Unless you're independently wealthy, acting as the family bank and personal lender could do serious damage to your financial health, even leading you to bankruptcy. Reasons why becoming the personal lender could lead to bankruptcy: Personal loans are often not repaid and if they are particularly large or numerous the lack of repayment could lead [...]
Are 529 Accounts Protected From Creditors? Understandably, debtors considering bankruptcy want to make sure they protect their assets especially those that are earmarked to go to their children. But one of the common misconceptions of debtors considering bankruptcy is that they can simply transfer some money into their kid's bank account or a 529 plan [...]
Any debtor wishing to file bankruptcy is required to take a credit counseling and budget course before they file. If they do not take the credit counseling and budget course they will not be allowed to file bankruptcy. The credit counseling and budget course is available in English and a number of other languages depending [...]
One common credit problem that is rarely talked about is when a family member or other loved one ruins your credit by either stealing your identity to breaking their promise to repay debt that you co-signed for or gave them access to. So how can you protect yourself from credit wrecking family and friends? Don't [...]
The number of foreclosures filed by homeowner associations (HOAs) and home equity lenders has risen dramatically this year. Already 350 Dallas-Fort Worth area homes are facing foreclosure sale in May because the owners owe money to homeowners associations or home equity lenders. "Especially from the homeowners associations, we have seen significant increases in postings," said [...]
In the Chapter 7 bankruptcy case ofHageney, Keith T. and Carolyn J.; In re, the bankruptcy court ruled that a debtors' Chapter 7 bankruptcy case was probably filed in bad faith because the debtor purchased an unnecessary luxury item just 10 weeks before filing bankruptcy. The details of the bankruptcy case: The debtor-husband was a [...]
What is the American Dream? Before the economic recession began 3 years ago, many Americans may have described the American dream as having a big house, big car and access to lots of credit so that they too could live like the rich and fabulous. But after millions of Americans lost their jobs to business [...]
Just when we thought we had heard it all, the payday loan industry has a brand new trick up its sleeve. With the unemployment rate over 9 percent and millions of Americans on extended unemployment, many companies in the payday loan industry are now accepting unemployment checks as proof of income. That's right, unemployed Americans [...]
Reduced income while your expenses remain the same. Debtors who have suffered a job loss, salary reduction or have taken a job with compensation lower than what they've become accustomed to, may need to file bankruptcy. Reduced income over the short-term may be tolerable but long-term is another matter. Bankruptcy will help debtors discharge their [...]
Now that many Americans are desperately struggling with debt, there has been a brand new crop of debt and wealth "gurus" who are imparting advice that may not be the best thing for many Americans struggling with debt troubles and considering bankruptcy. One of the most often repeated pieces of advice for homeowners is the [...]