Archive for June, 2012

Originally posted 2012-02-21 23:07:23. Republished by Blog Post Promoter

Having a poor credit score can make life gloomy. You would do almost anything if you thought that it would give you a better score and a chance at getting lower interest rates, and approvals for loans. But you need to be careful, your desperation to correct your credit could cause you to make costly mistakes. There are a lot of sensible things that you can do, as this article will show you, to take back your credit score.

If you’re trying to repair your credit you should realize that bankruptcy is not an easy way out with how to get help with credit card debt. Bankruptcy may help you get rid of large amounts of debt, but it stays on your credit report for up to 10 years and can affect your ability to get new credit in the short term.

Whenever you find a mistake on your credit report, it is important to contact the creditor as well as the credit bureau when you are trying to rectify that mistake. This can help any future problems by preventing that creditor from making the same mistake twice so you won’t have to go through it again.

Make sure to make your payments on time when you subscribe to a phone service or a similar utility. Most phone companies ask you to pay a security deposit when you sign a contract with them. By making your payments on time, you can improve your credit score and get the deposit that you paid back.

If you find any problems on your credit report while attempting to repair your credit score, contact the credit bureau through a dispute letter. You can find templates online that include all the information you’ll need to send to begin an investigation and get the false information removed from your report.

Do not be taken in by for-profit companies that guarantee to repair your credit for you for a fee. These businesses have no more ability to repair your credit score than you do on your own; the solution usually ends up being that you need to responsibly pay off your debts and let your credit rating rise slowly over time.

Recognizing tactics used by disreputable credit repair companies can help you avoid hiring one before it’s too late. Any company that asks for money in advance is not only underhanded but criminal. The Credit Repair Organizations Act prohibits credit repair companies from accepting payments before their services have been rendered. In addition, they neglect to inform you of your rights or to tell you what steps you can take to improve your credit report for free.

If you’re creditors call answer the phone and communicate with them. Most companies are willing to work with you on your financial issues. They offer repayment plans to help you catch up on past due payments. Don’t ignore your creditors calls or you won’t know what they have to offer.

When trying to improve your credit, you should ensure that you read over your credit card statements very thoroughly. There could be errors on your statement that could go undetected if you do not read over it. how to eliminate credit card debt on your own. You definitely want to be aware if your statement says you made a late payment when you did not because this can go on your credit report. Therefore, you should be sure you look over your statements every month.

As was said before, a good credit history is vital to economic success in today’s world, so repairing bad credit is a vital first step to financial stability. Educating yourself on how to do so is of great importance, and by using what you have learned in this article, you will be able to get back on the path to good credit.

Cancellation of Debt and the Insolvency Exclusion

Originally posted 2010-02-27 21:00:18. Republished by Blog Post Promoter

The general rule regarding cancellation of debt is that it is a taxable event. But there are some exceptions. The most common exceptions involve bankruptcy, the Mortgage Forgiveness Debt Relief Act (the “Act”), the insolvency provision, and certain farm and other business indebtedness.

If the cancellation of debt pertains to your primary residence and you don’t qualify under the Act, you may be able to exclude the income under the insolvency exclusion. You are insolvent when, and to the extent, the amount of your liabilities exceed the fair value of your assets.

To determine if you are insolvent (and the amount by which you are insolvent), you should analyze your liabilities and the fair value of your assets immediately before the debt cancellation event. Accordingly, the definition of insolvency would be when your liabilities exceed your assets at a given point in time.

Remember that the insolvency calculation should be done just before the cancellation of debt occurred. This can be difficult because often the cancellation of debt occurred several months back. Just realize how difficult the process is to go back six months to a year in the past and try to determine the balance in your bank account and the value of any furniture, vehicles, etc.

Your assets would include the value of everything that you own, including assets that serve as collateral for your debt and assets that would ordinarily be beyond the reach of creditors under the law, such as your 401k, pension plans and retirement accounts.

Liabilities would include your debt including the entire amount of recourse debt and the amount of nonrecourse debt that is not in excess of the value of the property that is held as security by the debt.

