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Debt settlement is an alternative to filing for bankruptcy relief. The typical process of debt settlement is contacting a creditor and offering them a payoff for less than the full balance owed. Typical settlements generally range from 20-50%. However, what...

ANSWER: IT DEPENDS ON THE TYPE OF BANKRUPTCY YOU FILE & THE STATE EXEMPTIONS AVAILABLE IN YOUR STATE Whether you can keep most of your assets in a bankruptcy depends on the type of bankruptcy you file (Chapter 7 or...

Most people try to pay their debts slowly over time, especially credit cards and personal loans. But high interest rates and penalties often mean they pay far more than they borrowed, and sometimes never fully escape the debt. 1. Debt...

If you’re overwhelmed, act quickly. Ignoring the problem makes it worse. Start with free help (like credit counseling), communicate with lenders, and if necessary, speak to a debt attorney to understand your legal options—including bankruptcy or debt settlement. 1. Assess...

Yes, banks can take your money to pay off debts you owe to them through a legal principle called the Right of Offset (also known as Right of Setoff). What Is the Right of Offset? The Right of Offset allows...

A common myth is that taxes are not dischargeable in a bankruptcy. Taxes can be dischargeable in a Chapter 7 bankruptcy. It can be categorized in the same bucket as all your other unsecured debts. Here are some basic rules...

One late payment can drop your credit score by 40-100 points, even after rebuilding. Your payment history makes up 35% of your score, the biggest factor. Even if it’s just one day late, credit card companies and lenders may report it. A...

Payday loans aren’t necessarily scams, but they are often predatory. They typically come with extremely high interest rates (sometimes 300-600% APR) and short repayment periods, which can trap borrowers in a cycle of debt. Many payday lenders make their money...

The number one reason people file for Chapter 7 bankruptcy is overwhelming medical debt. Medical expenses are a leading cause because they can be unexpected, unavoidable, and often come with high costs that insurance may not fully cover. Many people facing serious health...

Automatic Stay Automatic Stay is an order that prevents creditors from taking certain actions against debtors during Bankruptcy proceedings. Once you file bankruptcy, your creditors will be notified of your filing, and the Automatic Stay comes into play. This will...