Articles Posted in Debt Relief

Bankruptcy attorneys in Sacramento, CA often get asked about the differences between debt consolidation and bankruptcy and which one causes more damage to your credit. A Chapter 7 bankruptcy will remain on your credit for 10 years, and so it does have the potential to affect your credit score significantly. Oppositely, debt consolidation may affect…

Because a Chapter 13 bankruptcy typically lasts 3-5 years, the chapter 13 bankruptcy trustee plays a crucial role in your bankruptcy proceedings. In a Chapter 13 bankruptcy, you will create a repayment plan that ensures all your secured, priority, and some if any unsecured debts are paid in the form of a monthly payment. Upon…

When one files for bankruptcy their debts are divided into three main classifications to determine what they will have to pay back and what will be wiped out. The three classifications of debts are secured, unsecured, and priority. Priority debts or priority claims are special types of unsecured debts, meaning they aren’t backed by any…

A recent survey by CareerBuilder showed that over 75% of households in America are living paycheck-to-paycheck. This issue, exacerbated by overspending, is potentially dangerous especially without an emergency savings account or line of credit. The report highlights an overreaching problem for Americans that we spend everything we earn and then more through going into debt.…

Overspending, loss of a job, medical bills, and lack of savings are among the top reasons for debt in America. Additionally, high household debt levels are still normal and haven’t changed much since the financial meltdown of 2008. While some forms of debt are avoidable and some aren’t, debt is most likely something that the…

If you are in a situation where you are faced with dealing with bill collectors, it may seem like a stressful situation. One thing the bill collector can do to make a bad situation worse is to use abusive or even illegal tactics. You should know, if you must deal with bill collectors, that there…

There are numerous debt repayment options, each with their own sets of pros and cons. You can choose one of these after factoring in your debt amount, income, monthly expenses, credit rating and the amount of debt that you actually want to pay off. Here are some debt repayment options which you can consider. Debt…

If you are struggling with an overwhelming debt on your home mortgage and/or high-interest credit cards, you are not alone. Given the current economic situation in the country, there are millions of individuals who find debt repayment exceedingly unaffordable. Explore the various strategies of settling your debt and extricating yourself from the vicious cycle of…

Dealing with a massive debt is extremely difficult if you are unable to manage your finances well. However, there are ways in which you can deal with your crippling debt more efficiently. Debt consolidation and bankruptcy are two of the most popular debt management strategies in our country. Hopefully, you are wondering which of the…

Cashing out 401K to pay debt seems like a great idea till you get all the facts. There are a few, and let’s be clear about it. There are a few instances where it makes sense to do this. Your 401K is your savings for your retirement and it is best to leave that alone.…