Attorney Blog

Customers Have Rights Against Debt Collectors - Jeff speaks about it in our local news!

Tue, 26 Oct 2010 08:00:00 EST

Monroeville based Attorney Jeff Suher speaks to WTAE regarding debt collection harassment and your rights.

"Bottom line -- if they are trying to collect a debt from you, they can't threaten you in any way. They can't say they are going to sue you, unless they have the intent to do so. They can't try and scare you," Suher said.

Jeff Suher files a FDCPA lawsuit - find out what this local woman went through after being sued for a debt she didn't owe....

Tue, 25 May 2010 08:00:00 EST

A local Pittsburgh woman, Vicki Higgins, filed a FDCPA lawsuit against a debt collectoion lawfirm and Target.

Patenaude & Felix, a Carnegie debt collection firm, was attempting to collect a Target debt, a Target debt that Vicki Higgins did not owe. When trying to clear her name, the consumer even contacted Target and confirmed that this account did not belong to her and she did not owe the debt. Then why did they file suit against Vicki Higgins?

Many of this think that this could never happen to us. But, it can....and it does.

Jeff Suher and Vicki Higgins were interviewed by the Pittsburgh Tribune Review and explain just how often these things do happen.

More tips to fight aggressive debt collectors

Wed, 28 Apr 2010 08:00:00 EST

Among debt collectors, Steven Katz is known as a “credit terrorist.” For years, he has run what he calls the Steven Katz School of Bill Collector Education, otherwise known as the “credit terrorist training camp.”

Mr. Katz, a 58-year-old accountant in suburban Tucson, spends his free time schooling debtors on the finer points of consumer protection law to help them turn the tables on debt collectors. On occasion, he thumbs his own nose at them too.

“How many times can I sue you? Let me count the ways,” he wrote under his pseudonym, Dr. Tax, in a March posting on Inside ARM, a debt collectors’ Web site.

A former bill collector himself, Mr. Katz rebelled after a debt buyer damaged his credit score with what he says was a bogus bill. Mr. Katz sued, and in 2003 he collected his first damage award, a $1,000 check that he now keeps framed behind his desk.

Payday loan debt collection scams!

Thu, 08 Apr 2010 08:00:00 EST

Payday loan companies are always trying to come up with new scams to trick and scare consumers into paying them money in a hurry! Don't be fooled.

The FTC Swings and Hits another Collector Hard.

Thu, 08 Apr 2010 08:00:00 EST

According to an FTC press release, the FTC sued three companies, operating under the name National Check Control, charging them with harassing and abusing consumers, falsely threatening criminal prosecution, illegally communicating with third parties, collecting amounts that were not due, and other violations of federal laws. In 2005, the court ordered a permanent halt to their operations and ordered them to pay redress to the consumers they had bilked. The defendants in the case subsequently unsuccessfully appealed the case to the Third Circuit Court of Appeals and the Supreme Court.......

If you have ever had a payday loan, watch out for these scams!

Thu, 08 Apr 2010 08:00:00 EST

Debt collection scams are all bad. However, I think that payday loan scams are the worst scams I've ever come across.

Please know, that it doesn't matter how long ago you may have taken a payday loan, or even if it was completely paid off. These scammers may still get your information and try to make you believe that you still owe them money.

According to the state agency in Washington this is how one of the payday loan scammers operate, but many scammers use this same tactic:

* Representatives of a company calling itself Financial Accountability Association make unsolicited telephone calls to consumers at home or at work. The scammers tell consumers that they are being prosecuted for loan fraud, bank fraud or check fraud because they have defaulted on a payday loan
* The scammers claim to be attorneys collecting a debt
* The scammers may threaten the consumer with immediate arrest
* The scammers usually tell consumers that they received a payday loan of several hundred dollars in 2008, they may tell the consumer that the debt has increased to several thousand dollars
* The scammers demand immediate payment of the debt by providing a checking account or credit card number
* If a consumer pays the scammers, they will continue to aggressively contact that consumer for even more money
* These scammers are highly persistent and may make dozens of threatening calls in a short period of time.

If you feel you have been a victim of a loan scam, please contact the Federal Trade Commission at 382-4357 (1-877-FTC HELP).

If you are a Pennsylvania Consumer, contact Jeff Suher for a free evaluation of your rights.

Pennsylvanians - Happy Financial Eduation Month!

Mon, 05 Apr 2010 08:00:00 EST

Governor Edward G. Rendell has proclaimed April to be "Financial Education Month" and urged Pennsylvanians to learn about personal financial management to help them enjoy a more secure future.

April is Pennsylvania Financial Education Month

Mon, 05 Apr 2010 08:00:00 EST

Did you know that Pennsylvania Governor Ed Rendell has proclaimed April to be "Financial Education Month"?

"Although Pennsylvania's unemployment rate remains below the national average and the economy continues to show signs of recovery, there are still Pennsylvania families that are struggling as a result of economic forces beyond their control," Governor Rendell said. "At a time when every penny counts, the ability to make informed financial decisions is more valuable than ever."

Does this make you think how you should be a little more financially responsible? I know it makes me think.

It makes me think about how many times I have taken out my credit card to pay for this or to pay for that.

Here's a perfect example I'd love to share, it makes me laugh every time I think about it.

My 8 year old has been playing ice hockey for 3 years now. Let me just tell you, what an expensive sport!! But a great sport. It takes a lot of time and dedication for an 8 year old to play hockey.

But, does his mom and dad really need to pay for ALL THOSE extra Penguins clinics just so her son can meet some players, does an 8 year old REALLY need to play on travel teams and spend weekends in Detroit, New York and Toronto, Canada? My goodness..........a bunch of us hockey moms were just laughing at ourselves. We bleed ourselves dry just to give our 8 year olds these experiences. We all know that none of our children will grow up to be Sidney Crosbys, but we still do it.

All of these little extras we give to our children and give to ourselves is such a big part of society today. We all need to keep up with the Jones' so to speak.
It can actually be quiet exhausting when you think about it.

So, just for this month - sit and think, I mean "really" think about being a little more financially responsible. We could probably all learn a little more about personal financial management to help us enjoy a more secure future.

Check out http://www.moneysbestfriend.com/ - this website is just for Pennsylvanians. On this site you can find resources to help deepen your understanding of financial issues, deal with major milestones in life, and connect with state and local services to help you make the most of your hard earned money. Check out the different workshops offered in the Pennsylvania areas as well.

Good Luck and Happy Financial Education Month!

A "how to" video on fixing your defaulted student loan and your credit

Thu, 18 Mar 2010 08:00:00 EST

You do have options when it comes to your student loan default and fixing your credit report. The first thing you must have is dedication and discipline in following through with any programs your student loan servicer helps you with!!

When you are ready to get started, this video will help you answer some of your questions.

Jeff Suher has also helped people when they are being harassed by student loan debt collection agencies and if your student loan collector has not followed through with their end of the bargain!

Mortgage Servicing Company - HomEq - being sued for deceptive practices

Thu, 18 Mar 2010 08:00:00 EST

The state of Ohio has filed multiple actions against a mortgage servicing company called HomEq Servicing Corporation, otherwise known as or d/b/a Barclays Capital Real Estate.

If you do some research on the web about HomEq, you may come up with an awful lot of consumer complaints on their customer service and unfair or predatory practices.

The Ohio complaints against the company, which is part of the federal Home Affordable Modification Program, include failure to return customer phone calls, the loss of documents and unaffordable loss mitigation help. The company services more than 10,000 subprime loans in Ohio, and also holds numerous subprime loans here in Pennsylvania.

Jeff has recently filed a lawsuit against HomEq Servicing Corporation for attempting to collect mortgage payments for which had already been paid as well as adding and attempt to collect illegal fees. These payments that HomEq was attempting to collect were over $15,000. HomEq also threatened to foreclose on this Pittsburgh consumer's home when this alleged debt was not paid. This lawsuit is still pending.

If you or anyone you know is experiencing difficulties with this mortgage servicing company or any other mortgage servicing company, please contact Jeff for his help.

Credit Card Issuers already finding ways to "Work Around" the System

Fri, 19 Feb 2010 08:00:00 EST

The credit card reform is set to take effect this coming Monday, February 22, 2010. Unsurprisingly, credit card issuers have already found several ways to get around the reforms.

According to the Huffington Post.....

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"Last week, somebody showed me a letter from their bank that raised their interest rate from 9.9 percent to 29.9 percent -- not because the person had done anything wrong or failed to pay, just a rate increase -- but then gave a so-called 'rebate' back to 11.9 percent," Warren said. "So now the company can impose its 29.9 percent rate increase anytime it wants because that is the actual rate on the card. In other words, this issuer has just figured out a way to slide slightly over from the rule of the CARD Act and avoid the intent of the rule in order to go back to the practices that Congress has deemed abusive."

Investigation in Abuse in Student Debt

Thu, 18 Feb 2010 08:00:00 EST

People at the Investigative Fund along with college students from Columbia University are investigating student lending and the debt industry.

Did you know that Americans took out 95 billion dollars in student loans last year? On the average college students have about $23,000 in loans to repay right out of college. Sometimes repaying this debt can be difficult due to the economic problems and this tough job market.

They are interested in hearing if you – or someone you know – have had problems dealing with your debt collector and are also interested in your dealings with the government’s mediator, known as the Department of Education's Ombudsman office. Your stories and tips will help them investigate.

Some debt collection companies, according to lawsuits, have violated federal rules that prohibit contacting graduates through late-night phone calls and threatening letters. Students are also encountering problems with their lenders– such as lost payments, shifting interest rates, or disputes about the total amount owed.

When these problems occur, the government is supposed to be a resource for independent, neutral mediation. Some of the most difficult complaints for the government to resolve come from former students trying to discharge their student loans due to disability, according to the Department of Education's 2009 Annual Report on federal student aid.

Something needs to be done with the student loan debt of America. Our young children are being buried alive with debt before the age of 25. Contact Jeff Suher if you are a PA consumer having debt collection issues with student loan debt. And answer this report, it may make a difference to this investigation.

Banker at BoA gets screwed on his Morgtage and gets Collection Calls

Tue, 09 Feb 2010 08:00:00 EST

Vince couldn't make his Bank of America mortgage, because they fired him after 21 years of service in the due diligence department. Even after he did a short sale 5 months ago, Bank of America still hasn't cleared it off their books. Now the illegal debt collection calls start. Is new CEO Brian Moynihan powerless to stop his own company from shaking down its own employees? Let's find out!

Vince still owes money after the short sale. He's been trying to pay it down with his unemployment checks, his only source of income, but he just wishes the collection agency would stop calling at 4 in the morning days in a row (which are both, by the way, violations of the Fair Debt Collection Practices Act).

Jeff Suher's Debt Collection Guide for Pennsylvania Consumers

Tue, 09 Feb 2010 08:00:00 EST

Pennsylvania consumer attorney, Jeff Suher creates this debt collection tactic guide to help educate Pennsylvania consumers. With debt on the rise, of course there is collection harassment on the rise. Only makes sense, right?

Jeff wants to make sure he protects YOUR rights. If you are experiencing any of the problems found on this guide, the collector contacting is violating your rights under the Fair Debt Collection Practices Act.

If you are in Pennsylvania, please contact Jeff for a free evaulation of your rights.

Debt Collector, Mann Bracken Closes Its Doors!

Wed, 03 Feb 2010 08:00:00 EST

Close the door, the operation is down. Mann Bracken, an enormous debt collector lawfirm recently shut down.

Since Mann Bracken sues most of its debtors, and had thousands of thousands of open lawsuits pending, Courts are utterly confused. One Maryland Judge took drastic measures and according to the Baltimore Sun, dismissed "tens of thousands" of lawsits in which Mann Bracken was involved. This is a bit unusual since the original creditor could simply hire a new lawyer to represent their interests. Sounds like this Judge maybe tired of these debt collection lawsuits.

If you were paying Mann Bracken on a debt, you can contact the original creditor to confirm that it will honor any settlement agreements you had with Mann Bracken. Of course, be sure to get this in writing. OR, if you are in the Pennsylvania area, contact Jeff Suher for help.

Consumers outside the Pennsylvania can find a consumer attorney in their area by going to www.naca.net.

Deceptive Mortgage Servicing Company Wreaks Havoc in this Family's Life

Tue, 02 Feb 2010 08:00:00 EST

Pennsylvania homeowners were hit with tough news. Margaret had to worry about removing a benign brain tumor while her husband, John was laid off. A true tragedy. Unfortunately, not the only ones they had to worry about.

These homeowners tried to refinance their home through their mortgage company, CHASE. Chase offered them a modification loan. So they thought. For the first couple of months when they tried to contact regarding some help, Chase wouldn't even speak to them about any options on their loan payment because the couple was not 3 months behind on their mortgage yet. AND UNTIL THEY REACHED THE FORECLOSURE LEVEL THERE WAS NOTHING CHASE COULD DO!!! O.M.G.(as the teenagers would say). This in itself is completely incomprehensible. This couple was trying to get help before they got too far gone! Isn't this what you are supposed to do??

However, the couple was finally placed on a modification program. Within the program they were to make 3 trial period payments and then their loan was to be lowered with an even lower interest rate. The couple continued to make their "trial period" payments, and never received this modification. However, they did continue to receive foreclosure paperwork.

The couple continued to try and work things out with Chase. Each representative told them a different story. Each representative didn't know what the last one did or said. Each mortgage statement never showed where the couple's "trial period" payment of $1459.79 was credited to, where it was credited or even if they received it!

This couple did everything the mortgage company told them to do, and even did some of the things twice. And got NOWHERE. At this point in their story, or in any other consumer's story or situation similar, where do you turn? What do you do to save your home?

These continued and growing complaints from homeowners and credit cardholders continue to back-up the need for stronger financial regulations and oversight. As many of you know, the Obama Administration in June released its comprehensive plan for regulatory reform. Included in the President's plan, was the creation of the Consumer Financial Protection Agency (CFPA), a stand-alone consumer protection regulator.

Hundreds of their lobbyists are flooding Capitol Hill and are logging thousands of calls into Congressional offices. If you agree that we need reform within the financial industry, call or e-mail your elected officials today.

Also, be sure to contact an attorney in your area right away. This is a time sensitive matter!!! There may be laws that the mortgage company is breaking. You will never know unless you act quickly. A roof over your head, isn't this one of the most important necessities. Contact Jeff if you are in the Pennsylvania area. If you are outside of our area, find an attorney in YOUR area specializing in this area of law. Protect yourselves!

Debt Collection Company charged in wrongful death case

Mon, 14 Dec 2009 08:00:00 EST

CNN reports that a Florida woman is suing Green Tree Servicing Collection Company over her husband’s death.

