Credit Archives - Page 59 of 82

Bankruptcy Law, Credit, Timothy Kingcade Posts

Toni Braxton Bounces Back after Bankruptcy

Posted on January 28, 2014by Admin

Just months after resolving her bankruptcy troubles, R&B singer Toni Braxton has purchased a $3 million home, according to TMZ.com. She landed in financial trouble, again in 2010 when she filed for bankruptcy a second time listing debts of between $10 million and $50 million. She settled the case by paying $150,000 last July and now appears to be back on track financially.
Braxton’s recently purchased home has four bedrooms and five bathrooms and is in the same region as pop star Justin Bieber’s home in Calabasas, California.

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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

“Dance Mom’s” Star Emerges from Bankruptcy

Posted on January 13, 2014by Admin

It turns out that even celebrities can find themselves facing financial trouble. The popular “Dance Mom’s” star, Abby Lee Miller recently emerged from bankruptcy. The dance instructor, who owns a studio in Pittsburg, filed for bankruptcy on December 3, 2010, claiming assets of about $325,000, but owed more than $400,000.

According to legal documents, Miller got into financial trouble when she fell behind in real estate taxes and her property was nearing foreclosure. She also claimed that business had slowed down at her dance studio. Shortly after filing bankruptcy, the reality show “Dance Moms” which debuted in July, 2011, became her saving grace. Her case was officially discharged on New Year’s Eve and her lawyer confirms that all creditors were paid in full.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Income Inequality: Credit Card Debt threatens African American Middle Class

Posted on January 6, 2014by Admin

According to a recent report by the NAACP and the public policy research organization, Demos, middleclass African Americans are using credit to help cover basic living expenses, when income and savings fall short. According to the report, 79 percent of African Americans carry credit card debt and 80 percent have taken out loans for their education.

Interestingly, Black and White households reported different reasons for poor credit: 44 percent of White respondents cited late mortgage payments and using all or nearly all of their credit lines, while 40 percent of Black households cited late student loan payments and credit report errors.

Middle class credit use and debt levels are similar across race. The consequences are what raise eyebrows. The report found that African Americans and Whites had similar rates of card default, late payments, bankruptcy, eviction and repossession. However, indebted African American households face higher interest rates, reporting an average APR of 17.7 percent on the card where they carry the greatest balance, compared to 15.8 percent for White households.

Economic experts point out the problem is not about spending, but about income inequality and the decline in opportunity for middle class African Americans.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

South Floridian’s Credit Card Balances on the Decline

Posted on December 31, 2013by Admin

According to CreditKarma.com, South Floridians reduced their credit card debt in November by 13.5 percent from a year earlier. The balance on the average credit card in Broward, Palm Beach and Miami-Dade counties fell to $4,552, down from $5,264 in November 2012, CreditKarma.com reported.

Other debt balances, including mortgage debt fell from $191,970 to $184,061. Student loan balances also declined 2 percent from a year ago. The average student loan balance was $30,768 in November, a $752 drop from the $31,520 balance 12 months earlier.

Auto loan debt increased in South Florida, up $923 from a year ago. New car sales have also increased as the economy continues to improve. According to CreditKarma.com’s CEO, South Floridians are taking out more car loans because lenders are offering these to consumers with modest credit ratings. Some car dealerships are even offering 0 percent loans, making these type loans good to have.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Ways to Pay Down Holiday Debt Quickly

Posted on December 27, 2013by Admin

With the New Year approaching, many of us are inspired to examine our finances and get our debt under control. Below are some ways to pay down debt you may have accrued over the holidays.

• Create a list. Make a list of holiday expenditures that were paid for with a credit card. Separate the list by credit card and prioritize the debt based on interest rates. Plan on paying the cards off with the highest interest rates, first.

• Stop using your credit cards. Leave the cards at home while you are out to avoid temptation. Even if you earn reward points by using them, stop putting expenditures on these until your finances are under control.

• Use your Christmas bonus check. If you received extra money from your place of employment for the holidays, put it towards your debt. Avoid the temptation to spend it on a luxury item or vacation.

• Sell unwanted gift cards. You can sell your unused gift cards for cash at an online marketplace and use this money to pay off holiday debt. Make sure you read the fine print on each site before doing this.

• Sell unwanted gifts or personal items. Take inventory of personal items and unwanted gifts to sell on sites like eBay or Craigslist. Take quality photos and write captivating descriptions to sell these items quickly.

• Save money by transferring balances. If you are eligible for any 0 percent interest credit card offers, consider transferring your holiday debt over to one of those cards. Make sure you know how much you will be paying in balance transfer fees.

• Make a weekly payment. Do not wait until you receive your statement in the mail. Be proactive in making your debt payment. Have a goal to make weekly payments, instead of monthly payments.

• Change your spending habits. Be prepared to cut back. Tighten your grocery budget and keep household expenditures low. Keep track of how much you are saving each week/month.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Parents Accrue Additional Debt for “Happier” Holidays

Posted on December 23, 2013by Admin

According to a recent survey done by Lexington Law, 57% of parents are willing to take on credit card debt to make their children happy this holiday season. For those of us who have children, this comes as no surprise. As parents, we would go to the ends of the earth to make our children happy.

The survey revealed that parents with a household income of $35,000 or less were willing to accrue $700 in holiday debt. The surprising fact was that parents with a household income of $75,000 or more were only willing to take on $300 of debt for holiday expenditures.

The consumers who were surveyed said that last year they averaged $1,100 in charges for the holiday season. More than half of the parents said they had not saved for holiday purchases as of September, and 36% said that buying presents was more important than sticking to a budget.

