Bankruptcy Law Archives - Page 112 of 128

Study Finds People Diagnosed with Cancer More Likely to Declare Bankruptcy

Posted on May 22, 2013by Admin

According to a recent study from Fred Hutchinson Cancer Research Center, people diagnosed with cancer are more than two-and-a-half times more likely to declare bankruptcy than those without cancer. Researchers also found that younger cancer patients had two- to five-fold higher bankruptcy rates compared to older patients, and that overall bankruptcy filings increased as time passed following diagnosis.

“This study found strong evidence of a link between cancer diagnosis and increased risk of bankruptcy,” the authors of the study wrote. “Although the risk of bankruptcy for cancer patients is relatively low in absolute terms, bankruptcy represents an extreme manifestation of what is probably a larger picture of economic hardship for cancer patients.” Medical debt is one of the main causes of filing for bankruptcy. In fact, it’s a contributing factor in more than half of all bankruptcy filings. This study raises important questions about the factors underlying the relationship between cancer and financial hardship.

Click here to read more about the study that links cancer diagnosis to an increased risk of filing for bankruptcy.

If you are in a financial crisis and are considering filing bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Obama’s Latest Student Loan Policy Faces Scrutiny as Student Borrowing Costs Increase

Posted on May 21, 2013by Admin

A nonpartisan government report has shown that the Department of Education is forecasted to earn a record $51 billion profit off student borrowers this year. The Huffington Post highlighted the estimate by the Congressional Budget Office, which showed that the Education Department was forecast to report higher earnings this year than Exxon Mobil and nearly as high as those of the four biggest U.S. banks combined!

Congressional Democrats are scrutinizing President Obama’s latest student loan policy and urging for structural reforms. One member of the House of Representatives stated, “We don’t see students or their parents as profit centers, and we don’t think it’s an appropriate concept to be acting like a market-driven bank here.”
The increasing gap between what students and families pay to finance a college education and what the U.S. government pays to borrow has led to record profits for the Treasury. President Barack Obama’s plan, features lower rates than the House Republicans’ plan, though unlike the Republicans’ plan it does not cap interest rates in case the U.S. government’s borrowing costs rapidly increase. The president’s plan would expand a program signed into law by George W. Bush that would tie monthly repayments of federal student debt to borrowers’ income. However, that part of Obama’s proposal was not seriously pursued during the education committee meeting.

Bankruptcy Law, Timothy Kingcade Posts

Detroit the Latest City to File Bankruptcy?

Posted on May 17, 2013by Admin

A recent report by Detroit’s emergency manager declares that the city is broke and at risk of running completely out of money. This financial meltdown could mean employees do not receive paychecks, retirees lose their pensions and residents endure even deeper cuts in municipal services.
If Detroit cannot bounce back from this devastation, the only remaining option appears to be bankruptcy. In March 2012, Detroit borrowed $80 million from Bank of America to avoid running out of money. However, in the last year there has been no improvement. The budget deficit that a few months ago was believed to be about $327 million could reach $386 million before July 1. The city also owes more than $400 million, including $124 million for public improvement projects. Its long-term debt tops $14 billion.

Click here to read more about the latest city on the verge of filing bankruptcy.

Bankruptcy Law, Credit, Timothy Kingcade Posts

How to Rebuild your Credit after Filing for Bankruptcy

Posted on May 15, 2013by Admin

A poor credit score can affect everything from your credit card and mortgage interest rates to your insurance premiums. It can even affect your employment prospects. Repairing credit takes time, but it’s not impossible. If you are in the subprime category because of a foreclosure or bankruptcy, below are some steps you can take to start improving your credit and getting your score above the all-important 700 mark.

1. Get a secured credit card: A secured credit card can be a good payment method to keep you out of debt. If you deposit $500 to your card, your credit limit becomes $500. Make sure that the issuer reports your activity to the three main credit bureaus (i.e. – TransUnion, Experian and Equifax) to help raise your score.

2. Use Retail or Gas Cards: As your credit score improves with secured or prepaid cards, you will eventually qualify for retail cards from department stores and gas stations. The interest rate on these cards is often high making it essential that you don’t hold a balance beyond the grace period.

