There are a number of reasons why you might file for bankruptcy. The most common reasons are job loss, overwhelming medical bills, and divorce. However, there are other circumstances that can also lead to bankruptcy. Some reasons to file for bankruptcy include: Credit Card Debt Credit card debt is extremely common. The average American adult […]
How is Chapter 7 Bankruptcy different from Chapter 13 Bankruptcy?
If you are considering bankruptcy as an option for your financial situation, you should know there are a few options. Chapter 7 bankruptcy and Chapter 13 bankruptcy are two of those options, which we have outlined and compared below. Chapter 7 Bankruptcy Chapter 7 bankruptcy is a liquidation process where a person’s assets are sold […]
What is Lien Stripping?
Lien stripping is a way somebody in Chapter 13 bankruptcy can remove lower priority liens. It’s only allowed in cases where the value of the house is no longer enough to cover the outstanding mortgages on higher priority liens. Lien stripping turns the junior mortgage into an unsecured debt that may eventually be discharged. Basics […]
Foreclosures After COVID: What to Know
COVID-19 brought a lot of changes to the world, and most of them are negative. To help offset the financial effects of the pandemic, the U.S. government placed a moratorium on foreclosures, which ended July 31. However, there is still protection for foreclosure-related evictions through September 30, 2021, which is quickly approaching. Here’s what you need […]
Filing Bankruptcy: How Does Debt Relief Work?
Filing for bankruptcy comes with many emotions — from shame and despair, overwhelm, and even relief. We’ve put together this quick guide to debt relief so you can start arming yourself with information in order to take on the bankruptcy process. What is Bankruptcy? Bankruptcy is a legal process intended to help people and businesses […]