Five Post-Bankruptcy Myths
  Posted: July 22nd, 2009

The decision to file for bankruptcy is typically a last resort for consumers who find themselves plagued with debt. While bankruptcy may offer a fresh start and relief from bills incurred from divorce, unemployment and uninsured medical costs, many consumers worry about how the decision will ultimately impact their financial future. Will you permanently ruin your credit? ..when will you qualify for credit again? Will you get turned down for a job? .. or how about getting a new car or a home? The myths of bankruptcy are looked at in this CNBC article by creditcards.com


Debt settlement via firms can be risky Down-on-their luck consumers have alternatives including using an accredited debt-counseling agency or filing for bankruptcy.

It sounds like a great deal. Hire a "debt settlement" firm and they'll make much of your debt go away. Gone! Poof! Disappeared! For a fat-fee, these firms negotiate with your creditors to reduce your debt in exchange for a quick partial payment. They often promise to cut debt in half, and save customers "hundreds of dollars a month." They're controversial, with critics claiming they rarely live up to promises and sometimes leave clients worse off.

  Posted: July 20th, 2009

Filing for Bankruptcy... find out if it's the right option for you.
 
Attorney Brad Botes appears on Birmingham's local ABC station, 33/40 News, to discuss the option of Bankruptcy and when you should explore it as an option. (Flash Player is required to view this video)

  Posted: May 4th, 2009
  ABC 33/40 - Birmingham, AL

If you think Bankruptcy if only for the poor, think again...  
  Posted: April 9th, 2009
  Comcast.net Smart Money

What does Walt Disney, P.T. Barnum, Anna Nicole Smith, Heidi Fleiss, and Donald Trump Have in common? They and 30 other well known celebrities have filed for Bankruptcy.

Famed entrepreneur Donald Trump was $900 million in debt in 1990, but clawed his way back to the top after financial restructuring. Bankruptcy protection can help people of all financial make-ups. Find out more celebs who have sought protection under the Bankruptcy Code. (read more)
Read more...

10 Things Credit Card Companies Won't Say
  Posted: March 11th, 2009
  Time SmartMoney.com

Responsible credit card management is important to a healthy financial future for every consumer. Learning how to use credit responsibly is a key factor in bolstering your credibility and avoiding possible bankruptcy. Many people find out all too late that there are sometimes catches and quirks that go along with using credit cards and wind up paying for it the hard way.

SmartMoney Magazine takes a look at 10 things Credit card companies won't say to the consumer. Increasing interest rates, over limit fees, and universal default rates, all a good thing... for them. But how does this all affect you? Nancy Nall Derringer takes a look at this and more including the question, "are credit card companies part of the identity theft problem?"
Read more...
 

House of Cards: The Faces Behind Foreclosures 
  Posted: March 4th, 2009
  Time Time.com

Jeff Wagoner is a bankruptcy attorney in Kansas City, Mo., with the brush-cut hair and clear eyes of a former Navy aviator. From his office in a tower on a hill, he can see miles of prairie and a world of hurt. Wagoner's clients (and he has plenty these days) range from folks who had no business ever buying a house to folks freshly fired from executive suites. Based on his survey of the economic wreckage, Wagoner's conclusion is that even the slightest miscalculation or change in circumstances could send another customer through his door: "There are not a lot of second chances out there right now."
Read more...

Debt-Relief Firms Attract Complaints 
  Posted: February 2nd, 2009
  The Wall Street Journal, wsj.com

As the economy weakens, a growing number of consumers are paying big money for services from debt-settlement companies that purport to help them settle their debts for a fraction of what they owe.

Debt-settlement companies generally advise clients to make monthly payments into a special account instead of paying creditors. The firm promises to use the accumulated cash to settle debts for pennies on the dollar. They often charge hefty up-front fees, and their tactics can trash customers' credit scores, boost their tax bills and leave them in greater debt than when they started. 

The Case For Walking Away 
  Posted: January 7th, 2009
  Newsweek, newsweek.com

Most families, honorable to the end, struggle longer than they should trying to repay their debt. If you're reaching the end of your rope, don't try to hold on. Save what you can. Read about some of the common mistakes people make in delaying the decision to go bankrupt. Walking away from your debt can in fact be the right answer for many people drowning in debt! You may also view this article in PDF format. (requires the free adobe acrobat reader)
 

Debt-Relief Firms Attract Complaints 
  Posted: September 17th, 2008
  The Wall Street Journal, wsj.com

As the economy weakens, a growing number of consumers are paying big money for services from debt-settlement companies that purport to help them settle their debts for a fraction of what they owe. But experiences shows, customers can end up wishing they hadn't sought such help. The Wall Street Journal takes a look at one consumer who hired a debt-settlement company.

