About the same time as the U.S. Supreme Court chose to decide if the Fair Debt Collection Practices Act (FDCPA) covers bad-debt buyers, the Consumer Financial Protection Bureau (CFPB) issued a press release reporting on a survey of more than 2,000 consumers regarding their recent contacts with debt collectors. The survey is the first of …
CFPB Survey: 70 Million Americans Contacted by Debt Collectors Yearly Read More »
Federal law gives debtors two weapons against creditors, bankruptcy and the Fair Debt Collections Practices Act (FDCPA). The two do not always share an easy relationship, as evidenced by the upcoming U.S. Supreme Court case deciding whether chapter 13 debtors have FDCPA claims against creditors with stale debts, but generally where one law can’t protect …
U.S. Supreme Court to Decide If FDCPA Covers Bad-Debt Buyers Read More »
A piece of big news covered by The New York Times provides one more reason not to trust student loan servicers to advise debtors of the best New York bankruptcy alternative for repaying their loans. The Consumer Financial Protection Bureau (CFPB) sued Navient, an offshoot of student loan giant Sallie Mae, for misleading debtors about …
CFPB Sues Student Loan Company Navient for ‘Cheating’ Borrowers Read More »
Many mortgage lenders probably believe that homeowners default on their mortgages because they have negative equity, i.e. they’re underwater. In other words, these homeowners can afford to repay their mortgages but simply choose not to, and there’s a surprising amount of academic literature to that effect. Why “strategic default” is a bad idea for debtors …
Study: Unemployment Bigger Cause of Mortgage Default Than Previously Thought Read More »
At the end of every year, it seems, Bankrate.com conducts a survey on how much money Americans have saved in case of emergencies, and this year the numbers are not good. As of late 2016, more than four Americans in ten did not have enough money saved for an emergency costing at most $1,000. The …
Only 41 Percent of Americans Have $1,000 Saved for Emergencies Read More »
Income-driven repayment (IDR) plans came into prominence in 2007, and in the last decade the Obama administration has promoted them and broadened their scope, e.g. by proposing new ones like REPAYE. IDR plans reduce debtors’ monthly payments and ultimately forgive loans after a certain number of years, usually 20. For many years, federal student loans …
Will the Federal Government Reform Income-Driven Repayment Plans? Read More »
One might think that The New York Times‘ “Your Money” article on a company that offers to swap student debt for mortgage debt is an advertisement, but it’s an alternative to New York bankruptcy worth considering. SoFi, a nonbank lender, with the help of the government mortgage entity Fannie Mae promises student debtors the opportunity …
NYT Discusses Program for Swapping Student Debt for Mortgage Debt Read More »
Back in February, I discussed the surge in student debt “borrower defense” discharge claims. Student debtors discovered an obscure 1995 rule that permitted them to administratively discharge—that is, outside the bankruptcy process—their student loans if they could show that their schools somehow defrauded them. The development occurred just as the for-profit Corinthian Colleges shuttered its …
Education Department Publishes Regulations for ‘Borrower Defense’ Claims Read More »
Gambling law in New York is a confusing, evolving quagmire, so it’s understandable that debtors might be curious to know about how New York bankruptcy treats gambling debts. To begin with, money borrowed for gambling is generally unsecured debt that a chapter 7 case can dispose of easily. That’s the easy answer. The tougher answer …
When Are Gambling Debts Dischargeable in New York? Read More »
I recently explained why a mortgage modification might be an inferior choice to a chapter 13 bankruptcy. As it turns out, mortgage modifications can stymie a chapter 7 New York bankruptcy as well. Why? Two reasons: the means test and exemptions. I’ve discussed the chapter 7 means test in detail before, but debtors whose household …
Mortgage Modifications Can Stymie Chapter 7 Bankruptcies Too Read More »
no cost, 30 minute consultations in brooklyn, ny or melville, li
26 Court St # 2211
Brooklyn, NY 11242,USA
phone: (718) 855-6840
toll free:(800) 297-6840
fax: (718) 625-1966
68 south service road, suite 100
melville, ny 11747
phone: (631) 454-5248
by appointment only
