Latest on the Bankruptcy Blog

In most cases, you lose little to no property when you file bankruptcy. When people think of “going bankrupt,” they think they will lose their property and be homeless. This is not the case; everyone who files bankruptcy will be able to keep most if not all of their property. The type of bankruptcy you  … Read more

Bankruptcy is an effective tool for protection against wage garnishments and judgment liens. After you file bankruptcy, an automatic stay goes into effect, stopping all collection and legal actions taken against you regarding your debt. Garnishment Creditors are prohibited from garnishing your wages after you file your bankruptcy papers with the court. Government agencies are  … Read more

When you get to the point of filing bankruptcy, you are usually hopelessly behind in your debt. Late and missed payments show up on your credit report and lower your score. If you stop making your payments, your score takes a hit. It is unlikely filing bankruptcy will cause your credit to be any worse.  … Read more

Bankruptcy may be the quickest and easiest way to deal with debt problems. Bankruptcy was designed to help people and businesses get financial relief from their creditors. If you have run out of options to get out of debt, bankruptcy may be the right choice for you. When deciding if bankruptcy is your best option,  … Read more

When getting behind in debt, people often try alternatives to bankruptcy first in order to get caught up in their finances. Some methods include borrowing money from banks or family members to consolidate or catch up on your debt. What often happens is you find yourself with an extra bill to pay, so you didn’t  … Read more

If you owe more on your assets than they are worth, you may be what’s called “upside-down” in your debt. If you sold everything you owed, you would still not be able to pay off your debt. Just being upside-down in debt is not necessarily a reason to file bankruptcy if you can keep up  … Read more

In 1978 Congress passed the Fair Debt Collection Practices Act (FDCPA) to regulate the debt collection industry. The purpose of the act is to eliminate abusive practices that creditors use to collect a debt from the consumer. The FDCPA will not remove your debt, but it does dictate how collection attempts are to be conducted.  … Read more

Most consumer debt can be classified into two types, either secured and unsecured. This can be useful to know what type your debt is when you are considering bankruptcy. Secured debt has collateral attached to it, such as a vehicle or home. Unsecured debt is usually based on creditworthiness and a promise to make the  … Read more

The goal of most bankruptcies is to discharge as much debt as possible. You are eliminating your obligation to pay on your late and missed unsecured debts. Bankruptcy is a relatively easy way to get rid of your debt permanently. Another way bankruptcy can benefit you is to stop creditor harassment, and the anxiety associated  … Read more

The meeting of the creditors is also referred to as the 341 meeting after the bankruptcy code it falls under. The meeting of the creditors usually occurs within a few weeks after you file your bankruptcy paperwork. The court-appointed trustee assigned to your case will represent the interest of your creditors, making sure the debtor’s  … Read more