News & Analysis as of

Balloon Payments

Dickinson Wright

A Payment Plan Does Not Equal a New Contract

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When parties enter into a transactional contract, they are free to enter into a payment plan agreement for outstanding debt owed under the contract.  However, the payment plan itself does not necessarily mean that the parties...more

Nelson Mullins Riley & Scarborough LLP

Chapter 13 Lessons: Are Pre-Petition Arrearage Balloon Payments Permitted?

I was recently engaged in a Chapter 13 case after the debtor’s bankruptcy plan had already been confirmed (the case shall go unnamed). After reviewing the plan, I quickly learned that the debtor had secured a good deal for...more

Rivkin Radler LLP

Selling Your Business? Take the Money But Defer the Tax?

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Sale of the Business- Imagine Client has just received an attractive, all cash offer for the sale of their business; there is no financing contingency. The buyer has proposed a cash-free and debt-free deal....more

Wiley Rein LLP

Wiley Consumer Protection Download (May 16, 2022)

Wiley Rein LLP on

Alvaro Bedoya Sworn in as FTC Commissioner Following Senate Confirmation. On May 16, Alvaro Bedoya was sworn in as FTC Commissioner. The U.S. Senate confirmed Bedoya to the FTC’s open Commissioner on May 11. ...more

Fox Rothschild LLP

Secured Creditors’ State Court Rights Affected By Proof Of Claim Choices

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Secured creditors have many choices when it comes to how to file a proof of claim in bankruptcies. Those choices should be weighed carefully, however, because certain choices can have important unexpected consequences that...more

Buchalter

Coming in 2021: CFPB Finalizes Changes to “Qualified Mortgage” Definition and Creates a New “Seasoned QM” Loan Category

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Changes are coming in 2021 to the eligibility requirements for “Qualified Mortgage” or “QM” loans. The Ability-to-Repay/Qualified Mortgage Rule administered by CFPB (“ATR/QM Rule”) requires a creditor to make a reasonable,...more

Manatt, Phelps & Phillips, LLP

CFPB Issues Final Rule on Small-Dollar Lending With Good News and Bad News for the Industry

On July 7, the CFPB issued its long-awaited final rule (the 2020 Final Rule) amending the regulations that govern payday loans, vehicle title loans and certain high-cost installment loans. As expected, the CFPB revoked the...more

Dechert LLP

DOL and Treasury Defang COBRA’s Deadlines in a Time of National Emergency

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A national emergency was declared on March 13, 2020, as the result of the COVID-19 pandemic. As a result of that declaration, the Federal Emergency Management Agency (FEMA) issued emergency declarations for every state,...more

Chambliss, Bahner & Stophel, P.C.

Promissory Notes and Medicaid

A promissory note is normally given in return for a loan and it is simply a promise to repay the amount. Classifying asset transfers as loans rather than gifts can be useful because it sometimes allows parents to "lend"...more

Bradley Arant Boult Cummings LLP

A Deeper Dive: The CFPB Short-Term Small- Dollar Lending Rule

Introduction - By now you’ve likely heard that the Consumer Financial Protection Bureau (CFPB) has released a final small-dollar lending rule. The hallmark of the rule is the requirement That lenders make a reasonable...more

Bradley Arant Boult Cummings LLP

CFPB Issues Final Rules on Payday and Vehicle Title Loans—Little Impact for Auto Lenders

The Consumer Financial Protection Bureau (CFPB) issued its final rule on payday, vehicle title, and certain high-cost installment loans. The new rule is effective in 2019 and imposes stringent underwriting requirements and...more

Snell & Wilmer

Recent Arizona Commercial Law Cases

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Over the last few months there have been several significant commercial law cases in Arizona. These have included four Court of Appeals and three Supreme Court cases, each addressing common loan document provisions and...more

Parker Poe Adams & Bernstein LLP

Late Charges on Balloon Payments: How Big Can They Be?

Getting charged extra for a late payment is standard protocol in lending practices. Judges, lawmakers and regulators have long agreed there’s an administrative hassle lenders should be compensated for when having to recover...more

Spilman Thomas & Battle, PLLC

Revisiting the West Virginia Consumer Credit and Protection Act – Again

For the second time in two years, West Virginia’s legislature passes a bill to modify the state consumer protection law....more

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