Bankruptcy is a legal state wherein a person or an organization cannot any longer repay their debts to the creditors. This is either filed by the person himself (voluntary bankruptcy filing) or the creditors file it to recover the pending money. The federal bankruptcy court can be approached to carry out the proceedings of filing bankruptcy and repaying off debts to the creditors. Continue reading What Is Bankruptcy? How Does Bankruptcy Work? Pros And Cons Of Filing Bankruptcy
Bankruptcy is a perfectly legal and often reasonable solution to complex financial difficulties. If you are like most debtors, you incurred financial obligations that you had every intention of paying. Then you were hit with something major and entirely unforeseeable such as a job loss, car accident, medical diagnosis, or other disaster. Your financial picture changed, and you need a way out of the debt that is now drowning you. By providing you with a fresh start, bankruptcy can be the responsible financial choice. Continue reading 5 Myths About Bankruptcy
You January be facing the specter of bankruptcy and wonder how it is going to affect money that has been set aside for your children. Will it be considered part of your assets that can be taken by the trustee assigned to your bankruptcy? This is a valid concern and the answer is: it depends. To begin with, a debtor’s assets January only be seized by the bankruptcy trustee in a Chapter 7 bankruptcy, not in a Chapter 13. Rather or not the college savings January be touched under a Chapter 7 depends on a number of factors, including the type of account the money is placed in and how recently money has been placed in it. Continue reading How Bankruptcy Affects Your Children’s Savings Accounts
Bankruptcy severely dents your financial credibility. After your bankruptcy discharge, the bankruptcy will reflect on your credit report for a maximum of 10 years. So, the lenders will shy away from offering you a home loan with bankruptcy. And even if they agree to lend to you, they will not offer you a good deal. Continue reading Home Loan After Bankruptcy – How Easy Or Difficult Is It To Get One?
Many auto insurance companies examine consumer credit information when deciding whether to issue or renew an insurance policy and how much to charge for vehicle coverage. Since bankruptcies can hurt a consumer’s credit history for up to 10 years, this means a person who has one on record is likely to see higher insurance prices. Continue reading Does Bankruptcy Affect Auto Insurance?
If you have been asking yourself ‘Can I buy a car after bankruptcy’; the answer is ‘Yes’. But before you go looking for ways and means for buying a car with bankruptcy, you should challenge your decision of buying a car in bankruptcy. If your finances are not in order (and bankruptcy is a proof of that), then can you really afford to buy a car? Can you postpone the purchase further till you are in a more comfortable financial position? Think over it and think about what are the other options available to you. Continue reading Buying A Car After Bankruptcy – How To Go About It
Bankruptcy is a harrowing experience for anyone who has gone through it. You stand to lose your social reputation and credibility when you file for bankruptcy. Moreover, bankruptcy leaves your credit score in tatters and you would find it almost impossible to get any credit after bankruptcy. Continue reading Foreclosure After Bankruptcy… Some Facts You Ought To Know
Bankruptcy remains on your credit report for a period of up to ten years; and with this blot on your credit report no one would be very willing to lend to you. But that doesn’t mean that you cannot get any loan after bankruptcy. You can still get loans but the interest rates and terms of loans would not be very attractive for you (as compared to what they would be for someone with good credit history). Continue reading Credit After Bankruptcy – How And Where To Get A Loan With Bankruptcy On Your Credit Report
The reasons for bankruptcy can be many but it hurts most when it has been forced on you because of some event taking place that is beyond your control. This is why you should take all possible precautions to prevent you finding yourself in a position where you can’t pay back all the debts you owe. Of course the first thing to ensure is that you never borrow more than you can comfortably repay but what would happen if you suddenly lost your means to earn your income through no fault of your own, and your creditors demanded their money? If you didn’t have some backup system at your disposal you would be in trouble and bankruptcy would be hard to avoid, that’s where income protection insurance comes in. Continue reading 5 Ways Income Protection Insurance Can Save You From Bankruptcy
A lot of people think that buying a home with bankruptcy on their reports is impossible. However, that is not true. Bankruptcy is a provision (a legal provision) that was made with the intent of providing people a fresh start in their lives. So, it helps people come out of difficult financial situation that might have been a result of their financial carelessness or just due to some unfortunate event (e.g. sudden medical expenses). However, this doesn’t mean that filing for bankruptcy is a good idea. It should be your last resort really because it not only tarnishes your credibility and overall social standing but also severely limits your access to credit. Continue reading Buying A Home After Bankruptcy | How To Buy A House With Bankruptcy On Your Credit Report
Getting a mortgage after bankruptcy is not an impossible task. You can get a mortgage with bankruptcy still on your credit report (remember, bankruptcy remains on your credit report for up to 10 years). However, the terms of your mortgage in bankruptcy scenarios would be really harsh… and you should expect them to be harsh since you have lost your credit worthiness to bankruptcy. Also, you would have to wait for some time (typically, a minimum of 2 years) before you can apply for and expect an approval on your mortgage after bankruptcy discharge. Continue reading Mortgage After Bankruptcy – How To Get A Mortgage Loan After Filing For Bankruptcy
