Home > Tag Archives: debt collection

Tag Archives: debt collection

So Sue Them: What We’ve Learned About the Debt Collection Lawsuit Machine

It might not be right but it is what it is. Debt collectors and others know how to get you to do what they want by pushing your fear buttons. They do it because it works.

by Paul Kiel ProPublica, May 5, 2016, 8 a.m. Millions of Americans live with the possibility that, at any moment, their wages or the cash in their bank accounts could be seized over an old debt. It’s an easily ignored part of America’s financial system, in part due to a common attitude that people who don’t pay their debts deserve ... Read More »

    CFPB Orders Citibank to Provide Relief to Consumers for Illegal Debt Sales and Collection Practices

    201509_cfpb_credit-card-chips-blog

    WASHINGTON, D.C. – The Consumer Financial Protection Bureau yesterday took two separate actions against Citibank for illegal debt sales and debt collection practices. In the first action, the CFPB ordered Citibank to provide nearly $5 million in consumer relief and pay a $3 million penalty for selling credit card debt with inflated interest rates and for failing to forward consumer ... Read More »

      What a Typical Debt Collector Payment Plan Looks Like

      tough-rules-debt-collection

      When a debt collector has contacted you about a past-due debt and you are unable to pay the entire amount, or settle the account for less than the balance in a lump sum payment, you may have another option — a payment plan. A payment plan is not available on every account, but for those accounts that are eligible, a ... Read More »

        The 2 Words Debt Collectors Don’t Want to Hear

        tax-extension

        While much of the debt collection world is straightforward and, quite honestly, a little boring, some people in the industry treat it like a free-for-all. “There are widespread attempts to add charges to debts that aren’t legal. Excess interest is something we’ve encountered quite frequently,” said Daniel Edelman, consumer law attorney, founder and partner at Edelman, Combs, Latturner, & Goodwin ... Read More »

          Can I Bypass a Debt Collector?

          newyorkdebtcollection_iStockphoto-300x192

          When I am assisting people to resolve unpaid bills I’m often asked, “Why do I have to pay the debt collector? Why can’t I just pay my creditor or lender and avoid the collector all together?” A reader recently wrote in with just this question: I have a $ 5,000 balance on my credit card and it is now at ... Read More »

            What Happens to a Debt Collector That Gets Shut Down

            closer-look-300x200_1_1

            Travell Thomas is desperately trying to save his business, or at least part of it. His debt collection firm, Four Star Resolution, was raided during the morning on Feb. 11, as a result of a lawsuit filed by the Federal Trade Commission. Employees were told to leave immediately. A temporary restraining order now prevents Thomas — and any company employee ... Read More »

              How Can I Get the Debt Collector to Stop Bothering Me?

              Debtstar

              Question: Dear Steve, I’m getting really tired of being hassled for an old debt I don’t owe. I keep trying to explain to the debt collectors that I don’t owe the bill they keep trying to say I need to pay. What can I do? Mary Answer: Dear Mary, Being chased for a debt you don’t owe is not fun. ... Read More »

                The Hospital Turned Me Over to Collections. Can They Do That?

                debt1

                I recently had procedure at hospital. Insurance paid their part. I have my part to three different people. I tried making arrangements with hospital of $100/month – they said that’s not enough for it to be paid in 6 months. I said what’s the deal with 6 months? She replied that if I don’t have them paid in full in ... Read More »

                  How To Reduce Debt Buyer Collection Lawsuits

                  gavel

                  Last week the CFPB and the FTC held a workshop to address what happens to unpaid debts at different stages of the debt collection cycle. The workshop brought together state and federal regulators, economists, major banks, debt collection agencies, debt buyers, consumer advocate attorneys, technology companies, members of the judiciary, credit reporting agencies, and more. The workshop was aptly titled ... Read More »

                    Dealing With the Debt Collector Advice

                    2015-02-17-shutterstock_194884730bags-thumb

                    MINNEAPOLIS, March 2, 2015 /PRNewswire-USNewswire/ — Have you ever been contacted by a debt collector? If the answer is yes, you are not alone. According to the Federal Reserve, the total amount of consumer debt in the United States now exceeds $13.4 trillion. Based on a recent study by Ernst & Young, third-party debt collectors recovered $55 billion in 2013 ... Read More »

                      Tougher Rules Coming for Debt Collectors

                      tough-rules-debt-collection

                      Year after year, federal regulators get more complaints about debt collection than any other industry. Now the griping has prompted an overhaul of collection rules for the first time in decades. A frequent refrain is that collectors sling harsh threats demanding payment on poorly documented debts. Yolanda Banda, an nurse assistant in California, is among the victims. She thought ... Read More »

                        My Ex Was Supposed to Pay the Debt in the Divorce But They Are Coming After Me

                        Divorce

                        “Dear Steve, I was divorced in 2007. It was an amicable split and, as stipulated in the divorce decree, I took some of our combined debt and she took one of our debts in the form of a bank credit card. She remarried and together she and her new spouse decided not to pay on the debt that she assumed ... Read More »

                          Debt Collectors – A Changing Landscape. Here is What the Future Brings.

                          future

                          Having been a GetOutOfDebt.org site reader and contributor for many years, I am used to seeing posts about what the New Year will bring to debt relief services. Below, I offer my own brief version of what may come in 2015, but with a focus on debt collectors. Changes that we should see to rules governing debt collectors behavior, next ... Read More »

                            CFPB Pulls Back Curtain on Debt Collection and New Rules

                            Screen Shot 2013-11-08 at 3.45.25 PM

                            The Consumer Financial Protection Bureau (CFPB) has put out a new document with an extensive amount of information that paints the debt collection industry in a new light. One fact I found exceedingly interesting is the percentages of debts the debt collection industry handles, “medical and other health-related debts (36%), credit card debts (20%), telecom debts (13%), and student loan ... Read More »

                              Debt Collection Form Letters to Stop Debt Collectors in 5 Different Situations

                              boxer

                              The Consumer Financial Protection Bureau has published five letters consumers can use in certain circumstances to deal with abusive debt collection practices. It is important for consumers to be aware that while these form letters may be helpful, the letters are best used in the right situation and to accomplish a specific task. For example, asking a collector or creditor ... Read More »

                                Get My FREE Get Out of Debt Guy Newsletter

                                I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.You can unsubscribe at any time with just one click.After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.

                                I promise to keep your email safe and secure.