Free Credit Counseling

What Holds People Back From Free Credit Counseling In A Debt Crisis?

When a debt crisis strikes an individual or a family, what is it that stops people from"heading it off at the pass" as they said in the old cowboy movies, by seeking professional credit counseling. With todays ever increasing debt loads and lack of savings, more and more people will face a debt crisis at least once in there life. A debt crises so overwhelming that they will face losing there credit rating, possibly there home and car.

First of all, it is quite understandable that people become overwhelmed when facing any crises. Even though the debt crises may have been building for months or years, when it finally expresses itself, it is always a shock and produces a sort of paralysis. Picture yourself, you are feeling fine and you go for a routine doctors visit. Suddenly, you are informed you require open heart surgery. Your reaction is to go into a kind of self preserving shock. You do not want open heart surgery, but you are told unless you have it, you will not live long. I have personally counseled with hundreds of individuals and families on the brink of crises. It took months of financial pain for them to make the move to seek a credit counselor and learn there debt relief options.

Virtually everyone I ever counseled with wants to pay there debts and honor there debt obligations. The problem is, now they are faced with a situation which they personally cannot resolve, just as the patient cannot perform his or her own surgery. So, I as the credit counselor present to the debtor a few debt relief options after examining there income and expenditures, and learning a bit more about them. In some cases the debt crises has been so bad that as a trained credit counselor I may see 6 months down the road a foreclosure about to happen,unless there is quick intervention. The debtor says, I will think about it. Why? Why not accept a debt settlement or debt consolidation program that is affordable and will stave off disaster and allow them to sleep at night? Some do, but most are not yet ready. They want to think about it. Think about it?

As the problem continues to get worse. The heart begins to fail, the sheriff shows up at the front door with a court subpoena for a judgment. They are not ready, because the pain is not yet great enough to act. They are still in denial, even though they have taken the first step and acknowledged the problem, they are not ready. Sometimes, the solution itself is so good that it makes the debtor feel better just knowing there is an answer to there problem. Unfortunately, this is not good. The patient may die before agreeing to the operation.

Written By:
Steven Ciantro
Credit Counselor
American Debt Enders
Help@americandebtenders.com
This article may be reproduced in whole provided the authors information including this permission line is included.

How Do You Choose A Debt Settlement Company

There was a time when debt settlement was a risky proposition. If the creditors decided to file a law suit or walk all over a debtors rights under the Fair Debt Collection Practices Act, The creditor was at risk until the settlements were completed As for having negative information deleted from a credit file, forget it. Today, Debt Settlement has evolved into a science, if you enroll with the right Debt Settlement Company.

One such relationship which works in the area of debt settlement is an affiliation between American Debt Enders and Campos Law Firm, a law firm specializing in representing clients interested in a Debt Settlement Program. First, the client enrolls through American Debt Enders credit counseling program or other such affiliate. By taking this step, the client has retained the services of Campos Law Firm. The client chooses an amount of money which he or she can afford each month. This is a huge advantage for the client. Now, the client knows he or she will be able to complete the program, based on affordability. This is a big problem with Debt Consolidation programs, because in a debt consolidation program, the banks determine the new payment not the debtor, and it is never based on affordability.

The next thing that happens is that the Law Firm instructs the client to do a change of address, naming the Law Firm as the address where the client wishes to have his or her correscpondence sent from now on. The Law Firm, notifies the creditors that they may not call or contact the client any longer. If they do, they will be violating the clients rights under the Fair Credit Collections Act, and will be sued. The debtor is instructed to keep a diary of every contact regarding a debtor. This entire process provides the debtor with all the protections allowed by law while trying to settle there debt rather than declare bankruptcy. If your debt settlement company does not function as I have described. Try ours by visiting: http://www.americandebtenders.com/debt%20settlement%20strategy.html

Written By:
Steven Ciantro
Credit Counselor
American Debt Enders
Help@americandebtenders.com
516-476-5903
This article may be reproduced in its entirety providing the entire signature line is used including this statement.

