Chicago Bankruptcy Lawyer Blog

As if it isn't hard enough on our finances to be headed for a possible double-dip recession, now we have to watch out for new recession-related scams, too.

The longer our economy is stalled, the more likely we are to face financial difficulties - from unemployment to foreclosure to inability to pay the bills. Unfortunately, scammers are acutely aware of this, say Chicago bankruptcy attorneys. And they're increasingly preying on our desperation for a quick fix to our money woes.

But there's good news. It's possible to identify nearly any scam , once you realize what most frauds have in common.

Continue reading "How Chicago Consumers Can Watch Out for Recession Related Scams " »

It seems that every time Americans turn around, there's a new credit card law going into effect. And though the purpose of all these rules is to protect consumers, they sometimes have unintended consequences.

Most recently, a law went into action this weekend to limit credit card penalties. Previous legislation enacted this year restricts credit card issuers from suddenly changing interest rates. On the one hand, both laws can help us save money on our credit cards. On the other hand, banks are finding fresh ways to take our money - this time, through higher interest rates on new cards and purchases.

Continue reading "New Credit Card Laws Lead to Higher Interest Rates for Chicago Consumers" »

By now it's no news that filling your cart with generic goods rather than name brands can save money. But, despite persisting tough times, some Chicago customers are still holding out.

Sure, there are some generic brands that don't hold a candle to the real thing - scratchy toilet paper is a notorious one. But many are identical with the exception of the name on the package, say Chicago bankruptcy attorneys. There's nothing wrong with being a brand snob - at least, if you don't mind spending a few extra thousand bucks a year on household goods. But if you're looking for some extra money to pay down debt, you might consider rethinking your shopping strategy.

Continue reading "How Buying Generic Can Help You Get Out of Debt" »

If you've used the last couple years to turn your financial lemons into lemonade, you're not alone.

Despite hard economic times, Americans have managed to decrease credit card debt to the lowest level in 8 years and more than 13% less than just a year ago. Not only that, but more folks are making their payments on time. For some of us, its solid proof that all that scrimping and saving and budgeting can really pay off, say Chicago bankruptcy attorneys. For others, though, it might be a nice symptom of a not-so-nice cause.

Continue reading "Chicago Homeowners Lower Debt But Struggle to Pay Mortgage" »

Banks are finally starting to see the light about the mortgage crisis. But is it too late?

Banks are starting to improve programs aimed at helping homeowners avoid foreclosure, according to Newsweek. Amid news that half the participants in President Obama's Making Home Affordable Program have dropped out because it wasn't working, banks' timing couldn't be better. The only problem is that, with up to 5 million people in danger of losing their homes - and millions more already foreclosed upon - the new effort might not be enough. Fortunately, there's an alternative.

Continue reading "Banks Finally Start Helping Chicago Borrowers with Mortgages" »

With everybody and their Grandma using social networking, posting personal information to sites like Facebook seems harmless. But that's just what criminals want us to think.

It's easy to be lulled into believing Facebook is just a place where we hang out with our friends - virtually, anyway. But in reality, we're hanging out with the 500 million other people who use the social networking tool, say Chicago bankruptcy attorneys. And thanks to laxer settings, a new program and a recent bug, those people have more access than ever to our personal information - jeopardizing our finances and even our safety.

Continue reading "Being Cautious on Social Networking Sites Can Help Chicago Residents Protect Finances" »

When it comes to making decisions about our purchases, sometimes habit trumps common sense.

That would explain why I recently plunked down $100 on insurance for my new cell phone. I've always purchased the insurance plan before, so I didn't think twice about doing it again - never mind that I have yet to lose or break a phone.

But according to Consumer Reports, I could save big bucks by forgoing my wireless provider's insurance policy - and some other common financial products - next time around.

Continue reading "Save Money By Avoiding Some of the Biggest Financial Product Rip-offs" »

The same principle that makes credit cards convenient also makes them dangerous. With plastic, there's no amount of cash holding you back from making a purchase. At least, not until now.