In 2002, Stanley McLeod could not longer work and went on disability for heart problems and a recent heart attack. The McLeod’s were struggling and later got behind a few months on their mortgage. Their mortgage was taken over and Green Tree Servicing debt collectors began to call. According to Mrs. McLeod, calling sometimes up to 10 times a day. Receiving 10 debt collection calls a day is harassment and a violation of the Fair Debt Collection Practices Act, even without knowing the content of the calls!

Debt Collection Abuse at its worst level - a Wrongful Death Action

Mon, 14 Dec 2009 08:00:00 EST

CNN reports that a Florida woman is suing Green Tree Servicing Collection Company over her husband’s death.

However, the content of the calls even make things worse…….

“Stanley McLeod, you need to call Green Tree and get your act together and make your payments on your mortgage and quit playing these games”

Here’s a message that was left after the collector found out Mr. McLeod had been life-lighted to a hospital for a second heart attack…..

“Why don’t you have that helicopter pick you up and bring that payment to the office?” Now if that isn’t abuse at the highest level, I don’t know what is.

For anyone to speak to another human being this way is just apprehensible, to say the least. However, these mafia-like tactics is the only way debt collectors think they will get paid.

Jeff urges, if you are experiencing any calls or problems with debt collectors, please call so he can help you put bring things to an end!

Also, make sure you file a complaint with your local attorney general. The more complaints that are documented, the more chance we have of making the real criminals pay!

Debt Collection Company settles Pennsylvania Class Action for 2.5 million

Wed, 04 Nov 2009 08:00:00 EST

Debt collection company, American Corrective Counseling Services has agreed to pay $2.55 million to settle a lawsuit brought by thousands of Pennsylvanians who claim they were wrongly led to believe they had to pay costly fees to avoid criminal charges for bouncing checks.

The company sent false and misleading letters purporting to be from various Pennsylvania district attorneys' offices to people who bounced checks. These letters were threatening in nature, indicating that no criminal actions would be taken if the checks were paid and penalty payments were met. What a hoax!

Debt Collection Scam by EMAIL

Wed, 04 Nov 2009 08:00:00 EST

Debt collection scams by way of email. Real debt collection companies will NEVER send you a bill via email. If you do receive one, make sure you keep it and email it to Jeff for his review! Don't be tricked into a debt collection scam.

Foreclosures Are On the Rise - What you need to know!

Thu, 29 Oct 2009 08:00:00 EST

Attorneys Warn Second Wave of Foreclosures Coming — Urges Consumers to Know Their Rights
Tough times have put a strain on the economy, affecting even people with good credit, but there are legal safeguards designed to help consumers — if they know where to go, said attorney E. F. Robinson. “Consumers armed with information can make smart choices, spot scams and frauds, and avoid problems,” he explains at www.erobinsonlaw.com.

Debt Collectors Lie, Cheat, and Make False Threats!

Tue, 27 Oct 2009 08:00:00 EST

Left on the machine of a Jacksonville man.......it was personal, menacing and delivered with an understated certainty.

"This is Mickey ... I want my money, and I want it now. ... When I see you, I'm gonna [expletive] you up.

"I will find your sister, your daughter ... I will find her, and I'll find you, and I will [expletive] you up."

The threats weren't from some mobbed-up knee breaker. They came, according to Gordon's lawyer, from a small check-cashing chain based in Jacksonville. The company insisted that Gordon was behind on his payments, so the collector, who did not return calls from the Orlando Sentinel, was turning up the heat.

HEAR IT! Listen to a mob-like threatening debt collection call

Tue, 27 Oct 2009 08:00:00 EST

Click the link above and listen to this horrible debt collector trying to collect money on an old pay-day loan debt!

According to the Orlando Sentinel, the collector claimed a Florida consumer, owed money on an old payday loan — a loan she said was paid long ago — and that if she didn't come up with $1,600, he would file criminal charges against her. Allegedly, the debt collector identified himself as a detective and claimed warrants were being drawn up.

Remember, Debt collectors are PROHIBITED FROM:

- Pretending to be law enforcement officers;

- Threatening violence or bodily harm;

- Using profane, vulgar or abusive language; and

- Threatening a consumer with jail time.

If you are a Pennsylvania consumer who is being attacked by a debt collector, put a STOP to the harassment by contacting Jeff.

Student Loans are the New Indentured Servitude

Mon, 12 Oct 2009 08:00:00 EST

Attorney Debt Collector Loses for Renting out His Letterhead

Mon, 12 Oct 2009 08:00:00 EST

The only thing worse than getting a letter from a collection agency, is getting a collection letter from an attorney. Even if the letter says nothing about being sued. A consumer will, most likely assume that a lawsuit is "on its way", since an attorney sent the letter.

Consumers can and do get sued a lot for outstanding debt. However, this is not always the case. Sometimes collection lawyers have no intent on suing the consumer. Could these letters sometimes be used just to scare the consumer into paying off his or her debt? Absolutely. If the debt collector is not having any luck collecting on debts, the company will hire an attorney or lawfirm to try and collect on the debts.

However, the New York collection firm, Upton Cohen & Slamowitz was recently found to have violated federal consumer protection laws by failing to conduct a meaningful investigation of an underlying debt. According to Forbes, the Judge said that lawfirms such as these are merely renting out their letterhead without reviewing case files or conducting investigations. This can evidenced by things like the use of computer-generated form letters, facsimile signatures and a high volume of notices processed. In one day this firm issued at least 211 debt collection notices, and a total of 3,000 that same month. Damages against this lawfirm have not yet been decided.

If you are receiving debt collection letters from an attorney or a lawfirm - make sure you do your own investigation. At the very least, contact Jeff or a consumer attorney in your area to review your debt collection letter.

A Debt Collector hounds a man to death, widow files a lawsuit

Mon, 12 Oct 2009 08:00:00 EST

A Florida widow claims that a debt collection company hounded her husband to death by calling multiple times per days over the years, verbally abusing him and leaving harassing telephone messages on their answering machine.

Lawsuits against debt collection companies alleging illegal practices for violating the FDCPA are common, however this may be the first ever wrongful death suit filed against a collection company.

The debt collection company denies that the collection calls could have led to this man's untimely death and is looking forward to defending this matter in court.

Debt Collectors are at the top of the Complaint List for 2008

Tue, 01 Sep 2009 08:00:00 EST

According to the Federal Trade Commission (FTC), "Debt collectors generate more complaints than any other industry". This is true for 2008, and seems that things are well on their way for 2009 as well.

Credit cards were responsible for the 4th most complaints and predatory lending and home mortgages came in 6th.

Crack Down on Abusive Debt Collectors

Fri, 28 Aug 2009 08:00:00 EST

Debt collectors are continuing to go to extreme measures to collect on consumer debts. The FTC had over 45,000 complaints about debt collection harassment just in the first 6 months of this year!

Some of these agencies will open up shop with a PO Box (no physical address), make tons of really abusive calls, make as much money as they possibly can by scaring and harassing consumers, close up shop (before they get sued or caught) and take off!!!

That is why it is very important to learn your rights and understand when debt collectors violate the law under the FDCPA. When this happens, take a stand and fight back before another collection agency packs up his shop and runs with your money.

Largest U.S. Bank throws Arbitration Out the Door

Fri, 14 Aug 2009 08:00:00 EST

Largest US Bank, Bank of America is dropping a requirement that forces consumers with disputes on credit cards and other accounts into an arbitration process, which critics say favors card issuers.

"While the bank thinks arbitration is a very fair way to go, customers do not," Bank of America spokeswoman Shirley Norton said. "It is in everyone's best interest to change it. We're hoping we'll be able to resolve more disputes directly with our customers."

So far, the American Arbitration Association has halted the arbitration process until new fairness standards are established, the National Arbitration Forum agreed to cease consumer arbitration as part of a settlement, and now Bank of America has thrown out forced arbitration. Next, please!!!!

Student Loan Rehabilitation Guide

Fri, 07 Aug 2009 08:00:00 EST

Many consumers all over the world experience trouble paying back their student loans and sometimes end up in default. However, many consumers do not know that there are options for repayment of their government student loans.

One of the most popular and effective option is called the Rehabilitation Program. Jeff put together a quick consumer informational guide for those interested in the Rehabilitation Program, which includes the basic provisions under the Family Federal Educational Loan Program.

Student loans in default are one of the most devastating entries one could have on their credit report. Therefore, it is very important to try and remedy the situation. Unlike other negative entries that fall off after the 7 year itch, government student loans are not one of them.

Check out the guide and other resources. As always, please contact Jeff should you have any questions.

More breaking news on the lawsuit against NAF - Arbitration Reform!

Mon, 27 Jul 2009 08:00:00 EST

Wow - breaking news. Only a couple of weeks ago, Minnesota Attorney General Swanson filed suit against the National Arbitration Forum for failing to disclose to consumers its close ties with the credit card industry and the nation's leading debt collection agency

Six days later this company voluntarily exited the consumer-debt business COMPLETELY. The company agreed to stop arbitrations involving credit cards, consumer loans, utilities, telecommunications, health care and consumer leases.

Another Arbitration company, the AAA (American Arbitration Association) widely used announced that it had stopped handling consumer debt arbitrations this past June

Most credit card agreements that uphold the pre-dispute arbitration clauses specify the arbitrations will be performed by either NAF or AAA. With both of these companies out of business with consumer debt cases, many of these claims will now floor the conciliation court or state District Court. Both companies heard nearly 214,000 cases a year.

National Arbitration Forum works against Consumers, NOT for the consumers

Wed, 15 Jul 2009 08:00:00 EST

The Minnesota attorney general's office filed suit Tuesday against a St. Louis Park company that settles credit-card debts, claiming it stacks the deck against consumers and has hidden its ties to debt-collection law firms. Most every credit card company has a hidden agreement binding consumers to this arbitration process, should a dispute arise.

Did you know that this company only upheld rulings favorable to the consumer 30 times out of almost 20,000 cases?????

Lawsuit filed against the National Arbitration Forum - if you own a credit card this is life-changing!

Wed, 15 Jul 2009 08:00:00 EST

Everyone I know owns a credit card. However, I do not think that everyone who owns a credit card is aware of what is really found deep in its fine print of the consumer agreement. Would you be surprised to find out that you may have forfeited your right to have a credit card dispute resolved by a judge or jury? Would you be surprised to find out that many agreements often require that disputes are resolved exclusively through a private system of binding arbitration, frequently through the National Arbitration Forum?

How about this one:

Did you know that this Forum is represented to the public, courts and consumers that it is an independent, and impartial court system and is not affiliated with any party. However, this may not really be the case. I’m sure that you are not aware that this Forum works alongside creditors and behind the scenes AGAINST the interest of consumers.

Here’s just one more quick one for you:

I guarantee that you were not privy to the fact that the Forum is financially affiliated with a New York hedge fund group that actually owns one of country’s major debt collection enterprises!!

Luckily the Attorney General of Minnesota filed a lawsuit, the first one of its kind, against the National Arbitration Forum. This may be the beginning of the end to credit card companies sneaky little tricks and hidden agendas in their consumer agreements. If you own a credit card, we urge you to read this complaint, it could be life-changing to some consumers.

Oxford Management Services settles with the FTC for $225,000

Tue, 07 Jul 2009 08:00:00 EST

According to the InsideArm, The FTC announced Friday that it had entered into a settlement with Oxford Management Services. Under the agreement, Oxford will pay a $225,000 civil fine and must adhere to the Fair Debt Collection Practices Act (FDCPA) going forward. The collection agency is based in Ft. Pierce, Fla., and has additional offices in Florida, New York and Pennsylvania.

In its allegations, the FTC noted that Oxford “falsely threatened that nonpayment of debt would result in garnishment of consumers’ wages, arrest, or legal action.” The Commission also said that Oxford did not adhere to time restrictions in placing collection calls, engaged in third party disclosure, and used profane or abusive language when dealing with some debtors.

Pennsylvania joins Operation Short Change

Mon, 06 Jul 2009 08:00:00 EST

Unfortunately this spiraling downturn in America's economy has brought out the worst in people and made greedy people even greedier. New companies are sprouting out everywhere claiming they can help you "get rich quick" or work from home earning thousands of dollars in extra income a month.

Fortunately for Pennsylvania Consumers, our state has joined Operation Short Change, which is a new law enforcement sweep started by the Department of Justice and the FTC to stop companies from dooping consumers.

Pennsylvania can report any scam attempts to the Pennsylvania Attorney General's Office. Reporting this fraudulent and deceptive practices can be your part in helping to turn the economy back around.

Chase credit-card holders beware of rate increases

Thu, 02 Jul 2009 08:00:00 EST

As lawmakers worked out credit card reform legislation earlier this year, card issuers argued that tough restrictions would make credit costlier for consumers. Now that tough reform has been signed into law by President Barack Obama, some lenders are making good on those threats.

A Pennsylvania consumer just received notice that her Chase credit card's minimum monthly payment would increase from 2 to 5 % of her total balance. Unfortunately, for this consumer she is carrying around a $35,000 credit card debt with Chase. This means that her monthly payment will skyrocket from $700 to almost $1700 a month.

Chase's explanation for this hike was stated as "due to the poor economy and the legislation that's been passed, Chase needs to recoup its funds, and will only be applying this increase to select accounts who continuously carry balances".

As a heads up, The Financial Times reported on Wednesday that Citibank is raising rates on millions of its customers in exactly the way the new legislation is supposed to prohibit.

Debt Threats - Collectors are holding nothing back

Mon, 08 Jun 2009 08:00:00 EST

According to the Huffington Post, a debt collector is giving out a library's address to its debtors. Debtors are forwarding cease and desist letters and overwhelming the library with this mail. Why in the world would a debt collector give out a fake address directing its debtors to a library?

This same debt collector is contacting a consumer stating he is a Police Officer and will be taking this man to jail for fraud if he doesn't pay an internet loan right away! When this consumer's attorney attempted to contact this collector to get this matter straightened out, his letter ended up at the library as well.

Debt collectors will stop at nothing to get paid

Mon, 08 Jun 2009 08:00:00 EST

According to the Huffington Post, a debt collection company is giving out a fake address leading consumers to a public library. It is unfortunate for this library, because they are receiving endless letters and paperwork from attorneys and consumers regarding debt collection issues. But, why in the world would a debt collector want to give out a fake address?

This same debt collector contacted a consumer and stated that he was a police officer and was coming to arrest him for fraud if he did not give him money right away for an outstanding internet payday loan. When this consumer's attorney attempted to contact this company to straighten out this situation, his attempts also ended up in this Tompkins County Public Library.

