Given today's economy, many debt settlement companies are waiting to take advantage of you. An article in the USA Today warns that people should make sure they are not being taken advantage of by debt settlement companies. Many people are struggling financially right now, and there are companies and individuals trying to profit from others [...]
In the bankruptcy case of Morrison, F. Joseph; In re (Morrison v. Amway Corp, a Chapter 7 bankruptcy debtor is allowed to file compliant against Amway during his case despite Amway's motion to dismiss the complaint. The details of the bankruptcy case: "The Chapter 7 debtor was a former dis¬tributor for the Amway Corporation. In [...]
According to an article in CNN, America's senior citizens are racking up credit card debt at a rate that outpaces other groups. The article said: "People age 65 and up carried an average of $10,235 credit card debt in 2008, according to a study released Tuesday by Demos, a public policy research group. That's an [...]
As the economy worsens, many adults who have experienced a job loss are thinking about returning to school to learn a new skill and become more manageable in today's job market. Unfortunately, getting a second degree usually means more student loan debts, especially for the "mature" student. Things to consider before taking out student debts: [...]
As if the economy wasn't taxing the budgets of most consumers enough, billing errors have compounded the frustration and stress of many Oncor and TXU Energy customers. The Star Telegram reported that about 130,000 customers received inaccurate billing during the month of May. According to the article, a Hurst police officer, Chris Teague utilized average [...]
Few things every credit card consumer should know about their rights: A credit card consumer cannot be discriminated against because of their family status. For example if you are a single parent a credit card company cannot deny you access to credit because of your family status. A credit card consumer has the right to [...]
Many debtors considering bankruptcy are confused about a very important fact when it comes to debt collection. Many of them mistakenly believe that debtors' prisons await those who fail to pay their debts. Fortunately for them, the existence of debtors' prisons is a myth. You would think that this myth would have been dispelled; but [...]
According to an article in the Dallas Morning News, the IRS will temporarily stop collecting penalties from some small businesses that have been hit with big fines for not disclosing the use of questionable tax shelters. This is a huge benefit for small businesses. I don't know if readers remember, but in 2004 a law [...]
Discharged Debt and Taxation Many debtors considering bankruptcy are concerned that debt discharged during bankruptcy is taxable by the IRS. The IRS does tax "cancelled" debt when they consider the cancelled debt income that's improving the financial position of the taxpayer; but this is NEVER the case in bankruptcy. For example, credit card debt that [...]
Many debtors are under the mistaken belief that once they settle an old debt it is removed from their credit report. This is false. Information on your credit report can remain there for 7 to 10 years. This time frame is calculated by the date of last activity. For example: If you have a credit [...]