Many people who are struggling with debt may engage in refinancing options. These options can help relieve debt. However, they may also increase the borrower's financial risk. 

For instance, if a borrower is struggling to make mortgage payments, he or she may take out a second mortgage. While the second mortgage may appear to offer a better deal in terms of payment and loan length, it actually might result in a higher effective interest rate. 

If the effective interest rate is higher, then the borrower is likely bearing more financial risk than he or she did by just having one mortgage. 

If you or anyone you know is considering filing for renegotiating your debt, contact the Austin debt negotiation attorneys of Slater Kennon LLP, at 512-338-1100.

Capmark Financial Group recently filed for bankruptcy protection. According to the bankruptcy filing, the commercial real estate lender listed its total debt at $21 billion and total assets at $20.1 billion. 

According to a company spokesperson, the bankruptcy filing will allow the company to reduce its debt. The bankrtupcy filing, however, does not include every entity of Capmark, including Capmark Bank.

If your business is considering filing for bankruptcy protection, contact the Austin bankruptcy laywers of Slater Kennon LLP, at 512-338-1100. 

Bankruptcy law is not a static law. It changes frequently to meet the changing financial conditions. For instance, to combat fraud and bankruptcy abuse, Congress passed the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. 

As a result of the law, debtors must receive credit counseling before filing for bankruptcy. After filing, if they want their debts to be discharged, the debtors must undergo additional counseling. Lawmakers believed that the additional counseling would reduce the chance that former debtors would fall back into debt by educating them in financial responsibility. 

If you are considering filing for bankruptcy and are unsure how the new law will affect your filing, contact the Austin bankruptcy lawyers of Slater Kennon LLP, at 512-338-1100.

While bankruptcy is used today for people in all sorts of circumstances, it was once considered criminal behavior. Before bankruptcy laws were enacted in the late 19th century, people were typically forced into bankruptcy against their wills and labeled as outcasts in society. 

However, as countries like the United States faced economic troubles in the late 1800s, bankruptcy laws were enacted to help people settle their debts. While many indebted people had the option to file for bankruptcy under these laws, many individuals and businesses chose not to file for various reasons.

For instance, some people were still worried about the stigma associated with bankruptcy, while others did  not believe bankruptcy offered a beneficial strategy. 

Bankruptcy filings became increasingly popular in the second half of the 20th century, especially after the passage of the Bankruptcy Reform Act of 1978. This United States leglislation created one of the most debtor-friendly systems in the world. Because of the new system, the stigma associated with bankruptcy has been reduced and people are now more willing to file for bankruptcy. 

If you are considering filing for bankruptcy, contact the Austin bankruptcy lawyers of Slater Kennon LLP, at 512-338-1100. 

Pilgrim's Pride Corp. received permission from two government entities to be purchased by JBS SA. The deal, which was approved by the Federal Trade Commission and the Department of Justice, will help the chicken producer to get out of bankruptcy. 

Pilgrim's Pride had previously filed a reorganization plan in September with the U.S. Bankruptcy Court. The chicken producer must still receive permission from the bankruptcy court before the deal can be completed. 

If your business is considering filing for bankruptcy, contact the Austin bankruptcy lawyers of Slater Kennon LLP at 512-338-1100.

The Chicago Cubs were put into Chapter 11 bankruptcy Monday. The Major League Baseball franchise has been up for sale by the Tribune Co. for more than 2 years. 

The bankruptcy filing will help the club relieve its debt obligations to make them more attractive to a new buyer. The bankruptcy court must approve the sale of them. 

If your company is considering filing for bankruptcy to relieve its debt obligations, contact the Austin bankruptcy lawyers of Slater Kennon LLP, at 512-338-1100.

A newly formed parent company of Dynetech Corp. filed for bankruptcy Thursday in Orlando. The parent company, Tellgenix Corp., filed Chapter 11, with outstanding debt of about $50 million. 

The filing occurred just a few weeks after a lawsuit was filed in Texas against numerous businesses related to Dynetech. The lawsuit alleged that the businesses violated trade practices and consumer protection laws. 

If your company is considering filing for bankruptcy, contact the Austin Chapter 11 bankruptcy lawyers of Slater Kennon LLP, 512-338-1100.