With the economy down and consumers finding it difficult to pay bills, debt collectors will lie, cheat, harass and stop at nothing to get paid. Obviously in these situations, the collectors are just looking for as much "fast cash" as possible before getting caught up in a whirl-wind of trouble for collecting debts in a manner which is considered against the law.

Senator Chris Dodd: Credit Crisis

Wed, 20 May 2009 08:00:00 EST

Americans know they have a responsibility to live within their means and to pay what they owe. But they also have a right not to be deceived, misled, or ripped off by unfair and arbitrary credit card industry practices that have become commonplace. That's especially important when one considers how credit card use has expanded in the US.

Pass the Credit Card Act NOW!!!!

Wed, 20 May 2009 08:00:00 EST

The Senate recently passed a credit card reform 90 to 5! Now a strong bill is heading to the House of Representatives.

The new credit card bill will help consumers by:
    * Moves up the Fed’s effective date
    * Restricts all interest rate increases during the first year
    * Restricts interest rate increases on existing balances
    * Increases notice for rate increase on future purchases
    * Preserves the ability to pay off on the old terms
    * Places limits on fees and penalty interest
    * Requires fair application of payments
    * Requires issuers to consider consumer’s ability to pay
    * Prevents deceptive marketing of credit reports
    * Provides sensible due dates and time to pay
    * Protects young consumers
    * Restricts issuance fees on fee harvester cards
    * Requires enhanced disclosures
    * Establishes gift card protections

The banks are doing everything thing they can to prevent these reforms from becoming law. If you want to help eliminate some of the tactics that credit card companies are using, you can help! All you have to do is take action by emailing your representative to vote YES to enforce new credit card laws. But hurry, this bill heads back to the House for a final vote this week!

Even the President thinks "Enough is Enough, on Credit Card Tactics" Just read it for yourself!

Fri, 15 May 2009 08:00:00 EST

Well, when the President of the United States is trying to pass legislation and speaking out about credit card tactics - you know, enough is enough.

We have been saying for years, "Make sure you READ the fine print". Credit card companies are famous for sticking in huge penalty fees, here, there, and everywhere. Most consumers are not aware of this until it happens to them.

Some credit card companies still include the universal default clause in its fine print. However, some companies have done away with it. But the ones who did away with it just found other ways to include high rate hikes for just one late payment or an over-the-limit fee.

Now, I understand that many Americans are defaulting on their debt, and that's why these companies claim the need to raise rates. One of the causes of this economic crisis was that too many people were living beyond their means with mortgages they couldn't afford, buying things they couldn't pay for, maxing out on credit cards that they couldn't pay down. And in the last decade, Americans' credit card debt has increased by 25 percent. Nearly half of all Americans carry a balance on their cards, and those who do have an average balance over $7,000.

I'm sure we all understand all of this. But the President is right, enough is enough. It is time we stop the vicious cycle. The credit card companies need to step up and make some changes to help out the economy. Remember, two wrongs never make a right.

Banks may have to prepare for Credit Card Write-offs

Wed, 13 May 2009 08:00:00 EST

After writing off about $45 billion in bad debts during 2008, credit card lenders are bracing for the worst year in the industry’s history. Not only are losses spiraling, but also lawmakers are on the verge of passing a set of tough new consumer protections that could have a devastating effect on profits. This week, the Senate is expected to take up the Credit Cardholders Bill of Rights after the measure passed in the House with a strong bipartisan vote of 357 to 70.

Over the weekend, President Obama pressed lawmakers to approve the new rules, which would curb the ability of card issuers to raise interest rates retroactively on consumers and would require them to reduce hidden fees and penalties. He hopes to sign the legislation by Memorial Day.

For the banks, the economics of the credit card business are increasingly troubling. As the recession has dragged on, cardholders have sharply reduced spending. New customers with strong credit histories are increasingly hard to find.

And the most troubled borrowers are so deeply mired in debt that card companies are willing to strike deals to remove late fees and reduce card loan balances. The average American household is saddled with nearly $8,400 of credit card and other revolving debt, according to Moody’s Economy.com.

Obama pushes to put a tighter rein on credit card companies!!!!!

Wed, 13 May 2009 08:00:00 EST

According to an article posted in the USA Today, President Obama is pushing Congress to send him legislation by Memorial Day that would put a tighter rein on the credit card industry.

"Americans know that they have a responsibility to live within their means and pay what they owe," Obama said in his weekly radio and Internet address released Saturday. "But they also have a right to not get ripped off by the sudden rate hikes, unfair penalties and hidden fees that have become all-too common."

However, the banking community is fighting back. Credit-card executives maintain that new restrictions could backfire on consumers, making it harder for banks to offer credit or put credit out of reach for many borrowers. They also contend that the sweeping rules already ordered by the Federal Reserve, beginning next year, address many of the consumer-protection concerns expressed by the president and members of Congress.

Who is Jenny Anderson and why is she the new scare tactic for one debt collection company?

Tue, 05 May 2009 08:00:00 EST

For some reason, someone at the debt collection company of CBV Collections decided to construct a facebook page under the name of “Jenny Anderson”.

The facebook profile of “Jenny Anderson” was used as a tool to find and keep track of debtors. Since “Jenny Anderson” was a cute chick and was able to attract over 600 “friends” who owed CBV money.

A reporter was able to get an interview with Jenny Anderson regarding the inside story, who eventually begin to post things that gave away her identity.

I’m sure we will begin to see more and more lawsuits against debt collectors for this sleazy tactic! As a precaution, all consumers (we are all debtors), should not make their profile “public” and should always make sure they ONLY make it public to people they know.

Consumer files an FDCPA lawsuit because of an old credit card debt and wins $311,000

Thu, 30 Apr 2009 08:00:00 EST

A man who was twice sued over a $3,800 credit card debt, received a $311,000 judgment after a federal judge determined a North Dakota law firm violated debt collection laws.

It was quite simple actually. A firm had filed a lawsuit against this consumer, on behalf of a Colorado collection company, CACV, seeking to collect on a $3,800 debt he owed Chase Manhattan Bank, along with about $6,000 in interest and attorney's fees.

Just two years earlier this man had a similar lawsuit, also filed on behalf of CACV, dismissed because the five-year statute of limitations had expired.

The case stemmed from a credit card debt owed Chase from the 1990s.

Unfortunately, this consumer was disabled in 1990 after being struck in the head with an iron bar. He eventually began receiving Social Security benefits, which are exempt from collections.

Nevertheless, he that he worked with other credit card companies to pay his debts. He said Chase was the only company that would not work with him.

The debt was re-sold to a collection company. Two years after CACV's first lawsuit was dismissed, Johnson, Rodenburg and Lauinger again sued McCollough on behalf of CACV.

A jury awarded McCollough $250,000 for emotional distress, the statutory maximum of $1,000 for violating the Fair Debt Collection Practices Act and $60,000 in punitive damages, also the maximum allowed in the case.

It seems as though it would be fair to say that consumers are getting tired of greedy debt collectors who do not follow the law.

Debt Collector Loses Collection Case Appeal

Mon, 27 Apr 2009 08:00:00 EST

The case involved a debt collection action brought on behalf of debt purchaser Palisades Collection, LLC against Steven Graubard. Palisades’ legal representation claimed that Graubard owed $30,500 on a credit card account he opened in 1999 with Chevy Chase Bank. After a series of bank mergers, the account ended up with JP Morgan, who sold it to Palisades.

At the trial, the collection attorneys attempted to prove the chain of title of Graubard’s account. According to the court records, the plaintiffs contended that Chevy Chase’s credit card operations had been purchased by Bank One, Bank One was subsequently purchased by JP Morgan, who then sold the account to Palisades. To prove that the mergers and acquisitions had taken place, lawyers for Palisades admitted into evidence an article from the New York Times and an entry from the online encyclopedia site Wikipedia.

Palisades Collection Company sues a man and loses lawsuit on Appeal!

Mon, 27 Apr 2009 08:00:00 EST

An appeals court in New Jersey has overturned a $17,500 judgment against a debtor because the collection law firm that originally won the case admitted a page from the Web site Wikipedia into evidence.

A panel of appellate judges in the Superior Court of New Jersey – Appellate Division said in their opinion dated April 17 that Wikipedia is a “malleable source of information” and that it is “inherently unreliable.”

Palisades Collection Company sues a man and loses lawsuit on Appeal!

Mon, 27 Apr 2009 08:00:00 EST

A panel of appellate judges in the Superior Court of New Jersey – Appellate Division said in their opinion dated April 17 that Wikipedia is a "malleable source of information" and that it is "inherently unreliable."

The case involved a debt collection action brought on behalf of debt purchaser Palisades Collection, LLC against Steven Graubard. Palisades' legal representation claimed that Graubard owed $30,500 on a credit card account he opened in 1999 with Chevy Chase Bank. After a series of bank mergers, the account ended up with JP Morgan, who sold it to Palisades.

Pittsburgh Consumers and Consumers all over the world fighting back over debt!

Wed, 15 Apr 2009 08:00:00 EST

As the economy puts more people in financial trouble, debt collection tactics are getting a tougher look. Here’s what’s happening around the country:

Process Server for Debt Collection Companies ARRESTED today for "Sewer Service"

Wed, 15 Apr 2009 08:00:00 EST

Yesterday I posted a blog about New York Attorney General's investigation into process servers who failed to properly serve lawsuit papers.

Today, Attorney General announced the arrest of the president of Long Island-based American Legal Process (William Singler) for engaging in a fraudulent business scheme in which the company allegedly failed to provide proper legal notification to thousands of New Yorkers facing debt-related lawsuits, causing them unknowingly to default and have costly judgments entered against them without the chance to respond or defend themselves.

As a result, many consumers were subsequently harmed when their bank accounts were restrained and their wages garnished.

I wonder if we will begin to see more lawsuits against process servers of this nature. Maybe it is time that everyone needs to check their credit reports to make sure that there are no judgments of this nature.

Debt Collection Lawsuits Not Being Served - Is this Part of the Collection Business?

Tue, 14 Apr 2009 08:00:00 EST

New York Attorney General will be filing a lawsuit against one of the largest servers of debt collection legal action notices for failing to effectively notify debtors that legal action is pending against them, according to a media report.

The case, according to the paper, stems in part from a report issued by non-profit law firm MFY Legal Services.
Lawyers at MFY claim that it is in the best interest of creditors and debt collection law firms to make sure debtors do not receive notice of legal action. One lawyer told The Times that “sewer service” – simply discarding court notices with no attempt to deliver them to consumers – is a part of the business model of collection lawsuits.

Outrageous! Creditors and debt collection companies bank on debtors not showing up to their court hearing in order for them to obtain a judgment against you. But not properly serving you so you have no chance in just apprehensible.

Video - Debt Collectors posing as Law Enforcement Officers and Lawyers

Tue, 07 Apr 2009 08:00:00 EST

A Texas couple flees their home, in fear that the police are coming to arrest them. However, it was NOT law enforcement who was calling threatening to "pick-them up". It was a debt collector.

Another couple thinks that the Maryland police department is contacting them, however after investigations, it appears to be a Buffalo debt collection company.

Dateline NBC investigates Final Claims Asset Locators, a debt collection company owned and started by a man who served time for armed robbery! Basically this lets us know, that there is nothing in place to check the background of someone who wants to buy debt portfolios, which includes people's personal and private financial information. Anybody can be a debt collector!! That is scary.

This short Dateline NBC debt collection video includes more debt collection stories and an inside look at the office of Final Claims Asset Locators.

Woman Files Lawsuit for a Debt Collector posting on MySpace!

Fri, 03 Apr 2009 08:00:00 EST

Did you know that if a debt collector cannot locate you, he/she may try searching on various social networking sites such as MySpace, Twitter, or Facebook? It's true! Debt collectors have been able to locate debtors using these very popular websites. If your profile is public, it would be very easy for a debt collector to find out personal information about you and possibly your friends and/or relatives.

In what appears to be one of the first lawsuits related to debt collection harassment on a social network, a Michigan lady is suing two debt collection companies for violating the Fair Debt Collection Practices Act. Among many other FDCPA violations, the debt collectors were allegedly posting remarks regarding her indebtedness on her MySpace page.

The Michigan woman is unable to sue MySpace, which is protected under Section 230 of the Communications Decency Act.

FDCPA violations for contacting neighbors and relatives

Mon, 30 Mar 2009 08:00:00 EST

A debt collector discloses to a third party (a neighbor or relative) that you have a debt. This is a violation of the Fair Debt Collection Practices Act (FDCPA). A collector, by law, is NOT allowed to do this.

A debt collector IS allowed to make one reasonable phone call to a neighbor or a relative in an attempt to locate you by confirming or correcting location information. However, the debt collector is not supposed to disclose any information about the debt that you owe. The debt collector is also not supposed to ask a third party to “pass a message on to you”.

Once the debt collector contacts the third party in an attempt to confirm or correct your location information, they must stop. The debt collector is NOT allowed to contact the third party more than once UNLESS requested to do so.

You may have the right to sue if the debt collector discloses your debt information to any third party.

Government requests the FTC to investigate debt collectors who chase surviving relatives for money

Fri, 13 Mar 2009 08:00:00 EST

This post will follow up a recent post regarding debt collection of the dead. We shared how some collection agencies are focusing their practice on targeting survivors of the recently deceased. Is this a violation of the FDCPA? I don't believe so. Unless, like any other collector they harass, berate, threaten or lie to you while attempting to collect money. It is NOT a violation for the debt collector not to disclose to the survivor that they are under no obligation by law to pay their loved one's debt. This may change in the future.

This news article states that Senator Schumer met with the chairman of the FTC and requested the agency look into this practice. Schumer asked for an accounting of how many debt collection firms engage in the practice and which companies that issue credit cards retain debt collectors for that purpose.

If the practice isn't declared illegal, the FTC could at least require debt collection firms to notify the relatives they contact that they have no legal obligation to pay the debts, Schumer suggested.

We will make sure to keep you posted as to any investigation results.

Jeff Suher with TIPS on negotiating settlements with debt collectors

Wed, 11 Mar 2009 08:00:00 EST

We get a lot of questions about paying off debt.

Our firm is not a debt-consulting firm and we do not in any way negotiate debts on behalf of consumers.

However, there are a few things that a consumer should be aware of prior to negotiating payments and or a settlement with the debt collector.

Keep in mind that most debt collectors work on a commission. Therefore, the more they can get you to pay, the more money they will see in their next paycheck. Just be cautious, and don't over-spend yourself when making payment arrangements.

Also, keep in mind that your bad debt can only be reported to the credit reporting agencies (Equifax, Experian, and TransUnion) for up to 7 1/2 years from the original date of default. I'm only saying this because there is no statute of limitations for a debt collector to attempt to get paid from an old debt. Basically, if the debt is big and it keeps getting sold, collectors can attempt to collect for 20 years if they want.

