Atlanta Bankruptcy Attorney Blog

As if it's not bad enough that we may fall victim to yet another recession, we also have to worry about falling victim to double-dip scams.

With the economy looking poised to take another nosedive, more folks than ever are dealing with recession-related difficulties - things like getting laid off, losing our homes to foreclosure and struggling to pay the bills. And scam artists are taking full advantage, say Atlanta bankruptcy attorneys. Fraudsters know many of us will do anything to earn a steady paycheck or save our home, including giving them our hard-earned dollars.

Fortunately, there's a way to tell the scams from the real deal.

Continue reading "Ways Atlanta Consumers Can Avoid Double-Dip Recession Scams" »

If you've managed to keep your job in this economy, you probably already consider yourself lucky. But now consider yourself luckier.

As it turns out, the recession might actually offer positive benefits to the employed. According to the New York Times, wages are up, inflation is down and layoffs have all but leveled out. That means that, if you play your financial cards right, you might be able to walk out of the Great Recession in better shape than you walked into it.

Continue reading "Slow Economy Might Pay Off for Atlanta Workers" »

Being optimistic is one thing; being in denial is another. And unfortunately, it seems that millions of American workers are currently in denial about the job market.

It's not that folks are naïve enough to think they won't lose their job. On the contrary, 55 percent of Americans are worried that they could soon be out of work, according to MSNBC.com. And for one in 10 of us, that worry will come true.

The problem is that - even though we know getting laid off is a distinct possibility - we aren't doing anything to prepare for it. But by not preparing for it, we're making the worst case scenario, well, worse.

Continue reading "Building an Emergency Savings Fund Can Help Atlanta Workers Survive Job Loss" »

Just when we think the economic downturn might be safely behind us, economists start talking about a double-dip recession. Talk about bad timing.

Thanks to unemployment, the dire debt situation in Europe and an unstable housing market, it seems that the current economic recovery might not stick. For folks who have been barely scraping by for the last couple years, the news is understandably discouraging. But the truth is, the economy has always been unpredictable - this is nothing new.

Instead of focusing on whether things get better tomorrow, in six months, or in two years, why not focus on what we can do to make them better? You don't have to wait for the economic green light to improve your credit, lower debt or start a savings plan, say Atlanta bankruptcy attorneys. But if you do those things, you'll be better able to handle another downturn - and you'll be better poised to take advantage of the economic upturn, whenever it comes.

Continue reading "Atlanta Consumers Ready Finances for Potential Double-Dip Recession" »

You've got a killer resume, you nailed the job interview and you know you'd be perfect for the position. So why didn't you get the job?

The answer might be in your wallet, according to Atlanta bankruptcy attorneys.

Potential employers often request a copy of an applicant's credit report. And if they see too much credit card debt and a history of late payments, it's going to reflect poorly on your character - no matter how responsible and hard-working you might be on the job.

Debt doesn't just impact your finances - it can affect every aspect of your life, including work. Fortunately those effects are reversible. But before you can devise a solution, you have to identify the problem.

Continue reading "Credit Card Debt Can Keep Atlanta Job Seekers from Getting Hired" »

Even though a weak job market is threatening to stall economic recovery, Americans increased their spending in January, Atlanta bankruptcy attorneys say.

With unemployment still hovering just under 10 percent, incomes remained almost flat in January - rising by around 0.1 percent, significantly lower than what economists expected. And for those lucky enough to retain our jobs, cost-of-living raises are still far and few between - not to mention the fact that some of us have seen reduced hours, furlough days or other paycheck-lowering actions. Yet we spent, on average, 0.5 percent more last month, according to The Commerce Department.

The good news is that we're feeling optimistic. The bad news is that we're threatening to derail our progress. See, the Great Recession has been good for at least one thing. It's increased our savings rate from a negative number for most of the last decade to more than 4.3 percent last year. Now we're starting to see that rate drop again - last month, for instance, we only saved 3.3 percent.

