North Texas Has Above Average Consumer Debt

Residents in Texas have high debt loads and low credit scores, according to recent reports. For some struggling with debt, bankruptcy may help.

2010-09-04

September 04, 2010 (Press-News.org) Debt is an issue that affects most of America, and North Texas is no different. The residents of North Texas, including the Dallas and Fort Worth, are amongst the United States' leaders in low credit scores and average consumer debt. According to Experian, Dallas is second only to Seattle in average amount of consumer debt amongst the 20 largest metropolitan areas in the U.S.

Experian released a report in March of 2010, stating that Americans had an average of $24,775 in debt and residents of the Dallas area had an average of $26,599 in debt -- excluding mortgage debt.

Residents of the Dallas area also had below average credit scores, with a VantageScore of 719. This ties the residents of the Miami-Fort Lauderdale area for the lowest VantageScore among the 20 largest metropolitan areas in the U.S. The nation, on average, has a VantageScore of 749.

There May Be Help

Even though many residents of the Dallas area are carrying heavy debt, there may be help available through Chapter 7 or Chapter 13 bankruptcy.

Chapter 7 Bankruptcy

Chapter 7 bankruptcy is designed to give a debtor a fresh start by discharging most debt. In a Chapter 7 bankruptcy, the debtor is allowed to keep "exempt" property, which is much more than just a car for each driver and a home.

To qualify to file for Chapter 7 bankruptcy, a debtor must pass a "means test." The means test is a formula designed to limit Chapter 7 bankruptcy to those who have no means of paying their debts. If a debtor cannot pass the means test, Chapter 13 bankruptcy may be the option.

Chapter 13 Bankruptcy

Often called the "wage earners' bankruptcy," Chapter 13 bankruptcy, offers debtors a chance to rearrange their debts into one monthly payment to be paid over three to five years. Once the repayment period is up, the remaining debt is discharged.

Much like Chapter 7 bankruptcy, Chapter 13 bankruptcy allows the debtor to keep their exempt property, including their home. If a home is in foreclosure, filing for Chapter 13 bankruptcy will stop the foreclosure and allow the debtor an opportunity to catch-up on past due payments over the life of the repayment plan.

It is very rare that the debtor under either chapter would lose any property or asset, unless they just wanted to surrender it to avoid having to pay for it to the secured creditor.

Discuss Your Options with an Attorney

Bankruptcy may be an option for you if you are carrying a large debt load. An experienced bankruptcy attorney can evaluate your situation and help you decide whether bankruptcy is in your best interests. For questions or for more information, contact a skilled bankruptcy attorney.

Article provided by Pelley Law Office, L.L.P.
Visit us at www.pelleylaw.com

ELSE PRESS RELEASES FROM THIS DATE:

Pedestrian Accidents in Arizona

2010-09-04

When a pedestrian gets injured they have no airbags, seatbelts, safety cage or any other way to shield themselves from such a traumatic impact. Pedestrian accidents can occur when a motorist is distracted or simply inebriated and can result in fatal injuries. Everyday walkers, joggers, and rollerbladers are all at risk. In the United States, a pedestrian is killed every two hours in a traffic accident. If you are a victim of a pedestrian accident in Phoenix , Mesa, Scottsdale, Tempe and surrounding areas, it is important to discuss your legal option with an Arizona personal ...

The Dangers of 15-Passenger Vans

2010-09-04

According to the National Transportation Safety Board (NTSB), there were 1,512 fatal accidents involving 15-passenger vans between 1994 and 2004. In 2004 alone, 120 occupants of 15-passenger vans died in crashes involving these vehicles. The National Highway Traffic Safety Administration (NHTSA) cautions that 15-passenger vans are not like smaller passenger vans; they have a higher rate of rollover under certain conditions and necessitate greater attention to tire maintenance and road conditions. These vehicles pose such a concern that NHTSA published an action plan ...

Examining the Life Cycle of Unpaid Debt

2010-09-04

There are many reasons why people in Arizona may need to explore legal remedies for unbearable debt. Medical expenses, job losses and escalating house payments due to adjustable rate mortgages are among the most prominent. But in many cases, long term dependence on charge cards, home equity loans and other credit sources for everyday expenses may have created a looming mountain of debt. The one common denominator among all of these factors: debt has more lives than a cat, and you should never expect an obligation to simply disappear. When it does come back to haunt you, ...

Reports of Divorce Rate Increase: Acceptance of a New Economic Reality?