Do You Have Any Idea Where Your Money Is Going?

If you answered "Yes", then read on anyway, because you may be surprised at what you learn. One of the most basic aspects of credit counseling with someone to help them achieve debt elimination, is to get a feel for what put them into debt in the first place, and, whether or not they really know where they are spending there money.

Some people will say, What money. Indicating they think the problem simply boils down to not having or making enough money. Others will answer, that they have a high standard of living and do an excellent job of keeping up with the Jones family, across the street. Over the years of counseling with hundreds of families seeking debt free services. I have met people with his and hers Mercedes Benz's who have told me they cannot afford a single monthly payment that is less than there current payments by as much as $200.00. Quite often, as Regional Manager of a non-profit, where we pulled credit reports as part of the free credit counseling session, in order to get a better picture of the situation, clients would ask that we not pull the credit report because they did not want us to see the type of high lifestyle they were living.

Yes, they wanted out of debt, but not at the expense of making changes to there lifestyle. I have enrolled clients into a debt management program or creditor settlement program only to have there first payment reject. When the clients were notified the response was not that they did not have the money, but that they were simply completely unaware. Lack of awareness would be a major problem when it comes to your money. Good financial planners tell the exact same stories.

So how do we really determine where our money is going each month. Very simple. Get a small notebook and carry it with you. Start at the beginning of a month. Use the notebook to record each time you spend cash. No matter how insignificant you think it is. Write it down. At the end of thirty days, or preferably, at the end of the month in which you started, add up what you spent as cash. Add to it what you wrote as checks, and any automatic debits as well. Also, monitor the categories you spent money on. Groceries,car payment, eating out etc. I will absolutely guarantee that this exercise will be a dramatic eye opener. I have used this method personally, and have counseled many others to do so. Once you see where the money is going, I guarantee you, you will be able to find areas where you can cut back and save. The cut backs do not have to be forever! For example, cutting back on cable, cutting back on how often you go out to eat, using coupons when you go shopping, planning your meals weekly, bringing your lunch to work, combining driving trips to save on gas useage, carpooling, where possible. If you are serious about getting out of debt or even just to stop wasteing your hard earned money, you now know how. Clicl Here For A FREE BUDGET CALCULATOR.

Written By:
Steven Ciantro
American Debt Enders
Help@americandebtenders.com
This article may be reproduced in its entirety provided the entire signature line is used including this statement.

Free Credit Counseling|Do It Yourself Credit Restoration

Have you ever wondered what companies send you when they claim you can erase bad credit overnight? How about those ads that say you can get any major credit card without a deposit or a credit check? Ads abound almost everywhere these days (online and off) selling books, systems and secrets to help you fix your credit.

Many of these programs have claims which read like the covers of supermarket tabloids: "In 3hrs my credit score jumped from 580 to 676!"... "Erase bad credit and smash your debts with just 2 Magic Letters!". Are these types of claims ALWAYS too good to be true? The answer is "Yes and... no". While many people would love for you to believe the only thing that can fix bad credit is time; in reality... nothing could be further from the truth. The fact is, time is only one factor which can fix a credit report, but it's a far cry from being the only factor. How can I back this up? Easy. Under a consumer protection law known as the Fair Credit Reporting Act (a.k.a. the FCRA) the only negative information which can remain on your credit report is not what is accurate... but what can be proved as accurate under the FCRA. What's this mean to you? It means any negative item on your credit report can only remain there if it is accurate and CAN BE PROVED AS SUCH under the guidelines of the FCRA. This undisputable fact presents consumers with both good news and bad news. The good news is that through the FCRA your credit score can most likely be improved dramatically in a very short period of time with only a modest amount of effort on your part.

