Here’s how inept Bank of America is. Not only did the bank ignore the fact that a couple’s mortgage debt had been discharged in bankruptcy, continuing to harass them for a debt they no longer owed, it also ignored messages from the bankruptcy court judge. That is until after the judge imposed a $10,000/month sanction on the bank. [More]
chapter 7
BlueHippo Can't Pay Bills, Switches To Chapter 7, May Finally Die
By 12.10.09
A chain of events over the last month does not bode well for the continued existence of the no-credit-check, allegedly scammy computer purveyor BlueHippo. When the FTC found the company in contempt of its agreement to stop scamming people, Bluehippo’s payment processor froze the company’s funds with little notice. The company was unable to pay its bills and filed for Chapter 11 bankruptcy. Now, the company has changed to a Chapter 7 filing (liquidation) and will most likely go out of business. [More]
By 1.5.09
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It’s expensive to go broke! “A Chapter 13 costs $3,000. Your lawyer will probably want part of that up front, with the rest paid off as part of the plan. A Chapter 7 goes for about $1,200.” Yikes. If you’re considering bankruptcy and looking for a little guidance, this article from the St. Louis Post-Dispatch is a good place to start. [Post-Dispatch]
Panic: Are Consumers Scared To Buy Gift Cards?
By 12.1.08
Earlier this year when the Sharper Image declared bankruptcy, they briefly stopped accepting gift certificates. Eventually, they did start accepting them again — but with the requirement that consumers buy twice the face value of the card. This, it seems, has caused a fair amount of panic among consumers. Chain emails are circulating warning shoppers not to buy gift cards from various retailers — claiming that they are going out of business. But are they?
Judge Orders Credit Reporting Bureaus To Strike Forgiven Debts From Records
By 10.1.08
The three big credit reporting agencies—Experian, TransUnion, and Equifax—have been inaccurately reporting debts on millions of consumers’ credit reports even after the debts have been forgiven during bankruptcy filings. Once forgiven, the debts are supposed to be removed from credit reports, but the agencies are continuing to report them as active. They have until October 1st to comply with Judge David O. Carter’s order to “revamp their systems,” writes Jane J. Kim on the Wall Street Journal’s finance blog. Now if you’re in debt trouble, you can look forward (?) to having either unpaid debts on your credit report, or a bankruptcy filing, but hopefully no longer both at the same time.
Mrs. Fields Files For Bittersweet Bankruptcy Protection
By 8.16.08
Mrs. Fields, the sweet old woman with the cookies, filed for Chapter 11 bankruptcy protection today because flour and milk have become too expensive. Besides, you people aren’t splurging on luxuries likes sweets or meals out anyway thanks to the ongoing non-recession inflation thing that also killed off Bennigan’s.
Rival Restaurants Say They Will Accept Bennigan's Gift Cards
By 8.7.08
Texas Roadhouse says that it will accept now-defunct Bennigan’s gift cards, even though the chain’s parent company filed for Chapter 7 bankruptcy. We’re not sure if this offer applies to all Texas Roadhouse locations, so you’ll want to call first and confirm. The offer ends August 30th.
Bennigan's Files For Chapter 7 Bankruptcy, Closes Restaurants Nationwide
By 7.29.08
Bennigan’s all around the nation have abruptly closed today, after the chain’s parent company filed for bankruptcy. The Chicago Tribune