You may also view this article in PDF format.
(requires the free adobe acrobat reader)

After bankruptcy, an entrepreneur rebuilds 
  Posted: September 25th, 2008
  CNN Money, money.cnn.com

CNN Money takes a look at one business owner's success in rebuilding his business life post bankruptcy. "After losing my first business, I built a successful new one and learned to live debt-free. "

"Strip-down" Could Ease Subprime Mortgage Crisis
  Posted: September 2nd, 2008
  UC Davis News, news.ucdavis.edu

Nearly all debtors who file for bankruptcy under Chapter 13 are homeowners, according to researchers at the University of California, Davis, Graduate School of Management and UC San Diego.

Alabama Bankruptcies continue to climb
  Posted: September 2nd, 2008
  The Birmingham News, al.com

Birmingham bankruptcy lawyer Brad Botes said his client base is approaching levels he has not seen since mid-2005, when a surge of clients sought bankruptcy protection prior to the tougher new law.

"Between foreclosures and others overwhelmed by debts as they deal with high gas, energy and food prices, it is no wonder so many people are struggling to get by right now," Botes said.
 

12 Myths about bankruptcy
  Posted: July 1st, 2008

Like most big, bad scary things, bankruptcy has a reputation based on a few tidbits of truth and lots of embellishment. It's not nearly as frightening once you know the facts.

With a mind toward de-clawing the monster, here are a dozen misconceptions about bankruptcy. - bankrate.com


When staying alive means going bankrupt  June 29th, 2008

Health insurance didn’t keep cancer-stricken California woman solvent - MSNBC.COM


Business bankruptcies soar in early part of year June 5th, 2008

Birmingham bankruptcy lawyer Brad Botes said the business growth is a sign that companies are being hurt by the credit crunch and a slowdown in the housing ... (read more) The Birmingham News - al.com

Bankruptcy Filings Up 30 Percent in Last 12 Months  June 4, 2008

Bankruptcy filings leapt up 30 percent for the 12 months ending March 31 -- from 676,000 in 2007 to nearly 902,000 this year -- according to data from the Administrative Office of the U.S. Courts.
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The top five states for bankruptcy filings per capita in the 2008 data are Tennessee, 6.7 per 1,000 population; Georgia at 5.45; Alabama at 5.29, Illinois at 5.16; and Michigan at 4.82 per 1,000. - The National Law Journal

Build credit without a credit card April 22, 2008
Kiplinger's Personal Finance Magazine - MSN Money


Beware cut-rate bankruptcy advice. March 29, 2008
Liz Pulliam Weston - MSN Money

Bankruptcy has become little more than a few months in purgatory, rather than the seven-year ache -- and lifelong disgrace -- it once was.

Law Makes Debt Relief Harder for Homeowners. January 12, 2008
Jane Birnbaum - New York Times

Chapter 13 delivers foreclosure alternative. November 7, 2007
James Paton - rockymountainnews.com

Facing rising mortgage payments and a weaker housing market, more Coloradans are turning to Chapter 13 bankruptcy to try to avoid losing their homes.

Bankruptcy Reform Bites Back
Christopher Farrell, businessweek.com, October 29, 2007

In past periods of economic turbulence, American households were able to escape mountains of bad debt—and keep their homes—by declaring bankruptcy. During the weak growth years from 2001 to 2003, for example, nonbusiness bankruptcy petitions averaged...

Bankruptcy FilingsIn First Half of 2007 Up 48 Percent from a Year Ago
Press Release (ABI) — The total number of U.S. bankruptcies filed during the first six months of 2007 increased 48.23 percent over the same period in 2006 in all bankruptcy court districts, according to data released today by the Administrative Office of the U.S. Courts. Total filings reached 404,090 during the first half of the calendar year of 2007 (January 1-June 30), compared to 272,604 cases filed over the same period in 2006. (Read More) - American Bankruptcy Institute

Declaring Bankruptcy Can Improve Your Credit Score
Credit scores can run the gamut among bankruptcy filers. "In that population, you'll find some consumers who have very good FICO scores, some who have very bad FICO scores, and in between" Granted, you won't be able to bring your score up to the perfect 850 as long as your bankruptcy stays in your report, but with good credit management after filing, a score in the 700s isn't impossible. - SmartMoney.com

Consumers facing tough times with debt
NEW YORK (AP) — NEW YORK - Rising interest rates and higher gasoline prices are putting the squeeze on consumers’ budgets, and many are finding it harder to keep up with their bills.- From MSNBC

Hooray for Bankruptcy!  or - PDF File
Author Spike Gillespie takes a look at Bankruptcy. - From the NY Times

Bankruptcy information contained in this section may not necessarily be written or provided by Bond and Botes directly.