Debt Consolidation

Income?

2007-04-06T14:59:00.001-07:00

My husband and I are considering filing Ch. 13 Bankruptcy. We both work full-time and also receive an Adoption Subsidy check per month for our two sons we just adopted. Do you have to include the Adoption Subsidy amount in our income even though it\'s not \"taxable income\" by the IRS standards?

I am not an attorney but my answer would be no. Since this is a benefit paid to you like social security, to support your adopted children, I would think it untouchable by Chapter 13 standards.

Bankruptcy if not a US resident

2007-03-29T11:44:00.001-07:00

I have been working in the US for the past 6 years and have been
denied permanent residency status because terms of my employment
has changed. I was forced to leave the US. I am now facing no, or
little income and debt of 50,000 US and debt of 100,000 in Canada.
I am planning to declare bankruptcy in Canada. What are my US
options and ramifications.
thank you

I am not an attorney but I feel.

Likely your unsecured debt will complile till it goes to collections and they ultimately find out you have left, and right it off because you are not responding. Your secured debt will be repossessed and disposed of. You will have incinerated your US credit rating. You could file for us Bankruptcy but why? unless you are intending to return and work in US and need credit again.
But, as far as I know entry to the US in later visits will not be effected from a Homeland security stand point.

How much should I pay for interest on a considation loan?

2007-03-22T09:28:00.000-07:00

Tough one but nonetheless part of the world of rolling debt on debt. In an consolidation your debt doesnot go away and in fact is now being taken on by one creditor rather than the original bunch you are paying out. So. the interest rate charged by the consolidator is now subject to an evalutation system of debt vs assets and a rate is determined. However, by simply going in and needing a consolidation in the first place raises, "Red Flags" anyway to most lenders. A rate will be assessed likely 5 to 6 points higher than prime, perhaps even more if the risk is higher. It is not uncommon to see interest rates on consolidation loans upwards of 12 to 15%. These rates can be hidden nicely by "service and adminstration charges"

What about Pay day advance places?

2007-03-20T10:19:00.000-07:00

Unless you absolutely need them, they are the highest interest bearing loan facilities going next to Gino the shark. The element of taking advantage of the disenfranchised and desparate are unclearly displayed but just under the signature in the fine print. Be very carefull.

Do I loose my credit rating if I do a Consolidation?

2007-03-19T10:16:00.000-07:00

As a general rule, your credit rating is effected before you do your consolidation. Usually long before you take any action to help your circumstances the damage has already been done. Thought. Get a copy of your credit rating and have a first hand look at it to be sure what is there is true and accurate.

Fixed income and wage earners.

2007-03-15T11:59:00.000-07:00

Wage Earners (Chapter 13) will be specifically tailored to a persons ability to repay a portion of their debt over a period of time. It must be mentioned that if the size of debt is too big and the creditors do not vote on it positively then you may be forced to look at a Chapter 7 Bankruptcy.

Fees for Debt Consolidation and Management plans

2007-03-10T12:04:00.000-08:00

Fees, the root of all evil- or so you may think. In this case it may be well worth the fees a Debt Management Service or Foundation may charge to "speak" on your behalf to your creditors. Some times we can stave off Bankruptcy in America if we enlist the help of trained professionals in helping us negotiate repayment terms with our creditors.

New Debt Consolidation Forum soon available

2007-03-07T09:36:00.000-08:00

Stay tuned for the Debt Consolidation Forum. A truly usefull interactive tool to connect professionals, people and their problems and questions. Soon available on Bankruptcy America.com

Tax returns and refund management

2007-02-26T09:43:00.000-08:00

Well its nearly here. Tax time. Getting money or paying? If you are paying make absolutely sure you set the funds aside or ask for an expention in filing.

If you are recieving a refund how will you use your return? Good suggestion. Pay off debts and perhaps use it for a Share Loan in order to consolidate your high interest credit card or charge card debt.

Debt Consolidation and Auto Loans

2007-02-25T09:39:00.000-08:00

Many times you may find that an Auto Dealership will offer to allow you to Consolidate some of your current unsecured ( Credit Card ) type debt into an automobile loan. They will offer to sell you the auto at a reduced price and prop up the rest of the loan with a debt consolidation. Good or Bad?

Good that you can pay out some of your high interest credit card balances. If you can pay them all off is best but unlikely.

Bad that the interest is usually only a point or two under the car loan rate and now you have all of your eggs in one basket, meaning if you fail to pay you loose all around. Check out all the angles and ask lots of questions.

