The debt settlement selection has become a respectable choice for debt elimination, because it works. The debt settlement choice has become a more popular option for debt relief in recent years.  however took lots of effort and the credit definitely goes to the federal stimulus money. The federal stimulus package released as a part of the fiscal policy helped stand many financial units that were knocked down. The benefits of this trickled down to the common mass as well. Debt settlement has been one of the biggest benefits to consumers as a result of the stimulus money. If you have over $10k in unsecured debt you can realistically eliminate 50% of this with the help of a trusted debt relief company.  Utilizing credit repair after debt negotiations is an effective way to restore your damaged credit scores.

There are free online debt management classes are also available.  If you are considering debt settlement it would behoove you to use a debt relief network first. Debt relief networks are affiliated with several financial institutions and debt settlement companies and pair consumers up with legitimate debt settlement companies.

Did you know if your debt is more than $10,000, you can get a waiver of 60 % on it, and be able to clear off the debt in 2-3 years only? Taking advantage of the situation there are a lot of fraudulent companies out there who simply want to make money, without any intention to help people settle their debt.

Now you can earn up to $2,500 for just referring a client to Debt Settlement Nationwide. We offer a full suite of debt relief services, including debt settlement, debt management and debt consolidation loans.  In addition, we do all the work, process the debt negotiation application and more importantly compensate you for the referral.

Debt Settlement Nationwide provides debt relief solutions and there are no fees to sign up for these programs and much more.  Sign up now and start earning more income while helping improve the financial state of your clients!

Credit cards are what known as “toxic debts” meaning they are depleting your financial resources and they are tremendous burden on your wallet.  You’re willing to pay potentially several hundreds of thousands of dollars for one purpose to maintain your ability to obtain more debt while keeping your credit score good.  Most people in your situation are trying to get “out” of debt not keep it.

If you are to do a debt loan you will pay on that credit card interest for 20 to 30 years.  That is money you could put into retirement, other investments, pay your home off, etc.

If you were able to successfully settle that debt you could cut the balance down close to 1/2 of what you owe, make the “same” payments you’re making right now, and have it paid off in 2 YEARS – as opposed to 30 years.  Your credit score will dip a bit during the debt settlement but who cares?  You don’t plan on getting new debt – you’re trying to get rid of it.  When you pay everything off your scores should sky rocket.  I’ve been doing 2nd mortgages and have seen credit scores skyrocket very quickly.

Think about how much it’s going to take you to eliminate those credit cards. No matter what route you go, other than debt settlement, it’s going to eat up hundreds of thousands of dollars if you make minimum payments.   Don’t wait until interest rates go higher either, because it may become even more difficult to qualify for credit and you may be forced into bad credit debt consolidation.  You think your payments are high right now?

Interest rates are at an all time low.  When they go up your payments will skyrocket.

Keep it in mind.  This is a business decision that, if you can qualify, may be one of the best financial decisions that you ever made. Think about it and do the math -$25,000 versus potentially $250,000 in interest.  Article written by Jeff Morris

Debt Settlement Nationwide has put together some great lead generation campaigns for debt settlement, bill consolidation and loan modification agreements. If you are currently working in these areas this is the time to jump on some good debt relief leads. We are seeing great closing ratios on all of our debt leads.  The mortgage modification industry is alive and well and continues to pick up stream. The debt relief industry continues to grow steadily. Get these consumers into the right program now!

Debt Settlement Nationwide has debt relief candidates who are beginning to default on the credit card obligations.  This is a great to contact them as they just begin to run late and they still care about their obligations. Wall Street can set the criteria for the amount of debt and length of delinquency. We are finding the most active candidates are the ones who are maxed out the credit cards with a jumbo mortgage loan. These consumers are responding well to alleviating their debt to save their home. We also have been seeing good response from homeowners with large equity lines of credit or second mortgages. The response has been overwhelming at getting rid of the large debt amounts caused by the home equity and second mortgage. Get in touch with these motivated consumers now. We have internet leads, live transfer leads and direct mail marketing programs trageting consumers with high rate credit card debt.  Call Debt Settlement Nationwide today start consolidating tomorrow!

Debt Settlement Nationwide has loss mitigation candidates that are currently 30-60-90 day late on their mortgage. You can select the size of the mortgage and the length of delinquency. We have a lot of independent attorneys that are mailing these lead on their own.  Previously they were stuck in the clay and running in the red on their marketing. After switching into high octane Debt Settlement Nationwide data they are once again achieving phenomenal results. If you are not getting the results you need to be successful? Call Debt Settlement Nationwide and get back on the right track today!!

