Companies must compare the undiscounted amount of assets or equity to be given to the creditor with the carrying value of the liability to determine debtors' gains and creditors' loss. Future transfers of assets or equity will also be considered repayments of the principal with no interest. ...
Let’s face it: filing for bankruptcy can be intimidating. Many people avoid dealing with their debts, hoping the problem magically disappears. Unfortunately, ignoring debt usually makes the situation worse, leading to more stress and harsher consequences from creditors. The Power of the Automatic S...
Here, in bankruptcy, a stay is put in place to stop creditor harassment. The automatic stay means that creditors have to communicate with you via your bankruptcy attorney. This means you are spared the incessant collection activity while your finances are sorted out within your bankruptcy cas...
How long a bankruptcy stays on a credit report varies, but most last years. Here are tips to manage credit before and after filing for bankruptcy.
How to protect creditors and debtors in another bankruptcy crisis.(Orange County, California, and municipal bankruptcy)(Column)Locke, Larry G
Filing for aChapter 7 bankruptcywill generally discharge — or eliminate — your unsecured debts. Once this happens, your creditors canno longer pursue that debt in court. However, if your request for a discharge is denied or if the court finds out the debt was fraudulently discharged, the st...
You rebuild credit after bankruptcythe same way that you build credit before one: with time and a consistent repayment history. If you believe you can continue to repay a preexisting debt during and after bankruptcy, consider areaffirmation agreementwith one of your creditors to help the process...
Step 2: Trustee Appointment and Meeting of Creditors The bankruptcy court will appoint an unbiased trustee to oversee the entire bankruptcy process. They will review assets and determine which assets can be liquidated to pay creditors. The trustee then schedules meetings with the creditors, where the...
Having asset protection is critical to protecting your assets from creditors. There are many circumstances in which your assets can be attached orgarnishedby creditors, including if you file for bankruptcy, get a divorce, or are in a civil lawsuit. It's important to consider these circumstances ...
A credit counselor also may provide support when you meet with your creditors. However, be wary of credit specialists that charge high fees. 8. Negotiate with Lenders If you are still struggling to pay your debt with your income, you can take other measures. If you are behind on your ...