Assets you have may include (but are not limited to) the following:

• Cash and bank account balances
• All real property (including land)
• Cars and other vehicles
• Boats and other watercraft
• Household goods and furnishings
• Appliances, computers, electronics, etc
• Jewelry
• Clothing & books
• Stocks, bonds and mutual funds
• Investments in coins, stamps, paintings, or other collectibles
• Firearms, tools, sports, photographic, and other hobby equipment
• Interests in retirement accounts (IRA accounts, 401(k) accounts, etc.)
• Interests in education accounts and cash value of life insurance
• Security deposits with landlords, utilities, etc.
• Value of investment in a business (including interests in partnerships)
• Other investments (for example, annuity contracts, guaranteed investment contracts, and commodity accounts).

Liabilities you have may include (but are not limited to) the following:

• Credit card debt
• Mortgage(s) on all real property including 1st and 2nd mortgages
• Car and other vehicle loans
• Medical bills
• Student loans
• Accrued or past due mortgage interest and/or real estate taxes
• Accrued or past due utilities (water, gas, electric, etc.)
• Federal or states income taxes remaining due (for prior tax years)
• Loans from 401k accounts, other retirement plans and life insurance policies
• Judgements
• Business debts (including those owed as a sole proprietor or partner)
• Margin debt on stocks and other debt to purchase or secured by investment assets other than real property
• Other liabilities (debts) not included above

The insolvency exclusion is complex and you should use a CPA or other tax or legal professional to assist you with the calculation. You must use proper diligence in determining the amounts on the solvency calculation. This includes proper support for the fair market valuations of assets and liabilities, which may include (but is not limited to) appraisals, independent valuations, market studies, account statements, etc. You must retain any and all supporting documentation relating to the insolvency calculation.

This article is written for informational purposes only and is not intended to be tax or legal advice. Each situation is different and you must discuss your situation with a qualified tax or legal professional. We inform you that any federal tax advice contained in this communication is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing, or recommending to another party any transaction or matter addressed herein.

For additional information regarding cancellation of debt and insolvency, please go to This site has valuable information regarding cancellation of debt income and the insolvency exclusion.

Article Source: ArticleSpan

Debt Elimination Tip

Originally posted 2010-12-28 05:18:54. Republished by Blog Post Promoter

Millions of Americans search for the one successful debt elimination tip to get them out of trouble. We’d surely love zero stress, good cash and no monthly payments. Well, you should think about that when you get in debt because you buy a new couch, you change the furniture or you go on an exotic cruise. The concept of ‘buy now, pay later’ has brought many families and small companies on the verge of bankruptcy particularly in the context of the present-day financial crisis.

Preventing unnecessary expenses is probably the best debt elimination tip I can think of. Loans are totally justified and sometimes they make the only choice you’ve got. Maybe you have to make urgent home repairs, pay for some health treatment or for the kids college expenses. These reasons perfectly justify a certain level of debt. But buying expensive cars and paying an exorbitant credit card interest rate because of it is sheerly stupid.

If you seek for a debt elimination tip, then you must have been misled into consuming more than you can afford. The very nature of our modern economy is to make the average person work to exhaustion to accumulate wealth for corporations, not for you. There should be much more in your life than the constant struggle to rise above the expenses. Yet, when paying a real estate mortgage you come to understand that you invest three times more than it actually values over the lifetime of a loan.

Another mistake to avoid here is the minimum payment for credit cards debt. The present indebtedness level should be a lesson not just a debt elimination tip that should make people more cautious of what they spend their money on. Is it worth paying some $3,000 in interest for a furniture that only cost $2,000?. The furniture may even get discarded and thrown away by the time you finished repayment. Start today by saying no to over-consume! Spend only the money you have! Do not spend your budget in advance!

If you manage to find financial independence, you won’t need any further debt elimination tips! Working just to be able to survive is wrong. All the money you gain will go into your lenders’ pockets, and you’ll work to make them rich. Prioritize expenses, get organized and reduce investments to what you can afford! Then, you’ll feel much happier living in this world!

Originally posted 2012-03-06 23:26:08. Republished by Blog Post Promoter

Debt free programs come into focus when a person is in debt and is in need to get out of it. It’s true that there are many debt free programs to help people but knowing the right one is important as there are enough of hoax companies willing to take the maximum out of such situations. Not every company offers genuine unsecured debt relief. This is why you should know more about each company before selecting one. Before selecting the wrong program and regretting it later, it is better to first to do some research and find out certain things about the company, etc.

With a market full of hoax companies, it could be tiring to find the best one that will suit your needs. But in order to discover the truth, the first thing you could do is speak to a representative of the company offering the debt free programs. Do not hesitate in asking questions and getting information about the program as well as the company. Find out how the program works. Make sure you find out how long the company has been in business and what sort of a loyal clientele they have. Such things could help you get a thorough idea about the company and will help you build the trust between them. Before being hasty and jumping into anything, it is better to always do your research and then decide on what’s best.

