Family Debt Problems

28 May How Can I Manage My Debts?

When you feel completely overwhelmed and bankruptcy is not an option in your personal situation, the first step is to take a moment and a step back--look at what you owe and what money you have coming into your household.   Realize that sometimes creditors will work with you in order to avoid their debt being discharged in a bankruptcy.   One option is to call the creditor and let the creditor know if something horrific has happened--for example, job loss, illness, death of a loved one.   Sometimes creditors have what is called "loss mitigation programs" that can be put in place to help postpone payments.     The second step might be to call a credit counseling agency, preferably one that is a member of the National Foundation For Credit Counseling.   Some months back, I wrote about when credit counseling agencies can help over at Bankruptcy Law Network.
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24 May Should You Voluntarily Give Back Your Auto Before Repossession?

Okay, so you can't afford your car anymore. It looked nice on the lot and you believed you could make the payments, but now? Last month's payment was used to pay the day care provider and ........... and the car creditor is calling five times a day threatening that a repo man will come get the car. (For options when those calls become abusive, click here for my previous blog on protecting yourself from creditor abuse and here from protection yourself from the debt collector) Simple solution is to just tell them to come and get the car, right? Wrong!! When you voluntarily surrender the car (or whether the repo man comes and gets it), the next step is that the car creditor will sell the car at auction.
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11 May Good Advice For Tough Times

Our friends at Bankrate.com have come up with 5 rules for thriving in a bad economy by Leslie Haggin Geary. Rule 1. Don't panic. Rule 2. Bullet-proof your portfolio. Rule 3. Don't let your home become a trap. Rule 4. Dust off your resume. and my favorite, Rule 5. Reduce your debt and build savings. This is one rule that everyone can follow, whether you are on a financial tightrope or flush with cash. This is common sense economics, spend less than you earn and you can avoid bankruptcy or credit card lawsuits. Here is the rule, in its entirety. It's even more important to get rid of bills and amass extra cash now that the economy is on shaky ground. That's because various assets, such as homes and stocks, that helped bail out Americans out in the past few years have now plummeted in value. For example, homeowners tapped $1.6 trillion in home equity from 2001 to 2006 to access extra cash, according to the watchdog group Demos. But that lifeline is already well-frayed. "You need an emergency fund," Lee says. "Three months is realistic. No frills such as meals out or vacations -- just basics."
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18 Apr Service Employees International Union And League Of Young Voters Sponsor “Debt Disease” Video Contest

The Service Employees International Union and The League of Young Votersrecently sponsored a contest to create a public service announcement on the topic of "debt disease." The winning video will be announced on April 23 2008. The contest, entitled: "Keep It In Your Pants" was open...

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