The Credit Counseling Professionals
Call Toll Free 1-800-769-3571
10/27/09
...'authorized' users of your credit card are not contractually obligated to pay the debt? You are. According to FTC.gov: If you open an individual account, you may authorize another person to use it. If you name your spouse as the authorized user, a creditor who reports the credit history to a credit bureau must report it in your spouse's name as well as in your's (if the account was opened after June 1, 1977). A creditor also may report the credit history in the name of any other authorized user.
Advantages/Disadvantages: User accounts often are opened for convenience. They benefit people who might not qualify for credit on their own, such as students or homemakers. While these people may use the account, you - not they - are contractually liable for paying the debt.
10/13/09
Most financial experts recommend that you have a cash flow in your retirement of about 70% of your pre-retirement earnings to comfortably maintain your standard of living. If you have not yet opened a 401k or IRA account, be sure to investigate it as soon as possible. For more information, logon to www.401k.org
9/29/09
You must think very carefully before co-signing on a loan... Be sure you can afford to pay the entire debt, if you need to do so - and remember that late and collection fees might also be charged to you. A creditor can attempt to collect this debt from you without first trying to collect from the borrower - and the same collection methods, such a wage attachments and lawsuits, will also apply to you. Finally, consider that defaults on the loan may become part of YOUR credit rating.
9/01/09
Payday loans (also known as deferred deposit loans) can increase your financial difficulties, rather than help you? Payday loans require you to write a postdated check for the amount you desire, plus a fee. At the end of the loan period (usually your next payday), the lender deposits that check. These short term loans seem like a convenient idea - until you realize the fee you paid is typically equivalent to an annual percentage rate of 400%! For more on dangerous loans, click below: http://www.bankrate.com/brm/news/advice/20000418b.asp
8/18/09
If your car is being repossessed, the creditor may not "breach the peace" in doing so? This means they cannot:
If you're having trouble making your car loan payment, call your creditor to arrange a payment plan before repossession becomes a possibility.
http://www.bankrate.com/finance/auto/keeping-the-auto-repo-man-at-bay.aspx
07/21/09
a few easy steps can go a long way in helping you financially.
07/07/09
If you're purchasing a home, the lender MUST provide you with the following two documents: a Truth in Lending statement, which discloses the full cost and payment terms of the loan, and a Good Faith Estimate: A written estimate of expected closing costs that a lender must provide a prospective homebuyer within three days of the homeowner submitting a mortgage loan application. For more information on purchasing a home, logon to:
http://www.bankrate.com/brm/news/real-estate/buyerguide2004/closing-estimate.asp06/23/09
if you're trying to rebuild your credit, a secured credit card may be a good option. These cards require a cash deposit, which is used as collateral against your credit line. Making on time payments to the card improves your credit history. Use caution, however, as all secured card offers are NOT created equal. Make sure you understand the terms and conditions before signing up. And NEVER use your home as collateral for the secured card.
ACCC provides links to other services but does not endorse non-ACCC websites or validate their content.
06/02/09
Did you know...if you find erroneous information on your credit report, you have the legal right to dispute it? Send a written dispute to each credit bureau that has reported inaccurate information. They must investigate, and respond to you within thirty days.
Credit bureaus contact info:
05/12/09
if you're having trouble paying student loans, you might be able to get a deferment, which allows you to delay making payments. Reasons to defer a student loan include: being in school at least half time, economic hardship, being unemployed, and joining the Peace Corps. For the lastest information on this subject, visit American Student assistance at:http://www.amsa.com/bor/index.cfm or www.ed.gov.
05/05/09
the Federal Trade Commission gives these suggestions for avoiding credit and charge card fraud:
04/06/09
You should file your tax return even if you owe tax and cannot afford to pay at the time of filing. The penalty for late payment is only a fraction of the larger penalty for NOT filing a return. So...always file your return, even if you do not send in your tax payment; the penalties will be much smaller. For more information, see: www.irs.gov
03/17/09
if a collector sues you and wins a money judgment against you, some of your wages are protected from seizure. According to federal law, the first $196.50 of take home pay cannot be garnished at all. That amount is based on 30 times the minimum wage. For more information, logon to dol.gov and search for 'wage garnishment'.
03/03/09
Low Income Taxpayer Clinics (LITCs) represent low income taxpayers who go before the Internal Revenue Service (IRS) in audits, appeals, collection issues, and federal tax litigation - for free or for a nominal charge. The clinics also provide educational workshops on tax issues to taxpayers with English is a second language.
For more information, call the Taxpayer Advocate Service Case Intake Line to see if you are eligible: 1-877-777-4778.
02/03/09
Tax refund anticipation loans are usually a very bad deal? A refund loan is when a private company offers to give you your tax refund immediately in anticipation of your refund - but charges very high fees for the service.
