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Posts Tagged ‘fresh start’

How Bankruptcy Actually Improves Your Credit

access_time Posted on: June 3rd, 2019

Article by: Haley Rohrbaugh, Esquire A common misconception about Consumer Bankruptcy is that it devastates your credit. When I meet with potential clients for an initial consultation, most are surprised to find that a Bankruptcy filing will actually improve their credit score. Credit limit usage. Using more than 50% of allowed credit limits will negatively affect a consumer’s credit score. (For example, a credit card with a $1,000.00 credit limit holding a balance due of $500+ will cause credit scores to decrease); andDebt-to-income ratio. Having high levels of debt compared to household income will also decrease credit scores. However, the… read more »

Larry Young: Bankruptcy

access_time Posted on: May 31st, 2019

Article by: Larry Young, Esquire Title 11 of the United States Code is the Bankruptcy Code, enacted pursuant to Congress’s constitutional authority to make a uniform law respecting bankruptcy. Most people understand that the overall concept of bankruptcy is to get a discharge from debts and to get what the Bankruptcy Code refers to as a “fresh start.” Most people are also aware of what is normally dischargeable: credit cards, utility bills and medical bills, as well as mortgage and car loan deficiencies. Most people however, are unaware of the limitations that exist on the ability to obtain a discharge…. read more »