The financial crisis was hard on many Orlando households and a lot of people are continuing to struggle even as the economy recovers. A recent report by the Orlando Sentinel does show, however, that many Central Floridians are getting their finances back on track in the aftermath of the recession. The newspaper cites statistics from the credit agency Experian, which show that consumer debt in the area has fallen 5 percent from 2008 to 2013 on average.
Depending on the card holder agreement, Florida residents may find their credit limits drastically reduced or their line of credit cancelled after a default on a different credit card account. No matter what the circumstances of the late payments, the credit card company may have the right to cancel a credit account -- even if that account is in good standing -- if the customer fails to pay on other accounts.
Any Florida resident with unpaid medical bills will tell you that medical debt is frustrating. It is not like anyone wants to have unplanned medical emergencies. Yet, when an emergency happens, there is no other choice than to get the medical attention that is needed.
While bankruptcy is not necessarily anything a Florida resident hopes for, there are definitely many positives to filing for bankruptcy. This is something a filer should keep in mind when going through the bankruptcy process.
Personal bankruptcy is a debt resolution thousands of people in Florida and around the country have used in order to get their finances in order. But, even though the process is rather common, many consumers still approach bankruptcy hesitantly amid fears that their credit will be destroyed if they file. However, this is not always the case, especially when filers make a conscientious effort to improve their credit afterwards. For example, consumers who have successfully exited Chapter 13 bankruptcy typically become eligible again for Federal Housing Administration mortgages just one year later. With a Chapter 7 bankruptcy, it's two years. And while with more conventional providers the wait could be extended, the point is that ineligibility is not necessarily forever.
A Chapter 13 bankruptcy allows for an individual or sole proprietor with unmanageable debts to create a repayment plan over the next three to five years to pay back creditors. Typically, this type of plan is attractive to many as it allows for a person to overcome their debt burden without having to forfeit assets to creditors.
When it comes to gymnasts competing in this year's Olympics, 16-year-old Gabby Douglas has quickly become a fan favorite. The teen has already won two gold medals and is the first Africa-American woman to take home the title of winning an all-around gold in gymnastics. And while she could end up earning millions in endorsement deals, the fact that her mother filed for Chapter 13 bankruptcy several months ago highlights the fact that times can be tough for anyone --even for the parent of a gold medal winning Olympic athlete.
These days many Florida residents are facing the consequences of having accumulated overwhelming debts, such as credit card debt, mortgages and car loans. There can be many reasons for these financial hardships including job losses, medical expenses and the housing market crash that has hit Florida particularly hard.
Following a national trend, personal bankruptcy filings were down for the first four months of the year. Of course, while some are pointing to this as a sign of the downward economic trend finally starting to turn around, others are staying cautious as extended unemployment benefits are expected to be phased out and banks are once again initiating foreclosures.