Spokane Valley Bankruptcy Law Blog

As many Washington residents have heard or read since 2009, a woman named Nadya Suleman who has since been dubbed "Octomom" gave birth to octuplets, adding to the six children she was already taking care of. When she gave birth to the octuplets, Suleman was unemployed, living in a foreclosed home and relied heavily on food stamps and Social Security disability to get by.

Clearly, things have not gotten much better since her children brought her fame. Suleman filed for Chapter 7 bankruptcy protection earlier this week, claiming $50,000 is assets.

Many people in Washington, may they be in Spokane Valley or Seattle, struggle with their credit card debt. This could lead some people to put off payments or try to ignore the problem, hoping that Debt Collector X or Creditor Y passes on dialing their number. The fact is, unless there are certain circumstances, getting into good habits with your credit card (or cards) can save you time, energy and money down the line.

One of the simplest things you can do to help clear your debt and aid your credit score is to pay your credit card bills on time. It's a common mistake that so many Americans make. Failing to pay on time can lead to immediate and seemingly-minor penalties, such as a small fine. But that fine will carry interest and it will not reflect well on your credit score -- plus it is another debt you have to pay.

A few weeks back, we examined how social media is creating a new way for debt collectors to communicate (and usually harass) those with outstanding credit. There are a few preventative measures you can take to stop creditors from harassing you, such as writing a letter request creditors cease contact with you in any way.

Another way to stop creditor harassment is to file for bankruptcy, a decision you should make with the support of an experienced attorney. Sometimes, though, creditors or banks will ignore these notifications and continue to pester the in-debt party, an act that violates the Fair Debt Collection Practices Act.

The U.S. Department of Housing and Urban Development has completed its investigation into the robosigning scandal that hung over the mortgage industry in recent months, and the hardest hit institution was Bank of America.

Robosigning is a practice in which employees of a financial institution sign off on or notarize legally-binding documents without actually confirming the contents of the document. The point of robosigning is to pump out as much documentation pertaining to mortgages and foreclosures as possible.