New California Law on Debt Buyers Unfair Practices

New California Law on Debt Buyers Unfair Practices In July, Governor Jerry Brown signed the Fair Debt Buying Practices Act into law effective the 1st of the year. The new law will bar unfair practices of many debt buyers–companies that buy up old debt for pennies on the dollar and then seek to collect from consumers. The debt buyers typically buy old debts from banks–credit card companies–under agreements that the buyers would have very limited access the actual account information for a short period and after that, the debt buyers have to pay the banks to research the accounts. Because...

CONTINUE

The Pros and Cons of Settling Your Debts

This is a guest post from John Ulzheimer, a credit expert and senior columnist for Credit Card Insider on the pros and cons of settling debts that appear on consumers’ credit reports. Over the past four years we’ve unfortunately had to become familiar with the term, “short sale,” which is actually a settlement accepted by your mortgage lender. And while mortgage settlements have become a common practice over the past few years, the process of settling other debts, such as credit card debt and debts being worked by collection agencies is a much more established process. Debt settlement works like...

CONTINUE

Statutes of Limitation on Credit Card Debt Varies from State to State

CreditCards.com reporter Fred Williams has posted an informative report on the statute of limitations that apply to credit card debts. To determine how long a credit card issuer can file suit, a consumer has to figure out which state’s law applies, how long the statute is in that state, and figure out when the statute began to run on the debt. Each of our 50 states has different laws that apply. In California the statute of limitations is 4 years. Generally, the statute begins to run when the debt first becomes delinquent. The reporter found that some 17 states have...

CONTINUE

Debt Collectors Target Relatives of Deceased Persons

Debt collectors are harassing individuals to pay the debts of deceased family members. Many of the targeted survivors are elderly. A WSJ article gives an example of a debt collector retained by Bank of America to collect $16K on a credit card debt from a retired 68 year widow. She received up to 10 calls a day from West Asset Management, Omaha, NE about the debt. The widow was not legally responsible for the debt, but that did not stop the debt collector. The WSJ article has two recorded calls between the harassed widow and the debt collector. The caller...

CONTINUE

$1.26 million Jury Award Against Debt Collector that Garnished the Wrong Person’s Wages

A federal jury in New Mexico awarded $1.26 million to a woman against collection law firm for twice trying to garnish her wages for a debt she did not owe. The case started when Target National Bank assigned a credit card debt to a debt collector law firm. Ms Lucinda Yazzie told the law firm she never had a Target credit card and she often received collection calls looking for another persons with the same name. Nevertheless, the law firm sued her and obtained a garnishment order. Yazzie’s employer interceded and the law firm withdrew the order. But two years...

CONTINUE

REQUEST A FREE CONSULTATION


  • 1736 Stockton Street
    Ground Floor
    San Fransisco, CA 94133
  • (415) 651-1951