Credit card debt has exploded, with bankruptcy and debt settlement cases rising continue to rise at alarming rates.  The rate of U.S. credit card defaults showed signs of stabilizing last month, an indication that American consumers may not be in as bad shape as feared despite job losses and the housing slump.  Are credit card companies hiding their losses?

o    BofA credit card charge-offs edge lower

o    Capital One defaults rise, stock falls 1.1 pct

o    JPMorgan, Citigroup, Discover say defaults drop

o    Capital One Defaults rise

Credit card debt continues to calculate negatively for consumers straddled with high rates.  With delinquencies soaring the banks have been forced to cut available credit line for consumers across the country.  Consumer credit fell $10.3 billion in the U.S. in June, or at a 4.92 percent annual rate, to $2.5 trillion. It was the fifth straight month of decline, as banks cut limits on credit cards and some consumers remained wary of borrowing money for big purchases.  Home foreclosures have not slowed down and fears of more job losses have contributed to the credit reduction from banks and lenders

Economics blog Calculated Risk has this chart (it gets bigger each time you click on it) showing that in percentage terms the declines in consumer credit are the worst in at least the past four decades:

Looking at subcategories within the Federal Reserve report, credit-card debt fell $5.04 billion, or 3.8%, to $1.59 trillion — a record 10th straight monthly drop in credit card debt. And non-revolving credit, such as auto loans, fell $5.04 billion, or 3.8%, to $1.59 trillion.  Doesn’t seem consumers are ready to save the economy quite yet.  — Article written by Mathew Padilla

Today …we have a very special guest Edward Thomas from America’s Debt Solutions…He’s the founder of America’s most aggressive firm for removing debt from consumers and he is going to share some of his secrets today.

Find out why debt settlement companies that work with our marketing firm have increased their conversion ratios by 60%!  We offer unique hot live transfers that will connect your sales associates with consumers ready to settle their credit card debts.  Ask about our exclusive debt conference campaign that can be customized to generate leads for your debt relief company. 

Check out the latest conference call from Borris Bryan’s radio show, Debt Secrets Banks Don’t Want You to Know About.  If you are on this conference call right now you have been invited by someone you know…someone who cares about you and paid for this call. 

Debt settlement plans, chapter 7 bankruptcies and loan modifications continue to implode as unemployment rates rise and home equity decreases.  Borrowers are modifying their second mortgages in high volumes as well.  Second mortgage lenders are typically quick to renegotiate terms, because bankruptcy and foreclosures yield huge losses.

A sudden, drastic drop in income last year had Bob and Roxanne Curry fearing they would become another foreclosure statistic.  He works at a brokerage firm and she runs a child care business out of their Queen Creek home. In mid-2008, her weekly income fell from $1,000 to $300 as fewer parents could afford day care.“I was robbing Peter to pay Paul to make ends meet,” Bob Curry said. “I started charging up credit cards and taking money from my 401(k), and then, in November, there was finally no more money to rob Peter from. That’s when we started to get behind on our mortgage.”  

The couple’s loan servicer wasn’t interested in working with them until they were at least two months behind on the home loan. Bob Curry then compiled a 39-page document requesting a loan modification, with advice from Jeff Underwood, vice president for the Central Chapter of the Arizona Association of Mortgage Brokers. Underwood is also with AmeriFirst Financial in Mesa.  “It took two months from the time that we first faxed in the paperwork for it to finally come to a close,” Curry said. “We did all that we could do. We didn’t get into a home we couldn’t afford.”  The couple was able to get their mortgage interest rate cut from 7.45% to 5%, and all late fees and charges were moved to the end of the loan.“Basically we saved about $700 a month,” Curry said. “The mortgage loan is fixed for five years, and so hopefully when that time comes we’ll be able to do what we need to do.”

The Currys are part of a growing trend of distressed homeowners reaching deals with their lenders to get back on track with their mortgage payments and remain in their homes. “We’re seeing more (mortgage) modifications and we’re also seeing for the first time … balance write-downs as part of a modification to avoid any sort of foreclosure,” said Andrew Loubert, vice chairman of the Arizona Foreclosure Prevention Task Force. “What didn’t work six months ago is working today. We are seeing the lenders more proactive in their understanding that the market has substantially dropped and as a result they need to be more flexible with how they handle balances and things like that.”

