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If you’ve always had regular income, you might have thought you’d never need to file bankruptcy. Unless, of course, your debt has spiraled out of control. While regular income is wonderful to have, if it’s still not enough to pay all your debts, instead of getting ahead each month you may be falling further and further behind. If this sounds like you, then Chapter 13 might be a ...
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If your debt has piled up beyond what you can afford each month but you have enough income to make monthly payments if they were more affordable, then a Chapter 13 bankruptcy might be a good option for you. Income eligibility for Chapter 13 To qualify for Chapter 13, you must have regular income sufficient to afford the repayment plan you submit to the bankruptcy court. Income can be from a number ...
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Struggling with finances—and I mean really struggling, to the point that you’re yelling or crying every day—is no way to live your life. However, when weighing the pros and cons of bankruptcy, many people don’t take into account the emotional and psychological benefits. Take stock of your life and ask yourself if you feel any of the following: If you’re experiencing ...
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Many parents took out PLUS loans or co-signed on private loans to help put their kids through college, grad school, law school, or medical school. Now, many of those graduates cannot find work sufficient to pay their basic bills, let alone help their parents repay those loans. A recent New York Times article explains how these loans are financially crushing millions of parents age 60 and older. As ...
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If you have an expensive monthly car payment you can no longer afford, then Chapter 7 bankruptcy can help by wiping out your debt, including that high car loan, and give you a new start. Here are a couple of things to think about if you’re worried about not having a car after bankruptcy: Get rid of a high car payment and buy a new car post-bankruptcy. Businessweek reported that auto loans in ...
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The truth about bankruptcy these troubled economic times is that most people don’t lose anything except their debt. Most people don’t lose their home, car, jewelry, clothing, furniture, or anything else. The bankruptcy law exemptions mean you get to keep a lot. In California, the law assigns a generous amount for the assets we need to live here, usually including enough for your home, ...
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Most people who are struggling with debt do not lose their homes in bankruptcy. Whether you can save your home in bankruptcy depends on various factors, including the kind of debt you’re carrying and whether you have regular income. You should discuss your situation with an attorney to accurately determine if you can save your house in bankruptcy. To help you get started, though, ask ...
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The looming “fiscal cliff” means more financial worries for families in San Diego and throughout the nation. According to The Wall Street Journal, as many as 90 percent of American households will take a “financial blow” next year from a combination of the tax hikes, spending cuts, and rising unemployment that are expected to come. Families that are already struggling to ...
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I often get questions about the effect bankruptcy will have on a person’s future chances of getting a loan, especially a home loan. Borrowers are often surprised that bankruptcy does not automatically disqualify a person for a home loan. In fact, an FHA mortgage loan may be obtained in as little as one to two years after bankruptcy in many cases. FHA Loans After Bankruptcy An FHA loan is a ...
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When evaluating whether to give a borrower a loan after bankruptcy, lenders look to the “Four C’s of Credit” — Credit history, Capacity to repay, Cash to close, and Collateral. Credit history: Bankruptcy will obviously be a factor in your credit history, but a lender will also look at your overall credit history (before and after the bankruptcy) rather than focusing on a ...
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