Law Office of Judith A. Descalso Law Office of Judith A. Descalso

August 2016 Archives

Discharging credit card debt with Chapter 7 bankruptcy

Many Escondido residents may not know the difference between secured debt and unsecured debt. Secured debt is something like a car loan or a mortgage - the loan is tied to an item of physical property. Unsecured debt, on the other hand, is something like credit card debt. Why is this difference important? Well, mainly it's because unsecured debt is a prime candidate for discharged in a Chapter 7 bankruptcy filing.

The creditors committee in a Chapter 11 bankruptcy

When a company begins the process of filing for Chapter 11 bankruptcy, there is no doubt that there could very well be quite a few entities that have an interest in how the case is handled. The Chapter 11 bankruptcy process allows a business to craft a plan for how to address debt and how to reorganize to return to profitability. Creditors, in particular, will have a keen interest in seeing that the bankruptcy process is successfully completed.

The pros can outweigh the cons in Chapter 11 bankruptcy

For many businesses in Escondido, there will come a time when a major change needs to be made in order to sustain the viability of the company. In some cases, the change will be in marketing - reaching different customers by using different ideas. For others, the change may be in what the business sells, perhaps to adapt to evolving customer preferences. But, in the most serious circumstances, the changes may address creditor issues by pursuing debt relief with a Chapter 11 bankruptcy filing.

Will you lose your credit cards if you file Chapter 7 bankruptcy?

When Escondido residents look into the possibility of filing for bankruptcy, there may be more questions than answers at first. Chapter 7 bankruptcy, in particular, may inspire many different questions, as it is commonly known as "liquidation" bankruptcy. Questions can include the following: Will I lose my home? Do all of my debts qualify for discharge? Will I lose all of my credit cards if I file for bankruptcy?

Bankruptcy filings decline, but California still leads the pack

By most measures, the national economy has been improving over the last several years. The nightly news regularly provides updates regarding the unemployment rate, GDP growth and consumer spending. All indications are that the national economy has improved nicely, though slowly, from the worst of the years of the so-called "Great Recession." According to a recent report, another factor may further the opinion that the economy is improving.

What can you do if a creditor challenges a debt discharge?

Many people who decide to file for bankruptcy experience a bit of anxiety. That is natural, as filing for bankruptcy can be a major financial move. But, an Escondido resident's anxiety about a personal bankruptcy can be compounded if a creditor challenges a debt discharge.