In April, 270,000 modified mortgages and repayment plans were completed nationally, according to Hope Now, a private sector alliance of mortgage servicers, nonprofit counselors and investors. It was the largest number in any month since Hope Now began compiling data in July 2007. It has not yet released any 2009 figures for Arizona.  In the Valley, President Barack Obama’s Homeowner Affordability and Stability Plan prompted some increase in mortgage loan modifications, Underwood said. “I do think that banks have opened up a little bit to the reality that if we don’t work with these folks, it’s most likely going to go to a foreclosure process and that’s not what the housing market obviously needs,” he said.

The major difference between a Debt Management Program and Debt Settlement Program is that through a debt management option, creditors are being paid monthly whereas in debt settlement options the creditors are no longer being paid until such time as the debtor has built up sufficient funds to allow the debt settlement company to initiate negotiation procedures to reduce the amount of the debt and enact a lump sum settlement.  

Either way, in most cases, settling credit card debt or enrolling in a credit counseling program should eliminate harassing phone calls from bill collectors and collection companies.

Debt settlement can have a significant effect on a debtor’s credit score and rating as a whole, whereas a debt management after a period of time may have a positive effect on a debtor’s credit score, but may still be damaging to the debtor’s credit worthiness.  The good news is that credit can be repaired and credit repair solutions are affordable.  Take your time, when considering debt negotiations or any type of credit counseling.

Bad credit mortgage options remained non-existent for struggling homeowners seeking home refinancing with fixed rates and reduced monthly payments.  Millions of homeowners have been turned down by mortgage lenders across the country, because of low credit scores, delinquent mortgages, negative equity or employment instability.  Some homeowners may qualify for loan modification plans if they happen to have their mortgage collateralized by Fannie Mae and Freddie Mac.  However, only conforming home mortgages qualify for the federal mortgage modification program.  Jumbo mortgage loans do not qualify for the FHA mortgage, FDIC or federal foreclosure prevention plan, even if the homeowner resides in a high cost area like California, New York, Virginia or New Jersey. 

Today the Minnesota-based credit score developer FICO released the results of a study measuring the breadth of credit card limit reductions as well as the subsequent impact to consumer’s FICO credit scores. The study is the first of its kind since credit card issuers began to heavily ramp up their credit limit reduction activity in early 2008. Here are some highlights of the FICO study: 16% of the U.S population had their overall available revolving credit reduced between April and October of 2008. With credit bureau databases holding 200+ million consumer credit files, this would seem to indicate that at least 32 million cardholders lost some of their credit limits during the study timeframe of April 2008 through October 2008.

11% of the U.S. population, or 22 million consumers, lost some of their credit limits for a reason other than risky credit activity such as making payments late, having accounts go to collections, or having a negative public record added to their credit report during the study time frame. Credit card inactivity or low balances likely caused the lowered credit limits for this group. The median FICO score in this group is 770, so the adverse changes to their credit limits are not a result of poor credit risk.

A recent Fair Isaac report indicated that 10 million consumers acknowledged that their credit limits were reduced by a credit card company or home equity lender.  The financial companies that hold the debt on these credit cards claim that the maximum revolving debt for these accounts changes “because of some sort of risky credit activity including late payments, accounts in collections, or a negative public record added on their credit reports.”  However thousands of consumers with good credit scores ( borrowers with no late payments and no increased risks) reported to have their credit lines cut or significantly reduced without any changes in the credit profile.  Many of these consumers also claim that the reduction in credit limits caused their credit scores to drop on average of 40 points. 

Suze Orman was wondering if you have you ever wondered why people continue to use credit cards even after letting them bury you in high rate interest? In this video Suze seems to be backing CCC (consumer credit counseling over debt settlement because the debt negotiation firms usually trash their credit. First of all Suze, as an experienced mortgage broker I have seen hundrerds of borrowers with credit that was significatntly impaired from consumer credit counseling, because with their programs the consumer stardts paying the creditors less than agreed.  Their credit rport starts reflecting that each month and it lasts a heck of a lot longer than debt setttlement. Second of all, the consumers that incurred the debt should have some responsibilty with regrads to their credit scores being trashed…

To your surprise, you actually need to have a credit card these days. But you do want credit card debt. Suze Orman explains the benefits of credit cards, but warns about carrying adjustable rate debt from these credit cards.

Is Debt Consolidation a SCAM?

If you really want to work with an company, look for one who can help you reduce your debt.  Consider, Debt Settlement, Consumer Credit Counseling or an Unsecured Bill Consolidation Loan or a Secured Home Equity Loan.

