Friday, April 27, 2012

Community Property And Phantom Bankruptcy Discharges

I am not an attorney, I am a debt and judgment referral specialist (Judgment and Collection Agency Broker). This article is my opinion, from my experience in California, and laws are different in each state. If you need legal advice or a strategy to use, please contact an attorney. What if one has a judgment debtor, and their non-debtor spouse has filed for Chapter 7 no-asset Federal BK court protection? What if just the non-debtor spouse filed for bankruptcy, and the spouse-debtor did not?

How can you enforce a judgment against the debtor spouse, if their non-debtor spouse filed for BK protection, or has previously discharged their debts in bankruptcy? How does this interfere with one attempting to enforce a judgment from the non-BK community property state-based debtor spouse?

After the non-debtor spouse has initiated a BK, or has already discharged their debts; attempts to satisfy the debtor spouse's debt using community property becomes stayed (forbidden and illegal).

The debtor spouse's sole and separate property is usually available for levies to pay off a judgment. However, one need to stay extra mindful not to violate a BK court's order, and do the homework. With a tiny judgment, or when the judgment debtor is and will stay broke, it might be best to give up, and forget about the judgment.

BK stay violations can bring severe penalties, so you must take care to have sheriffs or marshals garnish only non-dischargeable and/or non-stayed assets. For extra safety, youshould make double-sure which assets are legally and actually available first. A good way to look before you leap, is by using a debtor examination (often with a request for document production). This is accomplished by scheduling and serving an OEX (Order to appear for EXamination) on the debtor.

When bankruptcy is involved, it's a very good idea to first obtain permission from the BK court, prior to trying any recovery or discovery actions against a judgment debtor.

To help to determine what your current or future enforcement tactic could be, one could begin by requesting of the bankruptcy court for leave (permission from) their bankruptcy court, to permit you to get a state court issued OEX (Order to appear for EXamination), served on the debtor, with the included (at least in California) OEX lien against just the debtor spouse's separate and sole property.

In most states, serving an OEX on a judgment debtor starts a lien against their personal property assets. In California, serving an OEX on a judgment debtor spouse creates a 1-year silent lien against any personal (however not real-estate based) and community property shared by the other spouse, if it isn't stayed by a BK protection.

The judgment debtor and their spouse have a one hundred percent indivisible interest in their community property of the marital assets, as long as they remain married to each another. In a community property state, when one spouse's debts are discharged by a bankruptcy, the community property that was acquired pre-petition (and usually pre-discharge), is immune to levy due to the "phantom discharge" created by current laws. (I am not a lawyer.)

The word "phantom" in the phrase "phantom discharge" means that in community property states, there can be an extra BK protection after one spouse files for bankruptcy protection, that can protect the assets of the other judgment debtor spouse. Most often, "phantom discharges" occur only in community property states (currently Arizona, California, Louisiana, Idaho, Nevada, New Mexico, Texas, Washington, and probably Wisconsin).

A phantom discharge occurs when personal and real estate-based community property becomes immune to judgment recovery against a judgment debtor spouse, because the non-debtor bankrupt spouse owns a 100% and indivisible interest in the community property estate, and that spouse's indebtedness has been discharged.

Phantom discharges are an undeserved shield from creditors for the community property assets of both spouses of a married couple, even if only one spouse discharged their debts in bankruptcy. (See bankruptcy codes 11 US 541 and 11 US 524).

While the couple remains married, the phantom discharge remains, which is many times a huge injustice for judgment creditors of the (non-bankrupt) judgment debtor spouse.

If the married couple benefitting from a phantom discharge becomes divorced, one can petition the family court to enjoin the divorce proceedings, and levy the nonexempt part of the debtor spouse's portion of their marital estate, if any.

Only entities or people may get bankruptcy discharges. Property is not an entity, so it cannot get a discharge. Sometimes a debtor does not win in BK court, and one or all, of their debts are declared non-dischargeable.

