A largely forgotten form of Consumer bankruptcy is Chapter 12. Although geared for a family farmer or fisherman, they are designed to be filed by consumers rather than companies.
At its annual Capitol Hill Day in Washington this week, the National Association of Consumer Bankruptcy Attorneys sounded an alarm about the growing student loan problem, calling it a “debt bomb.” NACBA released a survey of its members indicating that more potential clients these days have unmanageable educational loans and are facing aggressive collection efforts. See http://www.nacba.org/Legislative/StudentLoanDebt.aspx.
So far, the bureau hasn't gone after many of the bad guys, even when their misdeeds are chronicled in the press and in civil court filings. Nor has it proposed, even informally, rules to curb known abuses.
If Citi, or any bank, turns the mobile channel into a scapegoat for its problems, it might leave a lasting impression that the channel is somehow unreliable.
This week on The Broke and the Beautiful, actor and “Celebrity Apprentice” contestant Gary Busey files for Chapter 7 bankruptcy, and Chrysler’s Super Bowl ad sparks controversy. Also, the New York Mets’ owners face new allegations regarding Bernard Madoff’s Ponzi scheme.
