1099-C In the Mail? How to Avoid Taxes on Cancelled Debt (via Credit.com)
If it’s been a rough couple of years for you, you’re not alone. Maybe your income was cut, you lost your job, or you had large expenses like medical bills. You may have fallen behind on bills, fielded collection calls and managed to settle some of your debts for less than the full balance you owed…
Bankruptcy might seem like the end of the road, but the stigma is not nearly as severe as it once was. In the past, it meant that the chances of getting approval on unsecured personal loans applications were practically nil, while even those lending firms who might be willing to take a chance would still be more likely to say no.
But in the modern world of finance, it is possible to get post-bankruptcy loans to repair credit ratings and begin the rebuilding process to a stronger financial status. In fact, it is that the credit rating improvement is the purpose of the loan that can lead to approval.
Still, there remains an acute risk to lenders that approval unsecured loans after bankruptcy, and for that reason the term can sometimes be debilitating. Higher interest rates may be expected, but with the advent of the internet, and the online lenders that can be found on it, the heavily increased rates do not need to be accepted.
Strategies To Recover After Bankruptcy
While bankruptcy might not be the end of the road, recovering from it does require starting again. This is where a small unsecured personal loan can come in so useful. However a loan is not the only strategy to choose, with low interest credit cards and dedicated saving helping the cause also.
Getting post-bankruptcy loans to repair credit ratings is admirable, but often the starting point is actually in building a savings account. In getting together a lump sum, a lender can see a committed attitude when a loan is finally applied for.
It can also help in securing a low interest secured credit card, with a small credit limit. This is necessary mainly due to the fact that our society is credit card orientated, but by making credit card repayments on time, a history of repayment is built up. So when it comes to applying for unsecured loans after bankruptcy, there is an indication of good financial habits.
If you need to file bankruptcy and you want honest answers please call Attorney James Miller at 414-277-7742 to discuss your bankruptcy options. The Law Firm of Miller and Miller serves all Wisconsin communities including those in Kenosha, West Bend, Germantown, Waukesha, Racine, Brookfield, Ozaukee, Mequon, Menomonee Falls, West Allis, South Milwaukee, Okauchee and Madison.
Did you catch the bankruptcy jokes in last night’s Academy Awards telecast? I admit that I didn’t until I saw the highlight reels this morning.
In his monologue, host Billy Crystal welcomed everyone to the “Chapter 11 Theatre,” a nod to the Chapter 11 Bankruptcy filed by Kodak back in January 2012. The Academy Awards have been held at the Kodak Theatre for years, but just last week, the judge in Kodak’s Chapter 11 case allowed them to remove their name from the venue. So where were the awards held? The Chapter 11 Theatre seems pretty accurate to me.
Later in the show, Mr. Crystal made a reference to the ailing Dodgers baseball club by joking with the front row of the biggest and brightest stars in Hollywood that they should all chip in and buy the team. It has been publicized that the team is looking at having to file bankruptcy to get out of serious financial trouble.
Most people, including myself, watch the Academy Awards to cheer on their favorite stars and movies and to see which actors and actresses look beautiful or laughable. Who knew bankruptcy would be a part of the most important awards show in Hollywood?
The Huffington Post chronicles this incredible story in which a debt collector allegedly called 911 on an 85 year old woman:
Read it here.
If you live in Southeastern Wisconsin and are being badgered by debt collectors call Miller and Miller today at 414-277-7742.
With offices in Milwaukee, Kenosha, and Germantown, we’re sure to be located close to you whether you live in Waukesha, Racine or somewhere in between.
It’s that time of year again! Your W-2s and 1099 forms have been sent out and have likely hit your mailbox or e-mail inbox recently. While preparing your taxes is no fun, especially if you think you are going to owe Uncle Sam this year, it is a good idea to get them filed before you file for bankruptcy. Why? You are required to turn over tax returns for your case to be prepared and for the trustee to review. If you drag your feet in getting them filed, you may just delay your case moving forward. In addition, you may be putting your tax refunds at risk of having to be turned over to the case trustee if you receive them after you file. If you are planning on filing bankruptcy soon and have questions about the timing of filing your taxes, please contact our office to schedule a free consultation, and we can help you make that decision. To best serve residents of Milwaukee, Ozaukee, Washington, Racine, Kenosha, and Walworth counties, we have conveniently located offices in downtown Milwaukee, Germantown, and Kenosha. We are here to help!