Attorney Ed Boltz can’t stress this enough: getting out of debt is always easier with the help of an expert.

“There are so many traps and pitfalls in bankruptcy that you can bumble into without even knowing,” he says. “And then the cost of fixing that, both in terms of money and sweat and blood and tears, it can be much higher than if you went to somebody who's dealt with these [matters] before.”

In the second episode of Orcutt Answers, our host Shawn Orcutt welcomes Ed, a partner at The Law Offices of John T. Orcutt and Vice President of the National Association of Consumer Bankruptcy Attorneys, to discuss what’s happening with mortgages in the era of COVID-19, the mortgage outlook for 2021 and your options for saving your home from foreclosure, the latter of which now includes a program known as Loan Modification Management (LMM).

The episode also offers advice for what to look for in a lawyer and insight for people struggling to cover rent, student loan, and car payments during the pandemic.

“I think the advice is come get more advice, sooner rather than later,” Ed says. “If you're struggling with your mortgage, if you're struggling with your car payments, if you're struggling with your other debts, talk to us first, because whether it's dealing with the stimulus check that may be coming out soon, we can help you advise you what to do with that money so that you get the maximum benefit. Before you go and sell assets or repay family members, there are ways that we can help.”

Name: Ed Boltz

What he does: As a partner at the law offices of John T. Orcutt, he mainly practices in the middle district of North Carolina (from Durham to just past Winston-Salem) and as Vice President of the National Association of Consumer Bankruptcy Attorneys, Ed presents at conferences and is the acting leader of arguably the most important organization for bankruptcy attorneys. 

Company: The Law Offices of John T. Orcutt 

Words of wisdom: “People often make a mistake and think, ‘oh, if I file bankruptcy, I won't be able to help my kid with student loans or get any other kind of debt while I'm in a Chapter 13.’ And that's really not true at all. We do this routinely for people based on all the other factors that go into a loan.”

Connect: LinkedIn 

Here’s what we learned about debt and bankruptcy in this episode

★    Going ahead with a foreclosure sale is rarely a good idea. Because such a sale is a lawsuit against you, you'll have that on your credit report and history for 10 years. Also, mortgage companies could try to screw you over with a credit bid.

★    Loss Mitigation Mediation (LMM) is one of the best ways to save your house. The goal of this program is to get your ongoing monthly payment down to 80% of the principal and interest payment you used to have, so it’s about more than getting caught up — and there’s no penalty for prepayment.

★    Bankruptcy attorneys can help with specific payments like rent, car loans and student loans. If you’re behind on any of these payments, go into a law office sooner rather than later so you can start to get them managed before you completely lose...