Car repossessions have reached a figure not seen in over a decade. According to Fitch Ratings, the number of subprime auto borrowers who were at least 60 days past due on their car payments increased to 5.67 percent (5.67%) from 2.5 percent (2.5%), which was the figure reported in April 2021.
Numbers like these have not been seen since January 2009 when 5.05 percent (5.05%) of subprime car borrowers were at least 60 days late on their car payments during the peak of the Great Recession.
MIAMI (February 28, 2023) — The Miami-based bankruptcy law firm of Kingcade Garcia McMaken has been awarded one of the ‘Best Bankruptcy Lawyers in Miami’ for 2023, by Expertise for obtaining the highest scores in consistency, qualifications, reputation, experience & professionalism.
“We are extremely honored to have received this award,” says Founding Partner and Managing Shareholder, Timothy S. Kingcade. “In today’s competitive legal environment, clients have an increasing number of options when choosing an attorney. It is important that clients and potential clients know how serious we take quality customer service and business ethics. This is a true testament to the commitment we have to our clients and the standards we uphold as a law firm.”
The U.S. Supreme Court will be hearing arguments this week over two legal challenges brought against President Biden’s student loan forgiveness plan. The decision from these challenges could make or break Biden’s overall plan for loan forgiveness, affecting tens of millions of American borrowers.
Since President Biden made his initial announcement regarding his loan forgiveness plan, his policy has faced six legal challenges. The two challenges before the high court now have consolidated these suits. One legal challenge has been brought by six states, including Arkansas, Iowa, Kansas, Missouri, Nebraska, and South Carolina. The other challenge has been backed by the Job Creators Network Foundation, a conservative-based advocacy group.
U.S. consumer bankruptcy filings are on the rise again, across all chapters, according to data recently published by Epiq Bankruptcy. This increase in filings represents a change in the trend previously seen with new bankruptcy cases, as numbers have been on the decline since the start of the COVID-19 pandemic.
According to Epiq, the total number of commercial bankruptcy filings increased by twelve percent (12%) in January. In January 2023, 1,694 new commercial bankruptcy cases were filed, as compared to 1,508 filed in January 2022.
MIAMI – (January 31, 2023) Managing Shareholder, Timothy S. Kingcade of the Miami-based bankruptcy law firm of Kingcade Garcia McMaken has received the 2023 AVVO Clients’ Choice Award. To obtain this award, an attorney must receive five or more exceptional client reviews in the same year. Kingcade has been awarded the Clients’ Choice Award 10 years in a row.
One of attorney Kingcade’s clients had this to say on AVVO:
The law firm is very much customer focused. In my case, I was referred by a previous client and the procedure to start working with them is easy and painless, they set an appointment and Mr. Kingcade himself interviewed me, precise, concise, and straight to the point. He made everything crystal clear. Then the information phase started, they asked for a list of documents and statements and gave me enough time to collect them all. In the end, the results were stellar. I can recommend Kingcade & Garcia from here to the moon. Excellent service! -J.G.A
A number of homeowners are facing the possibility of losing their homes over second mortgages that they had taken out over a decade ago. Many of these homeowners believed that their second loans were either rolled in with their first mortgage payments or were forgiven. Unfortunately, these loans did not go away and now are legally collectible, even if they are years old. This type of debt is often referred to as “zombie debt.”
What are zombie debts? Essentially these debts are old loans being pursued with new collection actions.
The Biden administration has created new pathways for borrowers struggling to pay their federal student loans. These measures are giving cautious optimism to critics who say that financial relief is not available for those struggling with student loan debt.
The Departments of Justice and Education made an announcement regarding a new process that would allow bankruptcy borrowers to discharge their federal student loan debts. These departments stated this move will hopefully reduce what they call “unnecessarily burdensome and time-consuming” investigations.
The number of U.S. corporate bankruptcy filings have fallen to a low not seen in over 13 years, which has many financial experts questioning whether this trend will continue into 2023.
In 2022, 391 companies filed for bankruptcy. This number is the smallest amount reported from any other comparable period dating as far back as 2010 where 828 corporate bankruptcy cases were filed, according to data from S&P Global Market Intelligence. This drop in filings came after a rise in filings was seen in December when 49 filings were made, as compared to the 31 filings made in November. November and December 2022 saw more filings than any other month in 2022, but the year still ended with a low number of overall corporate filings.
American consumers are falling back into bad spending habits when it comes to credit card use, according to a recent study released by the personal finance website, WalletHub. Credit card debt increased by $39.6 billion during the third quarter of 2022. This increase is part of a larger trend that started in 2021, if not before.
During 2021, U.S. consumers added a total of $86.2 billion to the nation’s credit card debt balance. In the fourth quarter alone in 2021, credit card debt increased by $73.1 billion. Consumers did start the new year off well enough in 2022 by paying down approximately $12.5 billion in credit card debt, only to add $67.2 billion during the second quarter, followed by $39.6 billion during the third quarter. This figure is a record for Q3 reports.
High interest rates and high inflation are making it harder than ever to pay down credit card debt. American consumers started the year with over $1 trillion in outstanding credit card debt.
According to a recent study, the average U.S. household has over $8,900 in credit card debt, which is up 4.5 percent (4.5%) from last year. Consumers in certain cities seem to struggle more than others. This fact was recently documented in a study produced by personal finance website, WalletHub, listing which American cities had the least sustainable credit card debt.
