Taking on a significant amount of debt can lead to financial distress for many New York consumers. If you find yourself dealing with debt, you may be wondering how you can ever manage it on your own or how you can regain your financial stability. It may help to learn more about different types of debt and what they can mean for your financial well-being.
Maybe you've been trying to ignore calls, letters, emails and texts from collection agencies. Then you get hit with a lawsuit or debt claim by one of them. You may be tempted to ignore that, too.
Last year, it appeared that the star of the television show American Chopper could lose his multimillion-dollar Montgomery, New York, home to foreclosure amid his bankruptcy because he had defaulted on his mortgage. However, Paul Teutul Sr. has been able to sell the home.
Younger and older credit card holders are increasingly falling behind on their payments, according to the Federal Reserve Bank of New York. While credit card delinquencies are lower overall than they have been in the past, they've been rising during the past two years -- particularly for people under 30 and over 60.
Many people who file for personal bankruptcy choose Chapter 13 over Chapter 7 in large part because it can allow them to keep their home and other valuable assets. If your income is high enough, you may not even qualify for Chapter 7, so Chapter 13 is your only choice.
When debt overwhelms you, it can be a scary thing. Creditors may call or even visit your home or work, and you may face many embarrassing and stressful moments as they try to collect what you owe. Perhaps no creditor is more frightening than the IRS.