In many community property states; and in California, family code section 910 (a), specifies that any personal and real property of the community estate can be used to satisfy the debts of either spouse incurred during or before marriage. This means that real or personal property of the community estate may be used to pay a non-dischargeable debt. This is the opposite of a phantom discharge, so creditors get a clear path to all of the community assets of the judgment debtor.

Social Engineer Media: Its Role In Society

About media

Today, media is playing a major role in most of the fields. It is an intervening agency or instrument which works as an intermediater to provide or gain information.
There are many types of media such as mass media, news media, advertising media and social engineering media. Let's have a look at this type of media-

Social engineering media is the one kind of security attacks in which the social engineer manipulates a particular person to reveal secured information to steal data, access computer or cellular phones, cash and even your own identity. This kind of security attacks might be simple or complex. However the intension of these hackers is to gather the required information using the social engineering techniques.

Social engineers

The social engineers who want to gather information would contact the victims over the mobile phone or through websites they are visiting often. We could also say it is an illegal acquisition of sensitive information or improper access privileges by an unknown person by establishing legitimacy in the mind of the target.
It is an act of psychological manipulation introduced by hacker-turned-consultant Kevin-mintick. It is simple form of fraud applies to trickery or cheating for the purpose of gathering confidential information from others.

Usually the social engineers would use the techniques which are associated with social engineering which are based on particular attributes of human decision making. There are various combinations of attack techniques. Some of them are pre-texting, diversion theft, phishing, IVR or phone phishing, baiting etc. Other types of common tricksters or fraudsters are also considered as Social engineers.

Tricks and techniques

Nowadays the popular techniques include spoofing or hacking ID's of the people using famous e-mail IDs such as Gmail, yahoo, hotmail etc. This kind of hacking is frequently happening all over the world to find out credit card account numbers and their passwords, online banking Id's etc. They would also hack private emails and chat histories and edit them to extort money and creating distrust among individuals.

Media related to Social engineering kills on qualities of human nature. The truly successful social engineers would get any information from people without the sign of raising suspicion as to what they are doing. It is the hardest form of security attack to protect against because it cannot be protected with hardware or software since they are directly contacting the people for confidential information...


So for successful defence we need to make the public aware about this and should ensure that they to follow it strictly. SE is based upon two categories such as human-based and computer-based.

In human-based hacking, a person would interact with another person directly through mobile or emails to get some confidential information. However in computer-based, there will be human interaction but not directly. They will create a software in such a way in which it would retrieve the desired information from the target with or with out their knowledge.

In some cases, the SE's would produce virus and Trojans and send through an email to get the information. So it is always advisable to be aware and cautious about these social engineers or cheaters to avoid such bad occurrences.

Wednesday, April 25, 2012

Are Mortgage Loans Illegal?

A little known landmark case makes mortgage loans illegal. In fact, any bank loan may not be legal. In order for a bank legally lend you money they have to provide what is called consideration. In this case consideration is their money. However, banks never loan you real money. They loan you money made out of thin air.

Several years ago, the Federal Reserve of Chicago drafted a document entitled Modern Money Mechanics. The document outlines how money is created in a fractional reserve banking system. The fractional banking system is standard practice for all major banks. This fractional reserve banking system generally allows the government and banks to create money from promissory notes or more simply put, out of debt. It goes on to explain is the once the bank receives the money from the Federal Reserve or from deposits from customer the bank can take 10% of that money to retain as reserves. This bank can then create nine times that amount from more debt. In a nutshell, money is debt and debt is money. So therefore, bank loans including mortgage loans, credit cards and auto loans are not legal because bank loan you money from debt and not their assets. So therefore, bank does not own this money and cannot collect money on that loan.

