Medical bills are one of the top sources of unpaid debts in the U.S. According to a recent academic study, two-thirds of the people who file for bankruptcy cite medical issues as one of the key factors that led to their decision. Expensive medical treatment can have a compound financial effect on...
Military veterans can be vulnerable to financial struggles after they return to civilian life. According to U.S. Census data: Approximately 125,000 veterans filed for bankruptcy in 2017; Veterans accounted for 14.7 percent of the people who filed for Chapter 7 bankruptcy; and Veterans acco...
More than 44 million borrowers in the U.S. owe approximately $1.5 trillion in student loan debts, according to 2019 statistics from the Institute of College Access and Success. Recent college graduates make up many of those who are in debt. For instance, 2017 graduates owe an average of $28,650. ...
Credit card companies have the right to file a lawsuit against you if you have not paid the balance you owe. They will not immediately sue you after your first missed payment but may consider it if you have not paid in several months and are uncooperative. Texas has a four-year statute of limitat...
Filing for Chapter 7 bankruptcy may be your preferred option, depending on your debts and assets. The Chapter 7 process is quicker than a multiyear repayment plan and still allows you to protect many of your important assets. Some bankruptcy filers are discouraged from attempting Chapter 7 bankru...
Bankruptcy may have a negative stigma for people who do not understand what the process means. Bankruptcy is a solution to your debt problems, not a symptom of them. You file for bankruptcy to stave off creditors and ultimately clear yourself of eligible debts that are causing you stress and thre...
People who are in debt can be more susceptible to debt collection scams. When you are worried about debt collectors, a threatening phone call or letter seems believable. At the very least, you do not think you can ignore it. Some scams involve debt collection agencies using illegal practices, whi...
With the recent changes in the economy and business hiring practices, an increasing number of workers are self-employed, either by choice or out of necessity. Self-employment can be working as an independent contractor for a business or being the sole proprietor of your own business. When faced w...
There are many secured loans that you could decide to reaffirm after completing Chapter 7 bankruptcy, but your home mortgage may be the most consequential one. Discharging your mortgage does not remove the mortgage company's lien on your home. The mortgage company can foreclose on your home if yo...
We recently discussed whether you should continue to lease a vehicle when you are filing for bankruptcy. You are more likely to have to decide whether you will reaffirm your car loan. In a Chapter 7 bankruptcy case, you can surrender (give back your car) and discharge remaining debts at the end o...
The federal government shutdown is nearing a month, and federal employees have started to miss paychecks. Losing your job income can put a strain on anyone's budget, but people with a Chapter 13 bankruptcy repayment plan feel under particular pressure. Filers agree to court orders to make regular...
Protecting your motor vehicle is often a priority during your bankruptcy. In a Chapter 7 case, different rules apply when you are leasing a vehicle. Monthly lease payments may be cheaper than loan payments, but you do not actually own the vehicle. Chapter 7 bankruptcy filers must decide whether t...
There are several actions you can take to help prepare yourself to file for bankruptcy. However, it is also important to understand what you should not do. Creditors will examine your financial activity leading up to your bankruptcy to spot instances of potentially fraudulent activity, which they...
Debt has become an increasing problem for senior citizens, who do not have the same income stream to keep up with their payments as they did when they were still working. Several factors are contributing to the rise of senior debt, including: Increasing health care costs; Social security no ...
Creditors must file a proof of claim in order to receive payments as part of a bankruptcy case. This practice occurs in Chapter 13 bankruptcy cases and Chapter 7 cases in which there are assets available to be distributed. As of Dec. 1, 2017, the Federal Rules of Bankruptcy Procedure enacted new ...
People who are heavily in debt may worry about the cost of filing for bankruptcy, but delaying an inevitable bankruptcy is often costlier. Bankruptcy is neither a sign of failure nor the ruin of your personal finances. Yet, some people let these misconceptions prevent them from filing for bankrup...
Credit card companies use lawsuits as a means of forcing clients to pay for outstanding debts. If the court rules in favor of the company, the company can place a lien on the debtor's real property or seize non-exempt personal property (think toys – motorcycles, dirt bikes). However, many judgmen...
Failing to list all of your creditors during your bankruptcy case might mean that you cannot discharge the debt, especially if you intentionally omit a creditor. If the case is ongoing, you can amend your bankruptcy Schedules to include an additional creditor. However, fixing your mistake is tric...
Divorce and bankruptcy are both legal processes that can help you reconstruct your life. In some cases, people need both divorce and bankruptcy at the same time. In fact, either one can lead to the other: Financial stress can cause conflict in a marriage; or Divorce can be expensive and leav...
There is a common misconception that filing for bankruptcy will not allow you to discharge your student loan debts. Discharge is not impossible, but it is very difficult. You must file a separate action, called an adversary proceeding, in which you argue that continuing to pay for your student lo...
One way to categorize creditors when filing for bankruptcy is as secured or unsecured. The distinction between them can be important for both your creditors and yourself: Secured creditors have a lien on your property that they can use as collateral if you are unable to repay your loan. Common...
Before you file for Chapter 7 bankruptcy, you should first determine whether you will qualify by using the means test. People often think of passing a test as a huge obstacle to achieving their goals. However, a bankruptcy means test is unlikely to prevent you from filing for Chapter 7 bankruptcy...
Federal bankruptcy law includes waiting periods that determine how soon a person can file for bankruptcy again after the initial filing. The length of the waiting period depends on the type of bankruptcy that was previously filed and what type of bankruptcy is being sought: After filing for Ch...
Facing overdue debts is stressful enough without harassing behavior by creditors and the debt collection agencies they employ. Both Texas and federal law protect consumers from debt collection harassment. Unfortunately, debt collectors still use aggressive practices that cross legal boundaries. T...
The coming new year means another year of federal income taxes that are due. If you are unable to pay your taxes, the IRS can be a troublesome debt collector. The IRS can send you a levy notice when it believes you are neglecting or refusing to pay your taxes. You have 30 days to respond and cont...
The Page Law Firm is committed to answering your questions about Bankruptcy, and Family Law law issues in Collin County.
We offer a complimentary strategy session for consumer bankruptcy clients and we'll gladly discuss your case with you at your convenience. Contact us today to schedule an appointment.