How to know it’s time to consider bankruptcy

ARE you being harassed by your creditors day and night due to unpaid bills? If you are, you know that this is a pretty unpleasant experience. You may feel scared, angry or embarrassed about your situation. The prospect of debt relief through bankruptcy may sound appealing to you but you are not quite sure if this is really the way to go. Perhaps you have heard good things and bad things about bankruptcy and you need to learn more about it before making a decision.

But just how can you tell when it’s time to make that move and declare bankruptcy? Of course, situations vary and whether or not bankruptcy is your best alternative will depend on the facts and circumstances of your case. But generally, the answer has to do with your ability to pay, which means that you need to consider your income, expenses, your assets and the amount of your debt. You also need to look at the types of debt you have.  For example, if you are dealing with nothing but IRS taxes and they type of taxes you have cannot be wiped out in bankruptcy, you may have other options in solving your tax problems besides filing for bankruptcy.

Generally speaking, however, here are a few questions you should be asking yourself to help you assess whether it’s time for you to consider filing for bankruptcy:  (1) Are you struggling to pay even the minimum payments on your credit cards? (2) Have you started borrowing money just to be able to cover your basic living expenses such as rent or mortgage, food, gas, etc? (3) Have you lost track of how much you owe? (4) Are bill collectors calling you because you have accounts in collection? (5) Have creditors taken legal action against you such as filing a lawsuit, obtained a judgment and threatening to garnish your wages or levy your bank account?

If you said “yes” to any or most of the above, you could be in a financial danger zone and you need to take action as soon as possible before your financial problems get worse. It may be time to face your financial reality instead of pretending that everything is “OK”. Perhaps you’ve been ignoring your pile of bills and the collection calls. But you’re only going to be able to do this for so long. Sooner or later, you need to face your creditors and do something to change your situation.

I believe that bankruptcy should be a last resort and that you need to exhaust all debt relief options before resorting to it. But I also believe that a lot of people put off the decision to file bankruptcy for too long that they needlessly suffer in debt when they could have acted sooner to rebuild their finances and their life.

Since 1997, I have helped thousands of clients get out of debt. Let me help you determine if bankruptcy is right for your situation. Call Toll-Free 1-866-477-7772 to schedule a free office consultation. We have offices in Glendale, Cerritos, West Covina and Valencia.

source: asianjournal.com

Filipinos High In Financial Quotient — Citi Survey

MANILA, Philippines — Filipinos scored an all-time high of 52.6 out of a possible 100 points in the latest Citi Financial Quotient (Fin-Q) Survey, passing the 50-point mark for the first time since the survey was launched in 2007.

The Citi Fin-Q Survey is an annual survey designed to measure the Financial Quotient or financial well-being of consumers. All respondents were over 18 years of age with either a bank account or a major credit card.

The Filipinos’ high Fin-Q score can be credited to a better understanding of money management, according to the survey. Fifty-nine percent feel they have a “good” or “very good” understanding about money management and personal finances. This also explains why 94% reported attempting a monthly budget, the highest number across all countries participating in the research.

In this latest survey, respondents were scored on 11 different questions closely related to financial well-being for a maximum possible score of 100. The questionnaire consisted of over 50 questions and covered a range of topics closely related to financial decision-making and smart financial habits.

Citi conducted the survey through research firm Big Picture Qual and Quant Research in late 2011, and results were released this year. The survey covered 4,000 people across 8 countries including the Philippines. Five hundred interviews were held in each of the participating countries that include Australia, India, Indonesia, Korea, Singapore, Taiwan, and Thailand.

According to Citi Country Officer Sanjiv Vohra, the results of the survey reaffirm Citi’s commitment to financial education. “As Citi celebrates its 200th anniversary this year, we remain focused on our efforts to help consumers understand the importance of planning their financial future, and guide them in achieving their financial goals. Citi has been reaching out to a wide range of audiences, looking beyond our clients, to promote financial literacy. We constantly look for opportunities to engage them in discussions on saving and budgeting, understanding investment options and preparing for retirement.”

More than 60% surveyed said they were “better off” compared to 2010, the highest reported level since 2007. Optimism on one’s financial future is also up, with four out of five respondents saying they are “very optimistic” or “optimistic” about their financial future. On savings, 42% reported they save money from every pay.

