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Law Off of D.L. Drain P.A., Arizona Bankruptcy Lawyer | "Helping You Get Your Life Back on Track"
Law Off of D.L. Drain P.A., Arizona Bankruptcy Lawyer | "Helping You Get Your Life Back on Track"

Bankruptcy Help For Creditors

I only recommend top creditor attorneys

Bankruptcy Help For CreditorsSite Producer2022-08-16T10:32:21-07:00

Bankruptcy For Creditors

After years of helping both creditors and debtors through bankruptcy, I’ve decided to focus solely on helping debtors. But I’m happy to give you names of excellent creditor lawyers.

Consider bankruptcy an area of law that holds our lives together and keeps our economy flourishing and healthy. Allow bankruptcy law the credit it deserves. It enables individuals and corporations to restart their lives. Allows them to pay their taxes, buy food and other requirements, or pay their employees so that they can purchase food and other essentials.

All of this and more is why I am ecstatic to be able to assist debtors in understanding bankruptcy.

Diane L. Drain

Creditors Bankruptcy FAQs

Do your homework.Diane Drain2022-09-21T09:07:10-07:00

Examine all loan and security paperwork to confirm that they are comprehensive and that all necessary measures to perfect liens on any collateral supporting the obligation have been taken. If not, never take any action without first obtaining an order from the bankruptcy court.   This is a critical phase that determines the strength of a secured creditor’s position in the case. Section 506 explains how a secured claim’s value is determined. Although correcting inadequacies after the filing of the petition may be a violation of the automatic stay, it is critical to be aware of any issues. The secured creditor may have a period of time to perfect the creditor’s lien when the debtor gets possession of property or a transfer is made under Section 547(c)(3) and (e).

What is the meaning of a reaffirmation agreement?Diane Drain2022-09-21T09:20:22-07:00

The secured creditor or landlord may ask the debtor to sign a new contract called a “reaffirmation agreement” or “assumption of lease” after the bankruptcy is filed but before the discharge is issued. This new contract has the same terms as the original, and Sections 524(c) and (k) describe the paperwork, disclosures, and procedures that the creditor must follow in order to get this new contract. It must be approved by the Court in order for the debtor to be bound by it. Because 524(k)(5)(B) requires the debtor’s attorney to certify that the debtor will be able to make the payments, it’s likely that no debtor’s counsel will sign the reaffirmation agreement. This is not only absurd, but it also begs the question of how anyone could certify someone’s ability to pay a future debt.

Below is a link to a video of Bankruptcy Judge Eileen W. Hollowell, filmed explaining the reaffirmation process.

http://www.azb.uscourts.gov/video-discussion-reaffirmation

Is it possible for me to object to my debt being discharged?Diane Drain2022-09-21T09:11:22-07:00

Look for a reason to object to a debt being discharged under Sections 523 or 727. Creditors have only 60 days from the date of the initial creditors’ meeting to initiate a complaint to have their debts declared non-dischargeable due to a misleading financial statement. A creditor’s chances of winning a non-dischargeable lawsuit are slim, and the creditor will almost always be denied attorney’s fees and expenses for filing the action.

What is the purpose of a creditors’ meeting?Diane Drain2025-10-24T14:46:55-07:00

Creditors will be notified of an initial meeting of creditors (Section 341, Meeting of Creditors) to be held by the bankruptcy trustee shortly after a bankruptcy is filed. You are welcome to attend the Section 341, Creditors’ Meeting, but it is not compulsory. This meeting allows the creditor to ask the debtor a few questions about the creditor’s claim, collateral, other claims against the debtor, the debtor’s plans for its bankruptcy case, and other financial matters. Time for the 341 is short, so it is not appropriate to interrogate the Debtor at this time (check out 2004 examinations). This is an excellent moment to inform the Trustee (the person in charge of the meeting) of any inconsistencies detected in the schedules by the creditor. Make sure you can back up any claims you make. The meeting might be attended by either the creditor or its counsel.

What is the procedure for a creditor to file a motion to lift the automatic stay?Diane Drain2024-03-15T06:39:54-07:00

An order granting a Motion for Relief from the Automatic Stay, often known as a “stay order,” is obtained by filing a Motion, Notice, and Certificate of Mailing with the court, as well as notifying the appropriate parties. The Debtor is given the opportunity to respond. A hearing will be conducted if a response is filed. An Order, Certificate of No Objection, must be submitted with the Court if no response is filed. The Order will most likely be signed by the Court. The creditor is free to proceed with the action requested in the Motion and granted in the Order once the signed order is received.

Creditors Rights in Arizona

The legal term “Creditor’s Rights” refers to the area of practice for lawyers that concentrates on creditors’ rights and obligations.  The Bankruptcy Code has numerous provisions to assist creditors and protect their interests if a bankruptcy petition is filed.

Creditors Rights in Bankruptcy

Attorneys who specialize in creditors rights will typically do one or more of the following:

  • To collect consumer debts, file lawsuits and employ other legal means (i.e. debts owed by individuals).
  • To collect commercial debts, file lawsuits and utilize other legal collection procedures (i.e. debts owed by businesses).
  • In a bankruptcy procedure, represent the interests of a creditor.
  • If a buyer defaults on a payment, conduct a foreclosure or trustee’s sale of the property.
  • If the buyer defaults on payment, the secured items (such as autos) can be recovered.
  • As needed, garnish paychecks or bank accounts.
  • Non-exempt property can be sold at a sheriff’s sale.
  • Other contractual and legal remedies may be pursued.

