Finance Information

Legal Debt Elimination Options – Debt Settlement Vs Bankruptcy

The economy in today’s world has given people more challenges that have put people in positions where they don’t know where to turn. Millions of Americans are finding themselves more in debt than ever before. Credit cards have become a way of life for people that find themselves out of work, with no income. These credit cards are used on a daily basis for basic necessities, and the balances on these credit cards are at an all time high. Because of this high debt that Americans find themselves with, settlement vs. bankruptcy is becoming a real dilemma for people facing high debt. There are several legal debt elimination options that are available.

The first option is settlement. Debt settlement is an option that gives consumers the ability to settle their unsecured debt for cents on the dollar. There are several reputable settlement companies available for the consumer. The sole focus of these companies is to give consumer different legal debt elimination options. continue reading »

Preferential Transfer of Assets

If you are facing bankruptcy in the near future, your creditors could attempt to get their hands on your assets and property before bankruptcy is actually filed. This is referred to as “preferential transfer.” Creditors do this because they receive more this way than when your assets are liquidated per the Bankruptcy Code. However, there is hope if a creditor has successfully acquired your assets prior to bankruptcy proceedings. The Bankruptcy Trustee has the power to have your assets relinquished by the creditor or avoid their confiscation in the first place.

What powers does the trustee have?

The bankruptcy trustee can stop or avoid asset distribution to creditors. The trustee can do this if the debtor cannot meet creditor requirements or if the debt’s due date was before the transfer occurred. For the trustee to act, the preferential transfer must meet the following requirements: continue reading »