Debt collectors have attempted to intimidate consumers into paying debts that are prescribed or not owed at all in cases of mistaken identity. If new rules are adopted debt companies would have to more fully document their accounts. Also proposed are requirements that would prevent a collector from contacting a debtor more than 6 times […]
I am a bankruptcy attorney. From my point of view here are the things that most often push people into bankruptcy.
The Means Test is the fierce hurdle Chapter 7 bankruptcy filers have to clear to avoid having the Court dismiss or convert their cases. The kernel of the means test is this: If a debtor’s income exceeds his expenses by a certain amount proportional to his total unsecured debt, then abuse will be found, or at least abuse will be presumed. Each of these are terms of art and have specific definitions in the bankruptcy world.
Beware subprime auto loans that require the vehicle be outfitted with a starter interrupt device.
There are two types of marital debts and they are treated differently in bankruptcy. Marital property settlement debts are dischargeable in a completed Chapter 13 bankruptcy.