Many business owners are confused on whether a personal bankruptcy filing has the ability to wipe out business-related debt.  In many cases, this is possible depending on the type of debt and whether you are indeed personally liable for the debt.  The way your business is structured may also affect your ability to obtain a [...]

Thinking of cosigning a loan? What could possibly go wrong?
When you cosign for someone else, you are considered to be equally responsible for repayment. If the other person doesn’t pay then you’re going to need to do so.

Robert “Jeff” Johnson, 46, was recently sentenced to 15 months in prison for fraud, along with being ordered by a federal judge to pay $1.6 million to the Internal Revenue Service (IRS) and a bank he defrauded.  Johnson was indicted on 12 counts in 2010 that included theft, larceny, obstruction of correspondence, falsification of records, [...]

The Atlanta Journal Constitution ran a front page story on Sunday, April 14 entitled

Sometimes you need to change your thinking to change the outcome.
There’s a saying in Alcoholics Anonymous that goes, “Your best thinking got you here.” In the context of recovery from addiction, the phrase means that your best ideas about a happy life nearly you killed.

Chapter 7 bankruptcy can last anywhere from 100 to 120 days from start to finish.  It basically works like this: once the Chapter 7 bankruptcy case is filed, there is a notice that goes out to all creditors, the debtor and the debtor’s attorney advising of an upcoming meeting called a 341 Meeting of Creditors. + Read MoreThe post How long does the bankruptcy process take? appeared fir

What is Chapter 13 Bankruptcy? Unlike a chapter 7 bankruptcy, where you must sell your assets to pay off creditors, chapter 13 allows you to reorganize your financial life so that you can keep your property. In chapter 13, you create a payment plan to pay off your debts. You submit the plan to the [...]

It happened again this week. The client comes into the consultation smiling broadly. He just needs help with a loan modification, he argues. He doesn't have any other debts. "Look," he says, pointing at his credit report, "it's been charged off!"

Sorry, that's not what it means. A "charge off" is an accounting entry by the lender declaring that the debt is uncollectible, a determination that helps the lender deduct it as a loss against his taxes.

It happened again this week. The client comes into the consultation smiling broadly. He just needs help with a loan modification, he argues. He doesn't have any other debts. "Look," he says, pointing at his credit report, "it's been charged off!"

Sorry, that's not what it means. A "charge off" is an accounting entry by the lender declaring that the debt is uncollectible, a determination that helps the lender deduct it as a loss against his taxes.

On average, a Chapter 13 bankruptcy repayment plan can last anywhere from three to five years. Yet, there are factors to consider in determining how long your case will last since each situation varies.  The amount you pay is based on your monthly income, with similar factors determining the amount of time the debtor commits [...]