Here are the tips to read over prior to negotiating debts.

IRS Will No Longer Use Debt Collectors

Fri, 06 Mar 2009 08:00:00 EST

Well, the verdict is out. The IRS will no longer be using debt collection companies to collect on bad tax debts. Members of Congress, because of numerous complaints of abusive and deceptive phone calls, have criticized the program.

Congress, the National Taxpayer Advocate and the National Treasury Employees Unions argued that private collectors cost more and brought in less money than the federal employees. An agency program review found that tax debt collection was cheaper and more lucrative when performed by federal employees.

Dead People - The Collection Industry's New Goldmine!

Thu, 05 Mar 2009 08:00:00 EST

The collection industry has taken a new turn. Many in this industry are now focusing their collection efforts to the dead. Yes, this is true. Debt collectors are finding it a little easier and a little more lucrative to contact family members of the deceased to get paid. How does this happen, you ask? Here’s how.....

Because of today’s advanced technology and improved database systems, it is quite easy for collectors to discovery when estates are opened in the probate court system. This gives the collectors plenty of time to file claims against the estate. If there are no formal estates to file anything against, the human touch comes into play.

A Minneapolis collection company, DCM Services (Deceased Collection Management), specializes solely in the collection of the dead, so to speak. Their employees train in what the company calls “empathetic active listening”. In other words, this helps the collectors to better handle one who has lost a loved one and how to get money from them at the same time!

Another major deceased debt collection firm is Phillips & Cohen, employing about 300 collectors. All of which are trained in the five stages of grief.

However, it is just a guess that neither of these deceased collection firms are trained to tell their callers that in most states and in most instances family members are NOT obligated by law to pay for their loved ones debt. How terrible is that!

The FTC Urges Reform of the Federal Debt Collection Law

Tue, 03 Mar 2009 08:00:00 EST

Because of today's consumer debt, debt collection laws and economic situation, the FTC issued a report urging
Congress to modernize its Federal Debt Collection laws (FDCPA). The FTC believes these changes will provide better consumer protection without unduly burdening the debt collection industry.

The changes proposed within the FTC report are:

Requiring that the “validation notices” that collectors are required to send to consumers also disclose the name of the original creditor; break down of the debt by principal, total interest, and total fees; and inform consumers of certain rights they already have under the FDCPA.
Requiring collectors to conduct “reasonable” investigations responsive to the specific dispute the consumer raised.

This will require the debt collector to obtain better information from the original creditor (or whomever the debt was purchased from). This will make it more likely that the collection efforts will be for the right amount and most importantly, will be aimed at the right consumer.

Other changes proposed within the FTC report are:

Prohibiting collectors from contacting consumers via their mobile phones, including by text messaging, without prior express consent; and
Requiring collectors who use new payment technologies to obtain express verifiable authorization from consumers before accessing their accounts.

Recognizing the law generally should allow debt collectors broad use of communication technology to contact consumers and to prevent the consumer from incurring charges for these contacts or otherwise being subject to unfair, deceptive, or abusive tactics.

Please follow the link above to read more about the report issued by the FTC as well as consumer complaints reported to the FTC in 2008.

Top Consumer Complaints Reported to the FTC in 2008

Fri, 27 Feb 2009 08:00:00 EST

Identify fraud was the top consumer complaint in 2008. Of the 1,223,370 complaints lodged with the Federal Trade Commission, 26% (313,982) were identity fraud. Most of these complaints of which were credit card fraud.

The second largest complaint lodged with the Federal Trade Commission was with debt collectors. Abusive debt collection has always received its fair share of complaints. However, this is the first year that debt collectors got their own category.

Debt collection agency, Academy Collection Service received tons of consumer complaints and it is believed that the company and its owner agreed to pay $2.25 million to settle FTC charges in the year 2008. Among song of the violations alleged against Academy were that the collectors misled consumers, threatened and harassed consumers, disclosed their debts to third parties, and deposited postdated checks early.

Here’s another interesting fact:

In 63 percent of complaints filed with the FTC last year, the consumer’s primary method of interacting with said companies were over the Internet or via e-mail. Which goes along with our blog posted yesterday. Be very careful of what you read and the information obtained on the Web.

An Owner of a Debt Collection Company speaks out about how business is booming!

Thu, 26 Feb 2009 08:00:00 EST

Here's an article from the other side of the coin....the debt collector's perspective.

John Murray, owner of JP Recovery Services states, "I’m used to whenever I go to a party and they say “What do you do?” I say “I own a collection agency” and people kind of go…."Oh-h-h…" But, in order to be in this business, you have to have a thick skin."

After reading this article, I was interested to see if this company had any FDCPA violations filed against them. I do have to admit that this company has very few (next to none) federal lawsuits filed against them!

7 Payday Loan Companies are Ordered by Federal Court to Cease Unfair Collection Practices

Thu, 26 Feb 2009 08:00:00 EST

Consumers need to be very cautious about internet payday loan companies (or any payday loan companies for that matter). If it sounds too good to be true, then it probably is.

The FTC filed a case against several internet payday loan companies, 7 of which are currently under order of court to halt practices during this pending case.

The payday loan companies were charged with failing to disclose key loan terms and using abusive and deceptive collection tactics in violation of the FDCPA.

According to the FTC Complaint, the companies were offering $500 or less within 24 hours (over the internet) without requiring a credit check, proof of income, or any other relevant documentation. Consumers were told this loan had to be repaid by their next pay check with a fee ranging from $35 to $80. Of course, if the loan wasn't repaid, it kept getting extended with an automatic fee that would be immediately debited from the consumer's bank account.

The companies were charged for unfair and deceptive collection tactics such as:
-threatening consumers with arrest or imprisonment;
-repeatedly calling consumers at work;
-using abusive and profane language;
-threatening consumers with seizure of property and garnishment of wages;
-disclosing consumers' purported debts to co-workers and employers; and
-for allegedly violating the Truth in Lending Act.

The companies allegedly failed to make required written disclosures before consummating a consumer credit transaction, including the amount financed, itemization of the amount financed, the finance charge, the annual percentage rate, the total number of payments and any late payment fees.

Basically, it sounds like these companies were just handing out money to anyone who gave them their name, address, work information and bank account information. Unfortunately, if you need a quick loan of $500, this may have sounded perfect. Quick and easy. If obtaining any type of loan is this quick and easy, stop and think before you jump.

The defendants named in the court order are Leads Global Inc., Waterfront Investments,
ACH Cash, Inc., HBS Services, Inc., Lotus Leads Inc., First4Leads, Inc., and Rovinge International Inc.

Consumers are Standing Up to Facebook's Terms of Use

Thu, 26 Feb 2009 08:00:00 EST

How do companies get away with slipping arbitration clauses and other abusive terms into their contracts? For one thing, they rely on the fact that most people do not have the time or motivation to read all the fine print, and that many of those who do will not understand the implications of what they are agreeing to, or will not care enough to object. Even those who do complain will not likely get far because consumer contracts are typically offered in a take-it-or-leave it manner.

This week, however, Facebook's attempt to take advantage of the usual ignorance and apathy backfired in a big way. A couple weeks ago, Facebook revised its terms of use in a way one would not expect to lead to a major controversy.

Read this Consumer Law & Policy Blog post to learn more about Facebook's attempt to keep your content on your facebook page.

Pittsburgh Debt Collection Tips: 7 Great Ways to Deal with Zombie Debts!

Mon, 23 Feb 2009 08:00:00 EST

You may have to kill old debts that resurrect and come back to life. Zombie debt may include past debts that you owe, charged-off debt, debt included in bankruptcy, debt you may have never owed and even debts incurred due to identity theft. Zombie debt involves collection agencies purchasing debts for pennies on the dollar that original creditors have written off as bad debt and often times the statute of limitations has already run.

Read more on this article to obtain 7 great tips on dealing with zombie debt.

Pittsburgh Debt Collection - 7 Great Tips on Dealing with Zombie Debt

Mon, 23 Feb 2009 08:00:00 EST

Debt buying has emerged into a multi-billion dollar industry in the past several years and from the looks of today's current economic situation, the industry will only continue to expand. Junk debt buyers can be small businesses to large, publicly traded Wallstreet companies. The characters involved in this lucrative business are banking on the consumer NOT knowing their rights.

Article from Johnstown PA newspaper

Mon, 16 Feb 2009 08:00:00 EST

The Johnstown Tribune Democrat recently had an article regarding a lawsuit I recently filed. You can read the story here. The author failed to note that the debt collector allegedly called my client a "bitch" on Christmas Eve. She didn't even owe the alleged debt.

Busy week- new case

Fri, 13 Feb 2009 08:00:00 EST

I had a busy week. I met with a client in order to prepare for mediation. In another case, my clients were deposed (questioned under oath by the attorney for the debt collector). And I took on a new case that involves invasion of privacy. A common tactic used by debt collectors is to contact friends, neighbors and relatives. The collectors refer to this as a "block party." They will call neighbors in order to embarrass you. The case I am involved in deals with a student loan. With the cost of education and the economy, is it any wonder young people are getting behind on their loans? The collector called two neighbors disclosing personal information and asking for bank accounts. This violates the Fair Debt Collection Practices Act. I will keep everyone updated as this case progresses.

Do you think this is Mis-Use of a Debt Collection Agency?

Thu, 12 Feb 2009 08:00:00 EST

In Clark County, Indiana - the Clerk of Court's hired a debt collection agency to collect court fees. Apparently in Indiana there are annual fees in the child support department. However, it seems that maybe many people paying the child support were not aware of this annual fee. AND, the Courthouse could not afford to send out letters to every person paying child support requesting this annual fee. The County instead chose to hire a debt collection agency to collect this annual fee.

That's interesting.....when I first came upon this story, I thought that it was a debt collection agency hired to collect on child support orders that were in arrears! My initial reaction was that is awesome, I wish that would happen here in Pennsylvania!!!!

After watching this video, my thoughts of course changed. How wrong was it for this County to hire a debt collection agency because they were unable to keep their residents apprised of an annual fee!!!!

Dad's Poem

Wed, 11 Feb 2009 08:00:00 EST

Here is a poem a former client sent me this morning that I would like to share with you:

A Dad's Poem

Her hair was up in a pony tail, her favorite dress tied with a bow. Today was Daddy's Day at school, and she couldn't wait to go. But her mommy tried to tell her, that she probably should stay home. Why the kids might not understand, if she went to school alone. But she was not afraid; she knew just what to say. What to tell her classmates of why he wasn't there today. But still her mother worried, for her to face this day alone. And that was why once again, she tried to keep her daughter home. But the little girl went to school eager to tell them all. About a dad she never sees a dad who never calls. There were daddies along the wall in back, for everyone to meet. Children squirming impatiently, anxious in their seats. One by one the teacher called a student from the class. To introduce their daddy, as seconds slowly passed. At last the teacher called her name, every child turned to stare. Each of them was searching, a man who wasn't there. "Where's her daddy at?" she heard a boy call out. "She probably doesn't have one," another student dared to shout. And from somewhere near the back, she heard a daddy say, "Looks like another deadbeat dad, too busy to waste his day." The words did not offend her, as she smiled up at her Mom. And looked back at her teacher, who told her to go on. And with hands behind her back, slowly she began to speak And out from the mouth of a child, came words incredibly unique. "My Daddy couldn't be here, because he lives so far away. But I know he wishes he could be, since this is such a special day. And though you cannot meet him, I wanted you to know. All about my daddy, and how much he loves me so. He loved to tell me stories he taught me to ride my bike. He surprised me with pink roses, and taught me to fly a kite. We used to share fudge sundaes, and ice cream in a cone. And though you cannot see him. I'm not standing here alone. "Cause my daddy's always with me, even though we are apart I know because he told me, he'll forever be in my heart" With that, her little hand reached up, and lay across her chest. Feeling her own heartbeat, beneath her favorite dress. And from somewhere here in the crowd of dads, her mother stood in tears. Proudly watching her daughter, who was wise beyond her years. For she stood up for the love of a man not in her life. Doing what was best for her, doing what was right. And when she dropped her hand back down, staring straight into the crowd. She finished with a voice so soft, but its message clear and loud. "I love my daddy very much, he's my shining star. And if he could, he'd be here, but heaven's just too far You see he was a police officer and died just this past year When airplanes hit the towers and taught Americans to fear. But sometimes when I close my eyes, it's like he never went away." And then she closed her eyes, and saw him there that day. And to her mothers amazement, she witnessed with surprise. A room full of daddies and children, all starting to close their eyes. Who knows what they saw before them, who knows what they felt inside. Perhaps for merely a second, they saw him at her side. "I know you're with me Daddy," to the silence she called out. And what happened next made believers, of those once filled with doubt. Not one in that room could explain it, for each of their eyes had been closed. But there on the desk beside her, was a fragrant long-stemmed pink rose. And a child was blessed, if only for a moment, by the love of her shining star. And given the gift of believing, that heaven is never too far.

They say it takes a minute to find a special person, an hour to appreciate them, a day to love them, but then an entire life to forget them.

Jeff's lesson of the week.....

Fri, 06 Feb 2009 08:00:00 EST

A valuable lesson was reinforced this weekend. “It’s not over till it’s over.” I knew it was over. The Steelers lost the Super Bowl. Watching Larry Fitzgerald running towards the end zone was it for me. Even though time remained on the clock, I put my jacket on and headed home. I guess all faith wasn’t lost. I did turn on the radio to listen to the game. I couldn’t believe my ears. I missed the legendary drive. Sure I would see it replayed over and over again. But I didn’t get to see it live. The first thought that came to my mind was, “It’s not over till it’s over.” I will not make the same mistake again. I will never underestimate the power of someone’s will to win.

What does this have to with abusive debt collection practices? I will never underestimate the power of justice. No matter how grim it looks, justice will always prevail. The bully debt collector is on the wrong side of justice. And just like the Arizona Cardinals, the bully debt collector will lose. I have great faith in our jury system. I believe jurors want to correct an injustice. I should have had this same belief when it came to the Steelers winning the Super Bowl.

Debt Collectors who try to collect "Phantom Debts"

Thu, 05 Feb 2009 08:00:00 EST

According to a local news story published in Baltimore, Maryland, a woman got a phone call from a debt collector looking for her sister-in-law. The Debt Collector was alleging she owed a lot of money. How many times have we heard this line???

However, the sister-in-law owed nothing. The debt collector who called her was National Service of Processors, RCI, or RSI, and sometimes goes by the name of Maxine Billings. This company is based out of Georgia and has received hundreds of complaints.