3. Beware of Quick Fixes: Do not pay a lot of money to somebody promising to rebuild your credit in a short amount of time. There are no quick fixes. It will take time to repair your credit, but you will likely have a score above 700 before the bankruptcy falls off your report.

Click here to read more about how to improve your credit after filing for bankruptcy.

Bankruptcy Law, Credit, Timothy Kingcade Posts

South Floridians’ Average Credit Score Declines despite Paying Down Debt

Posted on May 14, 2013by Admin

Despite debt dropping in South Florida, credit scores have actually worsened from a year ago making it hard for consumers to capitalize on low interest rates and qualify for personal loans. According to CreditKarma.com, the average credit score in Broward and Miami-Dade fell to 646 in March after it had been at 658 a year earlier, even though credit card, mortgage and student loan balances improved during the same period. Credit Karma’s CEO, Kenneth Lin, attributes this to South Florida still experiencing fallout from being among the hardest-hit U.S. metro areas for foreclosures, short sales, bankruptcies and layoffs during the Great Recession.

Consumers being late even once in making a monthly credit card payment can hurt their credit score. Banks also could have inadvertently lowered many consumers’ scores when they cut credit card limits during and after the recession. Consumers also could have hurt themselves by closing accounts, which lowers their borrowing limit. Many young South Floridians with student loans are unfairly marked down because when their payments are deferred, they are scored as if they are delinquent in paying.

So what can consumers do to turn this trend around? Young people can apply for credit cards to have their on-time payments reported to improve their credit scores. You can also make sure the three credit reporting agencies- TransUnion, Experian and Equifax are free of errors. All South Floridians should check their credit reports once a year to make sure there are not any mistakes that can hurt their score.

Click here to read more about the average credit score decline despite South Floridians paying down their debt.

Bankruptcy Law, Timothy Kingcade Posts

Bankruptcy Costs Attacked

Posted on May 13, 2013by Admin

A recent article in the Wall Street Journal reports that Federal watchdogs are preparing to exert more control over costs in big bankruptcy cases. The new guidelines are expected to be unveiled July 1st and aim to cap fee and expense applications submitted by attorneys for corporate debtors and sometimes creditors. The concern with these new guidelines is that unjustified costs can give the impression that professionals are ‘feasting off a corporate carcass that rightly belongs to the people and businesses they are serving.’

In large Chapter 11 cases, the corporate debtor typically foots the bill for its own lawyers and advisers and professionals retained by some creditors. Judges ultimately decide whether to approve expense and fee requests. U.S. trustees, who are Justice Department employees, watch over the conduct of parties in large corporate bankruptcy cases, including examining fees and expenses. The proposed guidelines, which are expected to apply to attorneys in bankruptcy cases with $50 million or more in assets or liabilities, have gone through two drafts so far.
Some in the field say time and money spent scrutinizing small costs itself adds up and can distract from the bigger task of repayment and reorganization. The push on costs comes as expenses from flights and hotels to photocopies and minibar candy billed by bankruptcy professionals are under greater scrutiny, according to dozens of lawyers and other advisers.

Click here to read more on bankruptcy costs being attacked http://online.wsj.com/article/SB10001424127887324031404578479250357752788.html

Bankruptcy Law, Credit, Timothy Kingcade Posts

5 Ways to Save for Your Summer Vacation

Posted on May 10, 2013by Admin

1. Start a Separate Savings Account: Those who have the most success in saving for a summer vacation are those who start a separate savings account. From now until vacation time, save all the extra money you can and you can also accrue some interest, as well. One of the best ways to not be tempted to spend it is to set it up so that some of your paycheck automatically goes into this account.
2. Book Ahead: If you are planning to fly, start looking at all of your flight options early. As the summer months approach, flight prices will skyrocket. It is best to book as early as you can for your summer vacation. This is also true of hotel rooms.
3. Live Frugally: It may be that you have to miss a concert or weekend get-a-way with your family or friends; however, it will pay off when it is time for your vacation. Plan your vacation for later in the summer in order to save up some money beforehand. One simple way to live more frugally is to reduce your grocery bill by cutting back on some of your more expensive snack items.
4. Use your Travel Reward Points: Many credit card holders miss out on a ton of savings by ignoring their reward points! If you have a credit card or multiple cards that rack up on travel points, now is a great time to cash them in.
5. Go All-inclusive: Some all-inclusive deals are the best ways to save money on vacations. Look for these types of deals for cruises or at resorts and it can save you a bundle, especially if you are traveling with children.

