Frequently Asked Questions

BANKRUPTCY

Q. What is the difference between a Chapter 7 and a Chapter 13 bankruptcy filing?

A. In a Chapter 13 bankruptcy, the Debtor has enough income each month, after paying regular necessary monthly expenses, to pay creditors part of what is owed. Generally, the minimum amount is a total of 10% over a 36-month period. In a Chapter 7 bankruptcy, there is little or no excess income at the end of the month with which to pay creditors.

Q. Is there a minimum amount of debt needed to file bankruptcy?

A. No, but the decision to file for protection under the bankruptcy laws should be made only AFTER receiving financial and legal counseling. All options should be examined carefully.

Q. If I file bankruptcy will I lose my house?

A. In most situations, but not all, the answer is no. There are separate federal and state bankruptcy protections for a primary residence.

Q. Is it better to keep paying minimum balance and paying one card with another than to consider bankruptcy?

A. ABSOLUTELY NOT! That would be considered irresponsible and, in fact, may be deemed fraudulent.

Q. Will I ever be able to get credit again?

A. The Credit Reporting Agencies will show the fact that you filed bankruptcy for a period of up to 10 years. Even with that "mark" on the credit report, most of our clients, who are working and can afford the payments, are able to get a new mortgage within 2 years.

PERSONAL INJURY

Q. If I am hurt and need to file a claim, do I pay a lawyer's fee "up front" and do I pay even if I lose?

A. Almost all lawyers who handle personal injury cases take the case on a contingency basis, meaning that the attorney is paid only if you recover money for your damages and injuries.

Q. If I am in a car accident and I need medical attention, do I have to sue to get my bills paid?

A. In Massachusetts, with few exceptions, the answer is NO! You or the driver of the car you are in should have PIP (Personal Injury Protection) coverage that will pay up to $8,000 in medical bills.

Q. How about being paid for the days of work I miss?

A. In the majority of my cases, the PIP benefits pay lost wages as well.

Q. What happens if the other driver's insurance doesn't cover all of my bills, lost wages, and some payment for all the pain I've been in because of his bad driving?

A. In Massachusetts and most other states, your own policy has a provision for coverage for underinsured and uninsured motorists. That portion of your policy would be available to you in the situation described.

Q. Isn't it greedy to sue a physician for an honest mistake?

A. No! Everyone makes mistakes, including physicians and lawyers. If the mistake causes harm, whether physical, emotional, or monetary, you have the right to be compensated. This is why nearly all physicians have professional liability (malpractice) insurance.

SOCIAL SECURITY

Q. What is the name of the program that provides disability benefits if I cannot work anymore due to illness or non-work related injury?

A. There are two (2) programs that have similar names: Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI).

Q. Who qualifies for which program?

A. The eligibility requirements, AS THEY RELATE TO THE DISABILITY, are almost the same (depending on the state in which you reside). In Massachusetts, they are the same. There are important distinctions however.

SSDI is a Federal program run by the Social Security Administration. To be eligible, you must be unable to perform any meaningful employment (earn more than $800.00 per month) because of a physical or psychological impairment. Also, you must have worked for a certain period of time while paying Social Security (FICA) taxes. There is no consideration for assets you have accumulated or unearned income you receive (such as bank interest or early pension payments).

SSI is a program run by the states and federal government. Funding is joint and, in most states, the program is part of its public assistance budget. Its focus is directed at those individuals who are disabled but haven't worked under Social Security long enough to qualify for SSDI or whose SSDI benefit is missed. Also, SSI eligibility is limited by the total household income you have available regardless of source and is also determined by the assets you have.

SSDI doesn't look at your financial situation for eligibility-just the disability and Social Security "number of quarters you have worked" qualification. SSI requires that you meet the same disability standards but also considers your total household income and how much value you have in assets (car, house, stocks, etc.).