The National Consumer Law Center estimates that the cost of fees for tax refund loans is anywhere from 40% to 700%! You are far better off just being patient and waiting for your tax refund to be sent to you by the government. For more information, log on to the National Consumer Law Center at nclc.org.
01/20/08
Utility companies must follow certain rules before terminating your service, and consumers are granted significant protections before termination. For example, there is often protection against shut-offs during winter months or extreme weather. If you are having trouble paying your utility bills, contact your state's public utility commission.
http://www.consumeraffairs.com/links/state_pucs.html
01/06/08
The New Year brings a chance to review your budget, and sticking to that budget is the best way to reach your financial goals.
Remember to preserve things you cannot live without. Make a list of those items, and reduce your other expenses to accommodate them. For example, you may decide to give up most of your magazine and newspaper subscriptions because you know you'd be unhappy if you couldn't go to the movies once a week. If you make room for at least some of the things you love most, you're much more likely to succeed at your plan.
11/18/08
With the season of giving fast approaching, the Federal Trade Commission has the following tips for your charitable gifts:
11/04/08
if you're behind in your child support payments, the US Treasury department has the right to intercept your tax refund. Also, child support debts are NOT dischargeable if you file bankruptcy. There are strict rules around this type of debt - so it should remain a priority in your personal finances.
10/21/08
In some states, if your car has been repossessed, you may have the ability to reinstate the contract and get back the car if you pay the back due payments, storage, and the cost of repossession. If you car has been repossessed, contact your lender to try to work out an agreement. You must act quickly, as in most states you only have a few weeks to reinstate your loan.
10/07/08
if you default on a student loan, your yearly tax refund can be intercepted? This is one of the most commonly used methods by the government to collect outstanding student loan dollars. $900 million dollars per year is intercepted in this way. If you're having trouble paying your student loan, contact the lender right away to see if you're eligible for a deferment.
09/23/08
To safeguard your credit report, it is important to review your file at least once per year. You can get copies of your credit report at www.annualcreditreport.com. Notify the credit bureaus of any inaccurate information, such as:
09/09/08
Being a co-signer on a loan is just as if you had borrowed the money yourself? If the borrower defaults, you will be responsible for repaying the debt since you are guaranteeing the loan. Before you cosign any loan - be sure you can pay the debt if you have to, and that you want to accept that responsibility.
08/05/08
HUD.gov lists the top 4 things you should do to avoid foreclosure on your mortgage:
For more information, logon on to www.hud.gov/foreclosure.
07/02/08
For useful information regarding credit scores and how to improve yours, you can logon to
http://www.myfico.com/CreditEducation/.
06/17/08
if you find erroneous information on your credit report, you have the legal right to dispute it? Send a written dispute to each credit bureau that has reported inaccurate information. Enclose copies of documents that support your claim. They must investigate, and respond to you within thirty days.
http://www.bankrate.com/brm/news/credit-management/creditbureau-info.asp
06/03/08
the Federal Trade Commission gives these suggestions for avoiding credit and charge card fraud:
05/20/08
if you've fallen behind on your mortgage payments, you may be able to negotiate
a mortgage workout or agreement with your lender. Before you call, be prepared with:
04/22/08
Federal law requires collection agencies to stop contacting you if you send them what is known as a cease letter. If you are being harassed, write the collection agency and ask that they stop contacting you based on the Fair Debt Collection Practices Act. For more information on this law, logon to www.FTC.gov
ACCC provides links to other services but does not endorse non-ACCC websites or validate their content.
03/25/08
With tax day fast approaching, you can get free tax help from the IRS. Most metropolitan communities have trained IRS personnel who conduct free tax clinics. For more information, call the IRS hotline at 1-800-829-1040 or logon to www.irs.gov
02/28/08
Most financial experts recommend that you have a cash flow in your retirement of about 70% of your pre-retirement earnings to comfortably maintain your standard of living. If you have not yet opened a 401k or IRA account, be sure to investigate it as soon as possible.
For more information, logon to www.401k.org
02/05/08
Your need for life insurance will change with changes in your life. For example, the arrival of children usually triggers a sharp increase in the amount you need. As you grow older and they leave the nest, you will probably need less protection.
Term life insurance (only death benefits, no cash value) is the least costly. Visit www.accuquote.com for online comparisons of term life insurance.
01/22/08
Low Income Taxpayer Clinics (LITCs) represent low income taxpayers who go before the Internal Revenue Service (IRS) in audits, appeals, collection issues, and federal tax litigation - for free or for a nominal charge. The clinics also provide educational workshops on tax issues to taxpayers for whom English is a second language.