In 1969, a man by the name of Jerome Daly challenged the fractional reserves system when he was faced with a foreclosure for being 6 in arrears with his bank, National Bank of Montgomery, Minnesota. The bank foreclosed and brought the property to a sheriff's sale in 1967.
Mr. Daily pointed out in the case that the bank had no legal right to foreclosure because it never really offered their own money to make the loan instead the invented the money or created the money out of thin air to lend to Mr. Daily via the fractional reserve system. The banker even admitted that this was standard banking practice.

Interesting to note that six months later that banker was found dead from a "boating accident". It was later found that he was poisoned.

The judge, Justice Martin V. Mahoney agreed with Mr. Daily and stated that the bank do not in fact put up it's own cash to make the loan but rather put up money created from debt. Since the bank did not own the money they therefore cannot collect on the loan. Mr. Daily won the case and the sheriff's sale was deemed void. This case dubbed The Credit River Decision, was never appealed or overturned so this law remains in effect.

Unfortunately though, this was a landmark case it is not widely known and most people don't even known that the law is on their side when is comes to collection of debt. The laws are here to protect not just big companies but the average Joe as well. It just takes a little research to find out how the laws can benefit you.

Tuesday, April 24, 2012

Things I Learned When I Refinanced My Home

Some days I feel like a home refinancing expert. I've refinanced my home twice in the last three years to take advantage of attractive interest rates. Although interest rates have been rising lately, refinancing may still be an attractive option if you're paying a high interest rate on a mortgage. When my husband and I built a new home in 2000, we felt interest rates were a little high so we opted for a three year mortgage with an 8 percent mortgage rate instead of locking into a 15 or 30 year mortgage with a slightly higher rate.

We were counting on interest rates going down before our mortgage was up for renewal and they did. When the rates went down to 5.5 percent two years later we refinanced. To find the best rate I could, I called my local banks, credit unions, and savings and loan companies. I also checked interest rates on the Internet.

One year later, while checking on the Internet I found a rate of 4.375 percent. (I looked up interest rates because someone told me they had just gotten their mortgage refinanced at 4.5 percent). I ended up refinancing again but not before calculating how much I was going to save in interest versus how much the additional closing costs were going to be. My calculations showed it would take approximately 18 months of payments at the lower rate to recoup the money it cost to refinance. Although my husband and I now have a very attractive mortgage rate, our payment is slightly higher than it was when we were paying 8 percent interest. But instead of having a 30 year mortgage we have a 15 year mortgage. The low interest rate is allowing us to pay our house off in half the time we thought it would!

Although interest rates have been rising lately they are still reasonable, especially compared to the interest rates on many credit cards. In addition to looking for a lower interest rate, people may be considering refinancing to take some of the equity out of their home for things like: paying off high rate credit cards; to fund a home remodeling project; or pay for a child's college education.

Below is a list of some of some things I learned during the two times I refinanced in the past few years.

1) The lowest interest rate is not always the best deal. Some companies may offer a very low interest rate but may charge several points. A point is 1 percent of the amount you are borrowing. As an example, if you want to borrow 0,000 and three points are being charged it will cost you ,000 to borrow the money in addition to other closing costs.

2) Closing costs vary with lender. The U.S. government requires lenders to provide what is called a Good Faith Estimate of what your closing costs will be. Closing costs typically include things such as: credit report fees, title company service fees; title search fees; loan origination fees; appraisal fees; and documentation fees. Your lender will give you an honest estimate of what your closing costs will be. Your actual cost may vary slightly because the lender does not always know what the exact cost of a certain fee will be such as the appraisal fee because they probably work with several appraisal companies who likely all charge different rates. One additional thing to keep in mind about closing costs: you may see advertisements that proclaim their company does not have any closing costs. That may be true. The lender may pay the closing costs for you but the tradeoff for you will likely be paying a higher interest rate.

3) There may be other fees involved when you refinance. For example, the first company we refinanced with required that 12 months worth of property tax money be kept in escrow with them. The credit union we took out our original loan with didn't require any property tax money in escrow. We had to come up with a big chunk of money that we hadn't planned on for that tax escrow account. The second time we refinanced I was smarter and asked how much money needed to be kept in tax escrow. It was only 6 months of property tax money so we ended up getting part of our tax escrow money back.