The next thing you should do is ask the debt relief companies about their fees. No one would do anything for free, so enquire about their charges for the debt free programs they offer. Many organizations might charge legitimate fees, but also know that there are people waiting to make a profit instead of offering assistance. Always make sure you know which program you want to sign up on and also which program you qualify for before signing any agreements.

If the organization has strived during the past by reaching its goals by assisting people with debt relief help, chances are that they would be having a very loyal set of customers. In such cases, obtaining references can be very easy as it will help you validate the company. There can be instances where you might not be able to get the necessary information regarding the customers from the company itself. If this becomes the case, then ask them for proof that they are a legitimate organization and they have helped people in the past.

Finding an honest debt free program could be difficult at first, but with the necessary research and data collected about the companies, you might be able to decide on what’s best for you.

Visit to get more information that can help you get out of debt.

Stop Debt Collectors Legally

Originally posted 2009-10-28 04:33:08. Republished by Blog Post Promoter

Wondering if it is possible to stop debt collectors from calling? Are you tired of constant phone calls from debt collectors that are rude, obnoxious, insulting, and even threatening? Ever wondered who gave them the right to bug you constantly and try to pressure or scare you into making payments you can’t afford? Well, the fact is, NO ONE gave them the legal right to harass you, and you DON’T have to take it any more! You can stop debt collector phone calls, and prevent them from bugging you constantly at home and at work.

Debt collectors have to abide by legal guidelines when they collect debts. They cannot threaten to sue you, or to have you arrested, or make any other ridiculous threats. If they do, you can use that to beat them at their own game.

Debt collection agency abuse has been on the rise in the United States. Recently, the Attorney General of New York had one infamous debt collector prosecuted and locked up, and the whole story was featured on prime time news. Some of these guys actually threaten physical violence, or pretend to be police officers and federal agents! This is totally and completely illegal and if they try that on you, you can use it to your advantage.

Obviously, their only motivation is greed. Debt collection agencies buy charged off debts at pennies on the dollar. So, they could buy a $5,000 debt that you owe to a credit card company for say, $250 (just an example.) This means that if they successfully convince you to pay them the full amount owed (to the original creditor) they see a profit of $4750! (This illustration contains a big hint as to why and how you can settle your collection accounts for much less than what you actually owed.)

Debt collectors routinely sling insults at you, your work ethic, your integrity, and yet many of them are nothing more than greedy thugs that simply buy the “right” to try and collect a debt from you. But that right is extremely limited, and frankly, your rights as a consumer give you MUCH MORE POWER than they have!

The bottom line is, debt collector harassment is against the law, and you can effectively Stop Debt Collectors In Their Tracks, if you have the guidance and the right tools in place. Don’t put up with the abuse any longer. Give yourself the gift of peace of mind. How nice will it feel to no longer fear the sound of a ringing phone?

Originally posted 2010-12-19 08:09:18. Republished by Blog Post Promoter

Each day increasing numbers of people will be being affected by our downward spiraling economic system. Experts anticipate that we will be in this economic crisis for countless years to come. As people try to pay the bills, they have to count more on consumer credit to make up for lost wages and climbing costs. Subsequently they get to the breaking point where they can’t manage to make those high interest minimum payments.

Lots of individuals wind up phoning the credit card companies directly hoping that they will recognize the person’s circumstances and help this devoted consumer who has up to this point always stayed current and made their payments punctually. Many people then find out that their devotion and commitment to being on time would mean positively nothing to these kinds of creditors. Several banking institutions either don’t have any hardship program, or if they do, the terms and payment amounts tend to be much better than what you are coughing up now.

To understand the reason why these banks are like this, it’s essential to first understand how they work. You’re an asset for the bankers. Your account balances are documented on their books and they are able to then be lent on those bills sometimes up to ten times what you owe . The lender then uses that capital to lend out to other people and the routine goes on. The lender may continue to keep your credit balances on their books for so long as you are making payments to them. This is why these people spread out their bare minimum payments to be thirty years or maybe more.