Telemarketers and Credit card offers

2007-02-23T09:31:00.000-08:00

We've all had them and they all arrive at the seeminly worst time of the day. Telemarketers giving us a "Courtesy" call to invite us to an exclusive group or offer of that days choosing. Well, I suggest the following.,

Remember that these folks are just like you and I. Working stiffs just trying to make a buck. I suggest this approach. Take a breath, let them finish the long introductory sentence and then simply say No Thank you and I wish you better luck on the next call. OR I appreciate your call and would really like it if you please remove me from your call list or please transfer me to a supervior that will do as I request. Good luck from here. Most Telemarketers will drop the rhetoric and do as you suggest. If not suggest that this is not a good time and ask for a contact number to which you will call back. Not too many such numbers exist.

Please remember to be kind, professional and mindfull of the person at the other end of the line.

Debt Management Plans

2007-02-17T07:57:00.000-08:00

In order to bring your debts and expenses into order we suggest speaking with a credit counselor and or arranging a meeting with a Debt Management Specialist. There are many to choose from, the rule of thumb I suggest is if an outfit is big enough to advertise Nationally on TV then perhaps they are reputable and safe to deal with. Most people will investigate the rules of Bankruptcy in America and then find out their situation can be easilly fixed at the Debt Management level.

Reverse Mortgages

2007-02-13T15:44:00.000-08:00

The TV is flooded with fossilized celebrities coming out of the Jurasic ages advertising Reverse Mortgages. Robert Wagner, James Garner and Pat Boone for crying out loud. Well folks be carefull. I have written in the past about the last bastion of security. Your Home; being used as security agains Home Equity Loans, Second Mortgages etc. Reverse Mortgages basically is a loan against your home that allows you to consolidate debts into one payment. Good idea only the fees and home value is predicated by a market driven by despiration. By all means look into the process and if you wish further information please let me know and the Bankruptcy.com team will help out.

Balance transfers as a debt consolidation

2007-02-11T15:41:00.000-08:00

If used extremely prudently and with extreme guidence Balance Transfers to Cards that offer interest holidays can be a very unique and effective means to consolidate unsecured debts. I some what hesitantly make this statement but will fully explain this if a reader to bankruptcy america.com wishes it. Awe common, some one ask me a question.

My kids want me to co sign for a consolidation of his debts, What is my responsibility

2007-02-08T10:32:00.000-08:00

Your responsibility is as a co signer as you will be, EVERYTHING. to do with the repayment, servicing and cost of borrowing for the loan IF your child defaults on the loan agreement. Co signers are in a very vulnerable position and it is the writers opinion that you think long and hard about the responsibility and integrety of your child prior to making the commitment to support the loan.

liens

2007-02-03T01:18:00.000-08:00

Tax Liens in most cases survive your bankruptcy as in the case of Chapter 7, The lien amount is usually determined if there is a value usable to sustain the lien. A value to assets is the best bet to better prepare you for the lien amount and severity. In Chapter 13 the lien is paid out over the period of time of the 13 length.

This is a question best suited for our Bankruptcy attorney. The answer to your question is forthcoming... Stand by.

how can you get atax lien off your personal property after you have been discharged from bankruptcy

chapter 13 length

2007-02-01T20:37:00.000-08:00

Chapter 13 Bankruptcy can usually run up to 60 months. Longer by court intervention and individual need.

what are the maximum number of months that a chapter 13 can run?

Read the fine print.

2007-01-29T08:40:00.000-08:00

Ok, I know its allot of words in small print. Too time consuming to worry about. Its ok I trust my sales person I dont need to read. I don't understand it anyway so why worry?. Well Worry!. The average consumer in our "Instant gratification" society would agree.. Until something goes just slightly of the tracks. I miss a payment and the interest rate quadruples. My account is frozen just when I need it the worst. etc. "They can't do that!. yup they can.
Its all in the magic print 18 paragraphs down middle of the page. You see it? It's there...

When you sign on the line for recieving your credit card, lease, purchase agreement or chattel mortgage, you have signed that you fully understand agree to and will abide by all of the terms and conditions mentioned in the agreement. Whether you read it or not you signed you did... So

Read them, understand them and if you can not understand them go home, take a copy of the document home get an interpreter, uncle Harry or whom ever and get to know all of the little details. The sale will wait, and so will the sales person. After all who are you ultimately buying your goods for? Them or you?

