Category Archives: Bankruptcy Law

Our Lewisville attorneys guide clients through the bankruptcy process, including businesses and individuals.

Can I Rebuild My Credit After Bankruptcy?

Some people believe that filing for bankruptcy can permanently destroy your creditworthiness. However, this is not true. Your credit scores are not permanent. While a record of the bankruptcy will remain on your credit report (for seven to ten years after the file date), you can start to improve your scores after filing. Pull your credit reports. The information in your credit reports is used to determine your credit scores. You can pull your three credit reports for free once per year by using annualcreditreport.com. Dispute any errors on your reports for a quick credit boost. Keep a close eye on your reports as you improve your credit. Make payments on time. Payment history is a major factor for determining your credit scores. Late payments on any remaining debt obligations will hurt your credit worthiness. Timely payments will improve your credit. Be responsible with credit. You may be able to…
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Education Department Wants to Review Federal Student Loan Bankruptcy Rules

The Department of Education has said it wants to review how federal student loans are discharged in bankruptcy. Student loans are currently very difficult to discharge in bankruptcy due to the “undue hardship” requirement. Unlike other forms of debt in bankruptcy, you must first demonstrate that repaying your student loans would make you unable to maintain a minimal standard of living (undue hardship) to receive a discharge. However, Congress never determined what constitutes undue hardship, so it is up to courts to make this determination for each individual bankruptcy case. The Department of Education is seeking public comment on how undue hardship should be evaluated. Bankruptcy courts currently use one of two tests to determine undue hardship. Depending on the court, the Brunner test or the totality of circumstances test may be used. If the borrower successfully demonstrates undue hardship, the loans are discharged like other debts. There are a…
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How Can I Resolve Unaffordable Medical Bills?

Medical bills are a common reason why people suffer financial hardship. Even if you have a decent health insurance policy, it is still possible to accrue tens of thousands of dollars in medical debt. You may have heard stories of some people with insurance policies receiving bills in the tens of thousands of dollars. These are typically cases where an out-of-network health care provider charges more than what the patient’s insurance provider is willing to cover. There are a couple of ways you could resolve unaffordable medical bills. Possible solutions include: Requesting an itemized bill to look for mistakes. An itemized bill would allow you to look for duplicate charges or services that were never provided. It is estimated that a majority of medical bills contain mistakes. You could notify the hospital or clinic of these mistakes to lower your bills. Negotiating a payment plan with the hospital. The hospital…
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