One in five adults participating in the survey opened a new credit card last year during the holidays, and 5% of consumers reported they had opened three or more store cards last year. The holiday season is an easy time to pick up bad financial habits, which can lead to damage to your credit score in the New Year.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Casey Anthony’s Debts Discharged in Bankruptcy

Posted on December 20, 2013by Admin

Bankruptcy Judge K. Rodney has ruled that Casey Anthony’s debts will be discharged- except those relating to student loans and criminal fines. Anthony filed for bankruptcy in Florida earlier this year, claiming about $1,000 in assets and $792,000 in liabilities. Court papers list her as unemployed, with no recent income. Most of her liabilities are related to legal bills. Anthony has been in hiding since she was acquitted of murder in 2011 in the death her 2-year-old daughter, Caylee.

Texas Equusearch Mounted Search and Recovery will be allowed to have an unsecured claim of $75,000 in Anthony’s bankruptcy case under the terms of the settlement.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

College Executive Pay Soars at the Expense of Students

Posted on December 18, 2013by Admin

40 college presidents took in more than $1 million each in 2011, according to a recent report published by The Chronicle of Higher Education. The data provided in the report outlines the compensation provided to 550 chief executives at 500 private nonprofit colleges in the U.S. during the 2011 calendar year.

Out of the 550 college executives, 180 of them received more than $500,000 in compensation during 2011, while the top 42 received more than $1 million. Much of the compensation came from bonus pay, deferred compensation, and nontaxable benefits, similar to how many corporate CEO’s are paid.

Robert Zimmer, the president of University of Chicago, was the top earner of 2011 receiving a total compensation of $3,358,723. His base pay, $917,993, made up only 27 percent of his total earnings. Joseph Aoun of Northeastern University took in $3,121,864, making him the second highest paid college president. His base pay was $674,498, a mere 21.6 percent of his total compensation.

Meanwhile, a report published recently by the Institute for College Access & Success Project on Student Debt reported that the average college graduate in 2012 left school with an average of $29,400 in student loan debt. This amount increased from an average of $26,600 in 2011. In addition, it was reported that seven of every ten college seniors graduated with student loan debt, one fifth of which was owed to private lenders who charge exorbitant interest rates.

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Credit, Foreclosures, Timothy Kingcade Posts

Trend Alert: U.S. Mortgage Trouble Threatens

Posted on December 17, 2013by Admin

Mortgage trouble threatens as U.S. borrowers are reportedly missing payments on home equity lines of credit taken out during the housing bubble. The loans are a problem now because many are hitting their 10-year anniversary, at which point borrowers usually are required to start paying down the principal on top of the interest, they have been paying all along.

This trend could deal another blow to the country’s biggest banks, as more than $221 billion of these loans from Bank of America Corp, Wells Fargo & Co, Citigroup Inc, and JPMorgan Chase & Co will hit this mark over the next four years. Approximately 40 percent of the home equity lines of credit are now outstanding. This shift could more than triple the average consumer’s monthly payment. Another problem, these loans usually carry floating interest rates.

For example, a consumer with a $30,000 home equity line of credit and an initial interest rate of 3.25 percent would see their required payment jumping to $293.16 from $81.25, analysts from Fitch Ratings calculate.

Banks aggressively marketed home equity lines of credit before the housing bubble burst. Big banks, including Bank of America Corp, Wells Fargo & Co, Citigroup Inc, and JPMorgan Chase & Co have more than $10 billion of these home equity lines of credit on their books each, and in some cases more than that.

That is why the loans are starting to be problematic: For home equity lines of credit made in 2003, missed payments have already started increasing. A high percentage of home equity lines of credit went to people with poor credit — more than 16 percent of the home equity loans made in 2006, for example, went to people with credit scores below 659, seen by many banks as the dividing line between prime and subprime.

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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 Kingcade & Garcia website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Timothy Kingcade Posts

$34 Million Settlement Received for Consumers Victimized by Medical Credit Cards

Posted on December 15, 2013by Admin

GE Capital has agreed to pay up to $34 million to resolve allegations that it misled consumers about the terms for credit cards offered by doctors to pay for medical procedures. This is the first settlement of its kind involving medical credit cards, which doctors and dentists offer to patients to finance expensive treatments, typically not covered by insurance. While these medical credit cards resemble other credit cards, there is a critical difference: they are marketed by caregivers to patients, often at vulnerable times, such as when those patients are in pain or when their providers have recommended care they cannot afford or insurance will not pay for.

The recent settlement comes as the Consumer Financial Protection Bureau is scrutinizing deferred interest financing plans, under which borrowers pay no interest for a set period of time, but are later hit with higher interest rates, oftentimes much higher than traditional credit cards. Credit card issuers have come under fire over disclosures for marketing medical credit cards, which often come with initial interest rates of 0% that later jump to double-digit rates if the amount owed is not paid off in full before the promotional period ends. Deferred interest cards, increasingly common in medical offices, are also offered widely by retailers with deferred financing terms for big purchases.

CareCredit, a division of GE Capital, is the largest issuer of medical credit cards with around four million cardholders and 175,000 participating medical offices. The CFPB said CareCredit placed borrowers in a financing plan without ensuring that the medical office staff selling the plan gave a thorough explanation as to the terms and conditions of these cards. The bureau said many consumers believed they were not being charged interest, when they were actually being levied nearly 27% interest after an initial interest-free period.

The settlement has resulted in GE Capital having to notify more than 1.2 million consumers that they can file a reimbursement claim for interest charges and fees. In addition, CareCredit must contact new consumers directly within 72 hours of taking out a credit card loan to explain the terms and conditions to them.

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