Get Out of Debt Book Club – Chicago and its Cesspools of Infamy

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Today I’m starting a new series where we look back on how much or how little debt issues have changed over time. The first book in this series is “CHICAGO AND ITS CESS­ POOLS OF INFAMY” by Samuel Paynter Wilson. This is the 1910 edition and dedicated to the good men and women of the … Read more

Rapid Reader Questions: Walmart, Apartment, Credit Risk, College

Q: Does a credit union have to provide a member in writing the amount of interest paid on a loan for tax purposes? A: Depends on what kind of loan it is. Reporting would be voluntary or required by IRS on certain types of loans. Q: How can a financial company put a charge off … Read more

Cryptonits and Dualmine – Consumer Complaint – December 3, 2021

Consumer Statement: I feel frustrated and robbed Consumer Action Taken: I messaged them many times saying I want to withdraw my money but they replied saying that I don’t have the minimum withdrawal amount. Which is bigger every time Date This Problem Happened: December 1, 2021 State You Live in: Race/Ethnicity: White Age Range: 21-35 … Read more

Two Arrested in Los Angeles for Their Roles in Hospice Fraud Conspiracy

Two California hospice facility owners were arrested today in Los Angeles on criminal charges related to their alleged participation in a kickback and health care fraud scheme. According to court documents, Oganes Doganyan, 49, of Northridge, and Kristine Arutyunyan, 38, of Glendale, paid illegal kickbacks for the referral of Medicare beneficiary information that could be … Read more

After a Long Pause, 30 Million Student Borrowers Will Begin Defaulting

Last year, in response to the COVID pandemic, the Department of Education pressed the pause button on the federal student-loan program. In March 2020, DOE allowed 30 million student borrowers to stop making payments on their student loans with no penalty and no accumulation of interest. DOE also stopped collection actions during this moratorium and … Read more

Will Parking Fines or Speeding Tickets Affect My Credit Score?

It’s no fun to be fined for parking in the wrong place at the wrong time or getting a speeding ticket. Driving safely is important, which means that these infractions can even affect other things like your car insurance or life insurance rates. Will parking fines or speeding tickets affect my credit score as well? … Read more

Rapid Reader Questions, Debt Consolidation, Navient, Credit Score, Fraud, and More

Q: Is it legal for a mortgage company to all of a sudden demand a deferment balance from 10 years ago now, or will they foreclose on the home I am one month behind on the monthly payment? A: That sounds a lot like a balloon mortgage (a mortgage in which a large portion of … Read more

Marchus v. Student Loans of North Dakota: Another Victory for Student-Loan Debtors in the Eighth Circuit

In 2020, Debra Jean Marchus filed an adversary proceeding in a North Dakota bankruptcy court, seeking to discharge about $38,000 in student-loan debt. After a trial, Bankruptcy Judge Shon Hastings wiped out the debt. As summarized in Judge Hastings’s decision, Ms. Marchus began her journey through higher education in 1975, forty-five years before she filed … Read more

Rapid Fire Reader Questions – Levy, Attorney, Collection, Bankruptcy

Sometimes I get reader questions that don’t have enough information for a big answer. So here are some rapid-fire questions and answers. Q: Can a collection agency take money out of an account that is not the debtors? A: If the debtor is not a signer on the account and the account is in the … Read more

Bankruptcy Judge Discharges $220K in Federal Student Loans

Diane Ashline, a 47-year old single mother, worked for 20 years as a dental assistant. Hoping to increase her income, she took out student loans to get an undergraduate degree and a master’s degree from Kaplan University, a for-profit school. Unfortunately, these degrees did not help her financially. Ashline never defaulted on her student loans. … Read more

Update on Case Against Premier Student Loan Center

It appears the case against Consumer Advocacy Center and Premier Student Loan Center is still under management by the Court Appointed Receiver. What follows is the Receiver’s update for activities between May 1, 2021 to October 31, 2021. Premier Student Loan Center Case Summary I. RECEIVERSHIP ACTIVITIES During this period, the Receiver and his team … Read more

The Slumification of American College Towns

The Slumification of American College Towns

In the nineteenth and early twentieth centuries, cotton production was a staple of America’s Southern economy. Even today, the United States is one of the world’s largest exporters of cotton. But cotton has some problems. Grown year after year, cotton depletes the soil. Before commercial fertilizers became available, cotton growers simply grew cotton on a … Read more

Private Student Loan Debt at All-Time High – Until Tomorrow

According to a recent report by the Institute for College Access and Success (TICAS), the 2020 class of college graduates has amassed $136 billion in private student debt. When this amount is added to the total student debt from federal student loans–about $1.8 trillion, Americans are on the hook for almost $2 trillion in student … Read more