Welcome to Bankruptcy Guide
Credit Card After Bankruptcy Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
Looking at the Forms Bankruptcy Can Take
from: Deb St. George - HomelessInKingCounty.comThere are many types or forms bankruptcy can take. The US bankruptcy laws are designed to help individuals, businesses and even municipalities that are having severe debt problems that appear to be unsolvable within the current income or revenue levels. There are many reasons why this happens, but the reasons seem unimportant when buried under a mountain of debt. As many people discover when bills become backlogged, debt collection practices are harsh. The phone rings off the hook with collectors, and the late notices and penalty charges only seem to make the situation worse by the day. When you owe back taxes, the IRS is relentless when it comes to collecting the money.
The forms of bankruptcy are defined as chapters. The chapters were written to provide a specific form for filing when you are an individual, farmer, business, or municipality. Most people are aware of the availability of bankruptcy laws applicable to people and businesses, but even counties and cities can find themselves unable to pay their debt. Right now there is a current case in Alabama in which a county cannot pay its sewer bonds and is considering filing bankruptcy.
The first form bankruptcy takes for individuals is chapter 7. A chapter 7 is a liquidation bankruptcy in which your non-exempted assets are used to pay off as much debt as possible and the remaining balances are eliminated. A chapter 13 is called an individual debt adjustment form. In this case, an individual agrees to a court defined debt repayment plan.
Another form bankruptcy can take is chapter 11 which is a business reorganization plan. Under this chapter, the business asks for the debt to be adjusted in a way that makes it workable. The business can also ask for a total reorganization which is often what you read about large corporations doing in order to stay in business. Farm businesses, on the other hand, will file a chapter 12 when needing debt relief.
The other types of bankruptcies are chapter 9 for municipalities and chapter 15 for ancillary cases or cases which don't fit the other defined chapters. There are even bankruptcy laws that address service people who are unable to pay their debts because they are overseas serving their country.
It is easy to see how complex the bankruptcy codes really is and it is a work in progress too. Every day new court cases refine the code based on actual experiences. A good bankruptcy attorney will always stay current on the laws so that you are able to get the best advice possible. The goal is to help you or your business start over again financially, but in a way that is the best fit for your situation.
Credit Card After Bankruptcy News
Stay at Home Moms Face Credit Card Challenges
Credit in America has really changed since the banking crisis a few years ago. Gone are the days of practically free credit and rebuilding or establishing credit post-foreclosure, post-bankruptcy or even post-divorce is an entirely too common task. However, one of the categories of people who face more struggle than ever before are a very ...
Read more...Restoring your credit scores after filing for bankruptcy
The right steps to improve scores include a mix of credit and paying bills on time. But there's no way to quickly restore FICO scores to their old levels after a bankruptcy. Dear Liz : I had credit scores over 800 with no late payments ever. Unfortunately, a medical issue required me to charge $24,500 to a credit card. That led to a bankruptcy, which was discharged in July 2011. My scores ...
Read more...Create Your Post-Bankruptcy Credit Rebuilding Plan
Rebuilding a positive credit history after a bankruptcy takes time and patience.
Read more...Debtconsolidation.com Affirms Its Lead in Providing Credit Card Debt Relief After Passing 100,000-Customer Mark
Debtconsolidation.com, an information and referral source for debt management and credit counseling, cements its key position as a top debt management service provider after successfully helping 100,000 consumers take control of their financial issues.New York, NY (PRWEB) May 17, 2012 Debt management and credit counseling resource Debtconsolidation.com reports that its client base recently ...
Read more...Credit care: Secured card, loan may help rebuild score
Q: For 32 years I had excellent credit. But, like other folks, things went downhill. We had our home repossessed and could not make all the credit card payments. Our attorney advised us to file for bankruptcy, so we did. I have tried to rebuild my credit since then. I have been turned down by two different bank cards several times each. We now have a debit card, but when do you get a chance to ...
Read more...5 Bankruptcy Myths Debunked
Nadya Suleman (known to gossip magazines as "Octomom") recently filed for Chapter 7 bankruptcy after accumulating roughly $1 million in debt. Tabloids and gossip blogs have criticized Suleman's spending and lifestyle, but she's far from alone in her financial woes. Legal technology provider Epiq Systems estimates that 1.21 to 1.25 million Americans will file for bankruptcy this year, down from 1 ...
Read more...7 questions to ask before buying credit card payment protection
To see whether you're a fit for a credit card payment protection plan, ask yourself these seven questions
Read more...