Numerous complaints involving debt collectors trying to collect “phantom debts”. A phantom debt, is a debt that never existed. According to Angie Barnett of the Greater Maryland Better Business Bureau, “They’re scam artists. They’ll collect this phantom debt, they’ll buy names, contact information and credit information and make what they call phantom debt collection calls.” That is completely scary!

Remember, if you do not believe that you owe a debt. Ask questions!!!! Demand for validation of the debt, protect yourself!

A Debt Collector Can Ease Your Pain, WHAT??????

Thu, 05 Feb 2009 08:00:00 EST

Okay, I just had to share this article with you. This article was recently posted in the New York Times.
Apparently, debt collectors can ease your pain, and can try to help you out and give out financial advice over the phone!!! And, apparently we should be thankful for this!!!

I guess we should be glad and thankful for debt collectors who advise us to take out a second mortgage on our home to pay a small credit card debt, and debt collectors who suggest the United Way. Doesn't the United Way have better and more charitable things to do than help people with an old credit card debt?

Anyway, READ THIS ARTICLE, and see for yourself!

Where was Jeff this week?

Fri, 30 Jan 2009 08:00:00 EST

We had a bad snow/ice storm this week. My mediation against Collectors Training Institute was cancelled. I have a mediation today against United Collection Bureau. For those of you who don’t know, mediation is where a neutral person helps out in trying to get the parties to settle the lawsuit. It isn’t a hearing or a trial. No testimony is given. It is very informal.

Despite the weather, I was able to settle a case against one of the credit bureaus. The case alleged a violation of the Fair Credit Reporting Act. There was a conference scheduled with the Judge Wednesday morning. The federal courthouse was closed due to the snowstorm. The attorney for the credit bureau was from out of town and flew in the night before. The Judge didn’t want to postpone the conference. I received a phone call and e-mail early that morning from the Judge’s Clerk letting me know she would have to let me in the courthouse. I didn’t have much trouble getting to the courthouse. The roads weren’t that bad and most people were staying home.

After going through the formalities of the conference, I went into the jury room with opposing counsel and we discussed the case. This was the first time I dealt with this particular lawyer and I must say, he was a pleasure to deal with. We explained our respective positions. I told him how I felt about the case. Not what I was thinking, but what I felt. We then split up and the Judge met with each of us privately. The amount offered by the credit bureau to settle was not far from the amount my client was willing to accept. We were able to bridge the gap and bring the case to a successful conclusion.

Pittsburgh Women Fight Back Against Bad Debt Collectors

Wed, 28 Jan 2009 08:00:00 EST

Many pittsburgh consumers are feeling the pocketbook pinch right now and some are finding that they can't pay on their credit cards.

It's a tough situation to be in and unfortunately some bad debt collectors prey on people who are already vulnerable. However, you do have rights when it comes to bad debt collectors.

Some debt collection companies are so desperate, they resort to scare tactics like demeaning, threatening and frightening people into coming up with money. But one woman is taking a stand and fighting back.

Pittsburgh Attorney Jeffrey Suher, who works exclusively on debt collection cases speaks out on abusive collection tactics by debt collectors.

Follow the link below to read more about this local Pittsburgh article and to watch the KDKA video news story.

What did Jeff do this week?

Fri, 23 Jan 2009 08:00:00 EST

ABUSE OF POWER

This week I came face to face with the abuse of power. Each one of us holds enormous power. Unfortunately we often give it away. Our government asks for power in order to protect us. Corporations ask for power so they can “make our lives better” by providing us with the products they claim we need. We all want protected. We all want the new “electronic gadget.” So in our vulnerable state, we give away our power. Those who accept the power we give them often abuse it. We are easy targets. When we are weak or in a time of need, that is when the power holder takes charge. Debt collectors abuse their power. Rather than work with us in order to resolve a difficult situation, they use their power to abuse us. We would like to think that the debt collector on the other end of the phone is going to work with us. Somehow they will empathize with our situation and try to help us. Because we are in this vulnerable state, the debt collector wields enormous power over us. The debt collector then abuses this power in an attempt to make money. This abuse takes many forms. It could include false threats of a lawsuit or false threats of wage garnishment (which by the way is illegal in Pennsylvania). It could also take the form of a personal attack. I told you I came face to face with the abuse of power this week. I meet and talk with a lot of people every day. I am never surprised to hear the abuse that takes place.

One debt collector referred to a young woman who didn’t even owe the alleged debt as a “bitch” because she didn’t want to talk with the debt collector on Christmas Eve. Another debt collector accused an elderly woman of having Alzheimer’s and told her he would personally serve the warrant and would have the hearing in her living room. If that wasn’t enough the debt collector then said in a sarcastic tone, “I’m sure you living room is clean.” The abuse didn’t end. The debt collector then said, “When you are standing in front of the Judge, he will laugh at you.” This is an elderly woman who paid her dues. She should be treated with respect. Unfortunately, the abuse of power showed its ugly head once again.

What did TIna do this week?

Fri, 23 Jan 2009 08:00:00 EST

Website Mania!

This is the storyline of my week at Jeff Suher Can Help!

I spent the majority of this week working on ways to get our message out to the consumers in Pennsylvania. And, the best way to do that is through search engine optimization. I’m definitely not going to “bore” you all with the details of SEO.

Basically, I updated our website A TON! I added new blogs, and news articles about debt collection in Pennsylvania. I do believe I found a lot of interesting local news stories over the course of the last week. You know, like the one where NCO Financial Systems paid Pennsylvania consumers over $300,000 for harassing phone calls!

The reason behind the constant updates on our website is to make sure when YOU google anything in regards to debt collection in Pennsylvania, that Jeff’s website will be sure to POP up. We want to give you a website that you can count on for endless information regarding debt collection and the FDCPA. We want to bring you the latest news! Our goal is to educate and help the consumers of Pennsylvania.

To that end, I wish everyone a Happy Weekend.

P.S. Only 9 more days until the Steelers take on the Cardinals! I can’t wait!

Tina.

NCO Financial Systems paid PA consumers over $300,000

Thu, 22 Jan 2009 08:00:00 EST

If a debt collector contacts you about a debt that you are not sure you owe, please be very cautious – here is why:

Either a legitimate debt collection company is making a mistake by collecting the debt from the wrong consumer; OR
A schemer is simply looking for ways to access your credit card or bank accounts.

A debt collection company was just fined 5 MILLION dollars by the Federal Trade Commission for reporting inaccurate information to the credit agencies (Equifax, Experian, TransUnion).

Therefore, this Company – NCO Financial Systems was calling victims asking for repayment of a debt they didn’t owe!!!! So, if the consumers didn’t owe this debt and NCO was pretty aware of this situation, did they have collectors collecting money from consumers that didn’t owe thus making a pure profit from this….…….???????? Nah, that could never happen, right?

NCO Financial Systems also ended up paying out $300,000 to victims in Pennsylvania for using deceptive collection practices during these phone calls…..WOW!

Anyway, my point is - if you are getting a phone call from a company collecting a debt that isn’t yours, is it a company truly making a mistake or is a scam artist trying to get into your pockets????

Either way, protect yourself, here’s how:

1. Don’t ever give out personal information, such as bank account information and/or credit card numbers. And the obvious, cash; and
2. Ask Questions!!!!! This may help you to remember if this is actually your debt. If the collector cannot answer your questions, then the company cannot obviously verify your alleged debt, and simply ask for their address information to send out a Certified Letter asking for validation.
As always, please contact Jeff if you have any questions!

Jeff to appear on KDKA tomorrow, January 22nd

Wed, 21 Jan 2009 08:00:00 EST

Jeff Suher will be appearing on KDKA channel 2 news, tomorrow January 22nd at 5p.m. Jeff will be commenting about debt collection in Pittsburgh. Of course, he will have some new helpful tips regarding aggressive debt collectors.

Today's economy could lead debt collectors in either direction. Either they are so desperate for money themselves, they will start harassing consumers even more.....or the collectors will be more willing to negotiate payment plans because they are aware of the economy and how it has effected consumers' spending.

If collectors were smart, they might want to think of that phrase.........easier to catch bees with honey......how does that saying go again?

Debt Collectors and the Economic Crisis of 2009, some things to ponder.......

Wed, 21 Jan 2009 08:00:00 EST

What will debt collectors do in 2009 given the current economic crisis?

The truth is, nobody truly knows what will happen in the future. All we do know is that during economic hard times, consumers will pay for their necessities first (food, clothing, shelter, utilities) and car payments, credit card payments, student loan payments, will be last on the list.

Original creditors may give consumers more of a chance in making payments prior to charging off the debt or selling it to a debt collector. This may mean more negotiations between the original creditors and consumers by extending payment dates and lowering payments. However, this may also mean more lawsuits by the original creditors or third party debt collection companies.

The debt collectors may try to squeeze money out of consumers by doing whatever it takes. Remember, most of the time debt collectors are paid on commission. With the economy so bad, I’m assuming that harassment tactics will get even worse.

Now, if you are avoiding payments on old debt, thus avoiding debt collector phone calls, they might be more inclined to hold “block parties” or “office parties”. Block parties would be calling neighbors, friends, relatives, maybe even an old boyfriend with whom you haven’t seen for 10 years. Debt collectors do this to embarrass you into paying the debt, or even scaring a relative into paying the debt for you.

Office parties would be just the same embarrassing tactics only done with co-workers and possibly human resource departments or anyone they can speak with at your place of employment. This would embarrass some consumers into paying their debt in fear of losing their jobs.

Obviously, the tactics of debt collectors go on and on. Just make sure if you are experiencing any volume of communications with a debt collector to contact Jeff for a free consultation about your rights. Remember, we are here to help consumers in Pittsburgh and surrounding areas.

Don’t be embarrassed about contacting us. Everyone is being affected in one way or another with the economic crisis at hand. Let us help you and prevent debt collectors from getting away with taking advantage of today’s current situation.

Let's Share - A comment posted on our BLOGS regarding debt collectors

Tue, 20 Jan 2009 08:00:00 EST

Just wanted to share with you - about a couple comments that were posted on our BLOG regarding aggressive debt collectors. Unfortunately, I had to delete the comments because they were rated X.

However, it made me think (imagine that) and I did not want to ignore them.

It was very obvious that the reader who posted the comments had a few issues. Mainly this person was offended that consumers had the nerve to contact an attorney and file lawsuits against debt collectors - when they weren't paying their bills. Commenting that if consumers would pay their bills, they wouldn't have to worry about abusive debt collectors. The reader also stated that debt collectors should have the right to take what ever means necessary to collect their bills owed to them.

Exactly my thoughts......No, not anymore. But honestly, I used to feel that way sometimes, until I educated myself and started to really get to know our clients and their stories. It put things into perspective on how a debt collector could put someone "over the edge" so to speak.

Let's be honest, it would be great to have a great upbringing, gone to college, been lead in the right direction, to the right career path, to the right marriage, and of course being an expert on today's economy and knowing credit inside and out. But that wasn't me, was it you? No, it wasn't most of us.

Society makes us hungry for credit, society has made consumers dependent on credit NO, wait NEED credit to survive sometimes. And unfortunately, banks used to make it so easy for people that only made below average income to obtain loans, to obtain credit cards ....... and once that consumer was late on any payments BANG!!! Up went the interest rates, then BANG can't pay a couple months, then BANG - the bill is sold off to a debt collector for pennies on the dollar. Unfortunately, this has happened to so many Pennsylvania consumers. This is one of the underlying reasons why in today's economy it is almost impossible to get a loan with a great job and almost perfect credit!!!!

I do think that consumers should try and maintain a "credit line" that they can afford. I do think that consumers should not take out credit card accounts that they know they might have difficulty paying back. However, I DO NOT think it is okay if.......

A consumer is involved in a car accident and cannot work for 3 months and decides to feed his family instead of paying credit cards until he is back to work....and a debt collector calls to harass and berate this person WRONG!

A consumer is going through a divorce, is going back to school, and is trying to pay off debts, just not at the pace of the debt collector's wish - does this make it okay for a debt collector to threaten jail time and call up neighbors to embarrass this person - NO THIS IS WRONG.....

Come on now, do you really think that consumers want bad credit? Do you really think we want debt collectors calling our neighbors and embarrassing us, NO!

Behind every late bill there is a story. A real story, about a real human being. And these real human beings do not deserve to be harassed by aggressive debt collectors.

So, to all the debt collectors out there who may want to pick up the phone and call someone a "deadbeat", stop to think first - maybe this person just lost their spouse, or got a divorce, or lost their job.

And, to all the debt collectors who follow the FDCPA and try their hardest to understand the person behind the other line, Thank you.

Even Debt Collectors Have Hit Economic Hard Times

Mon, 19 Jan 2009 08:00:00 EST

This should be the best of times for America's debt collectors, since never has a society been so in hock. But ironically, much of the debt-collection industry is struggling because there's little cash left to squeeze from strapped consumers.

"People joke with me that my business must be great," said Mark Neeb, president of Affiliated Group, an Omaha, Neb., collection agency. "I would say the opposite is true. Our business flourishes when the consumer has money."

Swindlers Find Growing Market in Foreclosure

Fri, 16 Jan 2009 08:00:00 EST

As home values across the country continue to plummet, just like in Pittsburgh, the authorities say a new breed of swindler is preying on the tends of thousands of homeowners desperate to avoid foreclosure.

Until recently, defrauders tried to bilk homeowners out of the equity in their homes. Now with that equity, often dried up, they are presenting themselves as "foreclosure rescue companies" that charge upfront fees to modify loans but often do nothing to stave off foreclosure.

Please, it is important to read on....

It's Crazy! As the Economy Gets Worse, Debt Collectors Get More Desperate!

Fri, 16 Jan 2009 08:00:00 EST

It’s crazy! As the economy gets worse, debt collectors get more desperate.

A Boston man suffered a stroke and was out of work for 2 months. Therefore, leaving his wife to carry most of the family’s financial burden. As most families are often forced to do, they were living paycheck to paycheck – paying only their necessities on a Sears MasterCard.

Unfortunately, the mastercard debt went up to a $10,000 balance. The couple did their best to pay the card. However, when the couple only missed one payment, the interest rate skyrocketed to 29%. This in turn contributed to the debt swelling to almost $15,000. Making the payments rise and making it harder and harder for the couple to pay. Eventually, the mastercard was sold off to Leading Edge, a third party debt collector.

Given today’s economy, Leading Edge’s abusive telephone calls forced the couple into a lawsuit. It was the only way to get this company to stop. In the complaint the couple alleges that the debt collector used profane language, threatened to seize their home and car. The couple also alleged that Leading Edge contacted their neighbor and a relative and discussed this debt.

