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Understanding Judgments: When The Court Has To Decide

May 25

Posted by admin in Credit, Debt Relief

Over the next several articles I\’ll be covering judgments and how they affect your credit and your ability to obtain a home mortgage loan. What is a judgment? What is a default judgment? To answer these questions we have to start with how two parties get to this point.

When two parties disagree on a debt, the creditor goes through the court system and files a complaint. This complaint is the notice to the court there is a disagreement. The complaint includes the reason for the creditor\’s actions to seek court adjudication (award them the money). At this point the entire scenario has become a lawsuit.

Now comes the awful part of this whole mess. Here comes the sheriff\’s car up the street, or worse yet some seedy looking character right out of a bad detective novel. These people are trying to serve you a summons. They don\’t care if they serve it to you at home or work. Do not try to hide as it will only do more harm. There can be a brigh side as now is your chance to go to the courts and tell your side of the story.

What has happened to bring on this summons? The court examined the documents and proceeded to order a process server to give you a copy of the lawsuit. Because most of us are deathly afraid of what is in the lawsuit, we don\’t want to read it. Remember how we got to this point? We failed to respond to all those nasty phone calls and letters. If we had embarked on an aggressive \”debt negotiation\” from the beginning we most likely would have never reached the judgment stage.

In my next article I\’ll go over what to do now the papers have been served.

Chuck Lunsford is the owner and developer of EasyFloridaHomeLoans.com He offers advice on how to get your credit in order and working for you. Visit his website and learn more about how to obtain a florida home loan with bad or no credit.

Writen By : Chuck Lunsford

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Understanding Judgments: What To Do Now You\’ve Been Served A Summons To Appear

May 25

Posted by admin in Credit, Debt Relief

Let\’s assume the Sheriff or that seedy character has caught up with you and now you have this formidable stack of legal papers in front of you. What are you going to do now? Who do you call? You\’re only human and probably too embarrassed to talk to anyone so you put the stack of papers on the dresser and forget about them. That is a big no-no. Why is this? When you finally read the stack of papers you need to take note of the very first sentences. Here the court is informing you and the person suing you there is a pre-trial conference scheduleded.

This simply means there is no trial date set yet. There is a way for the court to bring both parties together to try and negotiate a settlement. Now isn\’t that strange? Here I am trying to teach you how to negotiate your debts and here\’s the court system ORDERING both parties to try and negotiate the debt. My, isn\’t this ironic in that you have waitied for the legal system to order you to do that which I am trying to teach you.

I will say this one time. It is very important to understand that you finally have an opportunity to talk to someone about your past debt, whether or not you owe the amount being sued for or not. Remember when the moron called you on the phone, berating you for not paying your debts? You were very honest and wanted to talk to someone about how much you owed and whether or not you could make a payment arrangement. But you got stuck with the village idiot who wasn\’t in the least interested in your plight. This why I don\’t want you to talk on the phone with, or heaven forbid, call a bill collector.

If you do not have any money to pay the bill, you can always negotiate a settlement. Be prepared. Bring a copy of your paycheck, car payment, rent payment, phone bill and all other bills. the meidator will figure out how much you can afford to pay on a bill and in most cases the suing party will accept the mediator\’s award. If you are not prepared, how can anyone determine your ability to pay?

REMEMBER THIS! If you do not how up to mediation you will automatically lose. The judge will not have even seen the case. Just because you failed to show up the opposing party automatically gets awarded whatever they asked for. Whether or not you owed anything, they will get it. So is it worth it to show up and defend yourself? Absolutely. Even if you do not have any money, the courts will always work out something that is fair.

In my next article we\’ll finish up mediation settlements and move on to the actual court appearance.

Chuck Lunsford is the owner and developer of EasyFloridaHomeLoans.com He offers advice on how to get your credit in order and working for you. Visit his website and learn more about how to obtain a florida mortgage lender with bad or no credit.

Writen By : Chuck Lunsford

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Understanding Judgments: Finally You Have Your Day In Court

May 25

Posted by admin in Credit, Debt Relief

In this final article on judgments we\’ll assume you showed up for mediation but no settlement was reached. The system works this way. On the day of your court appearance, you most probably will be asked to report to the Small Claims Court at 8:30 AM.

Now when you\’re in the courtroom and you see the judge walk in you might think he has jurisdiction. Ths is not the case. The judge only has jurisdiction over the \”contents of the case\”. When any important document in the case is missing, then the judge does NOT have jurisdiction. This is a very important point to remember. The important things to know is that fo a case to have all the requirements for jurisdiction the following are required:

1. Complaint

2. Proof of Service (you must have been served with the summons)

3. Affidavit from the person that approved your original loan or contract or their personal appearance in court

4. Certified copy of your original contract evidencing your signature contracting for goods or services.

If any of these documents are lacking then a judgment can be voided in its entirety. Many times when a default judgment is awarded, the attorney is basically lazy and hopes the opposing party won\’t show up in court.

