Minneapolis Bankruptcy Law Blog

Are you dealing with creditor harassment?

If you are struggling to pay your bills on time and dealing with mounting debt in Minnesota, your phone may seem like it always ringing with unknown numbers from creditors. You may also notice that your mailbox is full of bills and past due notices. This persistent harassment from creditors may be causing you to feel unsettled and overwhelmed by your situation. 

You do not need to change your phone number or get a post office box. There are ways for you to get control of your debts to put an end to creditor harassment. Take some time to review the following tactics to get some peace of mind. 

Will I lose my 401(k) in bankruptcy?

Many people are on the fence about filing bankruptcy because they fear losing assets such as their house and car. They may also believe 401(k) accounts are at risk.

The good news: Many who file for bankruptcy keep their house, car and 401(k). In fact, even if you give up your house and/or car, perhaps because you choose not to reaffirm that debt, your 401(k) should still be yours.

Common college student financial mistakes

College is a time of learning and growth. For many students, it is the first time they are on their own and faced with the responsibility of making major decisions. Youth, inexperience and stress can all combine to create a perfect storm for financial folly. College itself is a major expense that will likely lead to debt, but some students might be incurring additional debts that are excessive and unnecessary.

If you are a student or have a child who is in college, the following are some common mistakes that you should be aware of. Debt can accumulate easily, and it is imperative that young people avoid the problems that it can later cause.

Why you should hire a bankruptcy attorney

It is not uncommon to wonder if a bankruptcy attorney is necessary for them. It is important to understand that a bankruptcy attorney offers many services in addition to helping you choose between Chapter 7 and Chapter 13 bankruptcy and filing the paperwork. 

A bankruptcy attorney is here to protect your interests and to help you avoid costly mistakes. Unfortunately, many people who file their own bankruptcies discover too late that they misunderstood the laws. The consequences could be costly. 

Read on to learn what a bankruptcy attorney can do for you.

Does bankruptcy forgive payday loans?

There are many problems associated with payday loans, and often, they outweigh the positives, such as no credit check. For example, the finance charges can be hefty, even if the loan is only for a few weeks.

Plus, the loans can be difficult to pay back when they are due, leading consumers to bounce checks, rack up fees and take out even more loans. The good news is that if you are considering bankruptcy, your payday loans are likely to be discharged in Chapter 7.

Are you a candidate for debt reaffirmation?

Millions of Americans are struggling financially, and if you are one of them, you might be wondering what the best solution to your debt is. Many people consider bankruptcy to get them out from under smothering debt, but you may be thwarted by the fear that you will be forced to liquidate your property and worries about your credit.

You should be comforted to know that bankruptcy exemptions available to filers in Minnesota are often more than enought to protect personal property. While it is true that bankruptcy can impact your credit score, you can start rebuilding your credit score by reaffirming on certain debts such as home mortgages and car loans.

To determine whether reaffirmation is right for you, you should consult with a knowledgeable bankruptcy attorney. Read on to learn more about the reaffirmation process.

Should you take advantage of zero percent credit card offers?

There is a constant stream of advertisements touting the benefits of financial products and programs, and one of the most frequently featured items are credit cards. If you were to take advertisers at their word, it would seem that every credit card is a risk-free asset that will boost your financial security. As a conscientious consumer, however, you know otherwise. If you are wondering about zero percent interest credit cards, you may be wondering whether or not to take the plunge. These tips should help you make the decision.

Overcoming the shame of credit card debt

Despite the fact that countless Americans have been forced to deal with credit card debt, there is still a stigma attached to seeking help when your balances get too high. A number of different circumstances could lead to this. Medical debt, overspending and loss of income are just a few of the most common causes of maxed out credit cards. Regardless of what has caused your unique situation, there are several reasons you should and ways you can overcome the shame that is so commonly associated with credit card debt.

Understanding the different kinds of bankruptcy

If you are considering bankruptcy as an option for reorganizing your debt, you may be overwhelmed by the different options and the differences between each. Luckily, understanding them is not difficult, and you should be able to determine which will be the best for your situation. According to a recent study, the most common cause of bankruptcy for men and women alike is living beyond their means. No matter what circumstances may have led you to consider bankruptcy, however, you should be informed about the options you have.

Are you a victim of creditor harassment?

Creditors are notoriously persistent when it comes to attempting to collect from borrowers. This is only exacerbated if you fall behind on payments of go into default on the debt. While it is legal and reasonable for creditors to contact you and initiate a discussion, there are certain standards that prevent them from taking actions that may qualify as harassment. The Fair Debt Collections Practices Act outlines these regulations in detail. If you have experienced any of these four issues, you may be a victim of creditor harassment.

Prescott Pearson & Tande, PA
443 Old Highway 8 Northwest, Suite 208
New Brighton, MN 55112

Toll Free: 888-366-0827
Phone: 651-968-8096
Fax: 651-633-7562
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