The bad news is that while the actual "work" will take very little of your time, it is vital that you have good information on "how" to go about it. This is the bad news; 9 out of 10 courses on restoring your credit will do nothing more than lead you into snake pits because they will provide you with what the industry refers to as "Boiler Plate" dispute letters. These are nothing more than form letters and... quite frankly (more bad news) the Credit Bureaus and Creditors will laugh at you if you try to use them. While I agree with the Federal Trade Commission (FTC) that "Anything a Credit Repair Clinic can do for you legally, you can do for yourself at little or not cost"... the key element you need for success is the latest inside techniques and procedures to get the results you want. This involves strategies such as "Proof of Contract", "Constructive Notice", "Challenge of Procedure" or "Restrictive Endorsement" and many others. All these terms may "sound" impressive but they are really quite simple. In the end, it is nothing more than a method of communication which exercises your consumer protection rights, gets the results you want and raises your credit score. Even more impressive, once you learn how simple it can be by doing it for yourself, you will find there is a fortune to be made doing it for others! Either way, it all starts by requesting a free copy of your credit report here: http://www.AnnualCreditReport.com In the next segment we'll talk about: "Is Your Credit Score Costing You A Fortune?" ======================================= The "CREDIT SECRETS BIBLE" has been in print since 1994 and is published by Consumer Publishing Group. For more information on the "CREDIT SECRETS BIBLE" you may visit: http://www.creditsecretsbible.org/?hop=sciantro01 ======================================= Brought To You By: www.Americandebtenders.com Help@americandebtenders.com 516-476-5903
Author:The TRUTH About Credit Repair... -by Terry Price (C) Copyright Terry Price

Debt Negotiation versus Debt Consolidation

Ten years ago debt settlement programs were in there infancy. Pretty much the only options available for debt relief were debt consolidation,(controlled and created by the banking industry), and bankruptcy, which was, at that time, easier to qualify for. Credit counseling was not nearly as evolved as it is today, and thank goodness for that.

The idea of debt settlement is one whose time has come due to the lack of flexibility built into the banking industry. By definition, a debt settlement is when your creditor agrees to accept less than the face value of the amount you owe, and call it even, or, really, write off the difference and take a tax loss. Once a credit report reads that an account has been settled, the credit score will be much less impacted than when it read owed, or charged off, and owing, or, in collection. The debtor can then begin to rebuild his or her credit. With the change in the bankruptcy laws of the recent past, debt settlement programs have become increasingly popular. Why? Because, if you are not a candidate for bankruptcy, or have a moral aversion to it, and you simply cannot afford a debt consolidation program. the debt settlement program can be a life saver.

The best debt settlement programs are those in which you actually employ an attorney to represent you. You get to decide on the monthly payment you can realistically afford, and this determines the length of the program. Generally, you want to try to complete the program in the shortest time you can. Although, the older a debt becomes, the More likely it is that the creditor will accept a lower settlement. Lets say you have 30,000 of unsecured debt and your cumulative monthly payments are 900.00 at an average of 28% interest. You are in a pay for life program. You might as well take your money and let blow away in the wind. If you seek relief in a debt management program, you may reduce your monthly payments to somewhere between 700 and 800 dollars per month, and finish paying off at reduced interest rates in about 5 years.

So, you start a debt consolidation program and everything is fine until you loose your job and get a new one with a 30% pay cut. You realize you can no longer afford the debt consolidation program, miss a payment or two and get dropped, with no return point. You now have the option of the safety net of a debt settlement program. The debt settlement program can reduce your monthly payments to as low as $400.00 and you will wind up saving in total about 15,000. of the $30,000. you owe. When you factor in interest saved, the savings is quite staggering. In addition to debt settlement, you can also enter a debt audit\debt settlement program in which you may even save more money, stop creditor phone calls, and have the audit attorneys now speak to your creditors. A portion of your monthly payments will go to the attorneys fees and a portion to a trust account for settlements to be made when the time is right. Only you can decide which type of debt relief program you are most comfortable with. One of the problems associated with debt consolidation programs is that the dropout rates are quite high. The reason is that as in the previous example, for whatever reason people cannot sustain the monthly payments for 5 years, and where this is the case, creditors are very unforgiving. If you have questions, please feel free to email me, my email address is listed below.

