8 Great Debt Management Tips For The Unemployed

Trisha was devastated. Before she called me. She had just been laid off from her job. She was deep in debt. She was making her payments on-time, but now that she was without a job Trisha didn’t know what to do.

I was able to calm Trisha down and give her some tips to help her out while she searched for another job. Today, I’ll tell you what I suggested to Trisha.

1. Check your Government Credit Report at http://www.Annual Credit Report.com. It’s free (once every 12 months). 79% of Credit Reports have ‘Clerical Errors’ on them. Over 25% of Borrowers have had negative yet inaccurate information prevent them from obtaining much needed Credit.

“Negative and inaccurate information on your Credit Report, should be removed or corrected asap”

One clerical error on your Credit Score can make a BIG difference. Check your Government Credit Report for errors at AnnualCreditReport.com.

2. Keep your Unemployed Status a secret. Creditors can not afford to feel sorry for Debtors. Don’t tell your Creditors (or anyone you do business with ) that you’ve lost your Job.

3. Know your Emergency Options regarding your 401k. True confession. When I lost my radio job, I took a loan from my 401k to buy a used car. Borrowing from my own 401k made me the Creditor and the pay off was painlessly low. There are many 401k options (depending on the plan). Call your 401k provider and ask about your Emergency Options.

4. Refinance whatever you can for a lower fixed rate. There is almost nothing worse than being Unemployed and your Interest Rates for your loans sky-rocket. If you have a ‘Variable Rate Loan” or your rate is too high, look at refinancing . Beware though…a re-finance may not be easy. You’ll have to keep at it. Shop around, learn your options.

5. Prioritize your finances.Like Dr. Stephen Covey, Author of, 7 Habits of Highly Effective People said, “put 1st things 1st. Pay all of your bills, as needed. But your family’s priorities and utilities; lights, gas, food, and shelter,are much bigger priorities. I would prioritize from biggest to smallest – necessary to unnecessary.

6. Close Credit Accounts only if necessary. Normally, I wouldn’t suggest that you close any Credit Lines if you can responsibly manage them. But we are NOT in NORMAL times. It’s much better for your Credit Report to state, “close at borrowers request” than, “closed at the Creditors request”.

7. Be Flexible with your expectations. You may not find the kind of job at the pay you’re used to. You may have to change careers all together. This is the time to become open to other opportunities. This may be a time to start your own business. The choice is yours.

8.Be kind to your mind. You may find yourself feeling aggravated, depressed, angry and shocked at the lack of common courtesy in the Job market. Now is not the time to be hard on yourself. Instead, use every interaction as a learning experience. Make it a game, have fun! Remember, bills are just business, not your life.

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DEBT WARRIORS™ are not Attorneys. The information on this blog, should not be considered legal advice.

FTC 2010 Report Warns: Debt Collector Harassment Getting Worse

FTC Chart shows rise in Debt Collection Complaints

(the FTC chart above shows the rise in debt collection harassment from 2007 to 2009)

Debt Collection Terrorist are notorious for their repeated phone calls,fear tactics, and underhanded tricks. But according to the 2010 Federal Trade Commission (FTC) Congressional Report on the Fair Debt Collections Practices Act (FDCPA), complaints about Debt Collection Terrorists have soared by 50% since 2009.

The FTC / FDCPA  2010 Report  Found More Shocking Statistics Including:

• Complaints of Debt Collectors using obscene language is up 35%
• 2,517 incidents of a threat or actual use of violence by Debt Collectors
• 9,632 complaints, asserted that collectors demanded interest, fees, or expenses that were not owed (such as collection fees, late fees, and court costs)

What’s more shocking is that complaints about Debt Collector Harassment are set to rise another 13% in 2010. It’s estimated that Debt Collection Harassment in 2010, will rise by 63%, over 2009 levels. You can review the entire Federal Trade Commission 2010 Report to Congress. Click here to open the full FDCPA report in a new tab or window.

Are You Being Harassed By Debt Collection Terrorists?

Debt Warriors believe you should be prepared and not scared of Debt Collection Terrorist. That’s why Debt Warriors have produced the ultimate weapon to help you defeat dirty Debt Collection Terrorists. The video below explains more about the Debt Warriors Arsenal.

Stop Debt Collection Harassment: Order Your Debt Warriors Arsenal

OPERATION ONE: “Stop Debt Collector Harassment” Video Course ($50 value)

Right out of the box, the DEBT WARRIORS ARSENAL™ will show you how to stop all harassment by Debt Collectors and FORCE them to prove that you owe what they claim you owe.

You may not owe  anything to the Debt Collector. And there is NO reason why you should be hounded and harassed (for the debt) even if you do owe!

