Posted on April 25th, 2013
To lessen the high interest rates of short-term loans that put consumers in a debt cycle, Federal regulators said recently they are going to impose gaps between loans.
New guidelines will be issued to banks today by Federal Deposit Insurance Corp. and the office of the Comptroller of the Currency similar to early payday lending rules. In a study done by CFPB, they are also considering instigating a mandatory gap in between loans. According to the new rules, banks will now measure the borrowers’ ability to repay the loan, disclose an annual percentage rate for the loan, and wait a billing cycle to ensure the consumer will pay off old loans before getting a new one.
CFPB Director Richard Cordray said consumers are at risk in using short-term loans because it can cause long-term debts.
When facing mounting debt, it can be overwhelming and stressful, especially if you feel you have no options. However, the legal team at Greenway Law, LLC, can evaluate your situation and help you choose the best option for getting out of debt. Call 205-324-4000 today to speak with a knowledgeable representative.
Posted on March 14th, 2013
Taking action to limit the impact of short-term loans, like payday loans, is being considered by the U.S. Consumer Financial Protection Bureau in an effort to protect consumers against loans that can become “debt traps,” according to its director recently.
Payday loans are being addressed by the agency to protect consumers by the potential abuses they can cause. The action to protect consumers from “debt traps” is being analyzed in addition to the need to preserve access for those with responsible credit because there’s a clear demand for short-term loan products. However, certain users of this type of loan can actually get hooked when they want to cover old loans by taking out new ones.
Depending on the terms and conditions of the short-term loans, it can harm consumers rather help them.
Another option for people facing financial difficulties, particularly when the financial problems are extensive and overwhelming, is to file for bankruptcy. Learn about your options by talking with an attorney from Greenway Law, LLC. Call 205-324-4000 today to discuss your situation.
Posted on February 6th, 2013
U.S. bankruptcy judge Thomas Bennett favored Jefferson County attorneys and turned down creditors’ request on Thursday for documents used by Alabama policymakers to set sewer-system rates. Creditors claim these rates are too low.
Wall Street creditors were denied access to the sewer-system rates documents after a hearing in Birmingham, Alabama. County lawyers said that the creditors’ document request had no merit and violates policymakers’ privacy when making decisions. According to creditors, however, these rate hikes passed by county commissioners were not enough to meet principal and interest payments on the county’s sewer bonds.
Birmingham lawyers negotiating with creditors continued their discussions in a court hearing Wednesday, January 30.
Whether an individual or business, bankruptcy can be the best option for escaping the bulk of your financial troubles and moving on. Call 205-324-4000 to speak with a bankruptcy lawyer at Greenway Law, LLC, about your debt situation today.
Posted on November 28th, 2012
Prichard City Council officials are asking for more time in regards to a bankruptcy protection lawsuit that was filed against the city. Officials with the city stated that they needed more time in order to get familiar with all “legal matters” in the case.
This council also voted to request a bankruptcy judge for an extension on their Chapter 9 bankruptcy case. Officials on city council stated that the judge normally gives two to three weeks in between court appearances in bankruptcy cases, but city officials feel that they will need a couple of months in order to get everyone on the same page.
Three of the five council members are knew to the department and were just sworn in this month. The mayor is also newly elected. The original bankruptcy case was filed in 1999, so it has been an ongoing process for nearly 12 years.
While some have been dealing with the city’s financial issues for 12 years, some have only been dealing with it for two weeks. Some officials on the council have stated that they they feeling positively that the council will be able to get together a reorganization plan even a continuance is granted.
If your business has been experiencing financial hardship and you feel as if bankruptcy is the way for you to relive this burden, contact the Birmingham bankruptcy lawyers at Greenway Law, LLC today in order to discuss the bankruptcy process.
Posted on November 20th, 2012
Alabama leaders have reported that they are gaining momentum toward striking a deal between Jefferson County and Wall Street creditors in regards to the largest municipal bankruptcy in the country.
Negotiators with the county met with county’s sewer system creditors in order to begin discussing a deal. While exact details were not discussed, officials have stated that further meetings are to take place in New York during the beginning of December.
