Tag Archives: legal help

A junk debt buyer is a person or company who
purchases old debt and attempts to collect on
it. If you have been contacted by a junk debt
buyer, this article will tell you what to do if they
are trying to collect on your old debt.

Don’t Worry About It!

First, you do not need to worry excessively. If
the debt that you owe is older than the debt
statute of limitations, you may not need to pay
on it. Legally speaking, you may be off the hook.
However, ethically speaking, you may need to
consider whether or not you should pay it.

What Not To Do

It is also very important to know what not to do.
Do not assume that you are in deep trouble.
Rather, assume that your rights are being
violated. This very well may be the case. Be
sure to file away any documentation that you
receive from the junk debt buyer as well as any
information regarding the debt that you owe. Be
sure to never update your personal information
with the junk debt buyer and never
acknowledge that you even have any debt owed
to them. Do not agree to a payment plan and be
sure to always keep track of your credit score.

Examples of Junk Debt Buyers

Some examples of junk debt buyers include:
LVNV Funding, Midland Collection, NCO
Financial, Asset Acceptance. There are many,
many other companies that purchase out of
date debt from companies in order to attempt to
collect them.

Check Out State Laws

Be sure to check out the laws in your state.
Every state has different laws regarding junk
debt and the legality of your paying it. It is
possible for a company to sue you in order to
collect on the debt. You need to know exactly
what to do in order to win the lawsuit against
any one of these debt collection agencies. And
that leads me to my next point.

More Education

You need more education in order to win the
debt battle. The Fair Debt Collection Practices
Act (FDCPA) and the Fair Credit Reporting Act
(FCRA) are both excellent documents to further
instruct you regarding the next step you should
take in order to win the debt battle.

Although having debt on your credit record is
not fun, you can get that debt paid off or
resolved if you gather the right information and
act on it. But you need to know the exact steps
to take in order to get that debt resolved and
taken off your credit record.

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There are quite a few credit protection laws in
place to shield consumers from abuses of
credit reporting agencies, debt collectors and
creditors. One of the biggest mistakes
consumers make when seeking credit repair is
to overlook the legal credit repair options they
have based upon established consumer
protection laws. Here are 7 credit protection
laws to help guide your credit improvement
decision-making.

The Fair Credit Reporting Act of 1970 (FCRA)
The fair credit reporting act is a federal law,
originally passed in 1970, that governs how
consumer information (and consumer credit
information) is collected, distributed and used.
It is this law that specifies the responsibilities
consumer reporting agencies (CRAs) have
toward consumers, as well as the
responsibilities “data furnishers” (creditors)
have towards the people whose information
they share. The FCRA also set the time frames
for which reporting agencies can hold
consumer information.

Fair And Accurate Credit Transactions Act of
2003 (FACTA)
The Fair and Accurate Credit Transactions Act
of 2003 introduced some big changes to the
Fair Credit Reporting Act. Under the Fair Credit
Reporting Act (FCRA), you are entitled to receive
one free annual credit report as a credit
consumer. Among the many consumer
protections enacted in FACTA is the
requirement that merchants truncate credit
card, debit card, and social security numbers so
that receipts would not include more than the
last five digits of the card number.

Fair Debt Collection Practices Act of 1977
(FDCPA)
Questionable practices by debt collectors can
range from making harassing phone calls to
overstepping their bounds in how they collect
information about you (like your contact phone
numbers) to using deceptive debt collection
letters and forms. The Fair Debt Collection
Practices Act was enacted to protect you from
false, deceptive, and misleading collection
tactics as well as harassment and abuse.
Section 807 of the FDCPA actually outlines 17
false or misleading tactics that are prohibited
by law.

The Credit Card Act of 2009
This law issued in the most dramatic changes
to consumer credit cards in decades and
created extensive new protections that gave
credit card customers more options for dealing
with the banks. Ironically, they may also result
in raising the threshold of difficulty for many
lower-income families and people with bad
credit to obtain credit. It significantly limits
lenders’ flexibility in issuing interest rate hikes,
gave consumers the right to opt-out (with up to
a 5 year repayment period on balances), and
limited the practice of “universal default”; the
practice of raising interest rates on customers
based on their dealings with other unrelated
credit issuers.

