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FAQs General Debt Relief Info


Can I stop creditor collections with a Cease Communication letter?

A Cease Communication letter is used to request that a debt collector stop calling you. It will not stop the collection process, nor will it stop written correspondence from your creditors, but it will stop the phone calls.

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What is a Cease Communication letter?

A Cease Communication letter is a very effective tool that most people don’t know much about. Under the Fair Debt Collection Practices Act, you have the right to ask your creditors to stop calling you, and you make that request through a simple form letter called a

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Does the Fair Debt Collection Practices Act apply to original creditors, or is it limited to third-party debt collectors?

The Fair Debt Collection Practices Act applies to third-party creditors only; it does not apply to original creditors. However, most creditors will respect the law even if they are the original creditor. In the event that they don’t, you may have some other recourse under state laws

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What is the Fair Debt Collection Practices Act?

The Fair Debt Collection Practices Act is a federal law that regulates the behavior of collection companies. It typically applies to third-party debt collectors as opposed to original creditors, providing guidelines as to what debt collectors can and cannot do when attempting to collect a debt.” One

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Is it ever advisable to do nothing?

Although they are rare, there are some cases where it may be advisable to do nothing in terms of addressing your debt. For example, if your sole source of income is Social Security – which cannot be garnished at all – you are judgment-proof. In that case,

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What can I do if I cannot meet my monthly credit card payments?

If you cannot meet your monthly credit card payments, it’s wise to develop a debt-relief strategy. Developing a comprehensive debt-relief strategy involves making a thorough assessment of your financial situation and examining your bankruptcy options as well as non-bankruptcy options. I’d recommend that you see an attorney

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Does a secured debt ever become an unsecured debt?

A secured debt can become an unsecured debt if the underlying collateral is surrendered, such as in a foreclosure or a repossession. In foreclosures and repossessions, the collateral is often sold for less than you owed on it, in which case you may be liable for the

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What is the difference between secured and unsecured debt?

The difference between secured and unsecured debt is simply whether or not there is collateral associated with that debt. An example of a secured debt would be your mortgage or car loan. Unsecured debts are generally things like credit cards, medical bills, student loans, broken leases, bounced

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What are some of the most common money mistakes that I should avoid?

As a practicing bankruptcy attorney, I’ve seen people make many of the same money mistakes, year after year, time and time again, and I’d like to point a few of those out to you. One very common mistake is to take money out of an IRA to

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What is debt consolidation, and is it available to me?

Debt consolidation is a term that is easily misunderstood and often misused. True debt consolidation involves taking out a loan greater than or equal to the combined (consolidated) amounts of your current debts and using that money to pay off those other debts. It can be attractive

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