In 2005, Bankruptcy laws were changed to make it more difficult if not impossible for people to be relieved from debt nightmares, forcing Americans to repay their debts and ruining their credit, leaving Americans in a trap, fearing that creditors will garnish their salary, put a lien on their home, or freeze their bank accounts.Where’s the way out? Follow me! . . .
Consumers are not being properly advised that they can protect their home, cannot be penalized by employers for having debt problems and that their wage income is significantly protected against garnishment because of the Consumer Credit Protection Act. Lacking the proper advice, consumers are paying far too much to settle collection accounts. Why would anyone pay more than could legally be required? Many do not understand they can stop harassing collection calls by putting the caller on notice that unwanted calls are a class one misdemeanor and then reading them their rights over the phone, literally, “You have the right to remain silent, etc.” Collection calls stop.
“In the fifteen years of helping people that have too much debt, one truth has always proven itself, you cannot get out of debt using the same borrowing and spending habits that got you into debt.” states John Gliha, the founder and author of Winning the Collection Game and his new book, Blowing the Whistle on Credit Card Debt. Ask for a free introduction to these books via www.johngliha.com.
These books expose the secrets of why you don’t need to negotiate with creditors, should not be tricked into the illusion of borrowing your way out of debt, or pay lots of your cash and savings into a bogus settlement fund. It reveals the ugly truth about the enormous drop out rate of settlement and consolidation programs, their horrible tax consequences and risks they cause to your home equity and income. That’s why Debt Free in 90 Days was founded in 1993 to provide consumers with a better alternative for their debt problems than the outdated and expensive settlement, consolidation and counseling gimmicks of yesterday. In combination with professional credit repair, you can be debt free in 90 days and have clean credit in less than 1year, and stay that way!
Important Facts Everyone Should Know:
1 • Free Official Reports: Everyone living in the United States is entitled by federal law to one free copy of their credit report per year from the three major bureaus. They can be ordered by phone, mail or online at www.annualcreditreport.com (Preferably by phone.)
2 • Disputes:You have the right to dispute incorrect or inaccurate information with the credit bureaus and have them investigate the validity of the account for free.
3 • Time Limits: There are time limits on how long most negative information can remain on your credit file, and that is 7 years from the date you were first permanently delinquent (past due) to the original creditor, making any payment will reset the limit. Personal bankruptcy can remain on your credit for up to 10 years. Unpaid tax liens can remain indefinitely. However, with professional assistance such questionable items can come off the report in as little as 3-6 months.
4 • Bankruptcy Side effects:When you file for chapter 7 and get dismissed, your case may automatically be converted to chapter 13 (reorganization) where you are forced to repay your debts under a new repayment plan. By this time you would have 2 bankruptcies (7 & 13) on your credit file for 10 years in addition to the debts you had when filing.
5 • What is a Charge Off?:When you fail to pay a creditor for a period of 6 months or more, the creditor can now legally "charge-off " or "sell" your account to third parties, otherwise known as debt collectors. When this "exchange" happens, it opens a whole new legal game plan which can work in your favor. In most cases the accounts can be removed permanently from the collector’s records and credit report along with lawsuits prevented with professional assistance.
6 • Harassment: Debt collectors are governed by the FDCPA, another federal law which prevents them from harassing or abusing you. For details visit: http://www.thetopscore.com/resources.html and click on "Fair Debt Collection Practices Act."
7 • There is a SOL: (Statue of Limitations) on the time period collectors have to sue you. After the SOL has expired they can still attempt to sue assuming you don’t know the SOL, but once made known to the judge the case cannot be valid. Please visit: http://www.thetopscore.com/ resources.html and click on "statue of limitations by state".
8 • Keep Debts separate: Having joint accounts with someone can set you up for trouble since whatever negative action happens on that account will be reported to both parties’credit reports and can cause double damage. (However, when building credit, adding someone’s large credit card limit with a low balance and a long history will add to your score significantly.)
It is important for you to know that the credit repair industry is full of deceptive and misleading companies. This is another reason why it’s important to work with a company which keeps your best interests in mind. That being said, here are some main elements which determine what a professional credit repair company typically will or will not do:
1 • Will assist you in ordering your free credit reports.
2 • Will review your credit reports free of charge.
3 • Will have a honest and caring attitude.
4 • Will work to answer any and all of your questions in detail.
5 • Will address the "source" of the problem such as collection companies and creditors.When addressing only credit bureau records, collectors can simply re-report the same account at a later date and negates the purpose of repairing credit.
6 • Will be in compliance with state laws by disclosing important information such as:
a). Information Statement, b). Contract for services, c). Notice of cancellation (allowing you 72 hours to get a complete refund).
7 • Will Not hint on "unlimited disputes,"which suggests it can take an "unlimited" amount of time to complete the goal and creates questionable result expectations.
8 • Will Not promise results sooner than 30-45 days as governed by the Fair Credit Reporting Act.
9 • Will Not charge a fee per negative item removal.
10 • Will Not participate in scams such as debt consolidation.
In addition to the above steps, a good rule of thumb to add is to trust your own feelings you get when speaking to the representative. Was he/she professional and sincere? Was he/she treating you as just another call or did he show interest in truly helping you? Was he/she willing to spend some time to explain and educate you?
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