The Fair Credit Billing Act of 1974 (FCBA)
This law governs the conduct of credit issuers
when inaccuracies are reported on billing
documents. Credit card companies are required
to promptly credit payments and correct
mistakes without adversely affecting your credit
score. It also empowers consumers to withhold
payments for damaged goods and to dispute
billing errors.

The Real Estate Settlement Procedures Act of
1974 (RESPA)
The Real Estate Settlement Procedures Act was
enacted in 1974 to help consumers better
clarify settlement costs and to eliminate hidden
referrals and kickbacks that could skew the
settlement process in ways that harm
consumers.

One of our favorite strategies for helping people
improve credit scores is to identify scenarios
when mortgages have been re-sold to other
lenders and to look for RESPA violations (or
RESPA-required documentation trails) that give
us a leg to stand on in demanding the removal
of negative mortgage entries from client credit
reports.

The Credit Repair Organizations Act of 1986
(CROA)
This governs the conduct of credit repair
organizations in their dealings with you. It was
designed to put the clamps on credit repair
scams and requires credit repair organizations
to provide you with a disclosure statement
titled, “Consumer Credit File Rights Under State
and Federal Law”, and prohibits credit repair
organizations from making “a variety of false
and misleading statements”.

It also requires credit repair organizations to
provide their customers with a contract
providing detailed description of services and
the length contract time. This law has made it
easier for legal credit repair companies to
deliver services to consumers in greater and
greater numbers.

Give or take roughly 30 percent of American adults have a will or some form of an estate plan in place. Over the last decade this number has remained stable even though the number of other estate planning documents such as living wills have increased. The numbers among minorities without wills are higher than the general population, 68 percent for African Americans and 74 percent for Hispanics. A will that lands in probate can take some time to be resolved. It’s not unusual for a complicated will to take two years and a simple one at least six months. Distributions without a will can take an undetermined amount of time. The reasons that probate takes as long as it does is because most states have minimum periods of time to allow creditors to responds. During that time the estate cannot be dispersed. As with a number of things, life experience is the greatest teacher. Of the 30 percent of Americans that have wills an overwhelming majority of them are over the age of 60. Probate costs American families in the neighborhood of $2 billion a year, of which $1.5 billion is paid in attorneys’ fees. A will is one of the least popular topics to talk about. The two common reasons given for avoiding discussing the preparation of a will, the fear of their own death and the cost of an attorney. The only suggestion to overcome the fear of your own death is the concern of what happens to your family in the inevitable event of your death. As to the other, the cost of having an attorney can range from $200-$750 for a basic will. Updating your will as events change in your life only adds to the cost of maintaining a will. This is not to be a deterrent to having an attorney prepare your will. An alternative is available to the cost of having and maintaining a will is out there. The importance of having an expert, an attorney in this case, involved is critical to securing your wishes. Would you take your car that needs repairs to the Maytag repairman or to a mechanic?

“Legal Shield Service Summary”

Legal Shield services are available on a month-to-month basis. Members have access to a
multitude of service offerings that are tailored
specifically to their needs. For $26 a month, one
of the most popular plans the company offers
members is called the Family Plan. It provides
members with 5 main areas of coverage.

The first area of coverage is preventive legal
services. Members receive access to premier
law firms in their state for unlimited phone
consultations. Members can have wills
prepared for them as well as letters or phone
calls written or placed on their behalf by the law
firm.

The second area coverage is for motor vehicle
incidents. Members can receive representation
and consultation for moving traffic violations as
well as for incidents of manslaughter,
involuntary manslaughter, negligent homicide,
and other vehicular homicide charges.

The third coverage area is trial defense.
Members receive 75 hours of their law firm’s
time for civil or criminal suit consultation and
representation. Additional hours are available at
a significant discount of the law firms’ regular
hourly rate.

The fourth area is IRS audit coverage. Members
have access to up to 50 hours of a tax
attorney’s assistance in case they are audited
by the IRS.
The fifth area of coverage provides members
with a 25 % discount of the law firm’s regular
hourly rate for legal issues that do not fall
within the four areas of coverage.

To Your Success,

Larry D.Hall