AVOIDING THE PAYDAY LOAN/TITLE PAWN TRAP
Unfortunately, many lower income consumers lack any type of savings or reserve to address an unforeseen expense or temporary reduction in come. An auto repair of $400 can be an intimidating obstacle to someone who does not have any money set aside, or available credit from a credit card, with which to pay for the […]
TITLE PAWNS AND BANKRUPTCY: NEW CONCERNS FOR DEBTORS TRAPPED IN HIGH INTEREST LOANS
Recently, a Bankruptcy Judge in the Southern District of Georgia has determined that a Debtor in a Chapter 13 bankruptcy cannot alter the terms of a title pawn transaction through a Chapter 13 repayment plan. A Chapter 13 bankruptcy does allow debtors to modify the terms of secured debts for automobiles and appliances. This can […]
AUTOMOBILE TITLE PAWNS AND BANKRUPTCY
Title pawns have become an ever-growing percentage of consumer debt, as they are marketed as a short-term “quick fix” to a budget deficit. Presumably, these loans will allow the consumer to bridge the gap until payday, at which time the loan will be paid off and title returned. Unfortunately, this is rarely the case, and […]