MasterCard recently announced a new program that could revolutionize budgeting for those of us prone to retail weakness and other forms of overspending. With inControl, consumers can place monthly credit limits on certain kinds of stores or purchases. Once the limit is reached, your card stops working - and, in theory, you start saving.

Continue reading "Could New Program Keep Chicago Credit Cardholders From Overspending?" »

Most of us consider the recession a bad thing, and for many good reasons. But for Chicago workers lucky enough to still be employed, today's economy might actually have some benefits, too.

According to the New York Times, wages are on the rise, inflation is on the decline and the rate of layoffs is stabilizing. So what does it all mean? If you can manage your money and keep your job, you just might make it out of the recession in better shape than you entered it.

Continue reading "How the Great Recession May Have Benefits for Chicago Workers" »

How often do you think, "If I just had a little more money, I would be so much happier?" If you're like most folks, you do it quite frequently.

But there's a new theory floating around these days, say Chicago bankruptcy attorneys. Money can help you pay the bills and it can help you put more in your shopping cart. But apparently, the old adage is true - money can't buy happiness

Continue reading "How Less Money Can Equal Greater Happiness for Chicago Consumers" »

The latest foreclosure statistics are in, and things are looking up - sort of.

The good news is that slightly less homeowners are underwater, a term used to describe when your home is worth less than what you owe on your mortgage. The amount of U.S. homeowners with negative equity fell from 23 percent to 21 percent this spring, according to a report by Zillow.com. Though it looks like a small change, it means we could see fewer foreclosures in the future, say Chicago bankruptcy attorneys.

Still, any amount of foreclosures is too many - and with more than one of every 1,000 homes being seized in the month of June, many at risk homeowners need financial help.

Continue reading "Chapter 13 Bankruptcy Is an Effective Method for Chicago Homeowners Hoping to Stop Foreclosure" »

Those credit card rewards might pay off after all.

Earlier this year, experts speculated that banks would cut back on rewards programs in retaliation for the new consumer protection stipulations in the Credit Card Act, say Chicago bankruptcy attorneys. But while some companies are indeed making rewards harder to come by, most banks aren't willing to give up customers to save money.

That's good news for those of us with overwhelming debt - if we use rewards cards wisely.

Continue reading "Many Credit Cards Still Offer Rewards, Even After the Credit Card Act" »

Telling Americans they need to save money right now is a bit like preaching to the choir - most of us are already scrimping and saving because we have no choice. But the truth is, even the most frugal among us are probably missing out on some good savings opportunities, say Chicago bankruptcy attorneys.

Sure, canceling big costs like cable or an unused gym membership is a no brainer, as is cutting out luxury goods like new clothes. But if you're still struggling to pay off your credit cards and lower debt, consider taking a look at the smaller expenses hidden right under your nose.

Continue reading "Finding Little Ways to Save Adds Up Big For Chicago Consumers With Debt" »

There are some places where debit cards are a better choice than credit. Those places aren't gas stations.

Thieves are increasingly stealing personal data with skimmer devices that they attach to gas pumps, according to Chicago bankruptcy lawyers. Since debit cards are linked to your bank account, criminals can record your PIN and then deduct money directly from your checking and savings accounts - adding insult to injury if you're one of millions of consumers already struggling to pay the bills and manage debt. And gas stations aren't the only places at risk - some scammers are starting to siphon personal information straight from ATMs.

So is there any safe way to use a debit card these days?

Continue reading "How Chicago Debit Card Users Can Avoid Scams at the Pump" »

Living in fear is no way to spend your life, but living in denial can be just as bad. Yet that's what millions of Americans are doing in today's unstable job market.

Despite the fact that one out of every 10 workers is unemployed and 55 percent of Americans fear they could soon lose their job, we're doing almost nothing to prepare for a possible layoff, according to MSNBC.com. Almost half of workers say they don't have enough money to pay the bills for just one month without a paycheck.

No one likes to think about the worst case scenario. But facing your fears and preparing for the worst today can ease your pain - and pad your wallet - just in case your luck runs out tomorrow.

Continue reading "Saving Money Today Can Help Chicago Workers Deal With Unemployment Tomorrow" »