Barnes & Noble has agreed to pay $14 million for Borders' intellectual assets which include private customer information. But the bankruptcy sale could be jeopardized if the court appointed Consumer Privacy Ombudsman's recommendation that Borders' privacy policy remain in effect is enforced by the bankruptcy court. The FTC wrote, in part: "The representations Borders made [...]
Why You Should Avoid Payroll Debit Cards Paying low-wage workers with debit cards instead of checks is becoming more commonplace. Nationwide 1.7 million workers are paid with debit cards; but that number is expected to increase to 5.4 million by 2014. The increase in payroll debit card usage has prompted several states to propose legislation [...]
In a recent Chapter 7 bankruptcy, the bankruptcy court challenged the debtor who transferred a property into a trust within two years prior to filing bankruptcy. The bankruptcy court ruled that the transfer of the property was fraudulent because the debtor did not receive equivalent value for the transfer. The Details of the Bankruptcy Case [...]
There are many myths and misconceptions about bankruptcy. While some would hope that these myths were harmless, the fact is that many of these untruths are terribly harmful to debtors. Let's take a look at some of these myths so we can get to the truth of the matter:Myth #1 - Bankruptcy Is For The [...]
Can Teachers be Fired for Filing Bankruptcy? Downward pressure on teachers' wages is pushing many educators into bankruptcy. While a teacher cannot be fired from their job because of bankruptcy, there are some aspects of a teacher's job that can impact their bankruptcy case. Let's take a look at the most important aspect of a [...]
If you're considering bankruptcy, then you probably already know that debtors are required to take a credit counseling course within 180 days of filing bankruptcy and before they can receive their discharge. The credit counseling course will cover basic budgeting topics, how to manage debt and other tips on how to avoid a future bankruptcy [...]
The debate about the payday lending industry has come into sharp focus again as the Consumer Financial Protection Bureau begins to get its legs. But one of the often missed points is that many debtors take out short-term, high interest payday loans because they simply don't feel they have an alternative. Because of our reluctance [...]
Secured Debt in Bankruptcy Debtors filing Chapter 13 bankruptcy sometimes approach secured debt payment with confusion and trepidation. There are a lot of misconceptions about how secured debt is treated in bankruptcy and how the debtor is expected to repay secured debt through their Chapter 13 bankruptcy plan. Let's take a look at a few [...]
How the Bankruptcy Discharge Works The bankruptcy discharge is the most powerful tool available to debtors. The bankruptcy discharge in essence is debt forgiveness and that forgiveness applies to mostly unsecured debts. Let's take a closer look at how the bankruptcy discharge works: Debts Forgiven In Chapter 7 and Chapter 13 Bankruptcy Many debtors don't [...]
For-Profit Student Loans and Bankruptcy According to a report released by the U.S. Department of Education, nearly half of student loan defaults come from for-profit colleges. Many for-profit schools receive up to 80% of their revenue from student loans; but their dropout rates are so high that in some instances the vast majority of students [...]