Lillian Nguyen
I have been with Provanta for over 3 years and am currently the Operations Supervisor. I work in the Client Services and Sales department.
What To Look For In A Debt Settlement Company
September 30, 2010
Credit Card debt is an extremely common issue that most people in today’s society can relate to. With the longest recession since the Great Depression in the 1930’s, many consumers have had to rely on different forms of credit to pay for their everyday basic living expenses. This has now left them with massive and unmanageable debt balances that keep increasing, despite the fact that the lines of credit are no longer being used.
With the Credit Card Debt Relief Act 2010, The Federal Trade Commission (FTC) passed new laws to regulate Debt Settlement Companies in an effort to weed out the unscrupulous and dishonest companies. With these new laws coming into effect October 27, 2010, what use to be viewed, as a risky option to resolve outstanding debt, is now looking more appealing as consumers are protected when it comes to Debt Settlement practices.
It is important to remember that despite the new laws going into effect next month, not all Debt Settlement companies are legitimate. When looking for a company, it is important to be able to differentiate between a reputable company and one that isn’t just out for your money. Be sure to ask questions about the company, its history, who its affiliated with and if they’re accredited with the Better Business Bureau (BBB). Be very cautious of any company that hasn’t been around for several years. A client’s program typically takes 3 years to complete and any company that hasn’t been around for at least 5-10 years, lack the experience needed to complete a successful program. Make sure the company is a member of TASC (The Association of Settlement Companies). The goal of TASC is to protect the interest of consumers by upholding and encouraging fair practices in the debt settlement industry. Also, stay clear of any Debt Settlement company that tells you they can stop creditor calls, freeze your interest rates or prevent litigation. No debt settlement company can completely stop the collection process, freeze your interest or guarantee that you will not be sued.
There are many other questions that you will most likely ask but the final decision is yours to make. Do the research on a company, ask plenty of questions and go with a company you are completely comfortable with. After all, this is your life.
Know Your Rights!
June 16, 2009
If you’ve ever had to deal with a debt collector, then you would know it’s like stepping into a boxing ring for a fight against one of the toughest in the industry. Knowing just your simple rights as a debtor will prepare you for what could be a long, emotionally draining battle.
The Fair Debt Collections Practices Act (FDCPA) was created to help protect you, the debtor, against the unlawful and abusive tactics that these collection agencies practice everyday. Just knowing the restrictions that are placed on these collection agencies will prepare you when it comes to dealing with them directly. For more information on what a creditor can and can’t do, please visit:
http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre18.shtm
Just remember, creditors are use to dealing with debtors who know nothing about their rights and therefore bully consumers into providing what they want. It is important that you stay strong and do not give into the creditors scare tactics. Do not be afraid to stand your ground and let creditors know that you are aware of your rights and ability to file official complaints with the Federal Trade Commission (FTC). The creditors are simply pushing you as far as they can, so do not be afraid to stand up for yourself.
Stop Using Your Credit Cards
June 4, 2009
Someone recently asked me if they could continue to use their credit cards while enrolled in the program. This question never ceases to amaze me.
If you’re at a point where you realize you need help with your financial situation, then you should already understand that using any forms of credit is doing nothing for you besides digging a deeper hole of debt. Not only do you need to realize that you will be further in debt than you already are but the consequences that lie behind your actions.
How would a creditor take this? Your creditors have access to pull and review your credit report, and how would it look if they saw that you have been opening new lines of credit or see that you have the ability to make monthly payments to other creditors. Because of the appearance of bad-faith on your part in the eyes of your creditors to which you are delinquent, it is likely to keep you from receiving debt settlement benefits as favorable as those received by debtors who have stopped using their credit cards. It may also increase the risk that these creditors will refuse to negotiate a debt settlement in favor of filing a law suit to collect the amount they claim is owed to them.
Don’t stress over having to use any form of credit. Credit cards weren’t introduced until the mid 1900′s and since then the ability for consumers to save rather than charge has become almost non-existent. Any form of credit is nothing but a temporary “fix” on situations. While you may be able to escape some of your problems at the present time through the use of credit cards, it will eventually catch up with you in the end.