Under federal law, there are several types of bankruptcies available to debtors. A Chapter 7 is the most common form of bankruptcy, and involves a process of liquidation. In a Chapter 13 bankruptcy, a debtor does a reorganization and proposes…
Posts Categorized In: Credit
California Debt Blog: The Great Bail Out Fraud
I received two emails today from clients asking about the credit card bail out that they read about on the internet or heard about on the radio. Apparently, some folks are advertising about how people who owe more than $10,000…
California Debt Blog: Removing an item from your credit report
A lot of people are doing a “New Year, New You” type program. You can buy new diet products or you can get a Bowflex on sale. But now is also a good time to review your credit report. As…
California Debt Blog: Break the Payday Loan Cycle
I have had a few people calling me lately with the same issue: they took out a payday loan and they did not pay it back. Now, they are being harassed by a debt collector and they want to take…
California Debt Blog: Bad credit mistakes
Yahoo Finance and Creditcards.com have a story on how bad your credit mistakes are. Here is their list of how bad things are on a scale of 1 to 10: 1. Using a card in a pinch: 2 2. Paying…
California Debt Blog: Credit Score Impact: Short Sale versus Foreclosure
People ask me about the difference between a short sale and a foreclosure as it impacts their credit score frequently. There are no hard and fast rules. It depends on your situation. However, here are some guidelines: A short sale…
California Debt Blog: Watch Your Credit Card Statements Closely
Bad news for consumers: credit card companies are closing cards and raising interest rates. The latest is Advanta announcing that they are closing accounts. From the press release: “the Company will shut down all credit card accounts to future use…
California Debt Blog: Debt Collector Posted on Myspace
Yes, a debt collector posted about someone’s debt on Myspace. The collector decided it would be a good idea to post something on the debtor’s Myspace page about the debt. This is a violation of the FDCPA. The only thing…
California Debt Blog: FAQ: Should I pay a store credit card?
Q: I have a credit card with a store that is going out of business. I have read on the internet that I should stop paying my credit card. Is this true? A: NO! Do not stop paying your credit…
California Debt Blog: Interest Rates Raised by Capital One
News out of the world of credit cards: Capital One has raised interest rates for almost 70% of its customers. Why? Because it can. Yes, your credit card company can change your interest rate for any reason -or no reason…