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Blog Posts in 2012

Minnesota Student Loan Debt Collectors Make Huge Profits

ECMC, a Minnesota non-profit student loan debt collection agency, is currently in the spotlight after it was revealed in a Bloomberg Businessweek article that its debt collectors can make huge ...
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Student Loan Interest Rates Posed to Double

Interest rates for Stafford student loans are set to double on July 1, 2012 unless congress takes action to stop it. Stafford interest rates currently sit at 3.4%. That rate is set to increase to 6.8% ...
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Senior Citizens Still Struggling to Pay Student Loan Debt

According to a recent study, senior citizens (those aged 60 and over) owe $36 billion in student loan debt—that's 4.8% of all loan debt in the country. Many elderly people are still ...
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Hostess Bankruptcy Negotiations Could Kill Twinkies

This Tuesday, Hostess will appear in bankruptcy court and attempt to reach an agreement with the Teamsters union. Hostess is currently in chapter 11 bankruptcy . Depending on the court's decision, ...
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Dodgers Owe MLB $8.3 Million in Attorney Fees in Bankruptcy Case

Major League Baseball (MLB) is insisting that the Dodgers cough up $8.3 million in attorney fees before they are allowed to emerge from bankruptcy . The issue will not likely halt the sale of the team ...
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American Airlines Poised to Walk Away from Union Contracts amidst Bankruptcy

As you may have heard, American Airlines recently filed for bankruptcy . Now, the airline is asking a bankruptcy judge to break its labor union contracts so cost-cutting measures can be imposed on ...
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6 Ways to Protect Yourself from Fake Debt Collector Scams

As if real debt collectors weren't bad enough, there has recently been an upswing of fraudsters posing as debt collectors attempting to collect phony debts. Apparently any criminal with a cell ...
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Drawing the Line with Store Credit Cards & PMSIs

Retailers that offer store credit cards, such as Best Buy, have been employing what are known as purchase money security interest (or PMSI) clauses in their contracts. These clauses purport to give ...
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Are Tort Damages Dischargeable in Bankruptcy?

Discharged debt is typically debt from a credit card, car loan, or medical bills. But what about debt incurred from an auto accident, dog bite, or other tort? First of all, tort actions are civil law ...
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American Airlines Aims to Take Off Again After Bankruptcy

Several months ago, American Airlines filed for chapter 11 bankruptcy and announced its plan to lay off 13,000 workers. But the company promises to recover quickly and emerge stronger than ever. Top ...
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More and More People with Student Loan Debt Filing for Bankruptcy

According to a survey released by the National Association of Consumer Bankruptcy Attorneys yesterday, bankruptcy attorneys are seeing an uptick in the amount of cases involving student loan debt. ...
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Chrysler Goes from Bankrupt to Profitable in 2 Years

Today, Chrysler Group posted its first annual profit since 2005. Chrysler has been through a lot in the past few years, including a bankruptcy filing , a federal bailout, and a buyout by Fiat. Last ...
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The Rising Problem of Youth Debt

Young adults are the fastest growing age group filing for bankruptcy. I have personally seen this in my own practice among people in their mid to late twenties. Most every case seems to have the same ...
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Lien Stripping in Minnesota: Removing Second Mortgages and Other Junior Liens through Chapter 13 Bankruptcy

Chapter 13 bankruptcy offers consumer borrowers two powerful instruments for restructuring secured debt; lien stripping and cram-down. Lien stripping is the process of removing a secured creditor when ...
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