Serious “bottle necks” are being reported where properties are significantly delinquent, meaning loan payments are over 90 days past due. Potentially, this could make the foreclosure inventory explode, according to the data. About 6.3% of mortgage loans were seriously delinquent during the fourth quarter, compared with 3.62% during the same period a year earlier. The administration aims to help up to 9 million homeowners either refinance mortgages or attain a loan modification that keeps them out of foreclosure. 

The states that took the biggest losses continue to be California, Florida and Nevada, but Louisiana, New York and Georgia have also seen sharp increases in delinquencies, indicating that the recession is spreading, the group said.  On a related note, the House voted for legislation that enables bankruptcy judges to modify and restructure the home loans of distressed borrowers seeking mortgage relief for their owner-occupied property. The See the complete article > Obama Team Announces Loan Modification and Housing Relief Plan

The increase in debt settlement and home loan delinquencies and foreclosure actions in the state came as no surprise to Joe Cox, a community organizer for housing advocate group Maryland ACORN.  “Mortgage service companies and home loan lenders have been avoiding meaningful loan modification at every step of the way,” Cox said yesterday.

Chris Traczyk, a real estate agent with Long & Foster in Elkridge, said most of the listings he has been showing to new home buyers recently have been foreclosed properties.  With several of his clients, “that’s all they’re requesting to see because they’re thinking they’ll get a great deal,” despite knowing the house must be bought in as-is condition, and the bank must approve the price.  But the competition from home foreclosures makes it tough for sellers of other homes, who often have to settle for reducing their sales prices, Traczyk said.

Banks have said they are taking steps such as Citigroup’s plan, announced earlier this week, to lower mortgage payments for some borrowers to an average $500 a month for three months if they lost their job. But ACORN contends banks are just offering short-term solutions, such as tacking a missed loan payment to the end of the mortgage balance, that do little to help borrowers.  Many homeowners come to ACORN fearing they will become late on payments but say their lending company will not consider a mortgage modification unless their payments become delinquent, Cox said. The group says it wants to see mortgage loan modification programs offered more with terms like lowering the mortgage rate or reducing the monthly payments simply by extending the amortization schedule of the mortgage.  “The message people are getting is ‘Don’t try to work this out ahead of time. Wait until you have a problem,’” Cox said.   Sun reporter Jamie Smith Hopkins and the Los Angeles Times contributed to this article

Debt Leads -- & Types of Debt Settlement Leads You Should Consider for More Business

Debt Lead buyers can choose from real-time internet leads or live transfer leads that connect consumers directly with a debt advisor or broker. Visit  the Mortgage Lead Planet for debt consolidation leads online and read some of the debt settlement and mortgage refinance articles at the the Blog for Mortgage Leads and more lead generation.

Listen to Lead Planet Founder, Bryan Dornan as he discusses the opportunity for sales people to make money helping consumers eliminate their revolving debts.

This morning on the radio, I heard an ad that asked listeners if they knew they had a right to settle with credit card companies for a fraction of what they owed. Unfortunately, that’s not really how it works. No one has a “right” to settle with credit card companies for a fraction of what they owe. Anyone has a right to ask, sure, but the credit card company also has a right to say no.

In fact, debt settlement companies aren’t always as good a deal as they seem. While they can help negotiate with credit card companies for lower settlements, they also charge hefty fees, usually over 10% of the total balance owed. Settling a debt in other words, paying just a fraction of it also hurts consumers’ credit scores. Consumers also find themselves liable for taxes on the debts that were forgiven.

The National Foundation for Credit Counseling recently warned about the slew of advertisements taking over the airwaves promoting debt settlement. “The reality may be very different from the rosy picture painted by the commercials,” says the NFCC’s Gail Cunningham. She also warns that the debt settlement industry is largely unregulated, which can make it hard for consumers to select an experienced company.  See the original article >

Foreclosures are spreading by epidemic proportions, expanding beyond a handful of problem states and now affecting almost 1 in every 8 American homeowners. It’s an economic role-reversal: The economy, driven down by the collapse of the housing bubble, is causing the housing crisis to spread.  A mortgage report released yesterday indicated that nearly 12% of all Americans with a mortgage a record 5.4 million homeowners were at least one month late or in foreclosure at the end of last year. That number rose higher from 10% at the end of the 3^rd quarter, and up from 8% at the end of 2007. In addition, the numbers now include many once-qualified borrowers who took out fixed-rate home mortgages.

