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Bankruptcy annulment
Most people are afraid to file for bankruptcy since their financial situation might get a rise in the near future, so there’s apparently no need for such exceptional measures. However, very few know that there can be a way back out of bankruptcy due to debt – and this article will describe it in detail. In what cases can a bankrupt debtor apply for an annulment? You can try to get a bankruptcy annulment if any of the following conditions may be applied to you: 1) You think your bankruptcy order to be illegal (for instance, the court didn’t follow the legal process of filing your bankruptcy, etc); 2) You have paid off or settled all your debts that served ...[Read more]

New Bankruptcy Law 2005: Credit Counseling is Now a Must
A debtor thinking over the possibility of filing for bankruptcy should pay maximum attention to any changes in the bankruptcy law. According to the last important amendment, starting from October 17, 2005, an individual must receive credit counseling from a company approved by the government at least six months before filing for bankruptcy protection. We strongly suggest you consult a credit counseling bankruptcy lawyer since only a professional is able to make you aware of your legal alternatives and rights. Credit counseling organization representatives are able to consult their customers on the following subjects: - Managing Debts - Managing Money - Educati...[Read more]

Uniform Debt Management Services Act: The Bible of a Debt Manager
Any debtor resorting to the help of debt management has to be sure that the company that he/she is considering meets the requirements set by the Uniform Debt Management Services Act (UDMSA). This will help to make sure that the company will really HELP the debtor to handle his debt instead of making his/her hard financial situation even worse. This article lists the basic principles of the UDMSA. If you notice that your debt management services provider fails to follow any of these, we strongly suggest you avoid signing in with it. Brief history of debt management industry It was in the 1950’s when US consumers with bad credit problems were first offered to resort t...[Read more]

Choosing a Perfect Credit Card Loan
Avoiding being stuck in a credit card debt is a really hard thing to do for an ordinary customer – the best solution for this problem is watching the way you deal with your credit card right from the moment you acquire it – and even earlier. This article will give you a couple of hints on how to choose a good credit card loan – and reduce the chances of getting into a credit card debt to the minimum. Always pay as much attention as you can to the following points: 1) Interest rate The size of the interest rate applied to a late credit card debt varies from creditor to creditor. You are strongly advised to read the part of your Terms and Conditions agreement concerni...[Read more]

Cornerstones of Debt Settlement Process
This article lists 12 basic points that you have to pay your attention to throughout the process of debt settlement – from the process of composing a debt settlement letter and to the process of paying the debt off. 1) The Terms and Conditions of your debt We strongly suggest you recheck the Terms and Conditions of your loan before you start dealing with the letter. Pay special attention to the fees, possible tax amounts, and charged interest rates. 2) The net amount that you owe Calculate the total amount of your debt, including the applicable tax charges and fees. 3) The amount of money that you can afford to pay Make sure that you save up...[Read more]

Wage Garnishment: True or Another Intimidation Technique by Raging Creditors?
Wage garnishment (wage deduction) is a thing that most delinquent debtors fear of really bad… This article will show you how dangerous this popular threat can be in reality – and give a brief outline of the process the creditor will have to go through to make you pay the debt off out of your wages if the judgment announced at your debt lawsuit fails to make you pay. The procedure of preparation for the wage garnishment hearing The first thing you should know about to be able to fight off the harasses of creditors is that a wage garnishment procedure cannot be started before the corresponding judgment is announced. Only after that the creditor will be able to ...[Read more]

How Debt Management Plans Affect the Debtor's Credit Report
With the help of a debt management plan (DMP) a creditor will feel much freer using his/her monthly budget. Plus, a DMP will not affect the debtor’s credit as bad as most people might expect it to. In case a debtor participates in a debt management plan to repay his debt, it will not hurt his or her credit score. However, one can face certain difficulties when trying to get a new loan still not having repaid the old ones. How a debtor should protect his/her credit score If a debtor signs in with a debt management program provider, he/she should write a cheque to a credit counseling agency monthly. The agency, in its turn, will pay the debtor’s creditors of...[Read more]

Untaxable Canceled Debt
As you might have already understood from the “Tax Consequences of the Debt Settlement” article, the canceled part of the settled debt in usually regarded as a part of the debtor’s taxable income. However, there are certain exceptions from this rule as well. This article lists the debts that do not require you to pay income taxes in case some part of them gets canceled. So, you will not be subject to paying out the debt relief tax if your canceled debt belongs to any of the following types: 1) Nonrecourse debt If you are not liable for the debt you are currently trying to settle (nonrecourse debt), you might not have to pay taxes on the canceled part of it. N...[Read more]

How to Avoid a Credit Card Debt
There are a large number of advantages that the usage of a credit card can bring – it’s much easier to handle tiny pieces of plastic than piles of paper, they prove to be extremely useful in emergencies and they make up a good credit history if used properly. However, there are a number of risks that a credit card holder runs too – the main of which is the overspending. Buying the things that you can’t really afford is easy – but it turns out to be much more difficult to pay for them in the future due to all those high interest rates charged by the credit card banks and everything. This article will teach you to avoid being stuck in a credit card debt with no way out. Th...[Read more]

Chapter 7 Bankruptcy in Questions and Answers
Chapter 7 bankruptcy (also known as liquidation bankruptcy) is the type of bankruptcy that is able to give you a debt relief through selling your non-exempt property to the benefit of the creditors. How much time and money you will have to spend on Chapter 7 bankruptcy? The process of filing for Chapter 7 bankruptcy takes 4-6 months and the net amount of collected filing and administrative fees is equal to $274. In most cases you will have to visit the court only once in order to get your bankruptcy legitimated. Who is allowed to file for Chapter 7 bankruptcy? Chapter 7 bankruptcy can be a really powerful instrument in solving your debt-related pr...[Read more]