So where do you turn when you are reaching the end of your savings and realize that you can no longer stay on this credit treadmill? There are some choices people have when planning to do away with credit card debt. One thing people do is not a thing whatsoever. Some people think that if they simply continue to fork out their monthly minimums, things may ultimately get better and they will be able to move out from underneath this cloud. The truth is, things are not getting better and as cited earlier in this article, bare minimum payments are set up to be paid back in thirty years or maybe more, and that’s considering that you no longer use the card.

A select few men and women will lean on relatives and buddies and make an effort to be lent from them. Despite the fact that with this selection, you pay back your lenders in full and in many cases your credit rating would still look great, the underlying issue is you will still owe the person that you borrowed from. This could certainly result in major strain on personal relationships and you are therefore not truly managing your debt situation.

For quite some time the common alternative for dealing with unsecured debt would be to seek bankruptcy relief. Consumers would accumulate their debt then file for bankruptcy and have the debt forgiven. The banking industry lobbied for years to get stricter laws regarding personal bankruptcy and in 1995 the bankruptcy abuse act was put in place. This made it a lot more tricky for folks to be eligible for bankruptcy, and the ones that did frequently had to check credit counseling first and get on a debt payment plan and occasionally be asked to repay as much as eighty percent of the debt. Apart from all of this, bankruptcy has got the worst influence on your consumer credit. It is going to be on your credit file for around 10 years. This is only the tip of the iceberg. A personal bankruptcy will stay on your public record through-out your lifetime. This could certainly influence you when obtaining future credit or even when trying to get a brand new occupation. Fundamentally, each and every time an application asks if you claimed personal bankruptcy, you are always going to have to answer yes.

Quite a few people will research various debt management programs or otherwise known as consumer credit counseling. With this particular selection you pay back 100% of your debt plus some interest and frequently a low monthly fee to the company. In the end you pay back somewhere around 125% of your debt. The common CCCS plan normally takes four to five years to accomplish and the payment you make towards the agent is often the same if not more then what you are spending now to the the creditors. This program is usually beneficial to somebody that is not having any problems with paying the credit cards and simply wishes to have them repaid in a shorter time frame but when you are struggling to keep current it is likely you will be unable to manage this method.

There’s also a number of fallacies concerning this method of debt resolution. Firstly there is certainly still destined to be a poor effect on your consumer credit. The firm will report in your credit file that you are in this plan and the code which is used is the same that is utilized for reporting a bankruptcy. Also lenders may well mark you as being paid by a 3rd party, or perhaps in collections for the whole length of the program. You might also need to quit making use of all of your charge cards and you aren’t able to leave any credit cards off of the plan.

One of the most widespread methods for minimizing debt was to merge all of your debts into a brand new loan at a reduced rate of interest. Simply because many individuals had a whole lot of unsecured debt the banks needed collateral to receive those loans. More and more people were refinancing their households, or obtaining home equity loans. This of course does not take care of debt but rather switched the unsecured debt to a larger risk secured debt. On most occasions men and women began to have a problem with the new bigger mortgage payments and so are now experiencing losing their households in property foreclosure. This is one component that has prompted our existing real estate emergency.

A lot of us have observed several promotions for television, radio stations and in your mail box saying that a company can reduce your credit balances in two, or that they know the techniques that the creditors don’t want you to learn. Several may even inform you that there’s a new legislation authorized by our elected representatives that offers charge card relief to people who necessitate it. So with all these hundreds and thousands of businesses around guaranteeing the world, how do you know you are not being duped?

The task these companies are recommending is addressed as debt settlement. In essence, with this type of a course, you save up your cash in a bank-account and look to settle with the lenders for a smaller amount then your current bills. At first thought, this seems to be too great to be true, and truth be told the majority of the claims these companies make aren’t truthful. There isn’t government plan, no magic bullet, no insider secrets that are kept under lock and key through the creditors. There is basically an time tested procedure that have been around since debt has been. The concept is that at some time a collector would like to cut their losses.

Let me clarify exactly how this method genuinely succeeds. As I mentioned earlier, you happen to be an asset to the creditors. What quite a few individuals don’t find out is that should you stop having to pay them, at some time they have to take your credit balances off of their books. This is called charge off. At this time, you shall no longer be an asset and often the collector will pack all their “bad debt” and sell it off to a 3rd party credit card debt buyer for cents on the dollar. They record that quantity as a loss and collect and insurance they may have and call it a day.

