Latest on the Bankruptcy Blog

Once dominating the Texas electricity industry, Energy Future Holdings Corp. has been struggling to maintain majority market share in recent years. With continued financial challenges on the rise, the company is considering a prepackaged bankruptcy plan to resolve their debt obligations with creditors. Big Plans In A  Big Package Once called TXU Corp. the company  … Read more

Mortgage fraud hurts everyone in the housing industry, from the lending institutions all the way to the homeowner. After the housing bubble burst and there was an increase in foreclosures, mortgage fraud schemes increased as well. These scammers poised themselves to take advantage of those struggling with mortgage debt. Mortgage fraud can take many forms  … Read more

This week in bankruptcy news: A lesser known airline in the bankruptcy world, Memphis-based Pinnacle, will be exiting Chapter 11 under the wings of Delta airlines. Also headlining this week is The Scooter Store, the seller of electrical scooters popular among the elderly and disabled, who found themselves insolvent after Medicare fraud discoveries were made.  … Read more

Three men were arrested in Lyndhurst, New Jersey, for their alleged mortgage fraud scheme. Adam Cueva, Adan L. Cueva, and Angel C. Cueva-Castro are all accused of trying to defraud homeowners. For months, their Time Consulting & Associates firm has been collecting mortgage payments from homeowners for months. How the Mortgage Fraud Happened The accused  … Read more

It happens year after year: Students take out high student loans for high career aspirations. Unfortunately, with the economy not adding jobs as quickly as universities are pumping out students, it can be difficult to harness the income to pay back student loan debt. Since student loan debt cannot be discharged in bankruptcy, there is  … Read more

When Hostess announced that it would be seeking protection under Chapter 11 bankruptcy last year, the entire nation was caught by surprise. As the nation’s maker of Twinkies, Hostess has been producing iconic American treats such as Ho Hos and Wonder Bread for decades. After filing for Chapter 11, Hostess began selling properties to recoup  … Read more

Many people struggling with debt are tempted by the short-term fix of debt settlement. This option allows the debtor to pay the creditor less than they owe. Sounds great, right? Unfortunately, debt settlement is actually a massive knock against your credit score and the associated fees can offset what was saved. People serious about managing  … Read more

According to research from the University of Michigan, approximately 3.5 percent of homeowners have fallen behind on their mortgage payments. This means that approximately 4.1 million American families have faced financial hardships involving their home. With the anemic economic recovery, it’s estimated that approximately 2 million families could be facing foreclosure. For many circling the  … Read more

Millions of Americans are covered by health insurance, but still face mountains of medical debt. While health insurance is supposed to cover protection, nearly 75 percent of people who file for bankruptcy do so because of medical debt. Even with health insurance, coverage can be capped. In Austin, Texas, 64-year-old Lawrence Yurdin amassed $150,000 in  … Read more

Homeowners who are anxious to lower their mortgage rates might be tempted to refinance their loans as quickly as possible. However, there are an increasing number of homeowners complaining about the financial pitfalls of refinancing. While refinancing can help many homeowners save money and quickly eliminate their mortgage, this option isn’t for everyone. If the  … Read more