4) Ask if your homeowners insurance will be paid by you or if the lender will require you to pay money into an escrow account each month so they can pay it for you. Many lenders require you to pay into an escrow account to ensure the homeowner's insurance will be paid.

5) Ask if the loan you plan on taking out can be sold to other lending institutions. The possibility of your loan being sold may or may not be an issue for you. It's not uncommon for loans to be sold. It's even likely your local bank sells some of its mortgages. I don't happen to mind if my mortgage is sold to another lending company. It's happened to me once and it was an almost seamless process on my end. I only had to do one thing and that was set up a new automatic payment from my checking account because I prefer to have my mortgage payment taken out of my checking account automatically each month. That way I don't have to worry about forgetting to pay it on time and possibly incurring late fees.

6) An online bank might be a good place to do business with. A good way to find out if the bank is a real financial institution, check to see if it is insured with the FDIC. You can do an online search with the phrase banks insured with FDIC or a similar phrase to find the current link to check. When I found the 4.375 percent interest rate it was with an online bank whose workforce was located in the Eastern part of the United States. I live in the Midwest. Thanks to the technology of the Internet I was able to easily do business with the bank. Any documentation I needed to fill out was either e-mailed, faxed, or posted on a secure Internet site that I accessed with my own personal id and password. The secure Internet site was associated with a nationally known lending company. For the final signing the lender contracted with a lending company in my area and that's where my husband and I went to sign the final papers and close the loan.

7) Get everything in writing and pay attention to deadlines. For example, if you are quoted a specific interest rate, get it in writing. Be aware though that the interest rate you are given will only be guaranteed or locked in for a specific amount of time, usually 30 days. If interest rates go up during that 30 day period you will still get the lower rate you were guaranteed in writing. If rates go down, some lenders will automatically give you the lower rate. It is possible that the rate guarantee period may be extended. When we were in the process of our second refinancing, a lot of other people around the U.S. were refinancing because rates were really attractive. As a result our lender had a difficult time getting an appraisal scheduled. Even though we didn't close until nearly 2 weeks after our 30 day deadline our lender honored the rate they had guaranteed us even though rates had gone up.

The above items are things I learned during the two times I refinanced. I've done my best to include everything I learned but your experience with refinancing may be a little different and you may find out things I didn't. The best advice I can offer if you are thinking of refinancing is to take time to do research, compare lenders, find out what your total costs will be, and ask questions about anything you don't understand or are not sure of. This will help make the process easier for you and help eliminate any unpleasant surprises that cost you more money than you were planning on spending for refinancing.

Monday, April 23, 2012

Correlation Of Sleep Deprivation And Man-made Accidents

How much impact does sleep deprivation make on a person's mind and body? A little drowsiness at the office...a millisecond of mental shut-down as you drive down the highway? The facts glaringly bear out the dangers of losing sleep. Some of the worst industrial disasters recorded in history --- the Chernoby Nuclear Disaster and the Exxon Valdez Oil Spill --- all happened because someone who was supposed to be wide awake and alert allegedly fell asleep on the job.

In 1986, a flawed nuclear reactor design led to a stem explosion and fire that released at least five percent of the radioactive reactor core. The radioactive fumes flowed into the atmosphere and left a total of 54 fatalities, almost 20 years after the incident. The radioactivity caused people to get sick and die painfully slow from the effects of exposure to the nuclear fumes. While officially, the records show that it was a mechanical failure that caused the steam explosion, many attribute the tragedy to poor training, lack of safety measures, and the poor concetration of a sleepy worker at the nuclear plant.

