Dealing with unmanageable debt, missed payments and harassment from creditors can be overwhelming, leaving you feeling hopeless. When you are in debt, it may feel like there is no way out, but in reality, Wisconsin residents have various options available to them. You may know that you could file for either Chapter 7 or Chapter 13 bankruptcy, but for many consumers, Chapter 7 is a beneficial choice.
Last time, we began looking briefly at how the type of bankruptcy for which a debtor files can impact his or her financial life post-bankruptcy. Another important issue to consider regarding the impact of bankruptcy is how it will impact a debtor's credit score and his or her access to credit.
No matter what a debtor's profile in terms of specific types of debt, one of the foremost concerns people have about bankruptcy is how it will impact their credit score and their financial life in general. The answer depends on factors related to the bankruptcy filing itself, as well as how the debtor handles his or her finances after the bankruptcy process is completed.
In our last post, we began looking at the issue of whether tax debt may be discharged in bankruptcy. The issue is an important one for debtors who bring significant tax debts to the bankruptcy process, whether in Chapter 7 or Chapter 13 bankruptcy.
Americans bring all kinds of debt to bankruptcy court. Some of the more common forms of debt include medical debt, credit card debt, and mortgage debt, but tax debt can also be a significant reason for filing for many debtors.
Do you have stress over finances? If you do, you're not alone. According to a recent survey by PricewaterhouseCoopers, financial stress is the highest it has been in the last five years. The causes of financial stress certainly vary from household to household, but involve a relatively predictable group of concerns.
In our last post, we looked briefly at new rules established by the Consumer Protection Financial Bureau which would protect consumers from some of the more risky aspects of payday lending. As we noted, there is a lot of opposition to the new rules from the lending industry, and it remains to be seen whether legal action would eventually be taken in opposition to the new rules.
Most of our readers have probably, at one time or another, come across an advertisement for payday loans, which are typically small, short-term loans due on the borrower's next payday. The terms of these loans vary, but in many cases such loans can border on--if not cross over into--the predatory.
Medical debt is one of the most challenging forms of debt Americans face. Numerous studies have shown it to be among the most common forms of debt cited in bankruptcy, and it is also probably the form of debt that goes into collections the quickest. For those who have been struck by a medical crisis, it can be overwhelming to have to deal with debt collectors clamoring to be paid. This is especially the case when debt collectors initiate litigation against debtors.
In recent posts on this blog, we've been looking at some of the alternatives to filing for bankruptcy. We've looked briefly at options like credit/debt counseling, debt settlement, consolidation of debts, liquidating assets, and generally making lifestyle changes to reduce monthly costs. We've also looked at filing a Chapter 128 action as a bankruptcy alternative.