Data from the MBA also indicated that a stunning 48% of homeowners who have subprime, adjustable rate mortgage loans are behind on their payments or in foreclosure. The predatory lending and reckless mortgage brokering practices in states like Florida, California and Nevada that were posting the highest rates of foreclosure, are no longer driving up the country’s home loan delinquency rate.  That trend highlights one of the biggest challenges confronting the Obama administration’s mortgage relief plan launched this week. While the $75 billion plan could help change the loan terms or refinance up to 9 million homeowners, unemployed borrowers will have a hard time qualifying.

Unemployment for people with college degrees, some college education or technical training those most likely to own homes and have prime fixed rate home loans has nearly doubled over the past six months, according to the bankers association. To give debt-riddled homeowners a little more leverage to negotiate with their mortgage lenders, the House on Thursday was expected to pass legislation to change bankruptcy laws, so courts would have the power to reduce mortgage payments.  Credit card debt has been rising at a shocking rate as well, but not credit card companies are lowering credit lines and now many borrowers are unable to pay their mortgage with their credit cards.  Home equity loans and second mortgages are no longer available, so borrowers find themselves in a financial pinch. The legislation would give bankruptcy judges who now can modify loans for cars and student loans but not for primary residences new authority to reduce the interest rate and principle on a mortgage loan.  The Senate is expected to take up the measure in a couple of weeks.

The only bright spot in the foreclosure report was that the devastation wrought by subprime ARMs is waning. Their thirty-day delinquency rate continues to fall and is at the lowest point since the first quarter of 2007. Most of those types of mortgage loans have made their way through the system as lenders stopped originating them in the first half of 2007. That offers little comfort to Florida, where 60% of homeowners who have a subprime ARM are at least one payment behind and 20% of all mortgage holders are not current on their loans. And while the worst is not over for Florida, the financing set-backs appear to be just beginning in once robust real estate markets like San Diego, Houston, Las Vegas and New York.  Good credit homeowners are beginning to default at an alarming rate. 

As bad as things have been for U.S. banks over the past year, things could actually be taking a turn for the worse. The Chairman of the Federal Reserve, Ben Bernanke, said Tuesday during a speech at the London School of Economics that the stimulus package now being planned by the Obama administration will not be enough by itself to turn the economy around and that “more capital injections and guarantees may become necessary to ensure stability and the normalization of credit markets.”

It looks like Bernanke has made an economic policy break from the new administration, because he appears to be warning Mr. Obama and Congressional Democrats that most of the remaining $350 billion, or possibly even more, has to go to shoring up banks if they are to resume lending at normal levels.

Here’s the problem; Congress already feels it got “burned” when out-going Treasury Secretary Hank Paulson changed the focus of the TARP from purchasing troubled assets to a recapitalization program. It isn’t likely the Congress will be willing to release the second half of the $700 billion without assurances from the new administration that a large portion of the proceeds will be used to directly support homeowners.

Indeed, according to the New York Times, “Mr. Obama and his economic team have assured Congress that they would use a sizable chunk of the new money from the Troubled Asset Relief Program to help distressed homeowners refinance mortgages and escape foreclosure, “ and that Lawrence Summers, who will head the new administration’s National Economic Council, actually “assured Democratic lawmakers in writing on Monday that the administration would use some of the money to help reduce foreclosures.”

It appears as if Nouriel Roubini’s prediction that credit losses will approach the $2 trillion level is becoming more and more likely. Rising numbers of job losses, which have accelerated sharply in the fourth quarter, show no signs of abating heading into 2009. Together with the expected wave of business failures this year, additional losses in the $500 billion to $700 billion range on bad loans and credit provisions can be expected.

Most agree the TARP was successful in one aspect: the banking system has been stabilized and the risk of systemic failure has been averted. But as more consumers default on mortgages, credit cards and auto loans while business loans, commercial real estate mortgages and leveraged private equity deals go sour, it will become more and more likely to see additional pressures mount on all the big banks.

Acknowledging how unhappy congress is with the way the first part of the TARP money was spent, Mr. Bernanke said he could see why lawmakers would be “understandably concerned” that banks were receiving money when troubled homeowners and other businesses were not. But he justified further cash injections into the banks, saying “this disparate treatment, unappealing as it is, appears unavoidable. Our economic system is critically dependent on the free flow of credit.”

The implied message from Mr. Bernanke is very clear; the banks will be under increasing pressures in 2009 from further loan losses and increased credit provisions, which directly affects their tier 1 ratios. The financial system will become threatened once again as losses mount. Without either further capital injections or a plan to take these troubled assets off bank balance sheets, credit will not return to normal and the economy will continue to decline. A fiscal stimulus by itself will not be enough to return the economy to normal.  Read the original article.