One of the worst after effects of bankruptcy is that it destroys your credit score and bankruptcy remains on your credit history for ten years. This means that getting any kind of loan (including credit cards) would be very difficult i.e. almost impossible for you when you have debts/ credit cards in bankruptcy. Continue reading Getting Credit Cards After Bankruptcy
Business bankruptcy is a legal state, in which a business finds itself unable to repay its debts to its creditors. In such a situation, the business owner might resort to file business bankruptcy (this is called voluntary business bankruptcy filing) or the creditors might move to retrieve their due (involuntary bankruptcy filing). Continue reading Business Bankruptcy – What You Should Know Before Filing For Business Bankruptcy
Jurisdictions allow individuals to declare their bankruptcy through a procedure called personal bankruptcy. That simply means that you didn’t have good financial plan and you cannot afford to pay your debts any longer and requires removal of any such obligation by giving up control of your financial assets. You can either do it through a debtors’ petition (doing it yourself) or through a creditors’ petition (someone who you owe money can do so). Continue reading Personal Bankruptcy – What You Should Know Before Filing For Personal Bankruptcy
While personal bankruptcy can be filed through Chapter 7 or Chapter 13, there are other types of bankruptcies that apply to different situations. While Chapter 7 and Chapter 13 seek to provide repayment solution either by liquidating the financial assets or repayment schedule respectively, the other chapters pertain to businesses, fishermen or farmers, foreign investors etc. A quick glance into the six important chapters is given below: Continue reading Types Of Bankruptcy – A Quick Glance Into The Six Important Bankruptcy Chapters
In 2005 the Bankruptcy Abuse Prevention and Consumer Protection Act was passed that changed bankruptcy filing requirements. This means that there January be certain changes that need to be checked before you decide to file for bankruptcy. Being informed and prepared with the new bankruptcy requirements will make your filing process hassle free. Continue reading Bankruptcy Requirements For Common Types Of Bankruptcy
Whatever your reason for going bankrupt, there will surely be a big negative impact of bankruptcy on credit report… and the bankruptcy remains on your credit report for around 10 years. However, there are ways and means to improve your credit report after bankruptcy… and over the years you can build a good credit. But all your efforts might go waste if you do not monitor your credit report and ensure that it is correct at all times. Here are the typical things that you should be careful about with regards to your credit report after bankruptcy: Continue reading Bankruptcy And Credit Report – How Long Does Bankruptcy Stay On My Credit Report
Have bankruptcy hitting on your mind? The thing with bankruptcy is that not only should you know how to go about it; you need to ask yourself yet another toughie — “When to file bankruptcy?” Continue reading When To File Bankruptcy?
While bankruptcy January be the last resort when your finances go bust, there are just as many ways to avoid the same. Here’s a take on what all you can do to avoid bankruptcy, both personal and business. While most of them apply to both kinds of bankruptcy, some are specific to avoiding business bankruptcy. You will know as you skim through. Continue reading How To Avoid Bankruptcy – 9 Ways To Prevent Filing For Bankruptcy
The bankruptcy laws are broad in scope and effect; hence the only way to take an effective call on bankruptcy is by figuring out the way it works, its pros and cons, and the way it will affect your case. So when mulling over bankruptcy, it works smart to hire a bankruptcy attorney and bank on expert advice. That being said, here are a few pointers to ponder on when you ask yourself, “Should I file bankruptcy?” Continue reading Should I File Bankruptcy?
Once you have decided that bankruptcy is the way ahead for you, the next query that lingers on is how to go about it? Filing bankruptcy is a long drawn procedure that involves a lot of paperwork, most of which revolves around filing forms — Bankruptcy Forms or Bankruptcy Filing Forms. Continue reading Bankruptcy Forms – What Forms Are Needed For Filing Bankruptcy
Most people who consider bankruptcy have one thing in common — unmanageable debts. Knowing that repercussions of bankruptcy that can virtually blot out your financial aspirations, it’s only fair to give it a second thought, or in other words, think of bankruptcy alternatives. Continue reading Bankruptcy Alternatives – Effective Steps To Get Around Bankruptcy
A bankruptcy discharge can be seen as a “new beginning” as it releases the debtor from any liability for certain kind of debts. This means that a debtor is not required to pay the debts that have been discharged by the bankruptcy court. The creditors cannot file a lawsuit or contact the debtor for collection of the debts once a bankruptcy debt discharge has been granted to the debtor. Bankruptcy discharge is permanent but it can be revoked by the judge in extreme circumstances. There are certain kinds of debts that cannot be discharged under any chapter — be it chapter 7, 11, 12 or 13, such as federal taxes, state taxes, child support, alimony and student loans. Continue reading Bankruptcy Discharge – How To Discharge Your Debt Across Different Chapters
What is credit card bankruptcy?
Bankruptcy due to credit card debt is known as credit card bankruptcy. The unsecured credit card debt is an example of a consumer debt which is the result of buying a product or a service through the card. The debt keeps on accumulating and also increases because of the extra interest that adds when the consumer doesn’t pay the dues on time. Continue reading Credit Card Bankruptcy Laws – How To File Under Chapter 7 And Chapter 13