Click here to read more on the five best ways to save for your summer vacation.

Bankruptcy Law, Credit, Timothy Kingcade Posts

South Florida Families Struggle with High Cost of Living

Posted on May 7, 2013by Admin

According to a recent report by the Center for Housing Policy, approximately 41 percent of the low to moderate-income households across the three South Florida counties are spending more than half of their incomes on housing. Financial experts recommend families devote no more than 30 percent of their paycheck to housing costs. Although the economy in South Florida has shown signs of recovery in unemployment rates and lower home prices, the rental market and lack of salary growth are keeping housing costs high across Miami-Dade, Palm Beach and Broward counties.

According to the 2011 U.S. Census data, some of the factors contributing to high housing costs include:

• Property owners taking control of the rental market.
• Former homeowners not qualifying for mortgages because of poor credit.
• Some would-be buyers either not having enough money for a down payment or facing a shortage of properties for sale.

Click here to read more about South Florida families struggling with the high cost of housing.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Credit Reports More Accurately Reporting Debts Discharged in Bankruptcy

Posted on May 6, 2013by Admin

As a result of a class-action lawsuit settlement, the three major credit-reporting bureaus have made efforts to properly update credit reports after consumers have filed for bankruptcy. When you file for personal bankruptcy protection and you have debts that are discharged as a result, your credit report is supposed to be updated to show that you no longer have those debts to pay. Although the bureaus are working to ensure consumers’ credit reports are more accurate, consumers should be aware that their discharged debts will not immediately disappear from their credit reports. Prior to the class-action lawsuit, the bureaus were frequently failing to update consumers’ reports, making it hard for them to be approved for credit after filing for bankruptcy. An incorrect credit report not only incorrectly reflects their debt-to-income ratio, but it also makes it hard for consumers to improve their credit score.

The class-action lawsuit started as multiple lawsuits in 2005 and 2006. The case said that the three major credit bureaus, Experian, Equifax and TransUnion, were issuing credit reports stating that consumers were delinquent on loans and other forms of debt that had been eliminated through bankruptcy. Some plaintiffs in the case claimed that the three credit bureaus did not look into the errors, even after they had filed a complaint. Although the lawsuit was thrown out in the appeals court, improvements to the bureaus’ bankruptcy reporting procedures were already underway. A $45 million financial settlement in the suit was approved by the trial court, but later thrown out by the appeals court because the court claimed some plaintiffs in the case stood to benefit more than others.

Click here to read more about credit reports more accurately reporting debts discharged in bankruptcy.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Don’t Let Your Credit Card Rewards Points go to Waste

Posted on May 3, 2013by Admin

Credit Card Rewards points are a major marketing factor for credit card companies; however, few people are actually cashing in on the points they earn. A recent study conducted by thepointsguy.com showed that nearly 73 percent of credit card holders enrolled in a rewards program or frequent traveler program do not know how many points they have accumulated. Below are some tips on the best ways to accumulate, track and maximize the points you earn.

• Shop Differently: One expert says he never buys anything online without first checking airlines’ shopping malls. You will find that items are the same prices and you can get bonus miles in addition to what you earn on your credit card. After you rack up some points, use them to upgrade your flight from coach to business or first-class.
• Minimize Programs, Maximize Rewards: Mike Sprouse of Sprouse Marketing says the best way to maximize your rewards programs is to keep them to a minimum. This will make it easier to track and accrue points. Sprouse says that most of the companies that offer rewards programs count on you never redeeming them and having points spread out over fewer programs will ensure your redemption opportunities are on your mind.
• No Credit Card? No Problem: Even if you opt out of using credit cards or credit cards that offer rewards programs, you can still cash in on points programs. For example, Southwest’s Rapid Dining Program allows you to earn points by eating somewhere or going to certain clubs. Do your research and find the points programs that work for you.

Click here to read more on tips to use your credit card rewards points.