Author Archives: Harold Shepley
Keep An Eye on Your Bankruptcy Risk Score
Vince Laboon needed a loan to make home improvements. Shortly after he applied for a $15,000 home equity line of credit, Laboon got a letter from the bank with his “bankruptcy score.” The letter did not provide an explanation and Laboon was nervous. Most people are familiar with credit scores, but may not know about […]
Drop in Bankruptcy Filings Signs of Improved Economy
Consumers are considering options outside of bankruptcy for confronting their debt management problems. According to the American Bankruptcy Institute, the number of bankruptcies filed nationally declined 14 percent from the year-earlier period. There were 921,219 bankruptcies filed nationally through September. These numbers may seem high, but at this rate of decline the year-end totals stand […]
Filing for Bankruptcy in Retirement
Retirement is supposed to be a time to relax and enjoy the fruits of your lifelong labor. Unfortunately, new research shows that retirees appear to be turning to bankruptcy more frequently to help them resolve their debts. A University of Michigan law professor documented the rise of retirees filing for bankruptcy over the last few […]
Can Bankruptcy Wipe Tax Debt Clean?
Grammy-winning singer Dionne Warwick recently filed for bankruptcy in New Jersey, her home state. The singer cites her more than $10.7 million in federal and California tax debt as the reason for bankruptcy. The debt includes substantial penalties and interest that accrued on the back taxes. Although Warwick reports an income of $20,950 a month, […]
Have Faith, and a Plan: Tips to Restore Your Credit
Follow a Budget. Your budget is your spending plan that will help you live below your means, preventing you from accumulating unnecessary debt. Set money aside. Open a long-term account at a bank or credit union that offers low to no fees associated with withdrawing early. Financial experts recommend setting aside an emergency fund equivalent […]
Why You May Want Credit Restoration After Filing Bankruptcy
Filing for bankruptcy can be an emotionally charged decision. You want to pay your debts, but the financial challenges can be overwhelming, especially in this economic climate. Filing for bankruptcy can lift the financial burden and provide a second chance for consumers with unmanageable debts. But how does a bankruptcy appear on your credit report […]
Supreme Court Offers No Guidance on Student Loan Undue Hardship Test
After receiving a general release from his debts under Chapter 7 bankruptcy, Roger Traversa filed for release from his $60,000 student loan debt, claiming that it would be an undue hardship for him to repay. Traversa testified that it was difficult for him to obtain and hold onto employment opportunities because of issues with depression, […]
Chapter 13: What You Need to Know About Excluded Debt
Bankruptcy may be a “fresh start” but it may not leave the debtor completely debt free. Certain types of debts survive Chapter 13 bankruptcy and are not discharged. As a rule, the discharge releases the debtor from all debts provided for by the plan or disallowed, with the exception of certain debts. To the extent that they are […]
Avoid Bankruptcy Fraud
Faced with millions of dollars in debt exacerbated by high medical bills due to a serious heart condition, Grammy award-winning singer Toni Braxton filed for bankruptcy for the second time in 15 years. Ms. Braxton is now being accused of bankruptcy fraud after transferring more than $53,000 to her estranged husband, Keri Lewis. The trustee […]
Financial Troubles Can Hit Anyone: But There’s Hope
As the US unemployment rate continues to rise and fall unpredictably, and medical bills and credit card debt soar, more families hit hard by financial troubles look for solutions. No one is immune, not even the family of an Olympic champion who has the potential earning power of a Fortune 500 executive. Recently the mother […]
