Debt Consolidation Articles

Open-end credit includes bank and department store credit cards, gasoline company cards, home equity lines, and check overdraft accounts that let you write checks for more than your actual balance with the bank. Open-end credit can be used again and again, generally until you reach a certain prearranged borrowing limit. Truth-in-lending laws require that open-end creditors tell you the terms of the credit plan so that you c...

Month after month Janice was billed for a necklace she never ordered and never got. Finally, she tore up her bill and mailed back the pieces just to try to explain things to a person instead of a computer.There's an easier, more effective way to straighten out these errors. The Fair Credit Billing Act requires creditors to correct errors promptly and without damage to your credit rating.

The law defines a billing er...

At one time a person was required to have at least two pieces of identification before cashing a check. Usually one piece of ill had to be a major credit card or check guarantee card. On the West Coast, larger stores seldom ask for a credit card, and some do not even require a driver's license. What happened? Many merchants now use sophisticated computer systems or outside services to guarantee the credit worthiness of cust...

Credit bureaus have a tremendous amount of power. What is contained in a credit report can limit your employment prospects, determine where you live, and even hamper your ability to travel. Although credit bureaus would have us believe that the credit system is infallible, it isn't Credit bureaus are staffed by human beings, and humans make mistakes. Although credit bureaus claim that errors occur in only one half of one pe...

Negotiations with creditors have failed. Repossession is imminent and foreclosure proceedings have begun. Your income is simply not sufficient to pay your bills, no matter how low the payments are. It may be time to consider bankruptcy. Bankruptcy law evolved as a reaction to the abuses surrounding debtor’s prison. Before the nineteenth century a prison system existed for those who didn't pay their bills. If a merchant fil...

Anyone collecting a bill is trained to take advantage of two human emotions; guilt and fear. A good collector will usually start with guilt "You promised to pay and now you're breaking your promise." "You lied when you made this agreement What kind of person are you?" If guilt fails to speed up your payments, fear is typically the next emotion to be manipulated. Bill collectors will commonly threaten a legal action, garnish...