The couple complains that Leading Edge’s tactics drove them into emotional wrecks. According to the wife, they work multiple jobs and try to do their best. But when Leading Edge was asked to discuss this matter, of course, they declined to discuss the case.

Like many consumers, today, the husband (a truck drive) and the wife (a nurse) are struggling to hold onto their home and to get themselves of their current credit card debt.

If you, like many are struggling to do your best, but are being contacted by third party debt collectors – please contact Jeff for help and information that you need to know!

Attention: Consumers In Pittsburgh - Credit Card Companies are Willing to Deal Over Debt

Sun, 04 Jan 2009 08:00:00 EST

Hard times in the economy usually means good times for debt collectors, who make their money with the incessant ring of a phone. But in this recession, the unthinkable is happening: collectors, who usually do the squeezing are getting squeezed themselves.

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 percent of credit card debt.

“Consumers have never been in a better position to negotiate a partial payment,” said Robert D. Manning, the author of “Credit Card Nation” and a longtime critic of the credit card industry. “It’s like that old movie ‘Rosalie Goes Shopping.’ When it’s $100,000 of debt, it’s your problem. When it’s a million dollars of debt, it’s the bank’s problem.”

Pennsylvania Consumers - What You Can Do to Make a Difference!

Sun, 04 Jan 2009 08:00:00 EST

Consumers can make a difference by educating themselves about their rights.

Abusive debt collectors can and should be sued! Credit agencies can and should be sued!

The long term difference will be made when we all start taking action! Here is a page from NACA (National Association of Consumer Advocates), which discusses what YOU can do to make a difference, and Join the Fight!

No Phone, no problem! Warning, Pennsylvania Consumers: Debt Collectors Will do what it takes to find you

Sun, 04 Jan 2009 08:00:00 EST

Debt Collectors Go High-Tech. Debt Collectors will do whatever it takes to find you. Often times, debt collectors do what is known as a "Skip" trace. Within this "Skip" trace, a collector can find contact information for you, your neighbors, and your relatives. Debt collectors are now even using the internet, emails, cell phones, FaceBook, and Twitter. Watch this video for more information

Local Complaints About Debt Collectors Have Doubled in Pittsburgh

Sun, 04 Jan 2009 08:00:00 EST

Pittsburgh's better business bureau has seen a whopping 50-percent hike in complaints about debt collectors. While experts say don't ignore your debt, you don't have to put up with threatening calls.

People in pittsburgh are losing sleep over the threats from debt collectors. Crystal Rathbun from Spring Garden owes about 15 hundred dollars in credit card bills. "Sometimes they call like four times in a row...you can't even hang up on them because they call right back," said Rathbun.

Watch this local Channel 11 News Story to hear more about debt collection in Pittsburgh and how to STOP IT!

Bad Entries on your Credit Will Eventually Fall Off

Tue, 23 Dec 2008 08:00:00 EST

Your credit report or more so, your credit score can define who you are – more so than your career, your partner in life, and even your physical attributes. Seriously, think about it. You cannot obtain a car, a house, a credit card, a loan, or even sometimes a job without a good credit score. In today’s society without any of those things where would you be? Up the creek without a paddle, that’s where.

And, if you do get financed for credit with a low score or a bad score, your interest rate will be through the roof.

Today’s economy has caused debt collectors to become more aggressive and relentless as to their collection tactics. Thus causing consumers to get so upset, one might even contemplate bankruptcy. Some may have to file bankruptcy. But there are some things you might want to think about. One thing could be the timeline wherein a bad entry must be taken off your report.

Luckily the Fair Credit Reporting Act or (FCRA) has established guidelines so bad credit cannot stay with your forever (unlike that birthmark you’ve always hated).

Here are a few of those Time Guidelines set forth in the FCRA that you need to know:

Late Payment information and collection accounts will remain on your report for seven years from the date of delinquency.

Foreclosures will remain on your credit report for seven years from the date of delinquency.

Lawsuits or Judgments will remain on your credit report for seven years from the date of judgment.

Bankruptcy will remain with your credit report for 10 years from the date of filing; and

Paid tax liens will remain with your credit report for 7 years from the date paid.

A consumer does not have to do anything or write anything to the credit bureaus (Experian, Equifax, and TransUnion), to have the entry removed when the time is up. The negative account should be automatically taken off when the appropriate time has expired. If this does not happen automatically, then contact Jeff to dispute these accounts immediately!

Help Stop Debt Collection Harassment!

Mon, 17 Nov 2008 08:00:00 EST

Are Debt Collectors Harassing You or a Family Member?

Stop Debt Collection Harassment!

Come learn how the credit card industry works and find out YOUR rights regarding debt collection harassment.

Location: Dave & Busters in the Waterfront

Date/Time: Tuesday, Nov. 6th at 6:30 p.m.

Please join us for a fun, free, and informative event!

PITTSBURGH DEBT COLLECTION ON THE RISE

Mon, 17 Nov 2008 08:00:00 EST

Consumers are getting more and more harassing phone calls from debt collection companies. How does this happen to consumers? How does it come to this? Debt collectors harassing consumers over credit card debt. It is simple, there are many credit card companies out there that prey on gullible customers with not-so-good, to bad credit ratings. They sucker you in to applying for a credit card with a small credit limit, and automatic program fees, annual fees, monthly fees and set-up fees. This gives the consumer instant debt with very small credit power. BE SMART WHILE SHOPPING FOR THE HOLIDAYS!

The Vicious Cycle of Debt Collection: The Universal Default Clause, is it in your Credit Card Agreement?

Mon, 17 Nov 2008 08:00:00 EST

When you applied for your credit card, did you read through the fine print under the terms and conditions? Do you know if your credit card agreement contains the universal default clause?

Credit Card companies have recently added universal default clauses to the terms of our credit card agreements. This could be very detrimental for consumers with even one late payment.

How it works.

This provision allows credit card companies to pull your credit report on a regular basis. If there are any changes that have negatively affected your credit report, a higher interest rate can be applied to your credit card. This even includes any late payments on your mortgage, car, or a late utility bill. Sadly, this could not only increase the interest rate on future purchases, but also raise the interest rate on the consumer's entire balance. For example: if you are late one time on your car or mortgage payment, your credit card (if it has a universal default clause) could rise from 9% to 27% instantly.

We are only human. We all make mistakes. Is it fair, moral, or decent for credit card companies to increase your APR up to 30% if you late on ONE payment? How are consumers able to establish credit, keep credit, and pay debt in "good faith" if these are the sneaky games credit card companies' play? But wow, think of all the extra money the shareholders of the credit card companies make a year. Is THIS why the rich keep getting richer and the poor getting poorer? Is THIS why average working citizens cannot get ahead? One strike you're out, and the credit card company is up to bat.

Approximately 45% of credit card companies have a universal default provision contained somewhere within their card member agreements.

Credit Card companies did not mean to hurt consumers when they established the universal default clause. (Yeah, right!) Rather, it was established to protect them against potential losses by charging higher interest rates to consumers that are high risk with degrading credit ratings (By all means if you are one day late on a car payment, you should be considered high risk to that multi-million dollar bank, right?) However, marketwatch.com describes the provision as a common practice used by credit card issuers to increase consumers' annual percentage rate.

Chase has just joined Citibank, which no longer increase rates for customers based on negative information on their credit reports. However, they may review your credit record when adjusting your credit limits and other terms.

Currently, there are only a handful of states that have and are trying to pass a bill to ban these universal default clauses.

What do we do?

Gain awareness; review your credit card agreements. If you get an offer in the mail for a credit card that has a universal default clause, run has fast as you can.

Did you know?

On February 7, 2008, Representatives Carolyn Maloney and Barney Frank introduced a credit-card bill of rights that would make it harder for issuers to add fees and hike rates.

Senator Carl Levin is also sponsoring a bill that would cap rate increases, rein in fees and require clearer disclosures of all costs! Wouldn't that be nice?

Haunted and harassed by old debts?

Mon, 17 Nov 2008 08:00:00 EST

There is a fast growing industry that may have an impact on you. Debt collectors have been purchasing old debts for pennies on the dollar.

Rachel fell into financial trouble in 1990 when she went through a painful divorce. She was unable to pay one of her credit cards. The balance was approximately $2,300. Eventually the credit card debt was charged off. In the fall of 2005, Rachel started receiving harassing calls from a debt collector stating she had to pay the $2,300 balance plus interest or they were going to sue her. Follow this link to read more......

10 Ways to Curb Sleazy Debt Collectors In Pittsburgh

Mon, 17 Nov 2008 08:00:00 EST

Many consumers in Pittsburgh have been contacted by a bill collector or debt collector at some point in their lives. Being harassed by debt collectors is not fun and many of us may not know what to do. Read this article to find out ways to help stop debt collectors from harassing you.

Sleazy Debt collection tactics are merciless. Debt collectors keep coming up with new schemes and new ways to make you pay them. Remember, they only get paid if YOU pay them.

Jeff Suher to Host Workshop about the Fair Credit Reporting Act

Mon, 17 Nov 2008 08:00:00 EST

Obtaining credit can be fairly simple for most Pennsylvania consumers. If you have a steady job, and no history of serious credit delinquency, you can obtain more credit than you'll probably ever need. But many in Pennsylvania face the flip side of this equation, and often through no fault of their own.

As fair and impartial as financial institutions purport the credit system to be, the fact is that mistakes in reporting credit information still occurs at alarming rates. These mistakes leave affected consumers financially disenfranchised from the rest of us, exposed to long-term financial problems that can limit life's possibilities and close them off from their shot at the American Dream.

Jeff will discuss identity theft prevention, fraud alerts, and security freezes, and help you to take steps to prevent yourself from identity theft and what to do if it happens to you.

Jeff will discuss the responsibilities of debt collectors other furnishers to the consumer reporting agencies. Jeff can help you become aware of what debt collectors can and cannot report to the credit bureaus. Jeff will also help you better understand your credit report so you can spot inaccurate information.You will also learn the proper procedure to dispute inaccurate information.

Date: Tuesday, September 30th Time: 6:30 p.m.

Place: Single Step Strategies, 1738 N. Highland Road, Suite G103

Pittsburgh, PA 15241

Members $10 Non-members: $15.

To register EMAIL http://info@singlestepsstrategies.com

or Call 412-831-0183

On the Web: www.singlestepsstrategies.com

SEATING IS LIMITED!

A Need to Know Debt Collection Tactic to Harass and Threaten you into paying an Old Debt

Mon, 17 Nov 2008 08:00:00 EST

A debt collection tactic that FDCPA attorney, Jeff Suher wants you to know about!!

O.K., debt collectors can be sleazy - but this tactic is one that takes the cake.

Let me simply put a scenario together for you.....

A debt collector contacts a consumer about an old debt and requests thousands of dollars, as they often do. A lot of times the consumer cannot afford to pay a lump sum of thousands of dollars and will request monthly payments.

Debt collector will ask the consumer to hold while he or she "speaks with a Manager". (ha ha)

Debt collector unfortunately cannot accept monthly payments without first receiving an initial smaller (somewhat smaller) lump sum payment. (Isn't this debt collector so generous? Besides he only paid pennies on the dollar for this debt (that is probably several years old) and now wants the entire amount of money back from you!)

Anyway..... consumer again cannot afford the smaller lump sum payment.

Debt collector says, "No problem (at this point he is your best friend) just give me a checking account number to put into my system and then I will be able to secure this offer and allow you a couple weeks to get a loan or borrow money for the lump sum payment."

Consumer "I do not have that much money in my account"

Debt collector: "Don't worry, we are not putting anything through, we will just hold this for two weeks, while you get the money" "Nothing will go through"

The debt collector will probably tell the consumer that this is the only way he/she can take advantage of this ONE TIME OFFER!

In some circumstances, this may be true. The consumer may come up with the money, and the debt collector may NOT ever run an electronic check through the account.

However, in other circumstances the consumer will not be able to come up with the money. And the checking account number could "accidentally" fall into another department and get put through the bank.

If there are no funds and the check is returned NSF - the debt collector could possibly call the consumer and threaten to turn consumer over to the District Attorney's office for writing a bad check. Yes, even though the consumer TOLD the debt collector not to put the check through.

This is a tactic to scare the consumer into coming up with the money to avoid jail time for writing a bad check!!!!

STOP DEBT COLLECTION HARASSMENT! Contact Jeff, to pursue your rights under the FDCPA.

What to do if a Debt Collector Sues You.

Mon, 17 Nov 2008 08:00:00 EST

Is a debt collection company suing you over an old credit card debt?

If a debt collector is suing you over an old credit card bill, you are probably wondering what to do. When a credit card company is unable to collect money from you over a period of time, they often sell your debt for pennies on the dollar to a debt collection company.

Often times the debt collector will sue you and can do so if it is within the four (4) year statute of limitations in Pennsylvania.

The first rule of thumb when receiving a summons for Court over an old credit card debt:

DON"T IGNORE IT! This is the worst thing you can do. If you ignore the summons and do not show up, the Court will enter a judgment against you. The judgment will show up on your credit report for as long as seven (7) years. The collector can execute on the judgment and could possibly freeze your bank account.

WHAT TO DO! After being served with the Summons – make sure you read all the legal documents carefully. The debt collector should attach validation of the old credit card debt, proving that you do in fact owe the debt and when that debt allegedly went into default.

Basically, after the complaint look for documents that would show an agreement between you and the credit card company. Also, look for documents that prove how much you allegedly owe the credit card company.

Most importantly, Contact an attorney immediately! You only have so much time to respond to the Complaint.

WHAT CAN I DO FOR YOU? The debt collector is hoping you do not respond to the lawsuit so it can get a default judgment. Also, quite often the debt collector fails to provide accurate documentation when filing the lawsuit. Therefore, there is no need for you to ignore this.

If you have been sued, email us or call 1-877-YES-JEFF for a free consultation

Tina's Personal Credit Story!

Mon, 17 Nov 2008 08:00:00 EST

I would like to share my own personal story with you. Maybe it will be helpful to someone.

I was a bit of an irresponsible young adult. I obtained some credit cards right out of high school as I began business school, and shortly thereafter a vehicle loan for a sporty little Eagle Talon. (When I think about it, how crazy is it that I was able to secure this much credit at such an early age!) Well, needless to say somewhere around 1998-1999 I began defaulting on my credit cards and my car was also repossessed. Not such a great credit start.

In 2000 I was married and had two wonderful boys. I stopped working to stay at home. Somehow, I was smart enough to request a few forbearances and financial hardships to keep my student loans out of default throughout the years. In 2002, my husband and I purchased a home. My credit was horrible, and his not much better. It was pretty hard to find anyone to finance us. However, we ended up getting financed with 20% down on the house and an outrageously high interest rate (I believe 9.5%).