Now the motives of legal debt settlement is to make contact with the collector right before this charge off level and offer a deal slightly higher then what they would be receiving from selling it off. Often times the collector knows that this is a much better offer than charging it off and agrees to a arrangement. On most occasions they’ll look for a one time payment and now and again they’ll accept a structured settlement that you pay them monthly payments for a short period of time to solve the money owed.

Not surprisingly a primary key to this is you just cannot be current with the loan companies or they will not be inclined to negotiate the money owed. In addition the way in which they’re treated can have deciding factors on the end result of the settlement. It can be regrettable but you will discover quite a few fly by night settlement businesses that sometimes do not have the expertise essential to settle with the lenders, or are simply rip-off companies planning to cash in on frantic men and women.

Several of these businesses offering debt relief programs do not inform you all of the issues with debt settlement. They may frequently paint an attractive picture to you, like a walk through the park so to speak. In reality, debt settlement as many different debt relief alternatives, is a hardship. Even though the outcome is that you will have paid off your unsecured debt for much less then what you owe, right now there will be problems involved. If you are talking with a company that doesn’t come out and clarify the challenges of this kind of plan along with the positive aspects must be definitely avoided.

So, as the title of the article questions, how could you be sure your dealing with a corporation that is respectable and not out to burn you? Well the first step is to be sure you are dealing with a company that has accountability.Debt settlement program as an sector has little or no regulation. This is exactly what will allow countless businesses to appear all over guaranteeing the world. No one is around managing them by ensuring they aren’t fraud. Now there is one kind of company that has to answer to a higher authority and it is controlled. That is a law firm. A lawyer is controlled by the American bar association. If they were to deceive an individual or get several complaints, they are able to lose their permit to practice law and have the lawyer shut down.

Now, not all businesses that claim to have legal representatives are actual law firms. Many of them are law groups, or networks of legal representatives with an agreement to take care of specific facets of cases. A law firm is a group or lawyers and paralegals which are either partners, or on the payroll of the law practice. Whenever you sign up with a lawyer you have accessibility to all their resources not just a small portion and a nationwide law practice will have legal representatives in each state.

It is my experience in being in the credit card debt relief field for several years that this is the better way to go. A lawyer will help you have the best debt relief plan and make certain you are getting out of debt the appropriate way. A final thought, seek information, learn your options, and speak to somebody who knows an effective way of handling your financial troubles and that has your best interest in mind.

Originally posted 2010-04-03 06:26:39. Republished by Blog Post Promoter

There is no need to labour with debts as there are suitable alternatives available.

The main trouble with debt is usually simply having too many bits and pieces of debt scattered all over the place making it a constant struggle to even remember when all the loans, credit cards, etc.should be paid each month.

We are constantly surrounded by advertisements on billboards, television and the press, encouraging us to buy a shiny new car, some new furniture such as sofas and fitted bedroom furniture, garden furniture and so on.

The car advert made the car look so desirable that it made you want it so much that you went out the very next weekend to buy it and funded it with hire purchase with your old car paying the deposit.

Then there are the hundreds and hundreds of advertisements, mainly in the newspapers, advertising luxury cruises sometimes costing £These cruises can be expensive and can cost up to the teens of thousands of pounds or even more, but the advertisements make the exotic locations look so inviting that these trips become difficult to resist.

You look at the advert in the glossy magazine and see a sauna with a beautiful looking girl in it and you imagine that if you too had the same sauna you would acquire the beauty of this exquisite looking creature, and you decide there and then to phone the company to buy the same sauna, at the same time enquiring about a loan to fund the purchase, and even although the interest rate quoted is about 20% you happily proceed.

Before you know it you are knee deep in debt and even if have a high salary and can make all the repayments relatively easily every month, you are constantly juggling your finances.

It is absolutely futile, as well as unnecessary, to go on in this way as there is a way to make monetary management much more simple while at the same time saving money, and this is by the magic little life altering expression called debt consolidation.

Debt consolidation is when you total up all the balances of your credit cards, loans, etc. work out how much you need for debt consolidation.

Then work out just how much this debt of £50,000 is costing each month by taking the monthly payment for each loan into account and calculating the credit cards at 3% of the outstanding balance, as this is the minimum payment required each month.

The amount that you are paying out each month will astound you.

Having decided the amount of debt consolidation, the next step is to obtain quotations for debt consolidation loans and it is better to approach a whole of the market remortgage broker, secured loan broker or independent financial adviser who all deal with all remortgage and secured loan products, unlike your own bank or mortgage lender who only sell their own products.

