Lefkovitz & Lefkovitz
Nashville Office 615-686-2279 Cookeville Office 931-400-2218
Serving all of Middle Tennessee's Bankruptcy Needs

October 2019 Archives

What to know about America's credit card debt

Americans owe a cumulative $900 billion to credit card companies. According to the Consumer Financial Protection Board, there are reasons to be worried that it will be difficult to pay off this balance in a timely manner. Of course, there are also reasons to believe that Tennessee residents and others shouldn't worry too much about paying down their debt. Low unemployment and low interest rates have made it possible for debtors to make their payments in a timely manner.

Filing for bankruptcy can cost thousands

Filing for bankruptcy in Tennessee and other states can cost up to $4,000 after accounting for filing and attorney fees. Those who are filing for Chapter 7 bankruptcy will pay a filing fee of $335 in addition to paying an attorney up to $1,500. Debtors who are seeking Chapter 13 protection will pay a filing fee of $310 in addition to up to $2,500 in attorney costs. Attorneys may charge more if a Chapter 13 proceeding is a complicated one.

There are no easy decisions in bankruptcy considerations

Debt has become a constant companion for most Tennessee residents. Hopefully, 'good" debt is used as leverage to further advance economic interests and 'bad" debt is minimized and managed only as a tool of last resort. Unfortunately, unexpected circumstances can occur that place the total debt, from whatever source, beyond the individual's ability to pay. No one gets to the point of considering bankruptcy lightly, but sometimes there is simply no other alternative than to seek a fresh start.

How bankruptcy impacts credit scores

Tennessee residents who are struggling to pay their bills are sometimes reluctant to file for bankruptcy because of fears over what it could do to their credit scores. A Chapter 7 bankruptcy will remain on credit reports for up to 10 years and a Chapter 13 bankruptcy will appear for up to seven years, but that does not mean scores will remain low. Credit scores generally fall when a bankruptcy is filed and then begin to increase after it has been discharged.

The power of the automatic stay in a bankruptcy case

Filing for bankruptcy in Tennessee may put a stop to a foreclosure or repossession. It could also prevent utilities from being shut off or a landlord from evicting a tenant. The automatic stay can also put a stop to wage garnishment, which would allow an individual to bring home a larger paycheck until the stay is lifted. Those who owe money to the IRS could be able to avoid a lien on their property while the stay is in place.

Credit card balances increasing throughout America

Those who live in Tennessee have the 17th highest average household credit card balances in the United States. Households in California owe an average of $10,175 in credit card debt, which is the highest in the United States. During the second quarter of 2019, the state added $4.4 billion in new debt, which was the most in the country. Altogether, Americans owed more than $1 trillion to credit card lenders at the start of 2019.

Could filing bankruptcy improve your business?

Many entrepreneurs struggle with managing the financial stress of running a business. It often takes a tremendous amount of resources to get a company off the ground. And maintaining an online presence, satisfying customer needs and purchasing supplies can create a tough balancing act.

We Look At Your Case From Every Angle To Find The Solution That Is Right For You

Bankruptcy help for everyone, from the most simple to the most complex cases.

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Contact our Nashville office at 615-686-2279 or our Cookeville office at 931-400-2218. You can also reach us via email to set up a time to talk to us about your debts.

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

Phone: 615-686-2279
Fax: 615-255-4516
Nashville Law Office Map

Cookeville Office
312 East Broad Street, Suite A
Cookeville, TN 38501

Phone: 931-400-2218
Fax: 931-526-6244
Cookeville Law Office Map

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