Have old debts? The collector might be too late.

Posted by administrator | 05/02/12 | Tagged Credit Card Debt

Have old debts? The collector might be too late.
News from Washington Post:

What would you do if you received a court summons indicating that you were being sued for thousands of dollars in debt on a credit card you had no recollection ever applying for or using?

Many people would ignore the court notice. And many of those people would probably end up with a default judgment and be forced to pay the debt, some by having wages garnisheed or money snatched from their bank accounts.

In 2010, a unit of Asset Acceptance Capital, one of the nation’s largest buyers of consumer debt, sued Tim Bond to collect $ 7,247.09 for charges and accrued interest on a credit card he says he can’t remember ever applying for.

“I just freaked out,” the Cincinnati resident said.

Asset Acceptance bought the rights to collect the past-due money in 1999. In a document it sent to Bond, the company said the date of delinquency for the debt was Aug. 9, 1996. That date was key to his case.

Debt collectors have a limited number of years in which they can sue someone to collect. After the time runs out, unpaid debts are considered “time-barred.” Collectors are allowed to contact you about time-barred debts. However, under the federal Fair Debt Collection Practices Act, they cannot sue you for a debt that’s time-barred.

The problem is that the statute of limitations varies from state to state. And it can also vary depending…………… continues on Washington Post

… Read the full article
.

Related News:

Steps to avoid credit card debt
News from Deccan Chronicle:

It is difficult to find a person, who will say no to free credit if he understands the power of compounding. Credit cards provide you free credit for approximately 50 days. So everyone who uses it should be happy and enjoy the purchasing power. Quite often, however, we get to hear stories of people getting caught in the debt trap due to mismanagement of credit card.

Apart from the favour-able aspects such as free credit period, there are negative factors that need to be absorbed by the individual to enjoy a credit card responsibly. The first is the high rate of interest that is charged if you don’t pay the full outstanding after the 50-day grace period.

This period is very short. If you don’t repay the amount within this period, you have to pay interest in the range of 37 per cent. It’s very difficult to find any investment option which can fetch returns in the range to 37 per cent on a continuous basis. Now that you are aware of the flip side, let’s discuss some steps which you must take to avoid such a debt trap.

Check for interest rate on your card
If you do a comparison of interest rates being charged by credit card companies, you will be surprised to know that there is quite a lot of variation. The variation is in the range of two to three per cent, which is quite lucrative for a big amount. Use the card with the lowest interest ra…………… continues on Deccan Chronicle

… Read the full article


FTC Action Halts Telemarketers Who Sold Bogus Credit Cards

Posted by administrator | 05/02/12 | Tagged Credit Card

FTC Action Halts Telemarketers Who Sold Bogus Credit Cards
News from Sacramento Bee:

Allegedly Charged Illegal Up-Front Fee, Took Consumers’ Money Without Their Consent

WASHINGTON, Feb. 3, 2012 /PRNewswire-USNewswire/ — At the request of the Federal Trade Commission, a federal judge has temporarily halted a telemarketing operation that allegedly sold bogus credit cards and took money from consumers’ bank accounts without their consent.  The court ordered the defendants’ assets frozen and appointed a receiver to control the business, pending resolution of the case.  As part of the FTC’s ongoing crackdown on schemes that prey on financially strapped consumers, the agency seeks to permanently stop the illegal practices and make the defendants pay refunds to consumers.

According to the FTC’s complaint and pleadings, the defendants have taken in at least $ 4.82 million in less than three years, including more than 10,000 sales during a recent two-month period.  Doing business as Platinum Trust Card and Express Platinum Card, they operate in the Philadelphia area, but they engage in a variety of ruses to create the false appearance that they are based in Utah and Nevada.  The defendants call consumers who recently applied online for a payday loan and offer them a purported gen…………… continues on Sacramento Bee

… Read the full article
.

Related News:


What Lies In Your Debt?
Our Proven System Makes Members Money While They Are Able To Keep Their Home, Fight Off Debt Collectors, Credit Card Companies, And In Just About Any Situation, They Get Paid! Monthly Membership.
What Lies In Your Debt?

© 2017. Credit Card Talk