Lefkovitz & Lefkovitz
Nashville Office
615-686-2279
Cookeville Office
931-528-5297
We help individuals and businesses find the right solution to their money problems.

chapter 13 Archives

Dangers of debt consolidation loans

When deeply in debt, some Tennessee residents may try to avoid bankruptcy by consolidating their bills via another method. Debt consolidation loans are a common method, as are assets like retirements accounts or home equity lines of credit. These strategies may save money by lowering interest rates, but they rarely solve an individual's real debt problem.

How retirement plans are treated in personal bankruptcy cases

Tennessee residents who are struggling with overwhelming bills may pursue debt relief by filing Chapter 7 or Chapter 13 bankruptcy petitions. While these individuals may be most concerned with their immediate financial situations and making ends meet, they should also be aware of how personal bankruptcies can impact long-term investments like 401(k) and IRA retirement plans.

Secured creditors must file proofs of claim before deadline

Tennessee residents who believe bankruptcy is the option that best suits them may be interested to know that according to a bankruptcy court ruling, secured creditors are not allowed to file proofs of claim late. Generally, only unsecured creditors are required to file proofs of claim in order to receive payments under a Chapter 13 bankruptcy plan. Nevertheless, if secured creditors want to receive payments as well, then they must file their proofs of claim in a timely manner.

How interest rate hikes impact credit card debt

Tennessee residents may have heard about the Federal Reserve's decision to raise the federal funds rate to between 1 and 1.25 percent. This is the second time that rates have been raised this year, and a third hike could come later in 2017. For those with mortgages or home equity loans with variable rates, it may be a good idea to pay them off faster or refinance to a fixed-rate loan.

Strategies for getting credit card debts under control

Tennessee residents who are experiencing financial troubles have options for getting credit card debts under control. People with decent credit ratings could have the option of transferring debts to a new credit card that offers zero percent interest on balance transfers. This move might grant a holder six months to two years of interest-free time to pay down the balance.

Modifying a Chapter 13 payment plan

When Tennessee debtors seek relief from overwhelming financial obligations by filing Chapter 13 bankruptcies, they enter into payment plans lasting either three or five years. Bankruptcy courts approve these payment plans as long as they are realistic and equitable, but they may be modified or revised in certain situations. Some bankruptcy judges have ruled that borrowers must be able to establish that their financial situations have changed substantially before modifications can be granted, but other courts have taken a different approach.

3 dangers of credit card debt

Many Tennessee residents have high amounts of credit card debt. In fact, among U.S. households, the typical credit card debt is about $5,700, and the average age of those with the highest amount of credit card debt are those between the ages of 45 and 54, according to a report by ValuePenguin. While credit cards can be helpful to pay for unexpected needs, they can cause serious long-term problems for people.

Supreme Court rules stale debt claims allowed in Chapter 13

A Supreme Court ruling could directly effect Nashville citizens who are seeking debt relief. The 11th Circuit had ruled that a debt collector was in violation of the Fair Debt Collection Practices Act after it submitted a proof of claim on a time-barred debt to a bankruptcy court. The Supreme Court, however, said that this action did not violate the FDCPA clause prohibiting "false, deceptive, or misleading" practices.

How credit can be rebuilt after declaring bankruptcy

Tennessee consumers can take steps to improve their credit after a bankruptcy even though it will stay on the credit record for several years. The first step is to make a budget. This will help a person pay bills on time, and 35 percent of a FICO score is based on when payments are made. A budget should also allow a person to put money away into an emergency fund. About 10 percent of people who declare bankruptcy go on to do so a second time, and this emergency fund may provide the cushion needed to keep a person from sliding into debt again.

Nashville Office
618 Church Street, Suite 410
Nashville, TN 37219

Phone: 615-686-2279
Fax: 615-255-4516
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Cookeville Office
312 East Broad Street, Suite A
Cookeville, TN 38501

Phone: 615-686-2279
Fax: 931-526-6244
Cookeville Law Office Map