Debt Law

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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 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 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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  • 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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  • Q: What Is a Summary of the Debt Protection Act?

    A: The Fair Debt Collection Practices Act outlines the means creditors can use to collect debts, ethical guidelines for collecting outstanding amounts, and the means a debtor can use to challenge payoff demands, according to the Legal Information Institute. The act prohibits creditors from harassing or threatening debtors and requires them to notify debtors of their rights in relation to the debt.
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  • Q: What Is a Georgia Electronic Data Interchange Payment?

    A: A Georgia electronic data interchange payment is a payment the state or its agent sends or receives electronically using a computer software system, states Blue Cross and Blue Shield of Georgia. The Georgia Department of Revenue has mandated use of the EDI system, notes its website.
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  • Q: How Do You File a Lien in Colorado?

    A: File a lien in Colorado by gathering documents, consulting with an attorney and then filing a judgement. Once the judgement is granted, collection may be possible.
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  • Q: What Legal Points Need to Be Included in a Debt Collection Letter?

    A: Legal points to include in a debt collection letter include the facts regarding the debt and a request for the recipient to respond in a timely manner, the Houston Chronicle reports. The letter should be written in a strong but not harsh tone.
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  • Q: Where Can You Find Wage Garnishment Rules for Different States?

    A: Wage garnishment rules vary by state and are located at Fair-Debt-Collection.com. All states allow wage garnishment for child support, alimony, taxes and federal student loans, according to Fair-Debt-Collection.com. Links for all 50 states are listed alphabetically and provide quick access to information on individual states.
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  • Q: Where Are Repossessed Autos Taken?

    A: After a car is repossessed, the repossession company takes it to its lot, reports CNN. After that, the fate of the car varies with state law. Some states require the lender to tell the owner of the car the fate of the car, notes the Federal Trade Commission.
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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: Are There Laws That Debt Collectors Have to Follow?

    A: Debt collectors must follow the Fair Debt Collection Practices Act, the Fair Credit Reporting Act and other federal and state laws, according to the Consumer Financial Protection Bureau. The Fair Debt Collection Practices Act ensures that debt collectors do not coerce debtors with unfair or deceptive collection methods.
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  • Q: What Are Some Texas Laws Concerning the Repossession of Vehicles?

    A: A statute called the Texas Business and Commerce Code Section 9.609 says a creditor can use self-help repossession but can only seize collateral if it can be done without a breach of the peace, according to Weber Law Firm, P.C. Getting a court order or filing a lawsuit are other options for creditors.
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  • Q: How Do You File a Complaint Against Portfolio Recovery Associates?

    A: Consumers can file a complaint against Portfolio Recovery Associates, or any other collection agency, by contacting the Consumer Financial Protection Bureau through its official website. The Attorney General's office for each state can also help consumers whose rights are violated, states the FTC.
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  • Q: What Is the Purpose of a UCC Filing?

    A: To protect their financial interests in a particular transaction, lenders make Uniform Commercial Code filings, according to the State of West Virginia. A lender may have a financial interest in aspects such as consumer goods, public-finance transactions and commercial equipment. A UCC filing creates a lien on property in the lender’s favor to secure repayment from a borrower, explains the Houston Chronicle.
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  • Q: How Do You Eliminate Calls From I.C. System Collection Agency?

    A: Eliminate calls from I.C. System collection agency, or any other debt collector, by advising the company the preferred method of communication is through writing, About.com notes. Debtors can also send the collection agency a cease and desist letter, which advises the collection agency that all communications with the debtor must be stopped. Written communication works in the debtor's favor by providing proof if the debt collection agency somehow violates the law. Cease and desist letters only apply to collection agencies.
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  • Q: When Was the Debt Relief Act Extended?

    A: The Mortgage Forgiveness Debt Relief Act was extended on Dec. 16, 2014, by President Obama, according to the Minnesota Homeownership Center. The extension was meant to cover any mortgage debt that had been cancelled earlier in the year.
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  • Q: Where Can You Find Examples of Debt Settlement Letters?

    A: Several websites, including those for LeaveDebtBehind, CuraDebt and SJ Packman & Associates, offer sample debt settlement letters for customers. All these sites protect the identity of the debtor for privacy reasons.
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  • Q: Where Do You Find Some Sample Letters to a Stop Collection Agency?

    A: Several financial and legal websites offer sample letters to stop a debt collection agency, including RocketLawyer.com and TateEsq.com. These letters illustrate the process of writing a letter to instruct the collection agency to stop contacting the debtor due to one reason or another.
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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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  • Q: What Is the Process of Being Sued for a Debt?

    A: The process of a being sued for a debt begins when a creditor files a complaint with the court outlining the reason for the lawsuit and providing the information needed for the defendant to file a response, Nolo explains. The complaint includes the amount the creditor requests in the judgment, including any interest, attorneys fees and court costs. The creditor then serves the defendant with a copy of the complaint and a summons to appear in court.
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