In light of the credit crunch and the wave of foreclosures that have swept the country, buying a house after bankruptcy has become a lot more difficult. In most cases, mortgage lenders  not offer a home loan for someone who has filed bankruptcy in the last two years. Getting a home loan after that will largely depend on the size of the down payment you can make and whether your income is verifiable. That being said, even then the mortgage loan you will qualify for will likely have high mortgage rates and monthly payment. This being the case, maintaining on time payments and perfect credit history after bankruptcy is extremely important. Even the slightest sign of consistently delinquent payments, overuse of credit, or having too much debt and your eligibility for a mortgage loan will be thrown into question. Unfortunately, the subprime mortgage crisis has made life after bankruptcy even more difficult.

If you have already filed, there is no reason to dwell on the credit impact. Instead, you should start focusing on the ways that you can start improving it. Despite what you may have heard, removing a bankruptcy from your credit is unlikely (unless of course you filed Chapter 7 more than 10 years ago and it should be off your credit report anyway). Bankruptcy is intended to give you a fresh start, but from a credit standpoint, it will take time for you to rebound.

Here are a few tips to improve your credit score after filing for bankruptcy: First, always make on time payments to your creditors. Getting the credit in order to do this may be more difficult; however, getting secured credit cards or gas cards are easy ways to get credit again after declaring. Second, don’t max out your credit lines. This is a simple way for potential mortgage lenders to see if you have a problem abusing credit—if you are using the full line it is a huge warning sign that you may be a big spender. Third, don’t apply for too much credit. In the same light as the above, applying for several credit cards or loans at once is a warning sign you may be abusing your credit.  Read the original article >

I saw some credit related news this morning that was SO shocking that I felt I should share. On Good Morning America there was a segment about a man named Kevin Johnson. His father worked in the credit card industry, so Kevin is a very financially savvy guy because his dad taught him to manage his credit wisely. He pays his bills on time EVERY month and keeps his balances down. He is a homeowner and does everything that a consumer should do to keep his/her FICO credit scores up – keeping his debt to income ratio down, paying his bills on time and applying for credit only when he needs it. He got the opportunity to apply for an American Express Blue card and was approved. He had a credit line of $10,000, but was shocked to find that his credit line was recently slashed to $3,800 (probably what he owed them). The reason for this: WHERE he used the card.

When American Express slashed his credit line, they gave him the lame reason that he used his card somewhere where it has been observed that other people who have problems paying their bills have used theirs. Thus, they claimed he now is a risk of not paying his bills. They are engaging in behavioral analysis now. Apparently, now WHERE you shop and use your credit card can affect how much of a risk your creditor thinks you are. Because this has happened to someone with a stellar credit score, Good Morning America took it to House Speaker Nancy Pelosi because American Express received TARP funds. American Express was contacted for a comment, and they said they were trying to “balance servicing their card members while monitoring risk.” This is a company that took taxpayer money because they can’t manage their debt, but instead of using it to be able to lend to consumers, they, like other TARP recipients, are hoarding the money and coming up with MORE reasons to slash credit lines and NOT lend to consumers.

The credit card companies have been able to run carte blanche on consumers, slashing their credit lines for the lamest reasons. Mine have been repeatedly slashed because my creditors claim I have “seriously delinquent accounts”. These “seriously delinquent accounts” to which they are referring are ones that are 4.5 years old or older. Three of them are due to fall off my credit reports THIS YEAR due to age. I have one that drops off in May of this year, one in July and one in November. But, yet, the creditors are allowed to continue to punish me for these past financial problems that were actually a result of identity theft. Credit card companies REALLY need to be monitored, and now they are on the radar screen. Now, that it has happened to someone who is high-profile enough to have drawn attention, it will be interesting to see if these practices stop.  The Debt Settlement Nationwide Blog, recently posted some similar comments.

The key to all of this is that creditors have been doing behavioral analysis, which apparently affects people’s credit scores, without telling their customers. Kevin Johnson has created a website called “New Credit Rules” as a result of this.

Kevin Johnson apparently created a blog as a result of what happened to him. Here’s where the debt story came from:

I also checked and found out that MARKET CONDITIONS are among the ways creditors determine lending risks. So, with the market being in bad shape, consumers are taking it up the rear. Consumers are now also being punished for high balances and past financial mistakes, even if those mistakes are several years old or, in my case, the result of identity theft. Banks are getting away with writing their own rules on how they assess credit risk.