A written statement was given by officials and reported that the meeting was “productive,” but “much work” is still needed to be done before a deal can be made.
Jefferson County filed for Chapter 9 bankruptcy on Nov. 9, 2011 reporting $4.23 million in debt. The court documents show that most of the debt is related to the loss of tax on local jobs, political corruption issues and debt from the a new sewer system.
Chapter 9 bankruptcy alleviates the stress of lawsuits being filed against the county, but states that a plan must be developed to pay creditors back as well as set up a fund to help with future operations. The plan must then be approved by a U.S. Bankruptcy judge and county officials are hoping that it will be ready for approval sometime this winter.
Posted on November 14th, 2012
New data from Zillow shows that discounts many home buyers are expecting on foreclosed homes are starting to disappear as foreclosures decline across the country. The Washington Post reports that as the economy slowly improves, fewer homeowners are defaulting on their mortgages and banks are more inclined to go for short sales or loan modifications.
While foreclosed homes are usually listed for less than non-foreclosed homes on the market, the national discount on foreclosed homes in September was only eight percent. In 2009, the average discount was 24 percent. However, this is not true for all parts of the country. Large discounts can still be seen in Pittsburgh, Cleveland, Cincinnati, and Baltimore, which still have median markdowns in the 20 percent range.
Areas that were deeply affected by the housing crisis, like Las Vegas and Phoenix, are seeing slim to almost no discounts on foreclosed houses. The lack of markdowns is considered a good thing by economists, as it shows that there are less foreclosures on the market and this creates competition. Many potential buyers have become frustrated because they expected better discounts, some real estate agents say, but it shows a promising future for the housing market.
If you are struggling to pay your mortgage and the bank is threatening foreclosure, an experienced foreclosure defense attorney can help explain your legal options. Contact the legal team at Greenway Law to find out how we can help you.
Posted on November 12th, 2012
Choosing to file for bankruptcy can be a difficult decision, and there are several factors that should be considered before making this decision. One of these factors regards unemployment and the affect it has on the bankruptcy process.
There is a repayment plan associated with Chapter 13 bankruptcy that may not be achievable if an individual is not earning an income. When an unemployed individual is looking to file for bankruptcy protection, Chapter 7 bankruptcy may be their best option. This form of bankruptcy allows for that individual to bypass a repayment plan, and discharge their debts at a more rapid pace through the process of liquidation.
If a person was employed when they filed for bankruptcy, but has since become unemployed, they may want to consider transferring from Chapter 13 bankruptcy protection to Chapter 7 bankruptcy protection due to the fact that their employment status may no longer allow them to continue to make payments through the repayment plan option associated with Chapter 13 bankruptcy. The transferring process can be a confusing one, and therefore it is important to consult with a knowledgeable bankruptcy attorney.
If you are unemployed and considering filing for bankruptcy, please contact the bankruptcy lawyers of Greenway Law, LLC by calling 205-324-4000 today.
Posted on November 9th, 2012
The most recent statistics from United States Bankruptcy Courts indicate that overall non-business bankruptcy filings are on the decline for the year 2012 when compared to the same period from the year before.
In the fiscal year ending on September 30, both Chapter 7 bankruptcy and Chapter 13 bankruptcy filings dropped significantly. Reports show that the number of Chapter 7 bankruptcies fell by 162,613, nearly 16 percent. The total number of Chapter 13 filings was reduced by close to 10 percent, from 417,530 to 375,521.
Bankruptcy filing rates varied by state, with Nevada topping the list and Alaska and North Dakota at the bottom.
Chapter 7 bankruptcy is the most common form of bankruptcy protection and makes up a huge majority of all bankruptcy cases. It involves liquidating your assets to make up for debts, while Chapter 13 bankruptcy allows a debtor to come up with a repayment plan. A Chapter 13 bankruptcy attorney can help you come up with a plan that will be approved.
Consumer credit cart debt is also down for the year by as much as 1.5 percent.
Nevertheless, not everyone has recovered from the harsh economic times of the past few years just yet. If you are living with overwhelming debt, filing for bankruptcy may help you find relief and allow you to begin your journey towards a debt-free life. Enlisting the services of a bankruptcy lawyer can help you determine the best course of action.