Diane talks about bankruptcy, Arizona laws, and more…

Because of scams payday loans are on the way out, but installment loans have taken their place Payday loans usually have a very short period to repay – typically a lump sum payment in a few weeks. The interest rates are sometimes upwards of 700-800%.  Many times the borrower has to take out another loan [...]

Vehicle defaults is the next financial crisis (after the mortgage crisis) According to the Wall Street Journal 33% of vehicle loans are upside down (meaning the vehicle is worth less than the debt).  Borrowers trade-in vehicles with existing loans, finance a new vehicle and carry over the debt from the old vehicle.  This results in [...]

COLLECTION COMPANIES AND CREDITOR LIE TO BORROWERS ABOUT THE IMPACT OF BANKRUPTCY ON THEIR CREDIT A creditor has no right to come into your home… For more than three decades I have heard horror stories spread by collection companies and creditors about bankruptcy and a credit score.  First, always consider the source – collection agents [...]

(reprint from FTC) Starting October 31, 2019, many members of the military will have access to free electronic credit monitoring, which can help them spot identity theft. […]

Never pay upfront for “help” with your student loans Student loan trap According to the Federal Trade Commission (FTC) scammers stole millions from innocent student loan borrowers who were doing their best to workout their student loans.  These sleazes lied to innocent borrowers, saying that for $1,000 upfront, they could permanently reduce or [...]

Disable Vet’s Income Not Offered Any Protection in Bankruptcy – until now! It only took 15 years, but Congress finally decided that disabled vets should have some of the same protection as those on Social Security. In 2005 Congress changed how those on Social Security would be treated in bankruptcy, but ignored disabled vets. The [...]

Debt isn’t fun at any age, but it can be especially scary for senior citizens. Seniors normally don’t have regular paychecks coming in, and the bulk of their income may comprise of Social Security checks. They’re often dealing with life changes such as retirement or medical issues. All of the sudden, they have less money [...]

Wells Fargo Caught in Illegal Actions AGAIN, this time Against Members of the Navajo Nation  “Wells Fargo’s predatory actions defrauded and harmed the Nation. We held Wells Fargo accountable for their actions, and we will continue to hold other companies accountable if their business practices do not respect our people—this puts other companies on notice [...]

Can a debt come back from the dead? Yes, it is referred to as a ‘zombie debt.’ Most states have ‘statutes of limitations’ that control the creditor’s or collection company’s rights, including whether they can sue on a debt. How is a debt revived? Collection companies will do anything in their power to revive a [...]

ITT Accused of Unfair, Deceptive and Abusive Acts or Practices The Consumer Financial Protection Bureau (Bureau) proposes settlement with ITT Educational Services, Inc. — ITT engaged in unfair and abusive practices in connection with its private loan program in violation of the Consumer Financial Protection Act of 2010. ITT Knew Students Could Not Afford and [...]

Reprint from CONSIDERCHAPTER13, ON JULY 28TH, 2019 By Robert (Bob) Schuman, Owner/Managing Broker, Network Financial Group I’m a mortgage broker. In that role, I see close up the immense relief that a homeowner feels when they file Chapter 13. They are no longer forced to deal with collection calls and a multitude of letters that [...]

HOMEOWNER WIN FIRST ROUND UPDATE: August 28, 2019: Bankruptcy Judge James L. Garrity, Jr. of Manhattan ruled that a plan cannot cut off a homeowner’s defenses and rights of recoupment against someone who purchases his or her mortgage.  The Judge held that the Ditech chapter 11 plan failed the “best interests test” because it did [...]

Settlement Includes fund to help consumers recover from data breach Post from Federal Trade Commission: July 22, 2019 Equifax Inc. has agreed to pay at least $575 million, and potentially up to $700 million, as part of a global settlement with the Federal Trade Commission, the Consumer Financial Protection Bureau (CFPB), and 50 U.S. states [...]

More than One in Four Consumers Have a Debt in Collection with a Debt Collector 7/18/19 The Consumer Financial Protection Bureau (CFPB) just released a report that found that more than one in four consumers with a credit report have at least one debt in collection by third-party debt collectors. […]

Law suit against Department of Education – loan forgiveness program for millions of public service workers is in such a shambles that it violates federal law and the Constitution. July 11, 2019 – Article by National Public Radio: Debbie Baker (not the lady in the picture) thought she qualified for a federal program that helps [...]

CFPB TAKES ACTION AGAINST CREDIT REPAIR COMPANIES FOR CHARGING ILLEGAL FEES AND MISLEADING CONSUMERS Companies and Individuals to Pay More Than $2 Million in Penalties and Relinquished Funds 6/27/17 – The Consumer Financial Protection Bureau (CFPB) filed two complaints and proposed final judgments in federal court against four California-based credit repair companies and three individuals [...]

Article By Eric Heisig, cleveland.com CLEVELAND, Ohio (6/2018) — The term “loan shark” might bring to mind a scene in a movie where a gangster takes a crowbar to the kneecap of a down-on-his-luck gambler who can’t make good on repayment of a loan. The term “payday lender” might bring to mind an image of [...]

Lexington Law and CreditRepair.com 5/2/19 – The Consumer Financial Protection Bureau (Bureau) filed a complaint for deceptive and abusive telemarketing acts or practices against PGX Holdings Inc. and subsidiaries Progrexion Marketing Inc., Progrexion Teleservices Inc., eFolks LLC, and CreditRepair.com Inc.; and against John C. Heath, Attorney at Law PLLC, which does business as Lexington Law. [...]