The Law Offices of Ronald I. Chorches

Wethersfield Office: 860-952-3878

Waterbury Office: 203-754-8000

Winsted Office: 860-563-3955

Hamden Office: 203-494-1700

Hartford Bankruptcy Law Blog

Foreclosure and emotional and mental health

People often think of foreclosure in strictly financial terms. What does it mean for your credit score? How will it impact your ability to get a loan in the future?

These are important questions, but some experts point out that it's more than money. There is also an emotional side. There's a mental side. They claim that losing a home can be traumatic in the same way as losing a loved one or getting divorced.

Can you take appliances during foreclosure?

Your home is being foreclosed by the bank, and you're moving out. You know that you're allowed to take your personal items, like clothes, desks, artwork and everything else that you purchased. These furnishing can go with you since you brought them to the home initially.

But what about appliances? Are they yours, or do they stay with the house?

Can you discharge student loan debt in bankruptcy?

Some people assume incorrectly that you can discharge any debt you have in bankruptcy. Others strongly believe that student loan debt is exempt and can never be discharged, even with a successful bankruptcy filing for other types of debt. Which is true?

The reality is somewhere in the middle. One study did find that most people don't even try, with just 0.1 percent of those who file and who also have student loans attempting to have them discharged. However, of those, a full 40 percent saw at least a portion of the debt erased.

Even good debt can be bad

People often consider two main types of debt, known as good and bad debt. One general rule of thumb is that debt is good if it's the type that nets you a tax deduction.

For example, running up $10,000 of debt on a credit card is bad debt. It's something you simply owe with no benefits. Buying a home for $500,000 is good debt. It's far, far more debt overall, but you can take a deduction on your taxes. It also eliminates the need for rent payments and you're slowly paying off a home that still has an inherent value. In some cases, the home will sell for more than you paid for it.

Tips to reduce the stress of debt

Debt is one of the biggest things that causes stress, meaning those who know they have debt hanging over their heads may always have it in the backs of their minds. This isn't a healthy way to live, but there are some things that you can do to reduce that stress.

First off, some experts suggest spending your money not on items, but on experiences. They note that most items are exciting right away and then boring a short time later. Experiences can create memories that last for life.

Tips for quickly selling your home prior to foreclosure

You're not in foreclosure proceedings yet, but you know they're coming. You've missed payments and you know you're not going to be able to get caught up.

Other homeowners in your position will sometimes try to sell their homes quickly. This can get rid of the debt and help you avoid having a foreclosure on your record. It also means the bank won't simply reclaim your house, so you may get your money back out of it -- depending on how much you paid and what the current market looks like. Below are some tips to help you sell when you want to do it quickly.

One sudden change can lead to bankruptcy

People sometimes think that bankruptcy must stem from a series of bad choices, as if all people who go bankrupt have spent years missing car payments, taking out loans they can't afford, and not doing anything to manage the income they do have.

The negative stigma is unfair. While these things can and do lead to bankruptcy, a lot of cases stem from one sudden change. Even people who have been fiscally responsible for their entire lives can be impacted by these changes.

Typical prohibited debt collector practices

If you have debt, you may have experienced how annoying debt collectors can be. Because they hold a lot of power, they often think they can get away with irritating and abusive behavior. But, you still have rights even when in debt. Below are some of the usual ways in which creditors take advantage of people.

 

What can I do to stem my debt after losing my job?

The loss of a job can bring a variety of challenges and stresses. Of course, your primary concern is getting back into the workforce as soon as possible. But in the meanwhile, you will likely need to take some proactive steps to minimize your debt until things turn around for you.

The Law Offices of Ronald I. Chorches

Wethersfield Office
449 Silas Deane Hwy
Wethersfield, CT 06109

Phone: 860-952-3878
Fax: 860-513-1577
Wethersfield Law Office Map

Waterbury Office
One Exchange Place
21 West Main Street
4th Floor
Waterbury, CT 06702

Phone: 203-754-8000
Fax: 203-841-0304
Map & Directions

Winsted Office
487 North Main Street
Winsted, CT 06098

Phone: 860-563-3955
Map & Directions

Hamden Office
2558 Whitney Ave
Hamden, CT 06518

Phone: 203-494-1700
Map & Directions

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