Different types of debt will be treated differently during your Chapter 7 bankruptcy process. For example, secured debt will receive priority treatment compared to unsecured debt. Secured debt would be, for example, a home mortgage, which is secured by the home itself. If you default on your mortgage payments, the bank can take your home and it won't lose all of its investment. Unsecured debt would be, for example, credit cards.
The rights of your creditors in a bankruptcy case
Debtors have rights, and creditors do too. It's the responsibility of the bankruptcy trustee to administer your bankruptcy in a way that ensures that your creditors get paid back as much money as possible for their legitimate claims. This must be achieved before your remaining debts get discharged.
Is a credit card company garnishing your wages?
It's easy for credit card bills to get out of control. It either happens because of an emergency that you can't avoid, or it happens because you charged too many bills on your credit card. If your credit card bills get so bad that you can't pay them anymore, you might get your wages garnished.
Ask and you shall receive: How to save money on credit card fees
There's a great saying, that will take you far in the world of debt management, "It doesn't hurt to ask." Indeed, when it comes to credit card debt, credit card late payment fees, and credit card interest rates, you might be surprised what your credit card company will give you if you merely ask. A new survey shows that a significant percent of people who ask their credit card companies for a lower interest rate or a lower fee will get their requests approved.
Late on your credit card bill? Here's what happens
Nobody plans to pay their credit card bills late. It's just what happens either as a result of forgetfulness, or because you don't have enough money to make the payment. However, if you have a credit card, you should know that late payments can result in serious consequences -- not only for your credit card balance, but also for your credit card rating.
What if I suddenly stop paying my credit card bills?
If you're drowning in credit card debt, the temptation is high simply to stop paying them. Indeed, it will relieve a lot of stress and financial difficulty if you can suddenly free up hundreds of extra dollars each month. However, the consequences of stopping your debt payments will accumulate behind the scenes.
Credit card companies want you to be in debt
Most rational people that loan another person money want to get paid back as quickly as possible -- but not your credit card company. Your credit card company wants you to rack up as much debt as possible and then take as long as possible to pay it off. That way, the debt stays on your back for years as you pay massive amounts of interest.
Resolve your payday loans once and for all
Payday loan companies are one of the most challenging realities of modern society. There are thousands of families who have fallen into the financial traps of payday loan companies due to no fault of their own. These companies prey on low-income individuals and families in our communities by taking advantage of their difficult economic circumstances.
Debt-relief options outside of payday loans
When debts are stacking up and income just doesn't equal the outgoing expenses, individuals and families can feel forced into making what seem like desperate decisions. Online articles tell you to simply buckle down and things will get better. Stop buying extra coffee out, say these articles, and put that $5 a day toward debt or savings. But what if you aren't spending that extra money and things still aren't evening out on the budget?
Will my creditors attend the 341 meeting?
A 341 meeting, also referred to as a meeting of creditors, is a necessary step in the Chapter 7 bankruptcy process. Though it is called the meeting of creditors, it's often the case that no creditors are present for this meeting, which occurs within a month or so of the filing of a bankruptcy petition.