An experienced finance expert will give you a number of free a quotations for remortgages and secured loans and you are under no obligation. You will be amazed at how much you can save as remortgages have interest rates from 1.84% and homeowner loans start from around 9%.

Debt consolidation could prove to be the best two words ever as you now have one low payment to make each month instead of the number previously.

Champion Finance has been arranging secured loans since 1985. In addition to homeowner loans they also offer whole of the market remortgages and mortgages. Professional and helpful debt management, debt help, debt advice, debt consolidation and all other debt solutions are also available.

Article Source: ArticleSpan

Debt Management for the Average Joe

Originally posted 2010-03-19 02:59:51. Republished by Blog Post Promoter

The prudent thing to do, of course, is to begin looking for a way to stay afloat. That’s where debt management comes in. Options for debt management might include:

- Enlisting the services of a debt consolidation company to help you create a manageable payment plan that is acceptable to both you and your creditors,

- If you still have a few chits you can call in with your bank, or with a good friend/family member’s help, you can apply for a loan that will cover your consolidated debts,

- Consider the possibility of taking an IVA, or individual voluntary agreement.

These are only a few of the options available, and they each have their pros and cons. Naturally, the option that is best for you depends on the circumstances surrounding your personal situation; what works for one person will not necessarily be applicable or feasible for the next person.

Some factors you should weigh when choosing your debt management plan include: what type of debts do you owe, how much do you owe, and to whom. A good financial advisor can help you wade through the whole mucked-up mess of your financial situation, determine where you stand, and figure out which road will lead you to financial freedom.

For many people, the most common and effective means of getting rid of debt is to adopt a debt management plan. This service, offered by debt consolidation companies and some banks or financial institutions, usually requires you to have a pre-defined minimum amount of debt, owed to three or more separate creditors, or has other similar criteria to be met before you can qualify for assistance.

You begin this process by meeting with a financial advisor and reviewing your personal financial profile, which is comprised of documents such as net income, employment paystubs, bank statements, liabilities, investment ventures, balance statements, tax returns, recurring monthly bills, etc. Once an accurate assessment is obtained, the advisor uses this information to negotiate a workable payment plan with your creditors. Upon reaching acceptable terms for reduced monthly payments (based on your ability to pay), you remit one lump-sum payment to your advisor a month, which will be distributed to your creditors as agreed. This schedule will be followed until the debt has been disbursed, or until you notify your advisor of a change in your circumstances that affects your ability to pay.

Also there is an IVA, or individual voluntary arrangement, which involves enlisting the help of an insolvency practitioner to form an agreement with your creditors to pay within a set time frame, usually defined as five years. At the end of the given time limit, the IVA is considered to have matured, or expired, and any remaining debt owed is forfeited by the creditors, and you are released from all obligation.

Sounds too good to be true? Of course it is! Your creditors aren’t dummies, and they’re not letting you off the hook out of the goodness of their hearts-the downside is that you would probably be required to "volunteer" the titles to your car and/or home as collateral, which means that they could be sold under certain circumstances as partial payment to cover their "assets", in case you somehow manage to break the agreement. Also, IVA’s are reported to the major credit bureaus, and will show up as an adverse account for the entire length of time it is active. This may make it difficult for you to get approved for credit in the future, even after you have resolved the debt.

I’m never said it would be easy to dig yourself out of that quicksand-filled hole of debt, but the key is to make an effort, and grab for any vine that is available. It will take time, but eventually, you’ll make it out, and you will finally be free!

If your business is struggling then you should seek the help and advice of a debt management company. A financial advisor will be there to talk over your debt questions and they will be there to answer any IVA questions you have which could help you to decide whether or not this is a suitable solution to your debt problems.

Article Source: ArticleSpan

Originally posted 2010-02-19 02:10:21. Republished by Blog Post Promoter

One of the most important things to bear in mind when talking about debt is that debt must be dealt with immediately as soon as it’s presence becomes apparent.

Many simply will not stare at their debts in the face and square up to them.

People think wrongly that debt will simple go away.

This is certainly not the truth as debt will not disappear over night of over the course of time, but will remain and grow and spread like a cancer destroying everything in it’s path, which in the case of debt is mental and physical health and peace of mind.

Soon for a person in debt the only thing that permeates his entire existence is debt and nothing else is of interest.

Extreme fatigue soon sets in as a good night’s sleep becomes a thing of the past and the lack of sleep exacerbates the debt worries as it is more difficult than ever to cope with life when in a state of constant fatigue.

