Fascinating individual story from the front lines of the economy. How does a financial planner end up six figures underwater on his home? Yahoo Finance has the story of Carl Richards of the New York Times, a financial adviser, who had to do a short sale on his big Las Vegas home. (image from Dreamstime)
Category Archives: Bankruptcy
Are You Teetering On The Edge Of Bankruptcy?
Although bankruptcy filings are down, unemployment remains high and fewer people are going to credit counselors. Credit card debt went up again. Some people may just be giving up. No job, no income, no assets, means nothing for creditors to get; no reason to file bankruptcy. But, what happens when you get that new job? …
What Happens If I Get A Judgment Against Me?
“I am being sued by capital one for a credit card debt…I’m unemployed…will I still have to pay if I lose in court?” Someone posted this question to me. I never know what the enemy may do, but, here are the possibilities: So here comes the long winded answer about money judgments in St. Clair…
Why File Bankruptcy; I Can Settle My Debts
Yes, I know, I keep showing these rats. But they keep trying to take your money! These two are debt settlement company employees; you know, the companies you hear about on the radio all the time: Don’t file bankruptcy! We can settle your debt for pennies on the dollar! The secret the credit card companies…
Credit Cards Are NOT The Problem
Credit cards are neither good nor bad; they have no intrinsic moral quality. Just like a baseball bat; depends how you use it. Hit a home run? Cool. Break someone’s head? Not so much. Yes, that one is subjective. It is possible to use credit cards without going overboard, pay the balance every month, get…
Are College Diplomas Worth The Money?
I was in Ann Arbor recently, for a bankruptcy hearing. On paying to leave the parking structure, I noticed the young lady had a thick book she was reading. I asked: “Studying hard?” She smiled wanly and said: “No, I have my bachelor’s degree.” I said: “At least you have a job.” None of my…
What Is A Chapter 7 No Asset Report?
No, it does not mean you have no property, that you lost everything by filing Chapter 7. Actually, it means that the trustee found no assets to be liquidated for the benefit of creditors. Which is a good thing, you keep everything you had before you filed. Subject to paying any liens on the property,…
Cities Can File Bankruptcy Too
How does a city go bankrupt? Same way you or I do, spending more than it takes in, over-estimating revenue, under-estimating expenses, or just ignoring reality. Like the federal government, local governments spend OPM, other people’s money. Its just that only the Federal government can print money. We used to be a federation of states,…
If I File Bankruptcy In Michigan, What Happens To My House?
The first question is: What do you want to happen to your house in bankruptcy? What do you do about mortgage payments? There is nothing automatic; you are not required to keep or leave your house in Chapter 7 or Chapter 13 bankruptcy. Let’s start with Chapter 7 bankruptcy. Assuming you have no equity in…
Who Will Know If I File Bankruptcy?
Many clients ask me who will find out if I file bankruptcy? Does my boss have to know? I don’t want my relatives and friends to find out. All court proceedings are matters of public record, unless the Judge orders the records sealed at the request of a party, and it must be for special…