Credit card Balance Transfers

2007-01-27T06:33:00.000-08:00

Credit Card Balance transfers can be used to reduce or sometimes eliminate interest payments on balances for a period of time. This "Holiday" can be used in some cases to allow you to completely pay off balances using the Credit Card companies money. Too good to be true? Not really. Too many American consumers do not realize that Bankrruptcy can be averted with a unique plan whereby the credit card companies supplier a line of credit to you and you never actually use the card to increase debt only the Credit line to decrease your existing debt. Interested in seeing how this works, please ask for more information on our www.bankruptcy-america.com blog questions?

wage earner vs bankruptcy

2007-01-23T21:38:00.000-08:00

what\'s the difference ?

how long does it show on credit report ?

In a Bankruptcy in America Wage Earners (Chapter 13) will allow you to pay a portion of your debts off over a period of time and usually keep you home and other assets ( You must be employed with a regular income hence the term wage earners).

A Bankruptcy (Chapter 7) will usually cause you to have all of your debts discharged and you will likely loose your home and other assets. If you find you are totally disabled, laid off or sometimes self employed.

The difference between the wage earners (Chapter 13) and the bankrutpcy (Chapter 7) impact on the credit report is 3 years in total. Chapter 13 is a 7 year reporting limit and the Chapter 7 is a 10 year reporting limit. The chapter 13 is always the best option when available because you can start rebuilding your credit after the term of your settlement is up. Bankrutpcy in America has been effected by newly revised laws in the fall of 2005. Please ask more indepth questions and if you have any concerns use the Bankruptcy America online assessment.

Do I need an Attorney to do a Debt Consolidation?

2007-01-20T09:20:00.000-08:00

A Debt Consolidation is a simple thing to avoid Bankruptcy. So simple the process is largely overlooked and used rarely because most individuals think they "Need" an attorney. Attorneys are only really needed when you do a Formal Debt Management or Consolidation Plan that involves the Federal Government. You may do one on your own with some simple guidlines. Bankruptcy-America.com can assist you in forming the strategy to first understand your debts then deal with them. This process is pain free and virtually cost free. Avoid the pains and agonys of Bankruptcy with help.

What does F.I.C.O. stand for?

2007-01-11T06:41:00.000-08:00

FICO stands for Fair Isaac and Company.

These folks have developed a system that allows all of the content of an individuals Credit File to be condensced into a 3 digit number that runs between 330 and 850. The higher the number the better information we have on our file.

This system allows creditors to offer the "Instant Decision" at the car dealership or qualify you for the "no payments til 2011" type of marketing deal. For more information contact us directly at Bankruptcy-America.com

How will a Debt Consolidation effect my credit score?

2007-01-09T18:36:00.000-08:00

An "informal" Debt consolidation... (One that you do outside of Chapter 13) Will not appreciably affect your credit score as in essence no Federal Protection is in place and no real reason for anyone to care enough to place any information on your file. If there is no information placed adversely on your credit file then your score should stay the same.
On the other hand if you do a formal Chapter 13 proceedure then the Government is brought in to make sure everyone stays on track and formal paper work is signed and issued to all of your creditors thus letting them (the creditors) make the decision to place an entry on your file... Perhaps affecting your scores.

What to look for in a fees at a Debt Consolidation Service

2007-01-05T05:26:00.000-08:00

Fees are part of transacting for goods and services.. Some are "hidden" when they are only in the "fine print".. Any proprietary Debt Consolidation Service does not hide and misrepresent fees. It is on the shoulders of the consumer to be aware of what fees could be however in order to select the best service for them.

The size of your debt, the numbers of creditors owed and complexity of servicing them usually factor in to the cost of the services. I tend to look at how much cost for how much service.

Using a percentage of your total debt say 2-3% administered monthly is not a bad deal to get someone else to essentially cooridinate payment on your behalf.

More information on details are available with us.

What do I look for with a Debt Consolidation Service

2006-12-27T18:43:00.000-08:00

Simply; Credibility and validation: Check with the BBB and perhaps the Dept of Justice to find out if whom you are dealing with is accredited and legitimate.
Ease of Assess: Can you meet face to face with a representative of the company?
Fees and Charges: What are they and when are they payable?
Payments to Creditors: What is the settlement and when will they be paid?
Guarantees or Promises: Just exactly what is the firm going to do to make sure your interests are protected.

There are a few more points and for specific information contact us directly via email or throught the blog comments section