Tag Archives: debt
Report: One-Third of Americans Struggle with Debt
The stigma of debt prevents most people from admitting their financial troubles. But according to a new study by the Urban Institute, more than one-third of Americans currently have debts in collections. About 35 percent of Americans — more than 77 million people — have debts delinquent enough to be sent to collections and reported […]
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 […]
Special Rules for Divorce and Bankruptcy
Sometimes financial problems are stress factors that lead to divorce. And, people who decide to divorce often consider bankruptcy as well. So, while divorce and bankruptcy may go hand in hand, it is important to realize that divorce changes the rules somewhat for bankruptcies. Divorce and bankruptcy become associated in several ways. Divorce addresses debts […]
What Debts Take Priority When You File Bankruptcy?
Will bankruptcy handle your most pressing debts? This is a major consideration when deciding whether or not to file bankruptcy. By law, not all debts are treated equally. Some take priority over others and get paid first. There are even certain debts that bankruptcy cannot eliminate at all. Suppose that your most pressing debt is […]
When to Delay Filing for Bankruptcy
Just as there are reasons you should file bankruptcy right away, there are times then a bankruptcy case should be delayed. The best way to know is to discuss your financial problems with a skilled bankruptcy lawyer. Some reasons your attorney may advise you to wait include: Divorce Monetary transfers Expected medical bills Recent credit […]
How Can Bankruptcy Help with an Underwater Mortgage?
As a result of the housing market crash, housing prices dropped in many regions of the United States. An underwater mortgage is a new term coined to describe house values that are less than the home’s mortgaged value. For example, let’s say that a couple bought a house for $300,000 and arranged a loan with […]
Understanding Automatic Stays and Motions for Relief from Stay
By the time many people consider filing bankruptcy, they are buried in creditor collection calls or perhaps even threatened with wage garnishment, foreclosure or repossession. Consequently, it is a relief to understand what an automatic stay does for you. Filing a bankruptcy petition automatically triggers a court order called an automatic stay. An automatic stays […]
Does Bankruptcy Get Rid of Liens?
There are three basic types of liens and bankruptcy treats each type differently. Consensual lien. When buying a home or car you consent to the lender putting a lien on the property, which serves as collateral for payment default. This is a consensual lien. Statutory lien. A statutory lien is one created under statutes, such […]
