this still on Sch. E?

Answer:
The originating creditor of all debts should be listed on the appropriate schedule, whether there is a garnishment or not, and regardless of where the creditor is (California or otherwise).

So in your example, the State Tax debt should be listed on Schedule E, along with all other unsecured priority debts.

Any law suit that results in a garnishment (as well as those that don’t) should be listed on the Statement of Financial Affairs, with an appropriate description (e.g., consumer debt, debt collection, etc.).

Question:
If the monthly budget reported on the client intake forms from debtor show that she has charitable giving where there is no monies left over for this to balance schedule I and J, can we not have it included on the petition or is this the attorney’s decision?

If I understand the materials from 713 training correctly, if the basic needs expenses are over the limits allowed by National Standards, then I can adjust these somewhat to balance the schedules?  Is that correct?

If on schedule D she has a lien on a chair, can I have her surrender the property if there is no money left over, again to balance schedules I & J?

Actually, if there is no income left over to pay for some of these unnecessary debts can I have these surrendered instead of retained as debtor stated on intake forms?  I understand that in all of these cases I can send a note to the attorney but can I make these adjustments to balance the schedules?

If this same debtor is receiving monthly monies from relatives to meet monthly expenses, I cannot include this as income correct?  Since it is not actually income but if she has debts that are not necessary for living such as the chair, or mobile home (that she pays on but family lives in it and that relative does not pay rental income), charitable giving, etc. can these debts be surrendered?

Answer:
When drafting petitions, do so using the information exactly as reported by the client, and point out areas of concern to the attorney on the attorney cover page you keep as you draft the petition.

The items inquired about are legal decisions that only the attorney can make, which a VBA should not make, but should coordinate with the attorney on any changes that he/she would like you to make.

Question:
I am working through your training course in preparation for the certification test which I plan to take soon after the seminar this month.  I will be working in California’s Central District and the question on the top of my list is how will working in a community property state change the way I’ll be completing the various schedules?

Answer:
From the petition drafting perspective, there isn’t much difference between drafting a petition for a community property state and a non-community property state.  You would mark the property listed on the Schedules of the petition as being community property, and list any former spouses for the last 8 years on the Statement of Financial Affairs, but that’s really about it.

Question:
How do I do a civil records search and/or a criminal records search without paying fees to have it pulled?  Can you help me with this?

Answer:
Many jurisdictions have civil/criminal information in PACER, which is a good place to start, but you’ll have some PACER fees to access the information.  Some jurisdictions however, don’t offer this information though, and you would need to find a source for this data, which may charge access fees for the information.  It is up to you as the VBA to determine whether or not to pay these fees or not.  Typically the VBA covers their own PACER fees, and attorneys cover other database access fees.

Question:
In regards to condo/townhouse association fees, what differentiates it from going on schedule I or Schedule G?

Answer:
Schedule I is where the debtor’s income is listed, and Schedule G would be where any leases/contracts would be listed, (cell phone, apartment, car, etc.). The condo/townhouse fees should go on Schedule J, with the debtor’s other monthly expenses

Question:
If the client has no recent appraisal and they do not have any idea of their home value, can sites such as Reply.com be used to input an estimated property value with the information referenced on the attorney sheet and a print out of the information obtained?

Answer:
This is a question you would have to ask the attorney on the case, as to what he/she wants to use
Question:

If the client is moving into an apartment and surrendering their property (not making monthly mortgage payments) then an estimated rental amount can be placed on Schedule I?

Answer:
Yes, you will want to make certain to include housing in the debtor’s budget.  You will need to ask the debtor’s what they expect to pay in monthly rent, use this figure, and make a note for the attorney that you did this, so that he/she has an opportunity to provide guidance

Question:
I completed a petition for a married couple and did not include husband income in Schedule I (but I did include it in the Means test).  It came back to me that I must include husband income in Means Test and Schedule I.  It seems to change depending on trustee or attorney.  What has been your experience?

Answer:
In our experience, the trustee has always wanted to see the non-filing spouse’s income on the petition. The exception has been when the non-filing spouse lives in a separate household.

Question:
Is there a guide line on how much percentage should be paid back to unsecured non-priority creditors?

Answer:
The debtor will typically need to payback as much to unsecured creditors as they can, but it can be as little as 2%-5%; it depends on the situation, jurisdiction, and of course, the trustee.

Wishing you a prosperous week.

Sincerely,

-The 713 Training Team
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DISCLAIMER: We at 713 Training are not attorneys; any information provided by 713 Training should not be considered legal advice.  The information in this article, and any other materials provided by 713 Training, whether delivered verbally, written or via any other means, including electronic/digital delivery and storage, is for training purposes only, and is intended for individuals who work under the direction of a licensed attorney.

Posted in Bankruptcy Topics | Leave a comment