With better access to financial education, Filipinos are able to manage their current finances, and have become even more conscious about saving for the future.

For the fourth consecutive year, the Citi-sponsored research revealed a year-over-year increase in the Citi Fin-Q Score or financial well-being of Asian consumers. The Citi Fin-Q for the region currently stands at 54.5 out of a possible 100 points, up from 53.2 in 2010, 50.9 in 2009 and 49.5 in 2008.

Majority of respondents (74%) in the Asia Pacific region showed increased satisfaction in their current quality of life, while 70% were “very optimistic/optimistic” about their financial future.

Almost two-thirds (63%) of Asia Pacific respondents expressed confidence that their savings will lead to a comfortable life in retirement. Not a surprising fact, since almost half (46%) reported that they set aside some savings from every pay.

More than two in five Asia Pacific respondents also suggest their personal financial situation is “much better off” or “somewhat better off” compared to one year ago.

“The survey numbers in the Philippines are indeed very encouraging. The results show that Filipinos are becoming more determined to take charge of their finances and are responsible users of credit,” pointed out Vohra.

Sixty percent indicated that they pay off their full outstanding credit card balance on a monthly basis, up 12% from 2010. Filipinos are also looking at investments in the form of cash, real estate and insurance to ensure a comfortable retirement.

Average retirement savings is pegged at P1.56 million, marking an 11% increase from 2010. On the average, Filipinos reported having 10.4 weeks of savings in reserve.

Filipinos have embraced digital banking with fully 70% saying they use the Internet or mobile phone for banking transactions. Given a choice, a majority (52%) expressed a preference for banking online from a home or office computer – the highest number registered among the participating countries.

“What the numbers tell us is that Filipinos are taking a more active role in planning their finances and choosing the financial products and services according to their needs,” added Vohra. “Citi will continue to do its part in promoting financial literacy, working with the right partners around the country to engage more Filipinos from all walks of life.”

source: mb.com.ph

Want financial advice? Let these ‘Facebook bankers’ help you

MANILA, Philippines — If you want help managing your personal finances but are intimidated by the stone-cold treatment of employees in banks, this Facebook app launched by a local bank may be able to help you.

Called the Bankers Online App, the Facebook-based application developed by the digital marketing unit of Ayala-led Bank of the Philippine Islands (BPI) aims to bridge the gap between bankers and the bank’s customers.

Executives of the bank said they noticed how account holders and would-be customers are often intimidated to ask their bankers about the most basic finance questions for fear of being perceived as unknowledgeable about the matter.

“[This app] will transcend the very deep ravine between the stiff banker persona and anyone on Facebook because it’s very personalized,” claimed Virginia Brocka, digital marketing head at BPI.

Anyone with a Facebook account, even those without an account with BPI, can post questions for the bankers and receive a response for their queries by simply liking the BPI page on Facebook and accessing the Bankers Online app.

Brocka said they took pains to ensure that the profiles of the bankers — which came from various BPI units and departments and are mostly young — are available for users to see, in order to create some sort of “emotional connection” with the bankers.

“That way, people can relate to somebody who is their age, or to a woman who is also a mother. Users can see the bankers as a person they can relate to,” Brocka explained.

Users can ask questions from a range of topics such as financial wellness, responsible borrowing, and money management among others. Should the banker be unable to answer the query, Brocka said the “full force of BPI” will be behind the banker to help the customer in resolving the question.

Executives said bankers would answer questions after about 24 hours, and the service will only be available on the banks usual banking days, from Monday to Friday.

Aside from being a hub for financing advice, the app also serves other useful functions such as the ability to schedule an offline appointment with a bank employee; and a helpdesk facility that will aid users in resolving account-related questions.

Brocka said bringing such kind of service directly for Facebook is essential especially in a nation where 27 million Internet users are on Facebook, or more than 90 percent of its total Internet penetration.

“We have seen that the use of social media has become an integral part of Filipinos’ lives,” added Carmencita Gozar, vice president and Brand BPI Division Head.

Gozar said they envision the app to “democratize expert financial advice” and lead Filipinos to better financial wellness overall.

“This is the Internet age, and we (banks) should embrace it. It’s an opportunity for us to keep on learning what our customers really need,” Gozar stressed.

source: interaksyon.com