Family Debt Problems

17 Feb Bankruptcy Clients Of The Month: Parents In Financial Trouble

Bankruptcy clients of the month: Parents. Specifically, parentswith adult kids that need monetary help. I seem to be seeing a lotmorepeople whoseadult children have moved in with them.As the economy grows worse, children seem to be moving home in greater numbers.The parents Iam seeingare seniors living...

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12 Feb Tell A Debt Collector Where To Put It

This past week, I had a consultation with a frantic debtor who really did not want to file bankruptcy. She was facing a garnishment of her wages and did not understand the garnishment. Back in 2003, a debt collector had sued her and obtained a judgment for approximately $1100.00. No payments were made from 2003 to 2007. However, in January 2008, the debt collector discovered where she worked and sent a writ of garnishment to her employer. Since under the law, a debt collector may seize 25% of wages, this garnishment meant a serious reduction in income. The debtor contacted the debt collector and negotiated a lower payment to be made, out of each paycheck through a voluntary wage assignment. After costs and interest had been added in, the judgment amount was $2045.00. No written wage assignment was provided to the payroll department; the employee just directed payment to the debt collector.
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