The Federal Reserve said Thursday in its massive flow-of-funds report that household debt fell at a seasonally adjusted annualized rate of 1.2%, as a 1.8% decline in mortgage debt offset a 1.2% gain in consumer credit. It appears fewer people are qualifying for mortgages after the increased foreclosures and short sales over the past few

Many clients believe they need to file bankruptcy due to a couple credit cards with high balances. In many circumstances, we can avoid bankruptcy by negotiating the high balances to low payoffs. The credit card companies understand that they would likely receive nothing in a bankruptcy and will accept a lower payment to help us

The Arizona Department of Housing (http://housingaz.com/) has a program to assist homeowners with short sales. If you qualify, the state agency is offering homeowners $4,500 and to pay 3 percent closing costs if they work with their lender to complete a short sale instead of losing their home to foreclosure. Check out this website for

A recent survey produced interesting results. College graduates are the fastest-growing group of consumers who have filed for bankruptcy protection in the past five years, according to a new study by a financial nonprofit, which underscores the broad reach of the recession. This down economy is affecting everyone.

Many people know that to be eligible to file a Chapter 7, your income must not exceed a certain level. Some people simply make too much money to file a Chapter 7. However, what many people don’t know is that if your debt is primarily business, such as debt from investment property or business operations,

My advice, meet with the attorney and go with your gut. Do they take time to listen to you? Do they grasp your situation? Do they thoroughly explain the bankruptcy process and what you can expect? Don’t forget, lawyers are people too and make mistakes. It doesn’t hurt to get a second opinion.

I hear, time after time, nightmares from people who have consulted with a certain law firm that advertises on TV. I understand they use very aggressive pressure to force you to retain them. Plus, I have heard plenty of bad advice given to their clients. My advise, stay away. I think you will like our