“Being sent to collections” is a boogie man for businesses as well as for individuals, I learned this week. I was counseling a small business with lots of vendor debt.? We were looking for a strategy that could keep them in business.? When I suggested that management sort their payables into vendors they needed and…
When I tell a bankruptcy prospect to stop paying the credit cards and the bank lines of credit, they look at me as though I’d suggested they jump into shark infested waters. “But they’ll start calling me”, they wail.? “I’ll be sent to collection“, as though “collection” was a real place, with manacles dangling? and…
In the tug o war of which creditor to pay, why is it that credit cards win over taxes and child support? I’m accustomed to clients who pay creditors rather than provide for their own health care, emergency fund, or retirement.? That’s taking care of commitments to others before self. But I haven’t figured out…
Liz Weston, L.A. Times financial writer, walked a room full of bankruptcy attorneys at the Sacramento Valley Bankruptcy Forum through the impact of various credit events on your credit score last weekend. She recounted how, after meeting some debtors as she worked on stories, she no longer saw debtors as deadbeats. She saw the challenges…