Remember, when you do enter into a mediation agreement, this does not enter into your credit files. You and the opposing party have simply agreed to settle your differences. The mediator will write a letter to the court advising the court of his decision. This mediation agreement MUST be followed up. You MUST do what you promised. If you fail to follow the directives of the mediation agreement, the entire judgment now reappears and you are now the loser. So there is both pro and con to agreeing to mediation. REMEMBER. Do not hit yourself in the thumb making this decision. If you want to clean up your credit to the point where you qualify for a home mortgage loan in Florida, South Carolina, or Alaska you have to follow up.

Chuck Lunsford is the owner and developer of EasyFloridaHomeLoans.com He offers advice on how to get your credit in order and working for you. Visit his website and learn more about how to obtain a florida mortgage loan with bad or no credit.

Writen By : Chuck Lunsford

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Can Bankruptcy Really Bring Some Ease To Your Debt Problems?

May 25

Posted by admin in Debt Relief

Every year, more than a million people file for personal bankruptcy to save them selves from drowning in debt. However, filing for bankruptcy is not a simple task. To file for bankruptcy, a debtor must first file a petition with a federal bankruptcy court.
The court appoints a trustee, who oversees your case with your creditors and allows an \”automatic stay\” order, which holds them back from seizing your bank accounts, repossessing your vehicle or house.

Types of Bankruptcy

There are two types of bankruptcy that one can file for:

1) Chapter Seven or \”straight\” bankruptcy.

2) Chapter Thirteen, or \”wage-earner\” bankruptcy.

Each one operates in a different way:

Chapter 7: Liquidation

An individual or business can request the court to eliminate their debts. After filling details of your property, income, and basic monthly expenses, you attend a hearing with your trustee. This meeting will decide which non-exempt property should be sold to arrange for the proceeds which will go towards paying off creditors. Depending upon the State you belong to, some property will be partially exempted (equity of your home, life insurance, retirement plan assets and most furniture and household goods).

Chapter 7 bankruptcy takes six months and costs $175 which can be waived for people on public assistance or below poverty level. If already applied for in the last six years, or if someone co-signed a loan for you, or if you landed a luxury debt after filing, you?re not eligible to apply again. If the court feels that you are capable of repaying your debt in the next five years, they could recommend your case for Chapter 13 instead.

Chapter 13

A steady high enough income to cover monthly expenses and due, is a prerequisite to qualify and then a repayment plan will be fixed to payoff debts over the next five years. The filing fee is $160. Payments are made to your trustee, who pays your creditors. Secured debts (home and car loans) must be under $750,000. If your unsecured debts (credit cards, department store cards, medical bills, student loans) are under $250,000 you can keep your property under certain circumstances.

The Right Decision

Bankruptcy can have a damaging effect in the long run. The effects can remain on your credit report for as long as 10 years, even if you don\’t go through with the process. You will see the effects when applying for a high salaried job, or insurance above a certain figure. A bankruptcy on your credit report tells everyone you?re incapable of good financial management.

As an alternative to bankruptcy you can negotiate with creditors or seek help from debt-management counselors. Many non-profit organizations offer guidance and information for free. Always seek help before filing for bankruptcy. And always make yourself this question: Will filing for bankruptcy solve your problems?

Sarah Dinkins is an Expert Loan Consultant at http://www.badcreditfinancialexperts.com where she helps people to repair their credit and to get approved for home loans, unsecured personal loans, student loans, consolidation loans, car loans and other types of loans and financial products.
Also at her website, plenty of useful articles can be found with more professional advice on the financial field.

Writen By : Sarah Dinkins

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10 Debt Elimination Program Secrets You Ought To Know

May 25

Posted by admin in Debt Relief

When it comes it debt elimination programs, many people have been having problems in getting the right ones which would suit their needs. In reality there are few questions and homework which you need to do in order for you to best evaluate these debt elimination programs.

First thing first, the biggest question has got to be with you. Just ask yourself, what kind of debt are you currently dealing with? Are you dealing with mortgage debts or credit card related debt elimination?

Since each debt elimination program might differ from one another, answering the above question might prove to be vital in your quest to get the right debt elimination services or companies.

Once done, you can execute the next step, which is, reducing your debt interest rates as much as possible. You can simple reduce your interest rate debts by refinancing your home equity or with a personal loan.

Doing this will definitely close out high interest rate on your mortgage debt as well as improving your credit card consolidations

Most of the debt management companies which are offering these services will often reduce the debt interest rates on your unsecured loans. More often than not, these debt management service providers will also have the potential of setting a limit for you to open additional accounts for a year or more.