2010-09-04

Rates of divorce have declined in the last few years, and many family law practitioners have attributed the reduction in dissolutions to the economic challenges posed by the Great Recession. Even if a couple believes that a marriage will no longer work, they may accept the fact that maintaining two households in a time of economic uncertainty has not been a risk worth taking. Diminished real estate equity and uncertainty about jobs opportunities have left some spouses resigned to postponing legal solutions until they feel more secure. But recent reports suggest that ...

Truck Driver Who Terrorized Colorado Neighborhood Pleads Guilty

2010-09-04

A truck driver from Tennessee pleaded guilty in July to criminal charges that he faced after driving drunk with abandon in his semi through the Prospect subdivision in Longmont. David Kent, a National Guardsman between deployments to Afghanistan, had been charged with 38 criminal counts after he caused considerable damage to residences, landscaping and fixtures during the March trucking rampage. One resident said the aftermath looked like the path of a tornado, but fortunately no one was injured. The destruction included knocked over street signs and street lights, uprooted ...

New Rules for Medical Marijuana Dispensaries in Colorado

2010-09-04

According to The New York Times, 14 states have passed laws allowing marijuana use for medical purposes. Colorado passed its law in 2000 and since that time, the industry has been rapidly growing throughout the state. Recent amendments to the law, however, have set new restrictions on who may own these businesses and new requirements for the doctors prescribing the drug. Stricter Licensing Requirements In June, Governor Bill Ritter signed two laws that will change the way marijuana growers and distributors do business. Notably, the laws create stricter licensing ...

Dangers of Distracted Driving

2010-09-04

In 2008, distracted driving caused nearly 6,000 deaths and injured over 500,000 people according to the National Highway Safety Transportation Administration. In New Jersey alone 1,821 crashes involved handheld devices and another 1,383 involved hands free during that same year. Texting While Driving One of the more prevalent causes of distracted driving is texting behind the wheel. According to distraction.gov, a website launched by the U.S. Department of Transportation, texting is one of the most dangerous activities a driver can do because it involves drivers taking ...

Burton Unveils the Perfect Black Suit

2010-09-04

Burton was set the challenge by the owner of the brand, Sir Philip Green, to design the perfect single breasted black suit for the autumn/winter 2010 season. Each suit, as well as the accompanying formal white shirt, was given the brief to look great on any of their customers but without the bespoke Saville Row price tag. With Burton's renowned heritage for tailoring dating back to 1903, Sir Philip automatically thought the brand would be able to crack this suiting conundrum. Over the years Burton has achieved such accolades as producing uniforms for British troops ...

npower Reveals Billericay is Home to Britain's Oldest Boiler

2010-09-04

npower hometeam's nationwide search for Britain's oldest boiler has come to an end with Colin Sadler from Billericay being revealed as the owner of the oldest boiler in the country. While the floppy disk, the video cassette and Bananarama have all been and gone, Colin Sadler's boiler has been quietly ticking along at his home in Essex since 1968 and is still going strong. Colin had never given his boiler a second thought, until his wife Sue read in his local paper that npower hometeam was on the search for Britain's oldest system. It was then that he thought his old ...

Saxo Bank Releases New Monthly Equity Research on Value Stocks in Tradingfloor.com

2010-09-04

Saxo Bank, the specialist in online trading and investment, has launched a new monthly equity research publication entitled "Global Value Equity Strategy" focused on highlighting the most undervalued stocks from around the world. It will appear each month on the Equities section of www.tradingfloor.com. The "Global Value Equity Strategy" will highlight a value portfolio on 30 of the most undervalued stocks from around the world according to a proprietary equity screening model. Each issue of the publication will included back testing results and performance evaluation ...

LAST 30 PRESS RELEASES:

Exploring the link between hearing loss and cognitive decline

Machine learning tool can predict serious transplant complications months earlier

Prevalence of over-the-counter and prescription medication use in the US

US child mental health care need, unmet needs, and difficulty accessing services

Incidental rotator cuff abnormalities on magnetic resonance imaging

Sensing local fibers in pancreatic tumors, cancer cells ‘choose’ to either grow or tolerate treatment

Barriers to mental health care leave many children behind, new data cautions

Cancer and inflammation: immunologic interplay, translational advances, and clinical strategies

Bioactive polyphenolic compounds and in vitro anti-degenerative property-based pharmacological propensities of some promising germplasms of Amaranthus hypochondriacus L.