Long Island Bankruptcy Law Blog

Particularly since 2007, New Yorkers often have found themselves buried in credit card debt. In an area where the cost of living is already higher than most other localities, some individuals are so dependent upon credit cards just to put food on the table that debt relief and options for dealing with the debt may seem limited.

Individuals that have money in their bank accounts have room to bargain with creditors. Sadly, others with more pressing financial circumstances find themselves in a no-win situation. They can't afford the credit card payments, but at the same time they cannot afford to lose the ability to use a credit card for necessities - especially when they've already spent money from their paycheck paying off their bills. If they try to haggle with the credit card company they may instead find their credit card being shutdown.

A person's home is a very special place. When people in Long Island or elsewhere are in danger of losing their home they may feel completely overwhelmed. They may be willing to do whatever it takes to stop foreclosure. Although parents may feel frustrated and stressed, a home foreclosure can deeply affect children as well.

About 1 in 10 children in the United States have been or will be affected by the foreclosure crisis. In fact, one report indicates that about 2 million children have lived in homes that were lost due to foreclosure. In addition, another 6 million children live in homes or rental properties that are at risk of foreclosure.

Professional athletes seem to have it all. They are famous, rich and get to play a game for their job while the rest of us sit at desks. While their lives seem to be perfect, the reality is that many of them struggle with their finances. Although they may make millions of dollars, that money can quickly disappear.

Warren Sapp, the 39-year-old former defensive lineman, recently filed for Chapter 7 bankruptcy. According to one source, Sapp owes more than $6.7 million to creditors. A portion of that money is also for late child support and alimony payments.

The recession has left many New Yorkers struggling to pay their bills. Credit card bills, student loans, medical bills, mortgage payments and car loans may be quickly piling up. However, as people are working to pay off their debt, it appears that a new trend has emerged, and people are now more concerned about their cars than they are their homes.

A new study revealed that many Americans are paying their car loans first and choosing to fall behind on other debt such as mortgage payments and credit card bills. In fact, of the 4 million people studied with at least one car loan, one credit card and a mortgage, only 10 percent missed a payment on their car loan. Compare that to almost 40 percent who fell behind on their mortgage payments while staying current on their car loan and credit card bills.