Three years after Chernobyl, another major disaster occurred that has again put the lack of sleep as center of the blame. In 1989, the oil tanker Exxon Valdez struck a reef and spilled approximately 11 million gallons of oil into the sea. At the time of the accident, the captain of the ship was in his stateroom --- leaving a ship officer and a seaman on the control. According to reports, the two men on the bridge were apparently tired and sleepy and, thus, momentarily lost their concentration while maneuvering the tanker. Exxon,the company that owned the tanker, spent around Billion to finance the oil clean-up operations and to settle damages incurred by fishing companies that operated in the site of the accident.

Sleep deprivation also causes other relatively smaller scale incidents, like a car accident, which is, by no means, less tragic. Sleeping while behind the wheel is the culprit for the 13 percent rise in highway road accidents in the United States. According to studies made on road accidents, one in thirteen drivers regularly felt drowsy while driving a car on a busy highway. It does not take much to be in a road mishap. Even if a driver closes his eyes for a millisecond, that is enough for him to unintentionally swerve the vehicle to the opposite lane and cause a head-on collission. Based on records by the World Health Organization, at least 1.2 million people die each year on the road due to a car accident.

So, how can we prevent accidents due to sleep deprivation? The answer is as simple as this: people should get enough sleep. Studies show that the amount of sleep needed by an individual is influenced by genetics. While some people feel fine with just five hours of sleep a night, most doctors and health experts prescribe at least eight hours of sleep. While the number of hours of sleep time somehow decreases with age, it is clear that lack of sleep makes a person lose concentration which could have disastrous consequences.

People who are under extreme stress or those who suffer from insomnia need additional help in getting sleep. For many years, millions of people have turned to the sleeping pill to find quick relief from sleeping disorders like insomnia. Over the counter sleeping pills are among the most bought pharmaceutical products today, especially in highly industrialized Western countries. These sedatives help a person experience relaxation which eventually leads to sleep. Still, users of the drug are strongly cautioned about the side effects of sleeping pill use which include slurred speech, slow reflexes, and poor judgment.

Accidents happen unexpectedly, without any warning. Perhaps, there is close to nothing that we can do to totally prevent minor mishaps and large-scale tragedies from happening. Still, ensuring that we get enough sleep may be a good start. Failing to get enough rest at night not only disrupts our body processes and reduces our mental capabilities, it can even lead to the fatal incidents that could possibly lead to the sleep of death.

Friday, April 20, 2012

The Benefits Of Going To Cosmetology School

The secret to eternal beauty has been a dream that has eluded the human species since the dawn of time. While it may be source of constant torment for most, it can be incredibly lucrative for someone who happens to be in the business of cosmetology.

The fact of the matter is people will always want to look their best. In fact, the field of cosmetology is one of the few professions that haven't taken a significant turn for the worse during these struggling economy times.

If you're truly interested in this career, but don't want to pay for a full 4 years of education, there are quite a few program-focused beauty schools in the United States that will help you to reach your goals quickly and efficiently.

For those planning on following this career, there are many benefits that can come from attending a cosmetology school. Obviously, choosing one of these specialty schools over a 4-year degree will save you thousands of dollars in student loans. As an added bonus, most accredited cosmetology schools even offer financial aid, including grant, scholarships and even student loans. There are also a few non-accredited cosmetology schools that offer similar grants and scholarships as well.

For students with an eagerness to learn, these school offer an incredibly hands-on approach to learning, allowing you to acquire the real-world experience you'll need before heading out on your own.

If you're young and love to stay on top of the trends, these schools will offer an incredibly rewarding experience, allowing you to delve into today's hottest fashions, and helping you learn how to pull off the looks that define today's culture. Plus, the boredom factor is relatively low. In fact, this industry will quickly teach you that every day is a new learning experience, which is a lesson which will carry over quite extensively into your entire career.

Remember, you don't have to be young to start your career in the world of cosmetology, as these courses naturally attract beauty-lovers of all ages. There are specialty schools and courses all over the country that will help you learn the trade, so feel free to take the time to seek out the program that's right for you.