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Archive for July, 2010
As I continue to provide news relating to employment and bankruptcy here is my Bankruptcy in Indiana series, I’m constantly on the alert not only for news items about jobs, but also about groundbreaking court cases that can impact the lives of my readers and Indiana bankruptcy clients.
I’ve got all my colleagues and friends into the project as well. One of the Columbus bankruptcy lawyers who works in the Mark Zuckerberg bankruptcy law offices brought a recent court case to my attention that is a really “big deal”. As a debt consolidation lawyer offering bankruptcy services in Indiana, I can already name quite a number of people for whom this decision two weeks ago is going to make a huge difference.
According to Inside Indiana Business, the 3rd U.S. Circuit Court of Appeals has ruled that Visteon Corporation cannot terminate health and life insurance benefits for its 2,100 retirees in Indiana.
A decline in housing prices and home loans has improved the outlook of the housing market and fears of a new housing slump, according to new figures.
The figures from Nationwide show a reduction of 0.5% in the prices of houses in the UK during July, after the preceding months saw a slow decline in home prices, before remaining stable in June.
The average house price is only 6.6% higher than one year ago, a decline from 8.7% in June, and costs an average of £169,347 according to Nationwide’s figures.
Nationwide’s research is supported by other figures from within the housing industry including the first successive fall month-by-month according to Halifax’s Price Index, while the Royal Institution of Chartered Surveyors has reported the lowest buyer demand for homes in two years.
The slowdown in mortgage lending and the prices of homes has been attributed to reduced consumer demand for homes, as well as an increased supply in homes up for sale.
Figures from the Bank of England also showed that the number of mortgage approvals had fallen in June and that lending overall had also dropped.
As Nevada continues to lead the country in per capita bankruptcy filings, many Las Vegans are concerned they might be fired or face other retaliation by their employers if they file bankruptcy.
Nevada, like most states, considers employees “at will” which means that employees can be fired for any reason or even no reason as long as it is not done in violation of certain public policy protections such as race or gender. However, bankruptcy code specifically states that employees may not be fired simply because they filed for bankruptcy. The Bankruptcy Code, at 11 U.S.C. sec. 525(b),
Look Out for More (Legal) Credit Card Fees
With the Credit CARD Act set to take full effect on August 22, many credit card issuers are reportedly already altering their policies to come into compliance with the law. And, because that law seriously limits some of the fees issuers can charge (including overdraft fees), many banks are also, according to this article, introducing new fees.
What You Might Notice
Make sure you’re reading your credit card statements closely in the coming months, as any new fees will be mentioned there. Here are some you might encounter:
- Annual Fee: This isn’t a new one, but many issuers have abandoned annual fees in favor of inactivity fees, charging customers who don’t use their cards often enough. Because the CARD Act outlaws inactivity fees, sources note that you should expect the annual fee to work much the same way: if you make enough purchases, your issuer might waive the expense, but if you don’t spend a minimum amount of money (i.e. if your
My mother was right. In the course of twenty-plus years in practice providing bankruptcy services in Indiana, dealing with tens of thousands of individuals filing personal bankruptcy in Indiana, plus thousands of Indiana small business bankruptcy cases, I’ve realized that what she always used to say is absolutely true – everything that happens affects everything else.
Almost exactly two years ago, in Bankruptcy in Indiana, I wrote a piece called “Cities Can File Bankruptcy, Too!” I was referring to Vallejo, Califormia and McCall Idaho, two cities that had filed bankruptcy under a new section of the bankruptcy code called Chapter 9, just for municipalities. (
Bankruptcy soars amongst women
New figures have shown that the number of insolvencies amongst women in the UK has soared in the past ten years, with credit cards being the main cause of debt problems.
The research by the Insolvency Service revealed that 40% of all bankruptcies are attributed to women, with 29,680 cases in 2009. This is a huge jump from the year 2000 when there were only 6,042 female bankruptcy cases.
According to the research younger women find it harder to manage their finances, with the majority of bankruptcy cases occurring in the 25-44 age group.
Graham Horne, the deputy chief executive at the Insolvency Service, said: “These figures show that more and more young women have levels of debt incurred through trying to maintain lifestyles that are unsustainable.
“It is critical that all young people are aware of the impact that irresponsible spending can have.
Most creditors are happy to accept IVA proposals. This is because it is a compromise deal that ensures they get some of the money from the loan back, knowing that the debtor is likely to declare bankruptcy otherwise which would leave them with nothing.
Creditors are usually also aware that if the debtor fails to pay the IVA monthly payment at any time, they will be forced to declare bankruptcy. The only difference is that this time, the equity that would be forced from the debtors property would go to them. Although this is all good and well, often creditors do not think about the repercussions of letting renters use IVA’s as this policy only applies to property owners.
If a renter is unable to continue paying the monthly payments that were initially agreed they will not be required to declare themselves bankrupt. This is because it will result in the creditor receiving no money whatsoever. Therefore, the debt will be restored in full, with the inclusion of monthly late fees and heavy interest rates.
What usually happens in this situation leaves the creditor with nothing. Read more…
Interesting headline: “Golf course’s bankruptcy is a sign of industry’s pain”. After close to 25 years as a debt consolidation lawyer offering bankruptcy services in Indiana, I couldn’t help thinking that most of the time, when a person files individual bankruptcy in Indiana, or when an entrepreneur files small business bankruptcy in Indiana, it’s a sign of the economy’s general pain.
So, am I saying that individuals and small business owners have played no part in causing their own financial difficulties? Am I implying that every bankruptcy is simply the result of the recession we’ve just endured? Of course not. What I am saying is that many, many of the tens of thousands of Hoosiers that have turned to me and to the good bankruptcy attorneys in Indiana who are my colleagues in the four Zuckerberg bankruptcy law offices have a history of being very responsible in handling their finances. Did
Congress passed a six-month extension of emergency unemployment benefits, restoring a lifeline to nearly 3 million out of work Americans whose benefits have run out since June 2.
However, a processing delay could see many Americans waiting “several weeks” for their unemployment checks to arrive, according to the Washington Post.
The bill was passed by a vote of 272 to 152 in the House on Thursday, after being approved by the Senate on Wednesday following weeks of contentious debate. President Obama is expected to sign the extension immediately.
The expected delay in payments may be difficult for those whose benefits ran out as much as seven weeks ago.
With the official unemployment rate at 9.5%, and even more working significantly reduced hours, many Americans are turning to bankruptcy to help them eliminate high-interest credit cards and personal loans–often necessary to help maintain household finances. Nearly 800,000 bankruptcy cases were filed in the first half of 2010, and even more are expected in the second half.
If you are out of work and struggling with debt, consider your options by talking to a bankruptcy attorney.