Bad Credit Advisor

Next time you use your Macy’s card, take comfort knowing your doing business with a Company who cares. Earthworks System recycled PVC sheets for the plastic card industry and plastic card recycling programs partnered Macy to provide a recyclable gift card program. Macy’s will be the first major department store to offer a recyclable gift card program, which partnered Earthworks System to keep millions of gift cards out of landfills. The Earthworks System Recyclable identifier will be imprinted on Macy’s gift cards to indicate it is made of Earthworks System approved recyclable material. Macy’s department store locations will collect spent gift cards for their return to Earthworks System where they will be reprocessed into printable sheet and re-sold to printers to make new cards.

A report in the New York Daily Record notes that lawyers in large numbers are reporting using—and loving—their iPads. This report suggests that bankruptcy lawyers and others are embracing new technology to interact with clients in new and exciting ways.

Since the gadget’s introduction in the spring of 2010, iPads have sold more than 40 million units, outpacing many estimates and suggesting a sea change in the way people interact with digital media. In particular, though, iPads have proven popular among attorneys. Here’s a look at the numbers for law firms with 50 or more attorneys:

• 25 percent noted that the iPad would be their next major technological purchase.
• 11 percent reported already having bought iPads for their lawyers.
• 55 percent indicated that their IT teams are employed at least in part to help with issues involving lawyers’ personal tablet devices.
• Of lawyers who use a tablet device for work, 89 percent prefer the iPad.
• Fully 15 percent of lawyers utilize their tablets to do work when they’re not in the office.

At firms with over 500 attorneys, those numbers are even higher.

How You Benefit from Lawyers with iPads

More so than other technological innovations of recent years, the iPad promotes connectivity from anywhere. Attorneys w

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The bankruptcy code actually categorizes each and every type of debt into a pecking order.  One of these categories is what is called a priority unsecured debt.  This means they are special.  Priority debts include taxes, criminal restitution, child support and spousal support, among others.  Generally that means they are non-dischargeable (not forgiven).  If you meet certain technical requirements, taxes are dischargeable.

Priority is much more than about dischargeability.  It is about reorganizing your financial affairs in a manner that eliminates a nondischargeable debt.  I know.  Youre probably asking How do I eliminate something you just said I could not get rid of?  Through Chapter 13.  I love using Chapter 13 for someone that owes a pile of debt that includes priority unsecured debts.

Lets say you owe $15,000 in arrears for child support, $10,000 for income taxes incurred last year, and $100,000 in credit card debt.  We calculate your income and expenses and determine that you can afford to pay $500 a month for 60 months, i.e., $30,000.  Since the priority debts in this case (child support and taxes) are not dischargeable, they must be paid in full.

Here, that works out pretty well because you are going to pay the Chapter 13 trustee $500 each month.  The trustee in turn is going to take that money and distribute it to your creditor based on priority.  The child support arrears are considered highest priority and would be paid first, followed by the taxes.  Since the child support and taxes add up to $25,000, our five year, $30,000 plan will cover these priority debts.

If there is any money available after the priority debts are paid, they go to less important creditors such as general unsecured debts like your credit cards.  In this example, the credit cards would get the remaining $5,000 (5% of what you owe them) during the final months of the plan.  Since credit cards are dischargeable, the remaining $95,000 or 95% of the debt would be discharged upon completing all Chapter 13 plan payments.

Please note that the plan payment calculation I used as an example is oversimplified.  Plan payment calculations are much more sophisticated than this example, but it serves to illustrate the general goal of dealing with priority debts.

Photo courtesy of Leo Reynolds.

Nobody wants to travel anywhere new without a map of the territory, some idea of what to expect, and, if at all possible, having an experienced guide to accompany us. Fortunately, when it comes to filing a Chapter 7 bankruptcy, all three of these support systems can be in place.

After filing out the paperwork, our law firm will file your petition with the local bankruptcy court.  Next you’ll attend a court hearing called the 341 meeting to answer questions about the financial circumstances that have made bankruptcy a legitimate and wise option for debt relief.  But you’ll not be going to this meeting alone if you have an attorney.

Your Chapter 7 petition has been filed and you’ve received a date for the hearing.  This “341 Meeting” will take place in front of the trustee, possibly some of your creditors may attend, and it is held in a room with other debtors who are waiting for their case to be heard.   No need to let the situation make you nervous.  You’ll be answering some questions under oath, questions that are based on the information you’ve already filed with your petition.  Actually, everyone understands why you might be nervous, but your bankruptcy attorney is not.

Here’s some typical questions for the general public, just as examples so you get a feel for the situation:

• Did you get assistance from an attorney to prepare this bankruptcy?
• Have you discharged a previous Chapter 7 bankruptcy case less than 8 years ago?

• Do you have checking or savings accounts at a bank or credit union?
• Are you reaffirming any property?   If so, are you keeping up with the payments and the insurance?
• Do you expect

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The Verdict: Delta Community Credit Union members have their choice of a number of credit cards. The Visa Platinum Rewards card, however, is a perfect fit for most consumers that want a free to carry card that rewards them for purchases. This card has no annual fee, no fee for balance transfers and earns one point for every $1 spent. It also includes a generous credit limit up to $50,000 for those who qualify. Overall, this is an excellent credit card that is perfect for those who don’t carry a balance, those who want to transfer high-interest balances and those who simply want to finance large purchases affordably.

Overview: The Delta Community Credit Union offers four credit cards to members who wish to apply. The Visa Platinum Rewards card is an excellent choice for those with great credit because it has a very generous credit limit, an APR of 9.75% and a very good rewards program. T

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According to a recent survey by Findlaw.com, 13% of all Americans have considered filing personal bankruptcy. The survey found that folks between 35 and 55 are more likely to consider bankruptcy than the 18-34 year old crowd. Only 7% of those over 65 have considered filing for bankruptcy protection. The survey, published May 19, 2011 by Findlaw points out that approximately 1.5 million have filed for bankruptcy in the past year.

When considering filing for bankruptcy in Massachusetts, we highly recommend you contact a qualified bankruptcy lawyer. Only someone with experience in the federal bankruptcy courts should be considered because the new 2005 law is more restrictive than the old law, the Petition and Schedules are complicated, the Unites States Trustees follow strict rules, and the whole process can be difficult.

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