In the criminal justice system, a person cannot be punished twice for the same crime. It’s called “double jeopardy”. But, banks are allowed to continue to punish consumers again and again. Plus, they can also continue punishing for high balances that resulted from another creditor cutting credit lines down to what the balance is on a consumer’s credit card. Thus, the endless loop of having credit lines slashed and interest rates and fees jacked up to phenomenal rates on not just new purchases but also old balances continues. This makes it even more impossible for people to pay off their balances. I’m a good example of that because on one of my credit cards I quite literally pay more than twice the minimum payment each month, but my balance never goes down. My minimum payment on the card in question is $84. I pay $200 each month, but it doesn’t bring my balance down. Maybe this would somehow make a great article with a headline something like this: Banks Go Carte Blanche on the Taxpayer’s Dime

And, the article can go into some of the new ways banks scalp consumers and force them to pay for the bank’s mismanagement of their bottom line. Let me know what you think. – Maria Ny

Bloomberg recently examined trends with consumer debt and savings. Many people believe that bankruptcy is a four letter word, but if you’re drowning in debt, it may offer you the chance you need to regain your financial footing.  Larn exactly what bankruptcy is and how it affects your life. 

Our debt relief specialist will review your finances and then quickly provide you with solutions that will reduce your monthly payments and increase your cash flow.  Credit card debt settlement services may provide you with a solution that gets you out of debt quickly without needing to file for a bankruptcy. 

Debtors who find themselves in serious financial trouble may have or will soon have several liens placed on them. A lien is a recorded document that states that the Debtor owes the creditor a certain amount of money. Once recorded, the lien will attach to any real property owned by the debtor in the County it was recorded. By recording this obligation, the creditor reserves the right to collect their money if the Debtors ever sells the property before the debtor gets the money. This lien is very similar to a First Deed of Trust or Second Deed of Trust that a standard mortgage lender might file before they lend additional funds.  Many borrowers with combination mortgages are making efforts to negotiate a loan modification agreement on the 1^st mortgage while attempting to settle the 2^nd mortgage.  Second mortgage settlements are being reported from lenders holding notes on properties that have declined so significantly that the lender is willing to settle on the 2^nd mortgage for a small percentage of the outstanding balance.  The mortgage lenders have decided that in these cases nobody wins with a foreclosure or bankruptcy.  Debt settlement and forgiveness remains a separate issue when attempting negotiate credit card debts for less than agreed.

The creation of a lien is a very powerful tool for the creditors. Specifically, this lien may survive the Debtor’s bankruptcy. This means that the Debtor may discharge the debt during bankruptcy but if the Debtor ever sells property, the lien will still be paid because it is attached to the property and not to the debtor.

It may be even possible, under the right conditions, that a second mortgage can be stripped from the property.  Read the original article> http://www.californiabankruptcylawyerblog.com/2009/01/san_jose_attorney_talks_about.html

In a recent article, real estate marketing guru, Jason Cardiff shared some helpful home refinancing tips that I had never seen published before.  Cardiff suggests taking out a note-pad and writing down the three most important goals the homeowner is seeking from the mortgage refinance loan. 

o    Reduced Home Loan Payment

o    Increased Cash Flow from Savings

o    Money for Consolidating Credit Card Debt

o    Refinance ARM into a Fixed Rate Loan

Rarely do homeowners list things like, stretching the length of the loan term or increase your mortgage debt with an increased mortgage balance, but often that’s exactly what some of these borrowers end up accomplishing. Remember to hold true to whatever goals you listed on paper.  Make sure the lender and is aware of your home refinancing goals and hold them accountable for delivering the loan terms that were quoted in the loan disclosures and “good faith estimate.”

Use mortgage refinancing as an opportunity to save money by locking in lower interest rates that are fixed for the duration of the loan term.  In most cases you should increase your cash flow simply by reducing the monthly mortgage payments.  If you have the option to consolidate credit card debt or adjustable rate credit lines into your mortgage without the “cash-out” feature raising the interest rate, take it.   Heed the advice from Jason Cardiff Tips and compare loan offers from various lenders because rates and lending costs vary significantly. 

If a lending company denies your loan application, consider a loan modification.  Foreclosure prevention services have turned into a billion dollar business. You can either contact from your existing lender directly or attempt to negotiate a loan workout yourself or locate a loan modification company that will negotiate with the lender on your behalf.  Read the complete article > Tips for Mortgage Refinancing.