Unfortunately my marriage fell apart and I was divorced in 2004. My house was foreclosed on in 2005. Hmmmm, at this point defaulted credit cards, repossessed car and foreclosed on home.

Trust me this is not a sob story! I just want someone out there to realize they are not alone!

I obviously needed to get back to work and also back to school. I put my sons in daycare and began working for Jeff in 2004 and shortly thereafter returned to school to finish my degree. I started working on his personal injury and product liability cases. Soon I started to learn about his FDCPA (Fair Debt Collection Practices Act) cases and FCRA (Fair Credit Reporting Act) cases. How great was this, to be involved with cases that I actually enjoyed! It was awesome to help consumers with similar problems and to help Jeff go after sleazy debt collectors.

In March of 2006 I was driving a very old car and needed something more reliable. Since I worked with Jeff in connection with the FCRA, I realized that some of my old debt hit the seven year mark and should have fallen off my credit reports.

Therefore, I ordered my credit reports and my credit scores from all 3 agencies. My FICO score was a whopping 492. Was it possible for a score to go below 500?????

I reviewed everything and unfortunately it was accurate. I went through my reports and documented when each and every debt should be taken off my credit report. I also went through and picked the most recent debt that went into collections and contacted the original creditors to pay off a few recent debts. If the debt was over four years old, I closed my eyes and pretended it wasn't there.

I had managed to save some money over the last 2 years (it was easy since I had to go live with my mother again, lol.). I put money down and purchased my car. Again, high interest rate! But hey, you have to start somewhere. I just made sure that this time I bought something affordable to make sure I try to build my credit back up instead of continuing to tear it down.

In September 2006, I rented my apartment. Ahhhh, felt good. Although, again – the apartment complex did a credit check. Since I had not so great credit, I had to pay first and last months' rent for a security deposit. OUCH.

I am still working for Jeff – helping him go after debt collectors. I finished my degree, and am planning to continue my education.

In June 2008, I ordered yet another set of my credit reports.

Want to know what my credit score is? ......Drum roll please ............It is an overall of 676.

Not exactly where I want it, but my score jumped almost 200 points in two years.

I still have negative accounts on my credit, but I also have a couple good ones. There are about 4 more collection accounts that are due to disappear within the next 6 months. I will definitely have to keep a close eye on that to make sure that is what happens.

I still get a debt collection call once in awhile.......and if the FDCPA is ever violated I will make sure to protect my rights. (Unfortunately, debt collectors can call me in regards to my debt for as long as they like, 20 years even.)

But until then, I will sit back and know that in a couple years, my credit history will finally have a fresh start.

Thanks for listening! Please feel free to contact Jeff or myself if you ever have any questions.

Tina.

The Bureau of Collection Recovery Inc. - Calls a Pittsburgh Consumer a deadbeat and a liar!

Mon, 17 Nov 2008 08:00:00 EST

Bureau of Collection Recovery Inc. “BCR” is a debt collector. BCR purchases old cellular phone debts.

A debt collector employed by BCR contacted a Pittsburgh consumer regarding an old cellular phone bill. The consumer repeatedly told the debt collector he paid this bill and not to call him anymore. Like many debt collectors, they didn’t take him off the calling list.

The consumer then sent a letter to the debt collector disputing this debt.

As for Bureau of Collection Recovery Inc. (that name alone is intimidating), they of course took the road most debt collectors take and kept on contacting the consumer.

BCR even went as far as calling the consumer a deadbeat and a liar. The collector told the consumer he was going to ruin his credit if he did not pay this debt. But why should he? He already paid this debt, years ago.

The consumer contacted Jeff, who filed a lawsuit against BCR. BCR stopped calling the consumer. The case settled after BCR agreed to pay the consumer.

If you are contacted by a debt collector, do a little research. The research can be as simple as “googling” the debt collector’s name. You will be surprised what you find. Don’t be left in the dark. Know who you are dealing with and what they are capable of doing. And as always if you are having any problems with a debt collector, call Jeff.

Does your credit card debt die with you, or can it come back to to haunt those you left behind???

Mon, 17 Nov 2008 08:00:00 EST

Does your credit card debt die with you, or can it come back from the grave to haunt those you left behind? There isn’t a straight yes or no answer to this question. There are a number of factors, including where you live while obtaining the credit card.

Who the credit card belonged to is a factor. If there are no other account holders, the debt is yours alone. This could get tricky though, for instance, if there is an authorized user on the account. Usually if there is a mere authorized user (one that can charge, but is not liable for the bill), then he or she would NOT be responsible for the debt after a loved one passes away.

A spouse, child, or other family member cannot just inherit a debt without being a “cardholder”. The estate could also be responsible for paying the debt. If the estate goes through probate, the executor (or administrator) could determine in what order the bills should be paid. The remaining assets would then be distributed to the heirs. If there is not enough money left over, the credit card companies would just have to deal with it and write it off.

The question of who can inherit a debt can get very complicated. Many states allow a house to go to a spouse after the other spouses’ death without letting creditors intervene. Luckily, many states have laws to protect the family home from creditors. However, if you have lost a loved one and are receiving collection calls from debt collectors, call Jeff.

Jeff can help you determine if the debt is valid, if it is within the statute of limitations, and if you would in anyway be held liable for the debt.

The Tale of a Dead Man Walking....

Mon, 17 Nov 2008 08:00:00 EST

Have you ever heard of the tale of the dead man walking? If not, just ask debt collector, Phillips & Cohen. Apparently, they know all about it. A consumer received a debt collection letter from Phillips & Cohen – well actually they wrote to the debtor’s estate, passing on condolences and seeking to obtain money for a debt. Get this, they even enclosed a leaflet advising his family on how to wind up his estate and pay off debt. The only problem was, he wasn’t deceased.

Three weeks pass and the consumer received a second notice asking for money from the estate of his son. Unfortunately, his son had tragically died years earlier, causing this family great distress.

After numerous attempts, the consumer was able to stop the debt collector from contacting him in regards to his late son’s debt.

But this made me curious as to think how many people may get a letter such as this after a loved one as passed. And how many people actually pay their loved ones debt because they are in such distress when the debt collector comes knocking?

Generally, the deceased’s family member is not liable for any debts, unless they were in joint names. Please be sure to pass this information on if you know someone who has lost a loved one.

Holiday Help with Credit Cards

Mon, 17 Nov 2008 08:00:00 EST

We, at Jeffrey L. Suher, P.C. wish everyone Happy Holidays. In our attempt to help stop debt collection harassment, I would like to share with you some credit card tips for the holidays. These tips were prepared by AFFIL, Americans For Fairness In Lending, an organization which exists to help fight abusive credit and lending practices. Please visit their website for additional information at www.affil.org.

A Missouri Judge Orders a Debt Collector to pay $854,389.00

Mon, 17 Nov 2008 08:00:00 EST

A Jackson County, Missouri judge ordered a collector to pay $854,389 to a consumer and several of her family members for FDCPA violations. According to the judgment the violations included name calling, threats, harassing phone calls at home and work, and ignoring orders by the consumer’s attorneys to stop the calls.

Handling Harassment by Debt Collectors!

Mon, 17 Nov 2008 08:00:00 EST

Are you being contacted by debt collectors? Is a debt collector harassing you to pay a debt for someone you don't even know? Here is a story and a video about a woman facing these types of harassing phone calls from a debt collector called RPM.

Debt Collectors are SOOO Sleazy, Watch This Video!

Mon, 17 Nov 2008 08:00:00 EST

Have you heard the IRS will be turning over some of its back tax collection duties to debt collectors? This is a concern since sleazy debt collection tactics consist of approximately 20% of the Federal Trade Commissions' yearly complaints. "I am the guy who is going to end your life, that's who I am."

Watch this video to see more.

Debt Collection Complaints going UP; what to do if you get a telephone call in Pittsburgh. CLICK HERE TO READ THIS ARTICLE

Mon, 17 Nov 2008 08:00:00 EST

Debt collectors abusive and harassing telephone calls are on the rise.

According to the FTC, consumer complaints about debt collection abuse were up significantly in 2007(PDF link). This is hardly surprising, as debt has been plentiful and cheap lately. Complaints will almost certainly go up in 2008, since credit card borrowing is way up along with credit charge-offs.

If you are getting phone calls from a debt collector, you need to track the calls carefully. In Pennsylvania, you are legally not allowed to record a telephone call without permission of all parties on the telephone call. However, it is very important that you keep good handwritten notes!

Harassing Debt Collection Calls from India to the U.S.

Mon, 17 Nov 2008 08:00:00 EST

In a glass tower on the outskirts of New Delhi, India, dozens of young Indians are on the telephone, calling to harass America's debt-stricken consumers and asking for cash.

"Are you sure that's all you can afford?" "Well, how do you take care of your everyday expenses?" These are some of the harassing and pressing lines used by debt collectors to squeeze money from Pennsylvania consumers......

Please follow this article link to read more about the debt collection process and how debt collectors will start bringing up your tax rebate as a tactic to get you to pay up.

What can I do to stop debt collection calls about OLD DEBT

Mon, 17 Nov 2008 08:00:00 EST

Are you a Pittsburgh consumer receiving harassing phone calls from debt collectors trying to collect a debt? Are you wandering what to do with these phone calls?

Well, you no longer have to worry or wonder about these annoying phone calls. The only thing you need to know is DON"T PAY THE DEBT COLLECTOR before speaking to an attorney. Here's why:

* Debt collectors buy very old debt for sometimes less than pennies on the dollar. Collectors are trying to get paid from your old mistakes. Most debt collectors don't get paid unless you pay them!

* In Pennsylvania, there is a statute of limitations for delinquent debt. In most circumstances such as written contracts, oral contracts and promissory notes it is 4 years. This means that a debt collector cannot sue you to get the money after the debt has been in default for more than 4 years.

This also means that the debt collector will be in violation of the FDCPA if they threaten to take you to court past the statute of limitations.
However, the debt collector is permitted to call and ask you for the money to pay off the debt. Without harassing you of course.

* Debt collectors cannot harass you at work, cannot call you at odd times or over and over again.
* Debt collectors cannot berate you and make you feel like you are useless because you owe a debt.

Start fighting back against abusive debt collectors.
Contact Jeff, for a free consultation about your rights!

National Action Financial Services, NAFS - Typical debt collection company and numerous consumer complaints!

Mon, 17 Nov 2008 08:00:00 EST

National Action Financial Services, otherwise known as NAFS is another typical debt collection company trying to collect on old debt for which they purchased for pennies on the dollar.

Along with many other debt collection companies, NAFS violates the Fair Debt Collection Practices Act while trying to harass consumers on the telephone, demanding a checking account number OR ELSE they will garnish wages. HUH! What a crock.

People, be aware, debt collection companies CANNOT garnish your wages for an old credit card debt or old cellular phone bill.

Follow this link to RipOff Reports, a website by consumers for consumers, to view numerous consumer complaints about National Action Financial Services. You are not alone!

VIDEO - Outrageous Debt Collection Calls, and how a debt collector becomes "Mr. Mean"

Mon, 17 Nov 2008 08:00:00 EST

Outrageous video clips on 20/20. Debt collectors calling at 2:00 a.m., leaving harassing messages. Debt collectors saying they were just knocking at your door!!!! Threatening a consumer's life!!! The dirty laundry list goes on and on. An ex-debt collector is interviewed, describing how he became "Mr. Mean!". This is a must see!!!

Credit Card Companies vs. College Student - Who is responsible for the financial future of college students?

Mon, 17 Nov 2008 08:00:00 EST

DO COLLEGE STUDENTS IGNORE THE REALITY OF DEBT AND VIEW THEIR COLLEGE CREDIT CARD SPENDING AS JUST PART OF THE EXPERIENCE?

An online poll held by the National Association of Retail Collection Attorneys (NARCA), reveals what students think about their credit card spending during their college years. NARCA’s findings show that a quarter of college students think it is realistic that they have to run up credit card debt in order to survive in college. Credit card spending is characterized as “enjoying the moment”.

“Our poll results show that too many young people are living for the moment and are not preparing for their financial future,” said Robert Markoff, president of NARCA.

I believe this is a true statement. Should credit card companies share part of the blame? Do credit card companies make it too easy for college students to apply and obtain credit cards? Or should we solely blame college students for not taking responsibility for their own financial future?

Personally, I think credit card companies should put stricter boundaries on college students applying for credit cards. The likelihood of this occurring is very small. Credit card companies make money off of college students and isn’t that what it is all about? Credit card companies are able to charge higher interest rates and higher annual payments to college students with very little or no credit history and a small income as compared to a middle-aged business man with good credit history and a high earned income. So OF COURSE, credit card companies like to “hand out” credit cards to college students.

Why do you think so many credit card companies set up shop on college campuses?

Yes, that’s right. Credit card companies will pay universities big money to set up shop. Some universities have done the right thing by refusing access to their campuses. Credit card companies will lure college students into applying for a credit card by sitting out on campus giving away “free stuff” in exchange for completing an application. Since college students love free stuff, they apply. And….once that credit card comes in the mail, it is just too hard for a poor college student to turn away.

I blame today’s society, for 2 main reasons. First, if you think high school is a fashion show, then what is college? Everyone is in competition. We are slaves to the material things in life, such as clothes etc. Not to mention, all the parties a college student might throw to earn the respect and praise of their peers. Being out of mom and dad’s house for the first time, it is easy for college students to take advantage of their “new free living lifestyle”.

College students, and adults for that matter, think they need to appear as if they “have money” in order to be respected. We often lose sight of what is really important in life. Credit card companies take advantage of this mentality. They go after college students with a vengeance. They want the college student to become “addicted” to credit, in the same way the drug dealer wants his/her customers to become addicted to the drug.

Secondly, I blame the education or should I say “lack” of education of a young adult’s financial future. Is there a reason high schools do not educate students of the reality of their future credit history? Maybe high schools should start making a class like this mandatory. Maybe, just maybe, if we educate our young minds about how important it is in today’s world not to get in over our heads with debt, things might change.

Just food for thought.

A Debt Collection Company that "May" Train and Encourage Employees to Violate the FDCPA - sued in Pennsylvania

Mon, 17 Nov 2008 08:00:00 EST

It is believed that a debt collection company has a segment in its training program wherein employees are trained to use false names, to raise their voices, and to totally disregard the FDCPA.

Here are a few tactics encouraged in this training program:

- threaten to lien somone’s property;

- garnish wages;

- pretend to be calling from a “legal department” or clerk’s office”;

- to stop legal action, you “must” give me your banking information;

- to make up “case numbers” for non-existent lawsuits;

- to harass, make fun off, and beat down consumers until they pay.

