Welcome, visitor! [ Register | Login

Post an Ad

What to determine before Contacting Your Creditors

Financial recovery November 1, 2020

Before Contacting Your Creditors

Before you contact your creditors, determine:

  • How much you owe each creditor
  • How much you can pay each creditor, which you should know after completing Step 2: Develop a Financial Recovery Plan
  • When you can realistically pay each creditor if you are unable to make a current payment

 

If you can pay the creditor some amount of money, consider whether you want to negotiate:

  • A reduced monthly payment for a period of time
  • A loan refinance to reduce the interest rate and lower your monthly payments
  • A payment deferment if you will have regular income or can make regular payments in the next few months
  • Reduced or dropped late charges while you are facing financial difficulties
  • Interest only payments until you can make regular monthly payments

 

Keep in mind these options may require you to make payments for a longer period of time and incur additional finance charges. Yet, you may be able to avoid collections and further damage to your credit.

 

If you cannot pay your creditors:

  • Be prepared to explain in detail why you cannot pay them and/or why you have fallen behind on past payments.
  • Explain any efforts you are making (e.g., increasing income, decreasing expenses) in order to pay them.
  • Have a plan of when you can realistically pay them and how much you can pay them.
  • Understand that the creditor may turn your account over to a collection agency if your payments are more than 90 days late. The company may also take legal action against you for the unpaid debt as stated in the sales contract or loan agreement.

 

Under the Fair Debt Collection Practices Act (FDCPA), debt collectors other than your creditor cannot:

  • Contact you at any unusual time or place
  • Contact you at work if you have informed them not to call you there
  • Use threats of violence or other criminal means to harm you or your property
  • Call you with the intent to annoy, abuse, or harass you
  • Call you without identifying themselves
  • Use deceptive or misleading methods to collect debt

 

If you feel you are being harassed or treated unfairly by creditors, make sure you know your rights.  Learn more from the FTC website at www.ftc.gov. Report any problems you have with a debt collector to your state Attorney General’s office (www.naag.org) and the FTC (www.ftc.gov).

No Tags

308 total views, 1 today

  

  • Debt Collectors -Recovery Services - PA & VA

    by on February 24, 2021 - 0 Comments

    Entity Address Telephone Monarch Recovery Management, Inc. 10965 Decatur Road, Philadelphia, PA, 19154 (215) 281-7500 Monarch Recovery Management, Inc. 9350 Ashton Road, Suite 101, Philadelphia, PA, 19114 (215) 281-7500 Central Credit Services, Inc. Five Neshaminy Interplex, Suite 117, Trevose, PA, 19053 (215) 333-2272 Tate & Kirlin Associates, Inc. 2810 Southampton Road, Philadelphia, PA, 19154 (215) […]

  • Credit Counseling Agencies :EASTERN DISTRICT OF NORTH CAROLINA

    by on February 1, 2021 - 0 Comments

    Alliance Credit Counseling, Inc. 13777 Ballantyne Corporate Place, Ste.100 Charlotte, NC  28277-3433 Phone:  888-594-9596 Fax: 704-943-0313 Email:  kevin@knowdebt.org Website:  www.acc.consumerbkcenter.com, www.crisishelp.org, www.knowdebt.org Debt Management/Credit Counseling All Names Used: Alliance Credit Counseling, Inc., AAAlliance Credit Counseling, Inc., AAA Alliance Credit Counseling, Inc.  Addresses: 15720 John J. Delaney Dr., Ste.100, Charlotte, N.C. 28277, 7621 Little Avenue, #100, […]

  • How to calculate Monthly Income and Expenses - Case study

    by on January 25, 2021 - 0 Comments

    Monthly Income and Expenses   Once you know your monthly expenses, you can use a Monthly Income and Expense Worksheet (similar to the one on page 8 of your Participant Guide), a money management software program, or an online budgeting worksheet to determine: How much money you have coming in (income) How much is going […]

  • 5 Tips for Getting the Most From Your Credit Card

    by on March 9, 2021 - 0 Comments

    Pay on time. Paying your credit card account on time helps you avoid late fees as well as penalty interest rates applied to your account, and helps you maintain a good credit record. A good credit record leads to a higher credit score, which helps you qualify for lower interest rates. Know the date your […]

  • Seeing Through Stimulus Scams

    by on January 22, 2021 - 0 Comments

    Seeing Through Stimulus Scams With talk of stimulus plans ruling the news, it’s no surprise a new round of stimulus scams are afoot. Here’s how it goes: An email, online ad, or website says you’re eligible to get an economic stimulus payment. You just have to send back a form or submit one online to […]