Let us create a 3D eBook for you!
Let us create a 3d Digital eBook for you! DigyCat.com

Personal Bankruptcy - If Its Unavoidable, File Now


The Bankruptcy Abuse and Consumer Protection Act, signed into law by President Bush last April, promises changes to Federal bankruptcy law that have been long sought by the lending industry. The bill promises sweeping changes to Federal law, and will make it much harder for the average consumer in financial trouble to have their debts wiped out by filing for bankruptcy. Recent trends suggest that those considering a bankruptcy filing should do so now, as the line to do so is already getting rather long.

The bill will make it harder for the average consumer to file under Chapter 7 of the Federal code, which allows the courts to wipe away consumer debt and give the debtor a fresh start. Filings after the October 15 deadline will be subject to a means test and those that pass a rather generous income gauge will have to file under the more strenuous Chapter 13, which requires a repayment plan and the assistance of an attorney. Indications are that with the deadline looming, bankruptcy filings are not only higher than they were last year, but they are also higher than anticipated. Nationwide, filings are 20-25% higher than last year, and some bankruptcy attorneys say that their business has nearly doubled.

Complicating matters is another law, passed in 2003, that requires credit card companies to establish a payment schedule that allows consumers to repay their debts in a "reasonable" amount of time. Since the beginning of this year, the major credit card companies have doubled their minimum payments from 2% of the balance to 4% of the balance. For the average household with $10,000 in credit card debt, this doubles the minimum monthly payment from $200 to $400, an increase that many consumers cannot afford.

The dramatic increase in bankruptcy filings has overwhelmed bankruptcy attorneys, who will face the additional burden of being liable for false information filed by their clients once the new law takes effect. This additional pending liability, combined with the additional workload, has prompted many attorneys to raise their fees by an average of nearly 20% over the same time last year.

What does this mean for those with problem debt? The deadline for filing under existing law remains October 14, 2005. After that, bankruptcy filings will be more complicated and expensive. The courts and law offices are already becoming clogged with bankruptcy cases. Anyone who may be considering filing for bankruptcy to overcome his or her problem debt should do so now. Waiting even another day could be too late.

Copyright 2005 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including End-Your-Debt.com, a site devoted to debt consolidation and credit counseling, and HomeEquityHelp.com, a site devoted to information regarding home equity lending.


MORE RESOURCES:

Debt Releif - Google News

This RSS feed URL is deprecated

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news

Law Firms Should Provide Student Loan Assistance To Their Associates - Above the Law


Above the Law

Law Firms Should Provide Student Loan Assistance To Their Associates
Above the Law
The idea of employers offering student debt relief is not new. Indeed, I have read numerous articles about financial services companies offering programs through which employers can provide student debt relief. It seems obvious that law firms would ...

Sudan: Debt Relief Still Not Forthcoming Says Finance Minister - AllAfrica.com


Sudan: Debt Relief Still Not Forthcoming Says Finance Minister
AllAfrica.com
He, however, regretted the fact that despite the implementation of a series of reforms by the government of Sudan including 13 Staff Monitored Programs and the Interim Poverty Reduction Strategy Paper for two years; the establishment of debt scenarios ...

and more »

What is debt settlement? - KTNV Las Vegas


KTNV Las Vegas

What is debt settlement?
KTNV Las Vegas
The other two are debt consolidation and bankruptcy. Debt settlement is when a debtor and a creditor agree on a reduced amount to negotiate the original amount owed. This may sound like the ideal solution for anyone stuck in debt and, in some cases, it ...

and more »

Congo seeks relief talks with oil traders over $2 bln debt - Nasdaq


Nasdaq

Congo seeks relief talks with oil traders over $2 bln debt
Nasdaq
LONDON, Feb 20 (Reuters) - Congo Republic is set to become the latest African country to start debt relief talks with trading houses after borrowing $2 billion from merchants such as Trafigura and Glencore but now finding its debt levels unsustainable ...
The Congo to start debt- relief talks after borrowing $2bn Business Day
Congo seeks relief talks with oil traders over $2 bln debt | - Kitco Kitco News
Congo seeks relief talks with oil traders over $2bn debt Creamer Media's Mining Weekly

all 1 news articles »

Congo seeks relief talks with oil traders over $2 bln debt - Reuters - Reuters


Congo seeks relief talks with oil traders over $2 bln debt - Reuters
Reuters
Congo Republic is set to becomethe latest African country to start debt relief talks withtrading houses after borrowing $2 billion from merchants such asTrafigura and Glencore but now finding its debt levelsunsustainable, sources familiar with the ...

and more »

Falmouth Receives Major Debt Relief on Turbine Cost - CapeCod.com News


CapeCod.com News

Falmouth Receives Major Debt Relief on Turbine Cost
CapeCod.com News
“The Board of Selectmen voted to enter into an agreement which reduces the obligation from about $1.5 million to about $178,000,” she said. Had the town not received the relief, it would have had to pay $110,000 a year for the next 15 years. The ...

Debt relief still not forthcoming says Sudan finance minister - East African Business Week


Debt relief still not forthcoming says Sudan finance minister
East African Business Week
KHARTOUM, Sudan, the Minister of Finance and Economic Planning, Mohamed Osman Suleiman Elrekabi , the Spokesperson for the EDs, Bright Erakpoweri Okogu , African Development Bank.

and more »

Greece's welcome debt upgrade fails to end concerns over its long-term economic health - CNBC


CNBC

Greece's welcome debt upgrade fails to end concerns over its long-term economic health
CNBC
"However, the medium-term fundamental situation remains problematic," he said, "without significant debt relief measures, such as the ones recommended by the IMF (International Monetary Fund), the Greek debt level would most likely remain at (an ...
UPDATE 3-Ratings upgrade lifts Greek debt, Italy succumbs to pre-election nerves Reuters

all 56 news articles »

Debt relief company returns money to FTC, refund checks in the mail - KOMO News


KOMO News

Debt relief company returns money to FTC, refund checks in the mail
KOMO News
If your credit card debt is out- pacing your ability to keep up with payments, reputable credit counseling advocates say debt relief companies should be your last resort. "People jump right into the first solution that looks like it's best for them ...

LargeFriends.com - the best dating site for plus-sized singles!
SuccessfulMatchCentral.com - the best dating site for plus-sized singles!

PreLaunchX

PrimeNews Domain Is For Sale - $5,000 For Enquiries eMail Us

© www.PrimeNews.biz - 2012

home | site map | links