When the mail comes through the letter box each morning you cringe knowing that it will be credit card statements that you are finding difficult to pay or demands if matters have become more serious.

The ring of the telephone makes you almost physically sick and you wish that they would all go away and leave you alone with your thoughts.

There is no need for anyone to struggle on with debt as there are debt solutions available to help those who are just struggling slightly due to having taken out too many credit cards or those who are in a serious situation.

People sometimes take on too many credit cards not taking account of the fact that they already have three credit cards when they take out a fourth, and before long they find that making repayments of the total balances of £20,000 on the four cards with a minimum payment of £600 is proving too expensive for them.

All individual bits of debt can be lumped into one by debt consolidation.

For homeowners, debt consolidation is best achieved by either a remortgage or a secured loan, commonly called a homeowner loan.

With credit cards having interest rates of at least 20% and as much as 40% or over, paying them off with a remortgage with interest rates from 1.Secured loan rates start at round about the 9% mark and remortgages are from 1.98% and therefore they are both useful home loan products.

Great savings, running into hundreds of pounds, can be made as well as finances becoming easier to handle.

For those who do not own their property or homeowners not eligible for a remortgage or a secured loan obtaining the correct debt advice and debt help from an expert will offer other debt solutions to help those in debt become debt free once more.

Champion Finanace is one of the longest established secured loan brokers in the counry if not THE longest established. You can therefore trust Champion Finance to arrange your homeowner loan or your whole of the market remortgage or mortgage Debt consolidation, debt management, debt advice, debt solutions and Trust Deeds, and IVA’s also arranged.

Article Source: ArticleSpan

Originally posted 2010-03-22 08:30:59. Republished by Blog Post Promoter

Wouldn’t you love to be able to convince your money guzzling auto insurance company into paying off your debt? That’s exactly what some SUV owners out in California thought, and they successfully managed to use their auto insurance companies to pay off their debt. It was great-until they got caught! Here’s what happened out in California and why insurance fraud just isn’t worth it.

What Happened

Several years ago the economy began to droop-but then again, you already knew that! What you might not have known is that drop in economy left hundreds of SUV owners holding "upside down" bank notes stating that they owed more on their lease or current car loan than their truck was worth. They were struggling to make their payments while still keeping their SUVs insured, and many of them turned to GAP insurance to make up the difference between their auto insurance coverage and their vehicle loan if disaster struck.

This meant they were still paying extra every month and struggling to make ends meet. Something had to be done.

Who They Turned To

Many SUV owners contacted the Southern California dealer (names are not being revealed at this time) to see if they could trade their SUV in and purchase a cheaper model-like a nice four door, gas friendly sedan. Their dealers shifted them over to another department, who had a better proposition for them. They would connect them with a ring of arsonists who, for $300, would torch their SUV, allowing them to claim the loss through their insurance company.

Fraudulent arsons take place every time the economy takes a dip. One arson investigator not so fondly recalls the night he was called out to thirty two vehicle fires in a single evening. What most of these drivers didn’t know was that cops are good at identifying fraudulent vehicle fires. Really good. Why? There are a few tip offs that are impossible to fake. First and foremost, in most vehicle fires the owners are still standing nearby. When a vehicle is alone and burning the cops always start asking questions.

Anticipating this response many of these drivers had the foresight to declare their vehicles stolen, which only raises more eyebrows. And then there’s the little matter of accelerant. For an SUV to burn enough that the auto insurance provider will declare it totaled before the comps and the fire department arrive the arsonist is almost always going to use an accelerant. Most drivers assume that because cars use gasoline anyway no one’s going to notice if a little gasoline burns.

News Flash: There’s not usually gasoline INSIDE the cab. And yes, arson investigators notice these things.

How They Got Caught

Eventually the wheels of justice started turning and the police caught wind of the scam. They set up a sting, contacting the dealer and making arrangements with the arsonists to torch a vehicle fully equipped with cameras and a fuel switch. When the arsonist climbed into the cab, picked up their money and tried to drive away the SUV locked down and the firebug was trapped until the police arrived. This sting led to the arrest of seven other people and the end of the arson ring.

It just goes to show that no matter how well insurance fraud might pay, it’s always a bad idea.

Mike McDonough is a National Account Representative for For more information on auto insurance and auto insurance fraud visit them on the web at

Article Source: ArticleSpan

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