If we want our newfound responsible behavior to stick around, we're going to have to start slowing our spending to match our income. Fortunately, there's a formula to make saving a little more manageable.

Continue reading "Atlanta Bankruptcy Attorneys Are Saving Less But Spending More" »

Think Uncle Sam will take care of you if you lose your job? You're right - for awhile.

The first $2,400 you receive in unemployment benefits are free for you to keep, according to Atlanta bankruptcy attorneys. Make that $4,800 if you file taxes jointly as a married couple. But after that, you're responsible for paying taxes on benefits just as you would on a regular paycheck. Wondering how much you might owe? You should be receiving a Form 1099-G, which you'll report on your tax return.

Paying taxes even when you've been out of work sounds like a crap deal. But fortunately there are some ways to lessen the blow.

Continue reading "Atlanta Bankruptcy Attorneys Suggest Emergency Savings Funds For Unexpected Taxes" »

When it comes to the current economy, there's good news and there's bad news, according to Atlanta bankruptcy attorneys.

First, the bad: Employers eliminated 20,000 jobs last month, way more than economists predicted and enough to send the stock market in a small downward spiral.

Now the good: Unemployment had reached a lower level than expected last month, dipping below 10 percent for the first time in awhile. Furthermore, it looks like credit might be easier to come by. Banks are finally taking a break from tightening their standards and restrictions for loan seekers. Of course, they're not easing up on those new rules, either, but at least things aren't getting worse.

Here's what it comes down to: We can't control the rate of economic recovery, but we can control the way we view the economy. We've got two choices. We can use the current economic state as an excuse for struggling financially, or we can use it as motivation to make our finances better.

Continue reading "Get Ready for the Economic Recovery By Improving Your Credit, Atlanta Bankruptcy Attorneys Say" »

You wouldn't dream of turning in a sloppy resume or loan application full of misspellings and inappropriate answers, right?

But many of us are doing even worse when we apply for that loan, job or credit card - and we don't even realize it, according to Atlanta bankruptcy attorneys. It's all thanks to social networking sites like Facebook, MySpace or even our own personal blogs.

Even though it might not seem fair, employers and lenders are using our online presences to gauge our risk - to legally spy on us, so to speak. You know those crazy, slightly drunken photos you took with pals at a friend's bachelorette party? Or the dirty joke your cousin posted on your profile? Right or wrong, the behavior of you and your friends - rather than your debt - could theoretically affect whether you're able to buy a home.

Continue reading "Atlanta Bankruptcy Attorneys Caution That Social Networking Sites Could Harm Your Finances " »

At least it's romantic: Women today are marrying for love, definitely not for the money.

Until the early 1970s, women stood to gain financially from marriage, when they received a significant spike in income thanks to their husband's much larger salary (often times, the couple's only salary), according to Atlanta bankruptcy attorneys. But women have made great strides in education, income and independence. And, today, the roles have reversed. In the last four decades, income rose 60 percent for married men but just 16 percent for their unmarried counterparts, says the Associated Press. Where is all that money coming from? Women.

But here's the downside. As modern females, we might be empowered - but we aren't compensated fully for it. Despite boosting our husband's incomes, women are still only earning 78% of what our male co-workers are taking home. And much of that money is going to debt.

Continue reading "Atlanta Bankruptcy Attorneys Point Out that Marriage Doesn't Pay Off Financially for Women" »

Last year's economy did a number on our finances - but it may have done a world of good for our attitudes, according to Atlanta bankruptcy attorneys.

It's welcome news, especially for the millions of Americans hoping to make 2010 the year to break free from debt. Last year, on the other hand, was a big career shakeup. Many of us changed jobs, lost jobs or saw a reduction in work hours. But we haven't simply adjusted by working harder in our newfound free time - we've begun making the most of it. We've started living larger on less money.

