Debt Law

A:

A debt collector can call a person at work unless they have been told verbally or in writing that the debtor cannot take calls at work. However, the Federal Trade Commission protects consumers against bullying or calling at inappropriate times by bill collectors.

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  • What is a good bankruptcy score?

    Q: What is a good bankruptcy score?

    A: The lower a bankruptcy risk score, the better. According to Bankrate, bankruptcy risk scores range from negative numbers to 2,000. While these scores are hidden from consumers, businesses use them to decide whether to extend credit to a customer.
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  • What happens during bankruptcy?

    Q: What happens during bankruptcy?

    A: Although an individual can file for a Chapter 7 bankruptcy or a Chapter 13 bankruptcy, both types involve the same four steps, according to Money Crashers. These steps include providing a financial inventory, receiving credit counseling, attending a creditors' meeting and completing post-bankruptcy credit counseling. Most bankruptcy cases are handled through paperwork rather than court attendance.
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  • What happens to debt when a person moves out of the country?

    Q: What happens to debt when a person moves out of the country?

    A: The results of moving out of the United States and leaving debt behind vary from lawsuits filed on behalf of the debt holder to poor credit for the debtor. Depending on the length of time out of the country, there may be no result.
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  • What is life like after bankruptcy?

    Q: What is life like after bankruptcy?

    A: Life after bankruptcy includes a new financial beginning and some challenges. Bankruptcy stays on a credit report for 10 years, which limits credit options, according to Bankrate. Lenders sometimes view individuals who filed bankruptcy as too risky because some past debts were written off. As a result, individuals who filed bankruptcy may not be issued a credit card for some time.
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  • Q: How can I get my money back?

    A: A consumer who feels that they have been cheated can report the offense to several government agencies, reports NOLO.com. If the reporting doesn't result in a refund, a consumer can send a demand letter for the money and then file a lawsuit.
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  • Q: How do you answer a summons from a collection agency?

    A: If served with a debt collection summons and complaint, compile a short statement, which is called an answer, that addresses each of the allegations outlined in the summons and complaint, as attorney Robert J. Nahoum details. The response filed outlines whether you admit, deny or lack knowledge of the allegations presented to you.
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  • Q: How does a short sale work with debt forgiveness?

    A: A short sale works when the homeowner sells the home and gives all the proceeds to the lender, the Federal Trade Commission says. The lender then agrees to not foreclose on the home, and the lender forgives the debt repaid by the sale. The amount forgiven is reported as a partial charge off on the former homeowner's credit report, Bankrate notes.
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  • How long does bankruptcy stay on my credit report?

    Q: How long does bankruptcy stay on my credit report?

    A: A bankruptcy may take up to 10 years to fall off of a consumer credit report, according to FICO. During this time period, anyone who performs a credit check can see the consumer's bankruptcy information.
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  • Q: Is there a way to stop debt settlement legal letters from being sent to employer?

    A: To stop debt-settlement legal letters from being sent to an employer, the person must make that request in writing to the collection agency sending the letters, notes Credit.com. By law, once the request is made to stop settlement and collection letters from being sent, the collector must abide by that request. The debtor can also advise the debt collector by phone that he wishes communication with the employer to cease.
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  • Q: How is a default judgment collected in Texas?

    A: Collecting a default judgment in Texas is possible through a garnishment lawsuit, abstracts of judgment or through the debtor's simple payment, according to the Law Office of Tom M. Thomas II. A debtor with a default judgment in Texas can choose to pay the debt owed immediately to avoid facing other legal actions.
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  • Q: How do you file for bankruptcy online?

    A: Filing for bankruptcy online involves obtaining advice on the filing decision, gathering the necessary information needed for filing bankruptcy, opening an account with the Public Access to Courts Electronic Records system, accessing the account to complete bankruptcy filing forms and checking the account frequently for a court hearing date, according to M. Scilly for the Houston Chronicle. Although it is possible to complete the process yourself, hiring an attorney may help to prevent possible mistakes.
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  • Q: What are the FHA loan rules for buying a house after bankruptcy?

    A: FHA rules stipulate that a borrower must wait two years after a Chapter 7 bankruptcy before getting another home loan, but the FHA Back to Work – Extenuating Circumstances Program allows some borrowers to receive loans one year after bankruptcy, reports Nolo. To qualify, borrowers must prove financial stability.
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  • Q: What is the statute of limitations on judgements?

    A: The statute of limitations for collecting on judgments varies from state to state. While a judgement drops off of a credit report after seven years, the amount of time to collect on that judgment may well exceed seven years.
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  • Has my bankruptcy been discharged?

    Q: Has my bankruptcy been discharged?

    A: The debtor in a bankruptcy case receives a notice of a discharge by mail once the discharge is completed, according to the United States Courts. The timing of the discharge depends on the type of bankruptcy case. Individual chapter 7 bankruptcies are usually discharged four months after the petition is filed with the clerk. Individual chapter 11, 12 and 13 bankruptcy cases are usually discharged after debtor payments are completed.
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  • Q: What services does Second Bankruptcy Course offer?

    A: The Second Bankruptcy Course provides financial education and debt management instruction to individuals who file bankruptcy. The United States Justice Department approved the service as an official bankruptcy course in all states but Alabama and North Carolina, as the company claims.
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  • Q: Can debt collectors call on Sundays?

    A: If it is inconvenient for a debtor to receive a debt collection call on Sunday, and the debtor has specifically told collection agents not to call on Sundays, then debt collectors are not legally allowed to call. Under the Fair Debt Collection Practices Act, debt collectors who call on Sunday after being advised not to can be held in violation of the law.
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  • Q: How often can you file Chapter 7?

    A: People may file for Chapter 7 bankruptcy eight years after filing a prior Chapter 7 case or six years after filing a prior Chapter 12 or 13 case, according to Lawyers.com. Chapter 7 bankruptcy is generally used by low-income debtors who have little or no assets.
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  • Q: What are the repossession laws in Arkansas?

    A: In Arkansas, lenders are given certain rights to ensure they continue to receive payments. One major right lenders are granted is the ability to take back any goods that have a loan in default, according to Credit Info Center. A loan defaults if there is a failure to make payments as agreed upon.
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  • Q: How long does a Chapter 7 bankruptcy take to discharge?

    A: The court usually grants a discharge in a Chapter 7 bankruptcy four to six months after the petitioner first files the case with the clerk, states Nolo. The time varies according to individual case circumstances and by local jurisdiction processing times.
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  • Q: What is a motion for default judgement?

    A: A motion for default judgment is a request that the court provide a default judgement when the defendant fails to respond to the complaint within the time allotted by the court. A default judgement is an award ordered in favor of the party who filed the complaint.
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  • Q: What is the best option when you are sued for unsecured debt?

    A: When sued for an unsecured debt, the best and cheapest option is often to call the creditors yourself and offer them a payment plan that you can afford to pay, advises Nolo. Creating a budget for such a payment plan before you call the creditors includes finding ways to reduce your expenses and, when possible, to increase your income. In such negotiations, you may be able to obtain a reduction in late fees and other penalties.
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