Written By:
Steven Ciantro
American Debt Enders
Help@americandebtenders.com
516-476-5903

This article may be reproduced in full provided the entire signature line is included along with this permission statement.

Are You In A Personal Recession?

Is there a national economic recession comming? This has become a major topic of business commentators, both writers and television business analysts, otherwise known in my own personal terminology as "the talking heads". No matter who you speak to, or listen to, everyone has an opinion.

Since there are only two possible answers to this question, that means that only half of the opinions can be right. In fact, the odds that your guess has the same odds as the experts might be somewhat disheartening. Here are some facts. Americans taken as a whole, have virtually, no savings. We are in the midst of a major housing slowdown. Forget the talking heads. Drive around an ordinary middle class neighborhood and evaluate for yourself if the number of for sale signs have increased, and stay up much longer.

In Great Britan which is has seen these same problems about 18 months before us, credit card charge offs have increased by 50%. That's totally unsecured debt. Here in the US, credit card debt sets a new record high, every month! People have started using there credit cards to pay there mortgages, in higher ratios. The cost of energy, which effects everything,continues to rise significantly. Need I even mention the collapse of the sub-prime mortgage market. I could go on here, but, the focus of this article is about your personal economy. The idea here is to keep yourself solvent, no matter what course economic events take. So, that means, now is not a good time to be spending extravagantly. Now is a time to get your personal house in order. If you are carrying high unsecured debt levels, you need to now consider seriously paying them down. If you are now just making your minimum payments, you need to strongly consider enrolling in a debt consolidation or debt settlement program. Whatever you do, you need to stop making new credit card debt. Why? Besides the fact that you will empower yourself to learn a debt free lifestyle, it will also allow you to weather any economic storm which may come.

Do not think you can depend on anyone else to help you. You must learn to live a debt free life, now. You might want to start by budgeting, and figuring out where your money is going. You can use this free budget calculator to help you do this. Start thinking differently. Do you really need the big screen TV? 100 cable channels? If you take a sober view of your finances, you will not have to worry which way things go, as you will have reduced your income needs to a minimum. Written By: Stevem Ciantro American Debt Enders Help@americandebtenders.com This article may be reproduced in its entirety provided the entire signature line including this comment are included.

Written By: Steven Ciantro
American Debt Enders
Help@americandebtenders.com

This article may be reproduced in whole provided the writers signature line and this permission lineare included.

Bad Mortgage Loan Help

With so many people and families effected by taking mortgages they could not afford, even to the point of foreclosure, I came across an excellent program offering help. So, being a true credit counselor and interested in helping people become financially whole wherever and whenever I can, I will present the program here.

I would like to point out that neither American Debt Enders or myself have any financial interest of any type in this company. The basis of the program is that many people who signed on the dotted line when taking out there mortgage commitment were getting terms that either were not honestly disclosed to them, or were absolutely ripped off. If you have read any of my articles on credit and debt, you know I am a great believer in personal responsibility for all financial decisions. In other words, if you make a bad financial mistake, like a bad mortgage, you should not go looking for government help by way of a bailout. However, if you were truly defrauded, another story altogether.

The company is called Mortgage Violations Watchdog. They will perform a free audit of your mortgage to determine if any of your rights as a consumer, were violated. They will review new mortgages and second mortgages. If you are currently in foreclosure and you think you were ripped off by a bad loan and there audit uncovers violations, you can stop the foreclosure process while the case is adjudicated!

Visit the website, it will provide all the details.

Written By: Steven Ciantro Credit Counselor American Debt Enders Help@americandebtenders.com

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Keywords: bad mortgage loan help, foreclosure help, free credit counseling, losing my home, mortgage help

About the Author
Steven Ciantro

help@americandebtenders.com
More Details about Help with foreclosure here.

Certified Credit Counselor trained in the non-profit world, moved

Pay Day Loans, When The Mafia Gave You One It Was Illegal!

