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Bankruptcy Blog

Should You Get Rid of Credit Cards After Bankruptcy?

• Bankruptcy

If you’ve declared bankruptcy, you may feel that you never want to see a credit card again, especially if using cards irresponsibly is what got you into financial trouble in the first place.  However, getting a credit card after bankruptcy or retaining a current card can be a smart move under certain conditions. Bankruptcy damages your credit score, and it is important to rebuild it gradually.  If you charge only what is necessary and get into the habit of always... CONTINUE READING

Can You Go to Jail for Credit Card Debt?

• Bankruptcy

In these uncertain times, many Ohio consumers have become overwhelmed with debt they cannot pay. If you find yourself in this situation, you may wonder if you can be sent to jail for not paying your credit card debt. The short answer is no -- debt collectors cannot have you arrested for a credit card or other consumer debt, because it is illegal to jail someone for being past due on their credit card, medical, mortgage, personal loan, or student loan debt. While the only debt you c... CONTINUE READING

Can Creditors Garnish Wages?

• Bankruptcy Wage Garnishments

If you can’t pay money you owe, creditors may take steps to garnish your wages and withdraw money directly from your paycheck. In most situations, both federal and Ohio state law limit garnishment to 25% of your wages, and most creditors must file a collections lawsuit in court and receive a money judgment first. But once the courts give them this judgment, creditors can keep collecting money from every paycheck until the debt is paid. Having your wages... CONTINUE READING

The Consequences of Medical Debt on Your Credit Score

• Bankruptcy

Medical bills, like any unpaid debt, can do major damage to your finances and your credit score. Nearly 3 in 10 Americans, even those who had insurance, had an unpaid medical debt sent to a collection agency, according to a recent Consumer Reports survey. According to the National Consumer Law Center, medical debts are a huge portion of the n... CONTINUE READING

Who Inherits Debt After Death?

• Bankruptcy

When a close family member dies, are you going to be stuck having to pay their debts?  Will you find yourself getting harassed by creditors and debt collectors for debts you didn’t even run up or benefit from? The answer depends on the situation. When people die, their estate goes into probate, and the estate owes the debt. Debts must be paid before heirs can receive their inheritance, and secured liens such as a mortgage on a house or a car loan, will be paid first.  Creditors are noti... CONTINUE READING

Can One Spouse File Bankruptcy Without Affecting the Other?   

• Bankruptcy

Can one spouse file for bankruptcy? Married people filing for bankruptcy in Ohio have the option of filing with or without their spouse.  There are advantages and disadvantages of both options, so deciding whether you should file for bankruptcy alone or together depends on your individual situation and needs. If you do file individually, it must be done in good faith.  The bankruptcy court will examine your circumstances, and if it determines that filing on your own was not done in... CONTINUE READING

Do You Know Your Rights as a Debtor?

• Bankruptcy

The Fair Debt Collection Practices Act (FDCPA) protects debtors from overreaching debt collection practices, such as abuse, deception and late-night phone calls. Still, many creditors and collectors blatantly violate its provisions and find loopholes and new ways to harass debtors. Anyone harassed by collectors should know their rights and what they can do to stop harassment.  The skilled and seasoned Ohio bankruptcy attorneys at... CONTINUE READING

How Long Does It Take for Credit to Recover Post-Bankruptcy?

• Bankruptcy

Contrary to what many people think, filing for bankruptcy may be good for you and improve your financial situation.  Chances are that if you are considering bankruptcy, your credit is already suffering, and you are probably sick of being harassed by bill collectors and creditors, and faced with possible wage garnishments, evictions, lawsuits, and foreclosures. Not only does all that activity stop with bankruptcy, but bankruptcy can help your credit. Many of your d... CONTINUE READING

Maximize Your Savings on a Tight Budget

• Retirement

If you are living on a tight budget, you are probably struggling just to meet your expenses each month and may not even be thinking of putting aside money for savings.  You need to change this mindset, as many experts feel that if you wish to retire and still maintain your lifestyle, you should have enough savings to cover 70% of your pre-retirement income each year. Saving enough to retire may seem like an unattainable goal, and if you are not on track to save for retirement, you are not alon... CONTINUE READING

Multiple Credit Cards? How to Decide Which Ones to Tackle First

• Bankruptcy

Having multiple credit cards has become an American way of life, and it’s not necessarily bad – if you can pay off the balance each month. Unfortunately, too many of us use credit cards to keep pace with increased living costs, and since credit cards are one of the most expensive ways to borrow, we wind up unable to pay off our debts. According to the American Bankers Association, 43 percent of card holders carry a balance each month, and the Federal Reserve reports that outstanding card... CONTINUE READING