Debt and uncontested divorce

Uncontested divorce with children

Deciding to end a divorce is just as important has deciding to get married, and neither choice should be entered into likely. While no one wants to get a divorce the inevitable is bound to happen. The quickest way to recover is to accept what is about to happen and move on. However, this theory may be a little difficult to do when children are involved. The most important factor to consider in an uncontested divorce is the children and what effect a divorce will have on their well being. They too must learn to accept and cope with a one parent home. However, there are some steps that parents can take to help make the process easier.

An uncontested divorce can work to the advantage of most couples where children are involved. They have the freedom to sat down and come to an agreement on issues that will ultimately impact their present and future well being. The court may recommend that the children involved participate in my parent is getting a divorce class. This will help them realize that they are not the blame for the separation, and they still have both parents, but in separate homes.

Separate homes usually mean custody issues. Both parents will more than likely share custody, and in some cases only one parent is given full custody of the children. If this is the case the other parent is required to pay child support. This amount can be reached outside of the courtroom by both parties or inside the courtroom by a judge. High debt and uncontested divorce is a workable plan that can work in the best interest of the entire family. If high debts need to be resolved, work out a payment plan with the creditor. Agree to pay a reasonable amount in child support. If the court insists on insuring the children, placing them on the job’s insurance plans are a lot cheaper.

Sell off as much property as necessary; if it is of no use to neither party, take the money and pay off debts that could affect both parties in the near ahead. Eliminating financial debt before getting an uncontested divorce means that children can look forward to financial support in a timely manner and both parties are practically debt free. Most couples will have already worked this part out before they enter the courtroom and ask for an uncontested divorce with children.

How much would an uncontested divorce cost?

There can be a large variance in the cost of an uncontested divorce. Attorneys are known to advertise anywhere from $90  to $1000. Generally the lower rates are for a very specific uncomplicated case and will go up in large increments if children or other complications arise. Getting an attorney that offers a flat fee for uncontested divorce is your best bet. The court fees for filing your divorce will vary from state to state. It is generally around $250.00 to file for a divorce with the court. You will need to check with your local courthouse for exact filing fees in your area. If uncontested divorce is at all possible it is in the best interest of everyone involved and in the long run will save you a bundle of money.

1. Should I file bankruptcy now or wait
2. What type of bankruptcy should I file
3. What property can I keep after a chapter 7 bankruptcy?

Fair debt collection practices act

Playing by the rules –  Fair debt collection practices act

The Fair Debt Collection Practices Act (FDCPA) provides a guideline that must be followed by a debt collection agency attempting to collect a debt. The Fair Debt Collection Practices Act FDCPA was enacted in to law in 1978 in order to protect consumers from being subjected to deceptive and abusive practices by those attempting to collect a debt. The Statute is quite comprehensive and lists behaviors that are prohibited as well as behaviors that must be followed.

  1. Prohibited conduct includes a wide range of items. Some of the most important actions and behaviors that are not allowed under this statute include not being able to contact a consumer at all hours of the day. Debt collectors may only call consumers between 8:00 am and 9:00 pm local time.
  2. Threatening to have the debtor arrested or to initiate legal action as a scare tactic is absolutely not allowed.
  3. Profane language, misrepresentation and any attempt to embarass or disparage a person that owes money will be dealt with severely under the provisions of the FDCPA.

These are some of the things a debt collector can not do. There are many others outlined within the statute. There are also a number of things a debt collector must do in their attempt to collect.

  1. In every communication, by phone, mail or any other manner, they must identify the communication as being from a debt collector.
  2. They must inform you of the original creditor within 30 days of a written inquiry by the consumer.
  3. The consumer has the right to know all the details of the alleged debt.
  4. The debt collector must provide verification of the information being used to try to collect the debt if so requested by the consumer. Failure to provide such information means that the debt collector must stop pursuing the debt .
  5. If the debt collector decides to file a lawsuit, the lawsuit must be filed in the jurisdiction where the consumer lives or where he signed the original contract.

The Fair Debt Collection Practices Act Statute of Limitations keeps a debt collector from pursuing a debt that may have been incurred twenty years back. Consumers should know their rights by reviewing the Fair Debt Collection Practices Act. You don’t have to take any abuse.

You must read, “How to deal with credit card collection agencies” and “Debt negotiation“.

Student loan consolidation

Finding help with your student loan

If you are a college student and you find your debt mounding, there are a number of ways to find help. It is possible to find relief through medical school loan consolidation, finding additional aid, or even begging the credit companies to reduce your monthly payment. Since this nation understands that education is vital, both law and creditors are fairly lenient about how you are made to repay debt. Make no mistake, you are still bound to repay it, and only bankruptcy or permanent injury can free you from your obligation.

Make no mistake: loan consolidation is big business. There generally is no penalty for repaying a student loan early, as there often is with other long-term, fixed-rate loans. If you have many loans, or if a parent has several children going to college and wishes to arrange their various loans into a single payment, then consolidation is also possible. Having only one payment is simpler than having many, as even a single student can arrange for quite a few within a few years. Federal and private services, such as, are eager to provide this service. Through such services, it is possible to arrange repayment lengths of up to 30 years. It is also possible to sometimes find a better interest rate.

There are other options. Having a job while in school can ease your financial burden considerably, and there are many sources of financial aid. Some institutions help you repay your loan as part of your incentive, and it is also possible to find more grants even while in school. It may pay to go to a cheaper school for certain credits. It all else fails, it is possible to beg the credit company to lower your payment. Interest will still accrue, and you must still repay the total amount, but it is possible to only pay interest until you find a happier position in the workforce.

