For people in the Cincinnati area who are feeling overwhelmed with debt and worried they could be in danger of losing their house, filing for bankruptcy might be a viable option. Filing under Chapter 13 or Chapter 7 could allow someone who is behind on mortgage payments to stay in their house and avoid foreclosure. It seems, however, as though not enough people in Ohio are taking advantage of this potential benefit to filing bankruptcy.
People in Ohio who are contemplating filing for bankruptcy might assume that it's only those with limited incomes who might fall behind on their bills and be forced to contemplate the idea of foreclosure. However, people who are wealthy -- even what many people might consider members of the super-rich elite -- can run into the same sorts of financial issues. For those people, however, the dollar figures are on a much more inflated scale.
The good news for Ohio readers is that the recession appears to be coming to a slow end and some economic factors are improving. The bad news, though, is that there has been an increase in the number of foreclosure actions taking place in our state recently. However, details as to why this is happening are few.
Many of the stories that this blog has reported have talked about chapter 13 bankruptcy proceedings. Many Ohio residents seek chapter 13 relief to reorganize debts. Many people call a chapter 13 as a wage-earner's bankruptcy. Still, many Ohio residents may not know a great deal about this form of bankruptcy proceeding.
Singer Toni Braxton continues to have financial woes. Roughly two years ago, this blog reported difficulties the singer was having in her chapter 7 bankruptcy case. At that time, the trustee alleged that the Grammy Award winning singer's bankruptcy proceeding was not proper for chapter 7. Braxton had filed for bankruptcy in 2010, stating that she owed millions of dollars to creditors.
In May, this blog discussed that nationally there have been few takers in the foreclosure review process that is available through government regulators. Sources estimate that more than 140,000 Ohioans who faced foreclosure in 2009 and 2010 have received letters notifying them that they may be eligible for an Independent Foreclosure Review. The Comptroller of Currency says that only 6,000 people in Ohio have requested a foreclosure process review.
One of the apparent byproducts of the housing market crash may be a lost generation of homeowners, according to some housing market watchers. The nation's economic woes and the foreclosure crisis have pushed home values down drastically. An important component of the housing market is first-time home buyers. However, some economists say that many young Americans are choosing to rent instead of purchasing new homes, due to uncertainty in the marketplace.
Earlier this month, this blog reported that Nadya Suleman has filed for bankruptcy protection on the West Coast. The woman gained notoriety after giving birth to octuplets, but her financial situation has continued to plague her, despite her media attention. Unfortunately, the paperwork in her chapter 7 bankruptcy was reportedly not fully completed in the bankruptcy court file. Now, the bankruptcy judge has dismissed the bankruptcy court case.
A 40-year-old woman in the Midwest who suffers from Crohn's disease and Fibromyalgia has two kids to support and a mortgage. She receives disability checks from the federal government and works part-time at home as best she can to try to make ends meet.
The Federal Trade Commission announced Thursday that a federal district court has closed down a foreclosure rescue fraud scam. The scam was but one of what may be many that Ohio resdients should be aware that exist in the current marketplace.