… of its corporate staff.  But if Borders did file Chapter 11 bankruptcy, how might the company benefit?

Under Chapter 11 bankruptcy Borders may be able to nearly wipe out debt obligations to junior creditors freeing up more income that can be used for expansion or business improvements.

Under Chapter 11 bankruptcy Borders would have extraordinary leverage in negotiating a reduction of debt owed to senior creditors.

Under Chapter 11 bankruptcy, investors may be willing to issue a …

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… and leaving homeowners facing foreclosure with little or no help. Another debtor/laid off employee even posted a YouTube video appealing to debtors everywhere to join her in fighting creditors by defaulting on their loans.

Well, there may be a better way. If a debtor is truly experiencing financial distress, filing bankruptcy can provide a better and legal option to discharge burdensome debt.  Bankruptcy will protect a debtor from creditor calls, lawsuits, wage garnishments and …

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… As if the current crisis of rising healthcare costs weren’t enough to stress most of us, the Employee Benefits Research Institute announced the results of a study regarding the savings that a person will need upon retirement to pay for expenses not covered by Medicare and Medicaid.  The results are different for men and women, because of longevity issues.  A man retiring at the age of 65 in 2009 will need anywhere from $68,000 to $173,000 in their savings to cover additional medical …

Tags: Employee benefit Health care Retirement Unemployment

… a value and that value will be counted as income.

If you’re filing for bankruptcy and have employee perks, talk to your bankruptcy attorney about how those perks will be counted as income during your bankruptcy case.

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While bankruptcy offers a myriad of benefits to debtors, dishonest debtors ruin their chances of getting a fresh financial start.  When filing for bankruptcy it is important to tell the truth at all times.  Telling lies or distorting the truth can land you in a lot of trouble.  Below are a couple of common lies dishonest debtors tell during bankruptcy and why you should avoid them.

…

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… JPMorgan Chase & Co. and Morgan Stanley have already repaid their bailouts and face no caps on employee pay.

The U.S. government should seriously consider the possibility of taxing bonuses at all of the banks who received bailout money regardless of their repayment status.  Even if the bank repaid their bailout loan, they still benefited from a taxpayer handout and should be required to share some of that benefit especially if they did so well that they can pay out fat bonuses to their …

… consequences of the death of a filing spouse during bankruptcy is that the life insurance benefit payout cannot become part of the bankruptcy estate.  For example, if you and your spouse filed bankruptcy in January 15, 2010 and your spouse passed away on January 17, 2010, the life insurance benefit payout you receive will not become part of the bankruptcy under the Texas bankruptcy code.

Under Texas bankruptcy law insurance benefits cannot be seized to pay the debts of the …

… to workers who are unable to find new jobs after a job loss?  While outsourcing jobs overseas may benefit the balance sheets of companies in the short-term, the long-term effect on American workers is extremely negative.  Once a job is outsourced to a foreign country, it has a minimal chance of returning to these shores and providing work for those workers who are unemployed. Unfortunately for workers who have suffered a job loss, outsourcing may become more common as companies are faced …

… Pension plans which are terminated in Chapter 7 bankruptcy are insured by the Pension Benefit Guaranty Corporation; but 401k plans are not insured.

If your employer files Chapter 11 bankruptcy, the retirement plans will most likely be affected by their restructuring efforts. Both retirees and employees usually retain counsel to represent their interests during the bankruptcy.

How To Protect Yourself

Find out if your pension plan has been …

As soon as a bankruptcy petition is filed, bill collectors have to leave you alone.

For almost anyone who has gone through bankruptcy before, the term “automatic stay” is music to their ears.  An automatic stay is an injunction by a court which stops (stays) creditors from trying to collect debts from anyone who has declared bankruptcy.

Section 362 of the United States Bankruptcy Code …

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According to an article in the Dallas Morning News , the Texas Workforce Commission has begun paying out as much as 13 weeks of additional unemployment benefits to the state’s chronically unemployed. Last month the commission announced that they couldn’t pay extra unemployment benefits until November because of computer problems and complex federal rules that were difficult to abide by. …

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… A full post-bankruptcy recovery may require this broadcaster to renegotiate vendor and employee contracts during bankruptcy and maybe even restructure its business model. And while some broadcasters have chosen to forgo filing Chapter 11 bankruptcy, Regents Communications will hold a cash flow advantage over those competitors after reducing its debt obligations significantly in bankruptcy.