Christopher Todd Morrison, P.C.
Affordable Bankruptcy

bankruptcy Archives

Bankruptcy provides special rules for foreclosures.

People in Texas who are facing foreclosure may consider bankruptcy a possibility when no other options are available. The extent bankruptcy can help the foreclosure defendant depends on a number of factors, including the chapter utilized, the amount of arrearages, other debts and monthly income.

Refinancing during a bankruptcy

When people in Texas are forced to file for bankruptcy, they tend to find it difficult to apply for refinancing due to the abysmal state of their credit score. Nevertheless, they can still receive refinancing if they manage to follow a few simple steps.

Bankruptcy filings fall, but warning signs linger

Economic indicators in Texas and around the country have been improving steadily in recent years, and this has led to a sharp fall in business and personal bankruptcy filings. Chapter 7, 11 and 13 petitions soared in the wake of the 2008 financial crisis, but they have since fallen by more than 50 percent according to a report on the federal judiciary released by Supreme Court Chief Justice John Roberts on Jan. 8.

Older Americans more likely to file for bankruptcy

Older people throughout Texas and the rest of America are facing a greater risk of serious financial problems. On the surface, the numbers may seem promising. There were 1.6 million bankruptcy filings in 2010, a number that dropped to 789,000 annually by 2017. However, the overall decline also includes disturbing information about the financial situation faced by Americans over the age of 55. There are a number of factors that may contribute to growing levels of insurmountable debt among older people, especially as the baby boomer generation emerges into retirement.

Credit card burden higher in some states than in others

It takes longer for people in some states to pay off their credit card debts than it takes for people in others. Texas is one of the states where people carry the highest balances on their cards, but it's not among the worst when it comes to payoff time. The length of time it takes a person to pay off his or her credit card debt is sometimes called the credit card burden.

Consumer debt on the rise nationwide

Debts owed by consumers in Texas and across the U.S. are expected to hit $4 trillion by the end of 2018, but the chief economist from LendingTree says it's not a reason to worry. While total consumer debt is a big number, he said, the economy is more stable and income is also increasing. Through September 2018, American consumer debt totaled $3.93 trillion, $1 trillion of which was from credit cards. The other $2.93 trillion was from things like auto loans and student loans.

Avoiding the debt forgiveness trap

Debt forgiveness may sound like an attractive option to Texas consumers who are overwhelmed by their financial obligations, but the companies offering these services often fail to live up to the promises they make. Even when they do, their customers are usually left with lower credit scores and unexpected tax bills. Debt forgiveness is based on the idea that lenders will agree to cut balances significantly in order to get at least some of their money back, but things rarely work out that way in the real world.

Bankruptcy and getting out of debt

Debt has become a huge problem for consumers throughout Texas and the rest of America. U.S. citizens collectively owe $1.41 trillion in student loans, $1.23 trillion in auto loans and $815 billion in credit card debt. However, there are several important steps a person who wants to get out of debt can take.

Court ruling may expand definition of consumer in debt cases

Some people in Texas might be interested in the recent decision in a legal case involving a consumer who said he did not owe the debt issued by a credit card company. The man filed a lawsuit against Main Street Acquisition Corporation that alleged that the company had violated the Fair Debt Collection Practices Act.