Attorneys may charge an hourly rate or a flat fee. Fees and charges are usually determined by:

  • The bankruptcy chapter (Chapters 7, 11, or 13);
  • What you wish to achieve;
  • The extent to which the borrower will oppose your goals.

Clients from all across Arizona have put their trust in us

Diane, Thank you so much!

"Diane, Thank you so much!" G.S. Diane, Thank you so much! You did a fantastic job and made this complex process so easy to understand. As you know I interviewed a different Attorney first. I’m so happy I choose you! You are by far the most informed person on [...]

Diane and Jay are wonderful people that really went to great lengths to help us out

“Diane and Jay are wonderful people that really went to great lengths to help us out” J & T.M. Diane and Jay are wonderful people that really went to great lengths to help us out and manage our bankruptcy in order the give us the best chance [...]

What a huge relief to be released from the financial burden

“If you follow everything she says the process is easy and stress free.” J.E. Don’t hesitate, call Diane! Diane has been a huge lifesaver! I reached out to Diane through a Google search when the existing law firm I had started with wasn’t communicating with me. She [...]

You relieved deep seated fears for me…

“You relieved deep seated fears for me…” J.M. You made this terribly difficult situation as comfortable for me as possible.  You relieved deep seated fears for me and I felt I was very well taken care of and I felt every area was taken care of completely. [...]

A Fresh Start Feels So Good

A fresh start feels so good! I am now looking forward to purchasing a home in the near future. L.T. I had the wonderful experience of working with Diane Drain to get me through the bankruptcy process. Diane was a Law Professor for many years. She knows [...]

Her team did a fantastic job taking care of my case

"Her team did a fantastic job taking care of my case" C.C. Diane helped me with my Bankruptcy and it was one the more complicated ones where the trustee asked for quite a bit of information and she and Jay did a fantastic job taking care of [...]

Finding the right lawyer to help with a financial reboot.

“Finding the right lawyer to help with a financial reboot” T & G.W. We found ourselves in a financial tsunami 2 yrs ago. No matter how we did things the financial outlook was getting worse and worse. We finally decided we needed to investigate options. Once we [...]

Her expertise and guidance are unsurpassed

“Her expertise and guidance are unsurpassed” P.H. Diane and Jay are an impeccable professional team! She explains everything you need to know and puts your heart and mind at ease with her compassion and understanding throughout the filing process. Her expertise and guidance are unsurpassed! [...]

Diane is sincerely interested

Diane is sincerely interested. S.B. We are grateful to Jay for us sound advice and, also, to Diane for answering our messages. Diane is sincerely interested in any questions you may have.

I took your advice and have that old monkey off my back now!

"I took your advice and have that old monkey off my back now!" L.M. I had an old debt surprise me the other day by way of a Summons and Diane was kind enough to give me some solid advice. She is very knowledgeable and I highly [...]

saves me a lot of time and money

Saves me a lot of time and money. M.M. Extremely knowledgeable attorney. Very helpful and patient, help me to understand the legal situation I am in which save me a lot of time and money. Thank you, Ms. Drain.

Thanks for all of your help that you provide

“Thanks for all of your help that you provide” D.H. I read all of Diane’s messages and she seems to be a very bright and informed woman. Thanks for all of your help that you provide to people that need your help by your messages. [...]

You were wonderful

"You were wonderful!!" L. You were wonderful – Thank you so much. I am so glad that my son went to your seminar and found you.

The Best

"The Best!" G.S. The best! Very professional, patient and kind. We hope we never are the position to use her again. But if you do she is the one to go to!

genuine service, honest people, and the feeling of your case being prioritized

“If you are in need of genuine service, honest people, and the feeling of having your case prioritized. Come here.”  M.B. "Jay & Diane were absolutly phenomenal handling my case. Diane laid out a detailed step-by-step plan of what to expect. She guided me and my family [...]

She helped us to pick up the pieces of our lives

"She helped us to pick up the pieces of our lives" Posted on AVVO Anonymous *Diane Drain and her staff have guided us through the rough terrain of a bankruptcy. From the beginning of this process, to an end that is quite near, Ms. Drain has provided the highest [...]

This is your bankruptcy; you get out of it what you put in

"This is your bankruptcy; you get out of it what you put in" K.B. Diane Drain, and her amazing teammate, Jay were two of the most helpful, caring individuals I have met in a long, long time. The process of bankruptcy is daunting, having a guiding hand [...]

Highly recommend Diane Drain!

“Highly recommend Diane Drain!” J.P. I could not have made a better choice than Diane to help me with my bankruptcy case. During what is a very difficult and stressful time, she made things so easy to understand and the process could not have gone smoother. If [...]

Why is a Creditor Suing Me After I Filed Bankruptcy – You Did Not Follow the Law.

What are the Basic Bankruptcy Principles? Bankruptcy is a legal process that helps people and businesses overwhelmed by debt get a financial ‘start fresh’. The [...]

The Arizona Statute of Limitations Applicable to Collection Lawsuits and Non-Judicial Trustee’s Foreclosure Sales of Real Property,

The Arizona Statute of Limitations Applicable to Collection Lawsuits and Non-Judicial Trustee’s Foreclosure Sales of Real Property, article by Larry O. Folks, Folks Hess, [...]

Enforcement of Arizona Money Judgment Against Debtor’s Residence “Homestead” Property

Analysis of Enforcement of Money Judgments in Arizona Against a Judgment Debtor’s Residence / “Homestead” Property By Larry O. Folks (10/26/20) (reprinted with permission [...]

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