So, the car broke down and you do not have the money to get it repaired. But,it is your only means of transportation. So, you think, I can get an advance on my paycheck, or a pay day loan to take care of the problem. Bad Idea. When I was growing up in Brooklyn, the only Pay Day loans available were from your friendly neighborhood mob guy. Not family guy, thats a TV show. The mob-guy otherwise known as a loan shark, would give you the cash and told you clearly what the interest or vig,or vigorish, as it was otherwise known, was going to be. If when pay up time came you did not have the vig, plus the principal, then you were expected to pay the vig, and the loan shark would extend the loan at another outrageously high interest rate. If over time, you were unable to pay either the interest Or the loan principal, then you got new loan terms which usually included bodily harm.

So, we need to now ask, how did all this get to be legal!We have all seen the ads. Very captivating, you need money, we want to help you, we also want you to borrow responsibly. Right! Who are they kidding, these loans start at 350% interest. Lets look further. A $500.00 payday loan at an initial 30% interest for 2 weeks will cost you $650.00. Thats $500.00 plus $150.00 in interest. So payday comes and you cannot pay the entire amount back. So, you explain to Vito that you have a problem. Vito says, no problem, just pay me the $150.00 and and you will pay me another $150.00, plus a $15.00 service charge, plus the $500.00 you owe me on the principal in 2 weeks. That's a total of $815.00, assuming you can repay the loan in two weeks. So the original $500.00 loan, now cost you 315.00 in interest and fees. Imagine if this continues a few more weeks! Loan Sharks used to actually go to jail for doing this.

Every once in a while you'll read an article that says the following:"Politicians Express Concern Over Pay Day Loans". They make a few statements about the fact that 1000% annual interest rates on these loans are getting people, especially, poor ones, into financial distress. By the way, military personal unfortunately, often fall victim to these loans, then the these same politicians take a sip of that magical kool-aid they like to imbibe, and nothing happens.

The bottom line is this. Imagine that there was actually a time when there was no such thing as a Pay Day Loan. People actually got along without them. Imagine, you have a need for quick cash. As legitimate as the need may be, the world will not come to an end, if you just don't even think about using a Pay Day loan. Unless you are about to die from hunger and need food desperately, to live. Just do not even consider that such a business even exists! You simply must find a better way. If you feel you need help in how to avoid these pitfalls, then seek free credit counseling. If you have already fallen prey, and are trapped in a bad cycle of interest only payments, seek debt relief through a credit counseling company. Generally, if the Pay-Day loan has gone into default and been sent for collection, then you can put it into a debt settlement program as one option. If it has not gone to collection, then sometimes you can put the account into a Debt Consolidation program, and stop the interest from accruing as you pay down the debt in installments.

After all is said and done, the bottom line is, no one can protect you from these predators better than you can. The name of the game is that it is not about how much you earn, but how you control it.

Written By: Steven Ciantro Credit Counselor American Debt Enders Help@americandebtenders.com

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Keywords: american debt enders, credit card debt management, debt consolidation program, debt settlement, free credit counseling, pay day loans

About the Author
Steven Ciantro

Wage Garnishments | Free Credit Counseling

This is an important area to have knowledge of for anyone who is in debt and having trouble keeping up. Unfortunately, many times being served a subpoena is the singular precipitating event for taking action to deal with a debt crises. Quite often, the debtor will use this event to actually seek help and jump into a debt settlement program or try to get into a debt consolidation program. Unfortunately,while it is good that action is finally being taken, often it is to late to stop the proceeding or garnishment. However, this does not mean that it is to late to stop action or take action on other debts.

So, here are a few things you need to know if you are presented with papers giving you notice that a wage garnishment order has been issued. Do not panic, it is upsetting but not the end of the world. While I am not an attorney, there are some important highlights I can pass on to you.