Sometimes that means cooking dinner for our families or finally tackling those books we've been meaning to read. Other times it means taking day trips around our home, working in our gardens and spending quality time with our kids. In other words, we're spending less time earning and spending, and more time actually living. Now we just need to get rid of that debt we accumulated before we simplified our lives - and bankruptcy can help us do it.

Continue reading "Atlanta Bankruptcy Attorneys Say Economy Can Help Make the Most of Our Money" »

I guess Uncle Sam never learned that it's not polite to take back a gift.

Recently it was announced that up to 15 million taxpayers could owe money from a tax credit back to the government come tax season. So what happened exactly? Under the Making Work Pay part of the stimulus package, employed Americans received a tax credit of $400 for individuals and $800 for married couples. Since it was a payroll credit, workers received the money by having less withheld on their paychecks - meaning more take-home pay. But somehow, government officials failed to take a few common cases into account when changing the tax withholding tables.

For instance, let's say you're holding down two jobs and making more than 20K at each. You could have received two credits - and will owe Uncle Sam $400 back when tax season rolls around. You may also have received too much money if you're married and both you and your spouse work and file jointly, if you're a retiree with income withheld on your pension or if you're a college student still claimed as a dependent - meaning Uncle Sam also wants a refund.

It's definitely a blow to hard-working Americans. But it's also an excellent reminder of why it's important to plan for the worst (while hoping for the best, of course!), whether you're talking about a paycheck, bonus, windfall or even a government handout.

Continue reading "Taxpayers Could Owe Stimulus Money Back to Government" »

Forget young and glamorous. Today's career climbers are young and broke.

And I'm not just talking about new graduates. According to a USA Today study, folks from college-age to early 50s have been watching their incomes dwindle since 2000, leaving much of the current workforce poorer than in the 1970s.

It's not all good news for the older workers, either. Though their income is being boosted by social security and pensions, it's also higher because they are increasingly postponing retirement, continuing to work into their golden years - and crowding younger workers from the job market in the process.

For every two steps forward, it seems like we're taking one step back. But despite the news, the job market isn't all doom and gloom. There's still hope.

Continue reading "Young Workers Are Getting Poorer, Study Shows" »

Labor Day was developed to honor the American worker - but I think I can speak for most of us when I say the American worker is feeling pretty underappreciated right now.

Unemployment is at the highest rate in decades. Layoffs are a constant worry. And for those of us lucky enough to be somewhat securely employed, we haven't seen a raise in many months - maybe even years. It doesn't look like things are changing anytime soon. While labor productivity recently grew by the highest rate in six years, employers simply can't afford to reward hardworking employees. Rather, they're putting that savings back into their struggling businesses.

In the meantime, the cost of living is rising, credit card rates as going up and our debt is growing. For many of us, it isn't just about having more money. It's about affording the mortgage. It's about escaping from creditor harassment. It's about our livelihood. If you're in danger of losing your house or personal property because you don't earn enough to make ends meet, you don't have time to wait around for your boss to feel generous. Why not authorize your own raise?

Continue reading "Celebrate Labor Day By Giving Yourself a Raise" »

When an acquaintance of mine lost her job, her first priority was to continue feeding her kids. Her second priority? To find another job - so she could continue feeding her kids. Needless to say, she spent most of her time searching for work and none too much time worrying about the mortgage.

The good news: three months later, she found a new job (she was a smart, educated woman, so it was only a matter of time). The bad news: she lost her home to a short sale in the process. She stopped making payments and ultimately gave up.

Apparently, her story is becoming more and more common. According to this Washington Post article, unemployment - rather than subprime mortgages - is now the leading cause of foreclosures. Since the unemployed don't have steady income, they're even less likely than most to qualify for loan modifications. And even when they do find work again, they're often unable to catch up on their mortgage because of late fees their lenders levied on delinquent payments.

But it doesn't have to be like that. Bankruptcy is a way to potentially stop foreclosure and free yourself from debt in the process - even if you're dealing with unemployment.

Continue reading "Atlanta Attorneys Say Unemployment Doesn't Have to Equal Foreclosure" »