In OPERATION ONE Debt Warriors will show you,  step-by-step,  how to stop greedy and mischievous Debt Collectors from lying, terrifying and embarrassing you at home, work, or with friends and relatives .

It makes no sense to pay a bill that you don’t legally owe.

In OPERATION ONE, you’ll be coached step-by-step through the process of Debt Validation to make the Debt Collection Terrorist, put up the proof  (that you owe) or shut up and leave you alone!

“Cease Communications and Debt Validation Letter.” [C.C.D.V. LETTER]

($50 value)

Did you know that with one easy to “customize and send” letter, you can stop all telephone harassment by Debt Collectors on Demand? Under the Fair Debt Collection Practices Act, you have the right to sue a Debt Collector for harassing you. I’ve seen it done in Court and trust me, it does work!

If you’re willing to learn and use your rights, this form alone will save you years of time, worry and stress.

Don’t let the Debt Collection Terrorist win? You can defeat Debt Collectors and stop the harassment yourself. The Debt Warriors Arsenal shows you how. Click here to learn how to stop Debt Collector Harassment.

Have You Been Harassed By A Debt Collection Terrorist In The Past?

If you’ve been harassed by a Debt Collector, tell us your story by leaving a comment below.

Top 3 Statue Of Limitations Debt Collections Myths

OPERATION TWO:(Staute Of Limitations) Video Course

What is the Statue of Limitations for Debt Collection?

The Statue of Limitations (SOL) is the amount of time that a 1st Party Creditor, or the 3rd Party Debt Collector can legally collect on a debt.

Once a Debt has past the Statue of Limitations for  Collection, the 2nd Party “Debtor” can not be successfully sued for the debt.

Special Note: The SOL is varies from State to State and is based on a number of factors.

It seems simple enough. After a certain amount of time, depending on the State,  debt can’t be collected on. But there are many Statute of Limitations myths to beware of.

Today Debt Warriors will share the top 3 Statue of Limitations Debt Collection Myths.

Myth #1: Time-Barred Debt

Once a debt has passed the Statue of Limitations it is considered “Time-Barred” and can not legally be collected on.

Not true! The 3rd Party Debt Collector can and will ATTEMPT to collect a debt that has passed the SOL for collections. It is not illegal to attempt to collect a debt that has past the statue of limitation.

Myth #2 Debt Collectors Can Not Sue For a Time-Barred Debt.

Be on guard because 3rd Party Debt Collectors can and do SUE the 2nd Party Debtors in Court for a Time-Barred Debt.

Submitted: 9/4/2007

” I recently received a letter from Asset Acceptance in Warren, Michigan. Within a few days I received a certified letter from the local court stating that Asset Acceptance was trying to get $1300 plus from me for a credit card account dating from 1994.

After doing research on the Fair Debt Collection Practices Act I realized that they cannot collect on a debt that is over 6 years old in Ohio.

I am forwarding this information to the court and to Asset Acceptance. Had I not known about the Fair Debt Collection Practices Act I would of thought I still owed the money. Do research before you pay to see if you are still liable for a old debt. Asset Acceptance should be shut down today and not allowed to rip anymore people off.

Upsetinohio
findlay, Ohio
U.S.A.  “

Debt Collectors will attempt to collect on any debt in question – even after that debt has passed the Statue of Limitations for Collections and is considered Time-Barred. In the  case above Asset Acceptance had filed a Lawsuit for a debt over 20 years old.

Myth #3 Paying a Time-Barred Debt Will Improve Your Credit

Paying a Debt that has passed the SOL for collection is like bringing a dead monster back to life. Once a Debt has passed the Statue Of Limitations for collection, it is considered a “Dead Debt”. Paying the Debt gives the account 7 more years to sit on your Credit Report.

Get Bonus Statue of Limitations Guide When You Order

How Can You Tell If Your Debt Has Passed The SOL?

That’s what Debt Warriors teach You in Operation Two Time-Check. This 10 minute video course will tell you everything you need to know about the Statue of Limitations for Debt Collection.

Many people lose money paying debts that are dead. Or worse, they make a “Good-Faith Payment” and “Legally Re-Age” the account.  These people end up  stuck with that debt for at least 7 1/2 more  years (sometimes longer).

In OPERATION TWO, Time-Check, DEBT WARRIORS help you determine if the debt is owed or simply too old to be collected on.

This OPERATION also provides step-by-step instructions to correct an “Illegally Re-Aged Account” on your credit report.

Operation Two Time-Check will save you time, money and stress by showing you exactly how to tell if your debt is Time-Barred.

You’ll learn what Debts are exempt from the SOL and how to defend yourself when a 3rd Party Debt Collector tries to unfairly collect on a Debt that has passed the SOL for collection. To order Operation Two Time Check click here.