The government may be implementing a new program mandating employers to automatically deduct student loan payments from a borrower’s paycheck. Is this a good thing? Actually, it may save a debtor money in the long run.
Most Arizona bankruptcy lawyers have to give the unfortunate news that student loans are dischargeable. But the new “Pay-as-You-Earn” program may provide some relief.
In re Cramner is a new case suggesting that Social Security income does not have to be paid as part of a Chapter 13 plan. An Arizona bankruptcy lawyer can determine whether a debtor who receives Social Security will have to pay some of it to a Chapter 13 trustee.
When a debtor consults with an Arizona bankruptcy lawyer, one of the first questions is how will the bankruptcy impact my credit report. Although bankruptcy will adversely impact a credit score at the time of filing, a debtor’s credit will immediately start to improve shortly thereafter.
Only a competent Arizona bankruptcy lawyer can determine whether a debtor’s federal or state income taxes can be discharged in a Chapter 7 or Chapter 13. If the taxes are old enough and tax returns were timely filed, you may be in luck!