You can also take on a drastic approach in your debt elimination program by consolidating all your debts into a long term loan. You see, by doing this you?ll be extending the length of your debt payment, thus lowering your monthly debt installment payment. However, the side effect is that you will need to pay more interest rates during the course of the loan.

Another option to your debt elimination program is to engage a debt negotiation service, which will mainly work with your creditors to eliminate your debts. Since not many creditors will agree to reduce your debts, but you?d be surprise where some creditors will reduce your accounts by at least 10% or more.

It?s not always late for you to engage on a professional company to help manage your account. Most people will say that debt elimination company will help you get out of unsecured debt in less than 5 years or so.

To help pay off your debt sooner and save on interest, consider consolidating your loans so your payments are automated.

Last but not least, spend your time wisely in getting the right debt elimination program. Always ask for more information on the services offered before signing on the contract. Doing this will give you more viable option in accessing the market rate for these debt elimination programs.

Many people failed to realize that they can reorganize their debts to the maximum
advantage. On his website at http://www.mydebtelimination.info,
Paul Moss shares his insights on debt
elimination strategies as well as information on credit
card debt elimination.

Writen By : Paul Moss

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Getting Rid Of Your Debt Through Self Help Debt Reduction

May 25

Posted by admin in Credit, Debt Relief

A number of marketing and financial companies offer debt reduction help. They highlight the required expertise to solve your debt issues. With all the debt reduction services around, the fact is that you are the best person to tackle your debt problems. Self-help debt reduction is the best alternative you can ever have to control and eradicate your debt.

A majority of individuals prefer to file a bankruptcy and get rid of debt easily. Yes, that is a short-term solution, which can hamper your long-term financial goals and credit rating. Try to avoid a bankruptcy at all costs and prefer debt consolidation instead. According to a recent survey conducted, people tend to take loans even if they have an existing debt to be paid off.

This is because most loans are available without much effort; but your nightmare begins when you are required to make the payments and then starts the process of delay and defaults. This could lead to a low credit score and facing botheration of embarrassing collection calls. Therefore, it is suggested to avoid getting into any further debt until the time the existing loan or debt has been cleared.

You can adopt any of the debt reduction strategies available as per your convenience. Make a list of the guidelines you need to follow and then stick to these guidelines. If a particular item is not required and you are purchasing just for the sake of it, think twice. It is important to involve close friends or family members while undergoing a self-debt negotiation.

Your nature should be more optimistic with focus on a debt free living. If that becomes your foremost goal then the day is not far when you will experience freedom from debt. A second opinion from an expert might pave the way for a new solution, which you might not be able to derive if the problem is not discussed. If the consultation with a professional is not desirable then involve friends and peers who may be a potential resource for vital solutions involving new agreements.

Some creditors strictly impose hefty fines once there is a breach of agreement from your side. To avoid this, be open to discussions so that neither of the parties suffers. Cut short your unnecessary expenses so that you aim at getting rid of your debts. Debt consolidation can be a preferred solution if the agreement is favorable for your circumstances. If you are reframing the original agreement with your creditor then clearly specify all the points to avoid any sort of misunderstandings later on.

Some companies offer free consulation to help you do self help debt reduction. Check out how you can make a plan for debt
management solution to reduce your debt. You can also search for reputable debt reduction agencies easily from here.

Writen By : Al Falaq Arsendatama

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How To Improve Credit Score The Easy Way

May 24

Posted by admin in Debt Relief

With the plethora of consumers in debt these days, many are scrambling to find easy, quick ways how to improve credit score. Credit scores are very important in building a strong credit history that will vouch for you when you want to purchase a house, get a job, or rent a car just to name a few. If you want to clean up your credit score, it?s important to adhere to the following tips to get your credit score back on track. Remember, having credit is a responsibility that you will pay back the money you?ve charged, and if you don?t you can find yourself in serious debt.

First and foremost, it?s important to annually review your credit reports from each of the three major reporting agencies. This will allow you to catch and correct any mistakes you find regarding your credit score. It?s very important that you do this early, especially if you?re planning on applying for a loan because changes can take up to three months or more to finally be corrected. Secondly, you?ll want to ensure that you are consistently paying your bills on time, every time; in full if you can manage. These tips are essential to how to improve credit score.

You may wonder how to improve credit score if you have outstanding balances on your credit cards. Well, it?s always best to reduce your balances as quickly as possible in order to clean up your credit score and bring your balance to 25% or less of your total credit limit. These tips are absolutely imperative to follow if you want to improve your credit score. After following these tips for awhile, eventually you?ll be debt free and look more trustworthy when businesses or individuals view your credit score. Take the time to clean up your scores now for a debt free life later.

Dean Iggo is the webmaster of www.ezcreditscore.net – Learn how to repair your credit score quickly and easily with our hints, tips and resources.

Writen By : Dean Iggo

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