1. “Debt negotiation
2. “Pre bankruptcy credit counseling

Debt negotiation

Debt negotiation companies

In this economy many people are finding it difficult to make payments on their debt, which has increased the use of the services of debt negotiation companies & debt negotiation attorneys. They can help someone pay off their debts for less than what is owed. They do the negotiating with the lender for a fee paid by the consumer. While there are scams, there are many reputable debt negotiation companies. Once you think that debt negotiation is your best course of action you can begin your search in the phone book or online for reputable companies that specialize in debt negotiation. When researching possible companies to use, you should check with the BBB to see how the company rates and if there have been any complaints.

Using the services of a reputable company, such as debt negotiation associates or an individual debt negotiation attorney will enable you to get the best possible debt reduction deal. Since they deal with companies on a regular basis they are familiar with their process and policies on debt negotiation. Using the knowledgeable services of a company specializing in negotiation will not only save you money but a lot of time. Additionally, they can help insure that your settlement agreement is legally binding. It is important to investigate the terms and conditions prior to signing up with anyone, as there is a wide range of prices and service levels.

  • The Federal Trade Commission now requires that nonprofit debt relief companies must not collect a fee until they actually have been successful at negotiating with creditors.
  • To be compliant the company must also give a written agreement or plan that both the creditor and consumer agree to.
  • They are not allowed to misrepresent their abilities, must clearly state what the cost of the service is, and how long the process should take.
  • Understand that individual results of debt negotiation will vary even within the same company.

It is important to understand that not all debt can be eliminated or negotiated. Secured debt like a home mortgage or car cannot be negotiated. However, unsecured debt that can include things like credit cards and personal loans can be successfully negotiated for a fraction of what is owed. You will typically have two options to consider, either a lump sum payment or a reduced rate payment over time. A lump sum payment will clear up your account faster than payments over time.

1. “2nd mortgage debt consolidation
2. “Refinancing with poor credit score

2nd mortgage debt consolidation

Second mortgages and bankruptcy options

Filing for Chapter 7 bankruptcy means that you will be able, or will be forced, to surrender some of your possessions in lieu of paying off the loans. One of the questions that comes up often is how a 2nd mortgage bankruptcy works during Chapter 7 proceedings.

Will Chapter 7 wipe out my 2nd mortgage loan?

This question is one that people have frequently over the course of bankruptcy proceedings, and the short answer is that no, it will not. A second mortgage, also called a home equity loan, is a lien against your house. That means that your home is securing this loan, and if you plan to keep your home, then you cannot have the second mortgage loan discharged.

The exception is that if you are surrendering your home, then you may be able to get rid of your second mortgage. That’s because the property used to guarantee the loan is no longer yours. The complication here is that your home already has a loan against it. Your primary mortgage is simply a loan against your home, and that loan has “first right” over 2nd mortgages in bankruptcy proceedings. That means financial institution holding our primary mortgage will sell your house, and the proceeds go toward that loan.

The second mortgage can be paid only if the house fetches more than you owe on the primary mortgage, which is rare for a house surrendered in bankruptcy. In a Chapter 7 bankruptcy, that means you may have to roll the second mortgage into your reorganized debt repayment, depending on your income and other debts.

In some cases, you will be able to find a company to do refinance 2nd mortgage loans. In this case, you may be able to get your interest rate lowered or your term stretched to help you make the payments. Once a bankruptcy is complete, however, most people need to wait at least six months before they are able to get a refinancing loan completed.

The best way to find out how to handle a second mortgage during bankruptcy is to seek out someone who is adept at handling these proceedings and can advise you on your debt consolidation options. There may be choices other than continuing to pay at the current rate or losing your home, and someone with a specialization in debt consolidation plans can help you wade through the choices to determine what’s best for you.

How to eliminate credit card debt without filing bankruptcy

Tips for eliminating credit card debt without filing for bankruptcy

The changes in credit card agreements did only one thing for card holders. It put them into even more debt than before. Picky fees for various reasons, extreme interest rates raised with no warning, and exorbitant charges if the payment is even one minute late. It’s issues like these that send people seeking ways to reduce credit card debt. Can you get credit card debt forgiven without bankruptcy? The straight answer is NO.

First, the consumer should take a look at existing options for eliminating debt. The most well known method is to use a debt consolidation loan. Consolidation loans are literally a loan that consolidates all of the debts into one balance. No having to make multiple payments at random times during the month. All outstanding card balances are now under one umbrella and at a much lower monthly payment.

Be aware that there are potential problems with taking a consolidation loan. There are unscrupulous outfits out there who are willing to take advantage of the desperate consumer. These companies will do as they advertise, which is consolidate the loan. But they will do it at a higher rate of interest for a longer period of time. The debt holder will wind up servicing the debt for a lot longer than they would have been had they simply left the debt on the card.

The other side of the coin is discipline. Credit cards do not simply disappear because the balances are cleared. They’re still in the wallet, waiting to be used again. Consumers make this mistake over and over again. Putting all of the balances into one gives a feeling of getting ahead and that it’s OK to use the cards again. And nothing could be farther from the truth. The consumer will wind up back where they started if they don’t change their habits for good.

Seek out a loan consolidation company that offers a low rate of interest and counseling. Both aspects provide nothing but a world of good to the debtor. The loan will be paid off in a manageable amount of time while learning how to stay out of trouble in the future. And the best part on top of all of this? Bankruptcy has been avoided, the credit rating is untouched, and the road to eliminating debt has been started on. By doing it right, a debt consolidation loan makes for the smartest choice for financial freedom.

1. I need to file bankruptcy. What type of bankruptcy should I file
2. Chapter 7 bankruptcy rules and regulations