Diane talks about bankruptcy, Arizona laws, and more…

Many people delay filing bankruptcy because of fear, guilt, or misinformation. Learn three common reasons people avoid bankruptcy and why accurate legal advice matters before financial problems worsen. The three most misunderstood reasons not to file bankruptcy are fear of credit damage, fear of losing everything, and the belief that a person must first sacrifice every possible resource. Those concerns deserve serious attention. But they should be evaluated based on the actual facts, applicable law, and a person’s long-term financial position—not on myths.

Merchant cash advances can provide fast cash, but daily withdrawals, stacked MCA loans, SBA loan conflicts, personal guarantees, and bankruptcy risks can quickly put a business and its owner in danger.

Bankruptcy Is Not Just Paperwork: Some Simple Mistakes That Can Cost You For many people, bankruptcy is not the first choice. It is usually something they consider only after they have done everything they know how to do to keep going. They may have used savings, borrowed from family, worked extra hours, made minimum payments, [...]

Build Financial Stability, Not Just a Better Credit Score A good credit score can be helpful. It may make it easier to rent an apartment, obtain a mortgage, finance a vehicle, or qualify for lower interest rates. But a good credit score is not the same thing as financial security. That distinction matters because many [...]

Worried about losing your tax refund when you file bankruptcy in Arizona? Arizona law may protect the part of your refund that comes from the Earned Income Tax Credit and Child Tax Credit. Learn what may be protected, what a trustee may claim, and why timing matters before you file.

Debt Decisions Have Consequences: Slow Down Before You Act When money is tight, fear can take over. You feel as if a debt storm has caught you. People may feel pressured to make fast decisions: use credit cards for basic needs, borrow from retirement, ignore collection letters, hire a debt settlement company, transfer property to [...]

When the Economy Feels Unstable: How to Protect Yourself From Debt in an Unstable Economy Many families feel squeezed right now. Prices remain high, borrowing money is expensive, and many people are using credit cards just to pay for basics like food, gas, utilities, medical care, or car repairs. Household debt is also very high. [...]

Perils of Filing Bankruptcy by an Undocumented Person or Non-Citizen This post is based on an earlier post on by Richard J. Parker, (reprinted with permission - December 2017). Updated by Diane Drain: May 2026 Can an undocumented person, non-citizen, or person without a Social Security number file bankruptcy in the United States? The short [...]

A Human Being Is Not an LLC Many people set up a small LLC or corporation for business or asset-protection reasons and then, over time, stop thinking about it as a separate legal entity. They use the property, pay the bills, handle the mortgage, and treat everything as if it still belongs to them personally. [...]

Reaffirming Arizona Home Loan During Bankruptcy If you file bankruptcy in Arizona, you may be asked whether you want to reaffirm your home loan. That is an important decision because reaffirming means the debt will not be wiped out by your bankruptcy discharge. Instead, it will continue as your personal legal obligation after the bankruptcy [...]

Reprint from the United States Bankruptcy Court The bankruptcy discharge varies depending on the type of case a debtor files: Chapter 7, 11, 12, or 13. Bankruptcy Basics attempts to answer some basic questions about the discharge available to individual debtors under all four chapters. What is a discharge in bankruptcy? A bankruptcy discharge releases [...]

SCAM ALERT: Do Not Pay Callers Over the Phone Claiming to Call from the Bankruptcy Court 02/06/2026 08:56 AM EST Residents of the District of Arizona are receiving fraudulent phone calls claiming to be from the Bankruptcy Court. The scammer will demand a payment, which may include Zelle, Venmo, or purchasing a prepaid card. The [...]

Your Arizona home is now protected

Article from the Federal Trade Commission, Consumer Advice, November 18, 2025 Use this action plan to avoid scams Scammers tell lots of different stories to try to get your money or personal information. They might lie and say you owe the government money. Or pretend to be your bank and say your account’s been hacked. They might claim [...]

Here’s a summary of the key points from the article “Auto loan delinquencies are soaring, with consumers hit by high car prices”: 📈 What’s happening Delinquencies on auto loans (i.e., borrowers falling behind) have climbed more than 50% since 2010. (CBSNews) The increase is broad-based: it’s not just subprime borrowers; many consumers across income levels [...]

Arizona law firm Chills a Client's Right to File an Honest Review I had a call from someone who hired an Arizona firm to file a bankruptcy, and they were required to sign a retainer that included a Non-Disparagement clause (see below). That language says that the client is not allowed to file an honest [...]

Helpful Videos to Navigate Student Loan Repayment Process Navigating student loan repayment can feel like a complicated series of if-then decisions; one wrong step can have repercussions for decades. Experts at the National Consumer Law Center’s (NCLC) Student Loan Borrower Assistance Project have created a series of help videos designed for borrowers struggling to navigate the [...]

Living Longer, Going Broke: The Rise of Senior Bankruptcies Retirement Dreams vs. RealityRetirement is often considered a time to relax, travel, spend time with family, or volunteer. However, many retirees struggle financially, with rising numbers of older adults filing bankruptcy. From 2001 to 2022, bankruptcies among people 65+ rose from 4.5% to 18.7% of all [...]