One is, if you are the victim of a default judgement, which means, for whatever reason, you did not show up in court on the appointed day to defend yourself, you have what is called a default judgement. In this case, you may actually stop the garnishment for a period of time by going to the office of the clerk of the court where the judgement was issued. Bring all the paperwork you have with you. Tell the clerk you were issued a default judgement and would like to have it overturned on that basis. It may be temporarily stayed, until a new court date is set. The creditor that sued you will have to file again. No garnishment can take place until you go back to court and lose. assuming you do lose. This will give you time to take action. You can contact the creditor and see what you can work out directly with them. If you are ultimately unsuccessful and you are garnished, you will receive a notice from the appropriate sheriffs office to forward a certain amount of money to them each time you get paid. Failure to do so will result in them contacting your employer to withhold that amount from each paycheck and forward it to them. You cannot be terminated from your job because of a wage garnishment.

Also, how much can be taken from your wages varies by state. Also, if you are a minimum wage worker, chances are good you cannot be garnished no matter what. Essentially, there is an exemption on the following(minimum wage x 40) per week which amounts to somewhere in the area of $180.00 to $200.00 per week.

Also, if you are on disability, or social security your income is exempt from all garnishments, including those from the IRS, yes, you heard me right. Not even the IRS can touch your disability money or social security money. However, and this is important-you must not mingle any of your social security or disability money with any other source of income...in other words it must be kept in a separate bank account, all by itself. Then and only then will it be untouchable.

Want to know how much money they can take? It varies from state to state. You can visit: http://www.fair-debt-collection.com/state-wage-garnishments.html#33 and get a specific breakdown by state on exactly what you might be in for.

The thing to do is to deal with your debt before it gets to this stage. Enter a debt consolidation or debt settlement program where you will be represented by counsel to help you. Doing so will help keep you in control. And remember just because you have a garnishment on one debt, does not mean you cannot work on the others in a suitable debt settlement program and cut off any further problems.

Written By Steven Ciantro Credit Counselor American Debt Enders help@americandebtenders.com

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Keywords: best debt settlement company, debt advice, debt negotiation versus debt consolidation, debt relief options, debt relief programs

About the Author
Steven Ciantro

help@americandebtenders.com

When A Debt Collector Contacts You

Originally, we were going to put forward an article on Creditor Harassment. The scope of that topic was to large to cover in one article. Therefore, we will break it down to separate areas covered by the Fair Debt Collection Practices Act. This act was passed by congress in 1977, to prevent Debt Collectors from harassing debtors in an oppressive manner. In other words it defines the rights of collectors and debtors, and specifies in very detailed fashion what a collector can and cannot do.

You need to know that when a debt collector violates any of the terms of the Fair Debt Collection Practices Act, and you can document the violation, then, you can sue them. It is quite possible if you have grounds for such a lawsuit, that you can use even the threat of one, to settle your debt for pennies on the dollar-or just make it go away.

Quite often, if a creditor cannot contact you, even if it's because you are not answering the phone, they will resort to calling your neighbors, or, your family members. This can be extremely embarrassing to you. The good news is that there are clear rules governing this practice. The information we will use to paraphrase from can be found at: Fair Debt Collection.

The following Rules Apply For Third Party Contact: 1- The debt collector must identify his or herself and state that they are confirming or correcting your location information. They may not state who they work for, unless specifically asked. 2- They may not state that you owe any money! 3- May not communicate with the same person more than once, unless they have reason to believe they have updated information, or have been requested by that person to do so. 4- May not communicate by post card, or use any identifying information on the front of an envelope to indicate you have a debt problem, or relates in anyway that you have a debt problem. 5- Once a debt collector has been notified that you have an attorney representing you, they may no longer contact anyone, except the attorney, unless the attorney fails to respond in a reasonable time frame. While debt collectors have a right to collect the money you owe them, they do not have a right to violate the above guidelines regarding contacting anyone you know. If you are being contacted by debt collectors you must document each contact in a diary. This will provide all the proof you need to have an attorney sue them.

Written By: Steven Ciantro American Debt Enders Credit Counselor This article may be reproduced in whole or part provided the entire signature line to this point is included.

Keywords: debt management program, debt relief options, debt relief programs, debt settlement, fair debt collection practices act,

About the Author
Steven CiantroMore Details about Debt Collector here.