Call the Taxpayer Advocate Service Case Intake Line to see if you are eligible: 1-877-777-4778
01/08/08
Utility companies must follow certain rules before terminating your service, and consumers are granted significant protections before termination. For example, there is often protection against shut-offs during winter months or extreme weather. If you are having trouble paying your utility bills, contact your state's public utility commission.
http://www.consumeraffairs.com/links/state_pucs.html.
12/18/07
Many experts recommend saving for your retirement before you save for your child's college education. Why? Because there are no scholarships for retirement - but your children could apply for financial aid if necessary. Add money to your child's college fund after adding money to your retirement account.
10/30/07
There are question you can ask yourself to help you understand if you're a compulsive debtor.
For the rest of the questions in this assessment, logon to www.debtorsanonymous.org
10/16/07
USA Today reports that 97% of people age 65 can't afford to write a check for $600, 54% are still working and only 3% are financially secure. According to Bankrate.com, you should diversify your sources of retirement income as early as possible. So save in as many different types of tax-favorable investment vehicles as you can manage - such as a 401(k) plan or an Individual Retirement Account. For more information, logon to:
9/24/07
Spending substantial amounts of money on the lottery in the hopes of improving your financial situation is a longshot at best, and can compound your money troubles. States only pay out a percentage of what they take in - sometimes only 50% - meaning that for every 2 dollars you spend, you will only win back 1 - not good odds! For more information on problem gambling, logon to:
http://www.gamblersanonymous.org/
9/07/07
If your wages are being garnished as a result of a court order, certain types of income are exempt from garnishment. For example, social security benefits, supplemental security income, and veterans' benefits are almost always exempt from garnishment under federal law. For more information, click on:
http://www.dol.gov/esa/whd/garnishment/index.htm
8/21/07
If you've been a victim of fraud, you can contact the National Fraud Information Center. They can assist you in filing complaints with various federal agencies, provide recorded information on current fraud schemes, and have tips on how to avoid becoming a fraud victim.
To reach the NFIC, logon to www.fraud.org, or call 1-800-876-7060.
7/31/07
When creating your budget, you should leave some room for entertainment expenses. To totally cut recreation from your budget isn't realistic. However, the amount you spend on entertainment shouldn't exceed 5-10% of your monthly household budget; if it does, it's time to scale back to keep your budget under control.
To download a budget worksheet, click here: http://www.consumercredit.com/docs/BudgetSheet2006.pdf.
7/17/07
You can improve your credit score over time by doing the following:
For more information on the FICO credit score, go to www.myfico.com.
6/26/07
The difference between a simple interest rate and an APR (or Annual Percentage Rate)? The APR INCLUDES any fees on the loan, and is meant to disclose the loan's true cost, so that consumers can compare loan products. The Federal Truth in Lending law requires lenders to disclose the APR when a rate is advertised, so that consumers can easily compare terms and shop wisely for credit. For more information on consumer protection, click the link below:
http://www.ftc.gov/bcp/index.shtml
6/12/07
Your debt to income ratio is a very important number. Some experts say it's as important as your credit score. This ratio is simply the amount of debt you have each month, compared to your overall income. Generally, having this number 36% or below is considered acceptable. For more information, click on the link below:
http://www.bankrate.com/brm/calc/ratio-debt-calculator.asp
5/30/07
You should be very careful about bouncing checks. It might seem tempting to write a check when you are not certain there are sufficient funds in your account, but it's never a good strategy. You will incur high fees from both the creditor and your bank - and eventually - you might face criminal prosecution for fraud. If you're ever in doubt - always check your balance before writing a check. And if you have a joint account, be sure to coordinate carefully with the other authorized check writers.
5/15/07
If you're having trouble paying student loans, you might be able to get a deferment, which allows you to delay making payments. Reasons to defer a student loan include: being in school at least half time, economic hardship, being unemployed, and joining the Peace Corps. For the latest information on this subject, visit:
http://www.amsa.com/bor/index.cfm
5/1/07
If your car is being repossessed, the creditor may not "breach the peace" in doing so? This means they cannot:
If you're having trouble making your car loan payment, call your creditor to arrange a payment plan before repossession becomes a possibility.
http://www.ftc.gov/bcp/conline/pubs/autos/carrepo.shtm
4/17/07
If you're having trouble making your mortgage payments, foreclosure may occur. This is the legal means your lender can use to repossess your home. You should avoid foreclosure if at all possible, since it has an impact on your future credit.
Three steps can help:
For more information, logon to www.consumeraction.gov.
4/4/07
You should file your tax return even if you owe tax and cannot afford to pay at the time of filing. The penalty for late payment is only a fraction of the larger penalty for NOT filing a return. So...always file your return, even if you do not send in your tax payment; the penalties will be much smaller. For more information, see:
http://www.irs.ustreas.gov/faqs/index.html
ACCC provides links to other services but does not endorse non-ACCC websites or validate their content.
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