All of the above strategies were used by this debt collector on a Pennsylvania consumer, in order to try and collect money that she was in fact disputing. Read more about this lawsuit

Jeff Suher represents Pittsburgh consumer whose credit card was stolen by Buffalo Debt Collector

Mon, 17 Nov 2008 08:00:00 EST

Jeff Suher is representing a Pittsburgh consumer who was unfortunate enough to be tricked and harassed into giving up her credit card information. This consumer did not even owe the debt! However, the sleazy debt collector made her feel ashamed of an old debt to the point of talking her into giving up her debit card information.

This sleazy, and I mean sleazy collector then stole her numbers and went on a shopping spree - charging almost $1900 in things that he had delivered to his house...... OOPS. Maybe not so smart. The Buffalo man was picked up and charged for this crime.

Remember, never give out your credit card or banking information to debt collectors. Check out the rest of this story in our NEWS section

The only website to obtain all 3 credit reports for free every year

Mon, 17 Nov 2008 08:00:00 EST

Remember, there is only one true website to obtain your yearly 3 free credit reports! You can request your reports online here, or you can download and print this form if you feel more comfortable mailing your request form to receive your free reports.

Here is the address where you send the form to obtain ALL reports, including:
Experian, TransUnion and Equifax:

Annual Credit Report Request Service
P.O. Box 105281
Atlanta, GA 30348-5281

If after receiving your credit reports, if you find a re-aged debt or an account that doesn't belong to you, please contact Jeff for a free evaluation of your rights. Jeff can help answer your questions on how to send out a dispute letter, how long credit reporting agencies have to investigate, and what steps to take after the results.

Pittsburgh Study: College Students Pile on Credit Card Debt

Tue, 26 Aug 2008 08:00:00 EST

About one out of every four college students leave school with more than $5,000 in credit card debt, according to a new survey.

Students also would be wise to avoid special gift offers in exchange for an application!

Man sets himself on FIRE after receiving so many debt collection calls

Wed, 30 Jul 2008 08:00:00 EST

There are lots of good ways to escalate your complaints. Going to the store, dousing yourself with lighter fluid and setting yourself on fire is not one of them. Unfortunately, that's exactly what one Newark, NJ man did after becoming frustrated with the amount of late payment notices and collection calls he was receiving from Rent-A-Center.

Indian Call Center Workers Demand Money

Mon, 28 Jul 2008 08:00:00 EST

There's a traditional perception that debt collectors are tough, that they rough people up,” Manu Sharma, a smart Indian executive, said from his sleek office in Delhi's outskirts. “That's not how we work”.

Welcome to the touchy-feely world of outsourced debt collection, an industry in the throes of rapid expansion as India's call centres - famous for flogging computers, life insurance and mobile phones - now look to cash in on the global credit crunch.

UPDATE: IRS REFUSES TO STOP USING PRIVATE DEBT COLLECTORS

Thu, 17 Jul 2008 08:00:00 EST

Despite repeated reports by the IRS's own independent review service that recommend dropping the use of contracted, private debt collectors for its delinquent collections, the IRS is continuing its Private Debt Collection (PDC) program.

Debt Collectors on a Rampage, Pittsburgh Attorney Jeff Suher Can Help

Mon, 07 Jul 2008 08:00:00 EST

With the economy in a tailspin, more consumers are falling behind in their loan repayments, and finding themselves the target of aggressive debt collectors.

Complaints against debt collectors have risen substantially in the last few years, according to the Better Business Bureau - up 20% in 2006 and 26% in 2007, according to preliminary figures.

As cash-strapped consumers struggle to make ends meet, third-party collection agencies are buying up debt from companies and actively trying to recoup losses and collect commissions.

Banks vs. Consumers

Tue, 10 Jun 2008 08:00:00 EST

What if a judge solicited cases from big corporations by offering them a business-friendly venue in which to pursue consumers who are behind on their bills? What if the judge tried to make this pitch more appealing by teaming up with the corporations' outside lawyers? And what if the same corporations helped pay the judge's salary?

AFNI, Inc. - Debt Collector Goes After Expired Verizon Bills

Wed, 21 May 2008 08:00:00 EST

Consumers around the country are complaining that Afni, Inc., a debt collection agency, has been calling, harassing and mailing - demanding that consumers pay old Verizon telephone debts. Consumer advocates say that many of the debts are so old that, under the statute of limitations, consumers are NOT required to pay.

Consumers are told that refusing to pay will hurt their credit score, NOT TRUE.

IRS Faulted for Lax Identity Theft Protection Efforts

Wed, 21 May 2008 08:00:00 EST

With just a few days left to go in the tax season and filers frantically filling out forms and returns, the likelihood that their personal information could be stolen or misused increases dramatically -- and the Internal Revenue Service (IRS) has admitted that its efforts to protect personal data from identity theft and fraud could use some improvement.

Avoid Debt-Collection Abuse

Wed, 07 May 2008 08:00:00 EST

Have you ever been hounded by a caller claiming you owe money on a credit card debt, but it is not true? Have you received a summons to appear in Court?

Overton received a summons to appear in Jackson County court. Living on $1,000 a month, Overton said she had no money for an attorney.

"Very seldom anything for food. I have nothing in there now. I have nothing in there," Overton told Antonia.

Debt Collection Abuse - the FDCPA Stops the Playground Bully

Wed, 07 May 2008 08:00:00 EST

United States of America - January 18, 2008 -- Ring, Ring, Ring,! Sound familiar? While going through some of the toughest times in our lives financially, we are further stuck with uneducated thugs calling to take our last drop of blood. Or a caller from India who you can't understand, yet his name is Todd. In most cases, the debt they are attempting to collect on is not correct, not owed, or they "think they have the correct person on the phone".

In any event, it should be made clear "YOU HAVE RIGHTS" they don't want you to know.

Abuse by Debt Collectors Growing in Pittsburgh

Tue, 06 May 2008 08:00:00 EST

Bill collectors aren't exactly known for their genteel ways.

Take the case in which a collection agency telephoned a woman's 5-year-old daughter, ordering her to tell her deadbeat mommy that she'd better pay her credit card bills.

Another customer had 12 messages at the office in one weekend. Another had 36 calls in one week,"

Such tactics are considered harassment and violate state and federal regulations intended to protect consumers from overzealous debt collectors, he said.

Zombie Debt - Can Haunt you forever

Wed, 02 Apr 2008 08:00:00 EST

After Kim Mullen filed for bankruptcy in 1993, she cut up her credit cards in her lawyer's office. Since then, the Levittown resident has managed to obtain a good credit rating. But in December 2007, a debt collector contacted her saying she had an unpaid credit card balance of $5,655, from 1992! With interest, the letter claimed, the debt had grown to $19,400.

To read more about this interesting news article about Zombie debt, please see below....

Curbing Sleazy Debt Collectors

Tue, 01 Apr 2008 08:00:00 EST

The math in recessions is simple: More folks are unemployed; more folks fall behind; fewer folks are able to pay their debts once they get behind.

It's tough conditions like these that tempt collectors to get rough with consumers. Given that the debt collection industry has trouble restraining itself during good times, you can imagine how bad this could get. Consider:

To get more information about this article please see...

Americans' Bad Credit is on the Rise

Thu, 03 Jan 2008 08:00:00 EST

Americans are falling behind on their credit card payments at an alarming rate, sending delinquencies and defaults surging by double-digit percentages in the last year and prompting warnings of worse to come.

An Associated Press analysis of financial data from the country's largest card issuers also found that the greatest rise was among accounts more than 90 days in arrears.

Experts say these signs of the deterioration of finances of many households are partly a byproduct of the subprime mortgage crisis and could spell more trouble ahead for an already sputtering economy.

Many economists expect delinquencies and defaults to rise further after the holiday shopping season.

For more information, follow the link below:

Collection Agency's Threats Deemed Illegal

Wed, 19 Dec 2007 08:00:00 EST

November 11, 2007

The voice-mail message was angry and unrelenting. "The situation will not die, I guarantee you!" the woman said in a steely voice, adding that she would call "every day." It was not a stalker or a jilted lover. It was a debt collection company.

And it was illegal harassment, according to the Federal Trade Commission, because the caller went on to threaten that the person's wages would be seized.

Last week, the commission announced that LTD Financial Services, a major collection agency, agreed to pay $1.375 million to settle charges that it misled and threatened consumers several times in violation of federal laws.

For more information, follow the link below.

JEFF SUHER TO HOLD DEBT ABUSE SEMINAR

Mon, 10 Sep 2007 08:00:00 EST

Pittsburgh Debt Collections Abuse Attorney Jeff Suher will be presenting an informative seminar on the film Maxed Out. For more information, follow the link below.

Complaints mount about debt collectors

Thu, 30 Aug 2007 08:00:00 EST

The calls started at 8 a.m. and were repeated a dozen times a day. Sometimes the person on the other end called and hung up. Other times he blasted loud music onto her answering machine. When Krista Weeks picked up the phone, she said, the debt collector called her "a liar" and "a deadbeat" and told her to pay up. For more information, follow the link below.

Hold on to Your Seat: America and The Debt Based Economy

Tue, 31 Jul 2007 08:00:00 EST

Today the Dow Jones dropped 300+ points, down over 400 at its low for the day. Tomorrow it will probably be just as volatile as it has been, but the shape of things to come is not good. We can only ride this irrational over-exuberance about the market for so long before we have to pay the piper. It's quite simple; while the market was setting a new record July 20th by breaking 14,000, the actual financial underpinnings of the country were growing quite bleak. For more information, follow the link below.

Florida Sues Collection Agency

Tue, 31 Jul 2007 08:00:00 EST

The Florida Attorney General's office filed a lawsuit Monday against a Duval County collection agency, alleging the company employed abusive tactics to collect debts from its targets. For more information, follow the link below.

Big Money in Bad Debt: How Collection Agencies Make Billions

Fri, 20 Jul 2007 08:00:00 EST

Would you like to make millions of dollars? Maybe even hundreds of millions of dollars? How about a cool billion? Would you like to start a business with extremely low overhead that will give you returns of over 100% on your initial investment? For more information, follow the link below.

Poll: Americans dislike corporate misdeeds over frivolous lawsuits

Fri, 20 Jul 2007 08:00:00 EST

OKLAHOMA CITY – Americans are much more concerned about corporate misdeeds than tort reform, according to a national poll conducted for the American Association for Justice, formerly the Association of Trial Lawyers of America. For more information, follow the link below.

US Central Bank Chief Faces Senate Questions on Housing Foreclosures

Fri, 20 Jul 2007 08:00:00 EST

Federal Reserve Board Chairman Ben Bernanke spoke to a Senate committee Thursday about conditions in the U.S. housing market. VOA's Barry Wood reports the chairman of America's central bank faced tough questioning from the senators about the difficulties poorer Americans are having paying their home loans. For more information, follow the link below.

Johns Hopkins Aid Official Resigns

Mon, 09 Jul 2007 08:00:00 EST

The financial aid directors at Johns Hopkins and Columbia universities have been forced out of their posts amid revelations that they received payments or gifts from loan companies they recommended to students, the schools said yesterday. Their departures mark the latest fallout from the New York attorney general's investigation into conflicts of interest in the $85 billion-a-year student loan industry. For more information, follow the link below.

Lawrence Walsh: Old electric bill still carries charge

Wed, 20 Jun 2007 08:00:00 EST

Maxie Justice of Fayette County took one look at the letter from the First National Collection Bureau and figured it was a scam. In the upper right hand corner, the company listed its address in Sparks, Nev., its toll-free phone number, its office hours and a 10-digit account number. It then said he owed $189.24 to NCO Financial Systems, an amount it said initially was owed to Allegheny Power. for more information, follow the link below.

Games Credit Card Companies Play

Wed, 30 May 2007 08:00:00 EST

Chase, Capital One and all the other predatory lenders routinely engage in practices that are specifically designed to not only raise the amount of money that you will owe, but are also designed to keep you in debt for as long as possible. As a firm believer in the principle that "forewarned is forearmed," Attorney Jeff Suher would like to tell you about some of the more reprehensible practices that credit card companies use to keep their customers almost perpetually in debt. Follow the link below for more information.

Recording raises questions about tax collection calls

Wed, 30 May 2007 08:00:00 EST

House lawmakers heard first-hand on Wednesday the frustration of a taxpayer whose debt was referred to a private collection agency, but an Internal Revenue Service official said expansion of the controversial outsourcing program would proceed on schedule. House Ways and Means Committee member Rep. John Lewis, D-Ga., played an audio recording of an unidentified taxpayer whose delinquent tax debt had been turned over to The CBE Group Inc. of Waterloo, Iowa, one of two companies working under an IRS pilot program to give relatively simple tax debts to private sector firms for collection. For more information, follow the link below.

Maxed Out!

Mon, 16 Apr 2007 08:00:00 EST

Maxed Out shows how the modern financial industry really works, explains the true definition of "preferred customer" and tells us why the poor are getting poorer and the rich getting richer. By turns hilarious and profoundly disturbing, Maxed Out paints a picture of a national nightmare which is all too real for most of us!!

Attorney Jeff Suher speaks to attorneys about the FCRA and the FDCPA

Mon, 01 Jan 1900 08:00:00 EST

Pittsburgh Attorney Jeff Suher, the areas leading expert in the Fair Debt Collection Practices Act, will be speaking for the Pennsylvania Bar Institute.

PBI’s CLE seminar, The Primer on the Fair Debt Collection Practices Act will be held to help educate other attorneys in this fast growing field of debt collection.

Jeff Suher will be speaking in the following locations:

Pittsburgh March 9, 2010

PBI Professional Development, Conference Ctr, 339 Sixth Avenue, 7^th Floor, Pittsburgh PA

Philadelphia March 16, 2010

CLE Conference Center, 10^th Floor, Wanamaker Building, Philadelphia PA

*will be simulcast to 19 other locations

Mechanicsburg March 23, 2010

PBI Headquarters, 5080 Ritter Road, Mechanicsburg, PA

The Fair Debt Collection Practices Act “FDCPA”, 15 U.S.C. § 1692 et seq., is a United States statute added in 1978 as Title VIII of the Consumer Credit Protection Act. Its purposes are to eliminate abusive practices in the collection of consumer debts, to promote fair debt collection and to provide consumers with an avenue for disputing and obtaining validation of debt information in order to ensure the information's accuracy. The Act creates guidelines under which debt collectors may conduct business, defines rights of consumers involved with debt collectors, and prescribes penalties and remedies for violations of the Act. It is sometimes used in conjunction with the Fair Credit Reporting Act.