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If you are drowning in credit card debt and have been turned down for a debt consolidation loan because you have too much debt, you are not alone.  The only people who qualify for unsecure debt consolidation loans or a home equity loan are people who do not need to borrow money.  Applying for a bill consolidation loan can be exhausting; especially if you have no other options other not paying your minimum payments.  Clearly that would lower your credit score significantly, at least in the short term. 

Are you dreading your credit card statements? Did this year’s holiday cheer come at a high price? For many people who struggle every day to make ends meet, Christmas is often paid for with credit. What’s more, those same people may already have other credit cards that are just as maxed out. Does this mean they are irresponsible? No, this just means that they are not able to make enough to even afford the basic’s, and are forced to use credit to survive. What we all need in these times is help with our debt, or better yet has our debt settled so that we can move on with our lives. Our online debt settlement program can do just that for you.

Many finance evaluators predict that the next crisis will surely be credit card defaults by the millions of unemployed. Further exacerbating the crisis and leading us closer to another Great Depression.  If you carry a balance on one or more credit cards, you’re not alone.

Perhaps you are new to credit cards and you had a really good job when you applied for all of them. Like many new card holders, the excitement of the time means lots of spending because many are just starting out on their own. This can mean the need for furniture, appliances, a really good stereo system and more. However, life does not always stay on the same path. Although you have always been good about making payments, what if you lost your great job? How do you cover thousands of dollars worth of debt? We can help you. With our online debt settlement program, we can cut your credit card debt up to 50%.

What happens with credit card debt is that people most often begin by paying the minimum payment each month. What this does is cost you more money in the end as interest is always accruing. To make matters worse, often when we find ourselves in such high debt to our credit cards, there have already been late and missed payments. Because of this, on top of high interest rates, you end up paying incredible amounts in late and over-due fees. You would be surprised at how often over time that these fees can over take the amount you actually spent! Don’t let this happen to you, check out our online debt settlement option today.  Read the complete article > Debt Got You Down?

The compounding interest of credit card debt has become an epidemic in America with millions of consumers facing bankruptcy in these difficult economic times.  Many unsecured customers are making efforts to settle their credit card debt with new debt settlement plans that most finance companies are agreeing to through debt negotiations.  Some of these people are waking up to the New Year not looking forward to the arrival of their revolving credit card bills and panicking about how they are going to resolve their outstanding debt.

Far too many consumers here in the USA are being financially hurt by this horrific economic downfall we are experiencing. The recession has left large numbers of Americans in credit card debt and with pretty much no means to actually payback on the debt. Good thing for these Americans is that there are a few systems of credit card debt relief that can really aide people throughout such rough economic times.

One option that has been around for years helping consumers is the consumer credit counseling program. This system will allow people to get the interest rates reduced on their accounts and allow them to budget just one monthly consolidated payment to a credit counseling agency in which they distribute to the credit card companies on your behalf. A beneficial point to this debt relief program is that you will be put on a fixed payment allowing you to escape the trap of adjustable rate debt  more rapidly than you would otherwise with monthly minimum payments at high rate interest. Read the complete article > Escape Debt And Live A Better Life

According to an article in the New York Times, in exchange for a hit to their credit score, borrowers may be able to negotiate significant discounts on their outstanding balances with increasingly desperate card companies: After helping to foster the explosive growth of consumer debt in recent years, credit card companies are realizing that some hard-pressed Americans will not be able to pay their bills as the economy deteriorates.

So lenders and their collectors are rushing to round up what money they can before things get worse, even if that means forgiving part of some borrowers’ debts.  Every major credit card lender is giving its collection agents more leeway to make adjustments for consumers in financial distress…

Debt collectors, who are typically paid based on the amount of money they recover, report that the number of troubled borrowers getting payment extensions has at least doubled in the last six months. In other cases, borrowers who appear to be pushed to the brink are being offered deals that forgive 20 to 70 % of credit card debt…

Just as mortgage lenders competed for years to be the first card to be taken out of the wallet, they are now competing to be the first ones paid back.  Credit card industry data indicate the average debt discharged in Chapter 7 bankruptcy has nearly tripled since 2004. And in Chapter 13 bankruptcies, secured lenders like auto finance companies routinely elbow out unsecured lenders like card companies, trends that have contributed to the card lenders’ willingness to settle.

If you are presently delinquent on your credit card balances, now may be a good time to pay down that debt.  Card companies will offer loan modifications only to people who meet certain criteria. Most customers must be delinquent for 90 days or longer. Other considerations include the borrower’s income, existing bank relationships and a credit record that suggests missing a payment is an exception rather than the rule. Read complete debt article>