Sources say that nearly 15 percent of all American households had at least one debt in some stage of the collections process at the end of 2012. That statistic represents those households that have fallen delinquent on a loan, or are in default. The statistics reveal that a great many households continue to suffer from some level of financial stress.
In the past two entries, this blog has been discussing consumer protections in the debt collection industry. The Consumer Financial Protection Bureau says that fake bill collection scams appear to be on the rise in the United States. Obviously, not all attempts to collect on a debt are fraudulent.
This blog recently discussed the "Rolling Jubilee" idea that a group of people started as an offshoot to the Occupy movement. In that plan, the group has been purchasing debt on the open market and forgiving the debt to raise awareness of the nature of the debt collection industry. Buying debt is a huge industry in this country. Companies can buy blocks of debt for pennies on the dollar and seek to collect the money from the debtors.
In the last post, this blog began a discussion of a lawsuit recently filed by a disabled servicemember, who says that a bill collector unlawfully seized funs in a savings account that are exempt from attachment in a wage garnishment or bank account seizure action under federal law. The story left off after the disabled veteran challenged the bank account seizure in court, where the bill collector admitted that the funds were unlawfully seized.
How far will a debt collection agency go in trying to coerce someone to pay a debt? That may be a question to be answered in a recent debt-collection lawsuit. The debt collectors accused on unfair debt collection practices reportedly do not operate in Ohio. But, Ohio residents have served in the military and find the allegations outrageous.
In the last post, this blog began a discussion of issues that consumers can face week entering into a contract with a debt-settlement company.
In the last entry, this blog discussed the recent news from the Federal Trade Commission that complaints about aggressive debt collection practices of bill collectors have skyrocketed in recent years. One woman in Ohio is suing a New York creditor, which is discussed in this post. But the issue debt collection tactics that can blindside a person can happen to people from any walk of life.
Dealing with creditors can take a toll on a person's life. Let's face it...trying to manage a mountain of debt is stressful. Letters and calls from creditors are not the only troubles many people can face after a financial setback. Repossessions, foreclosure--even deficiency judgments after a foreclosure are sometimes possible. The list can go on with wage garnishment and bank account seizures.
Several stories have made the news in recent months involving bankruptcy petitions and professional athletes. This blog has covered a number of stories that address the unique assets that some retired athletes acquired during their playing careers, including championship rings and other sports merchandise that can command high prices on the market that exceed bankruptcy exemptions.
Major League pitcher Livan Hernandez has been associated with a number of baseball franchises since the end of the last baseball season. He was a free agent in December when a court issued a wage garnishment order after a debt collection lawsuit was entered against the Major Leaguer last October.