Monthly Archives: March 2023
Can A Repossession Hurt You?
Yes, and in many cases, this pain comes very quickly. Many dealers now offer generous financing terms even to borrowers with poor credit. So, as soon as storm clouds gather, they take advantage of the fact that they can begin the repossession process if the borrower falls a single month behind. Many vehicles have… Read More »
Does Bankruptcy Get You Out Of Back Taxes?
Consumer bankruptcy shields people from most kinds of creditor adverse action, including adverse actions based on back taxes. The IRS aggressively goes after unpaid taxes. These unpaid taxes total about $500 billion, which is roughly 10 percent of the government’s annual budget. We may think about how a 10 percent income hike would change… Read More »
Why File Chapter 13 Instead Of Chapter 7?
Quite simply, people file bankruptcy, whether it’s Chapter 13 or Chapter 7, because their debts exceed their incomes. American households owe almost $17 trillion. The consumer debt load increases pretty much every year, often faster than wages increase. As outlined below, people file under different chapters of the Bankruptcy Code depending on the kinds… Read More »
Non-Bankruptcy Debt Negotiation
As a general rule, if you spend more than a third of your monthly income on debt retirement, that debt is impossible to pay off. Note we said “debt retirement” and “debt servicing.” Paying monthly minimums on credit cards and other revolving debt accounts doesn’t affect the UPB (unpaid principal balance). These families will… Read More »
