In today's economic environment, many people are struggling to stay afloat. Individuals in Florida and across the nation have racked up credit card debt and are underwater on their mortgages, putting many debtors in jeopardy of losing their homes. In such situations, people become desperate for solutions. Unfortunately, deceptive business practices are being used to take advantage of financially strapped individuals seeking debt relief.
It is very important for debt collectors to only engage in proper conduct in their debt collection efforts. In today's difficult economy, consumers have enough on their plates without also having to worry about having to be subjected to wrongful debt collection conduct. Wrongful debt collection conduct can be very harmful to consumers.
People dealing with substantial debt problems may be vulnerable to scam artists seeking to take advantage of them financially. The Federal Trade Commission (FTC) recently shut down two such debt negotiation companies. The two companies, one of which was based partly in Florida, are accused of offering fraudulent or misleading debt relief services to consumers with high credit card interest rates.
One of the most difficult things people have to endure when swamped by debt is the relentless badgering of debt collectors, and their tactics appear to be getting worse.
In our last blog post, we discussed the increasing number of debt settlement companies choosing to skirt the new regulations provided by the Federal Trade Commission (FTC) in September. Today, we will look at how these companies are bypassing the rules and taking advantage of unsuspecting consumers seeking debt relief services.
Debt settlement companies do not have the best reputations. Horror stories of consumers paying thousands of dollars while receiving no benefit from these companies run rampant. Still, progress was made in September, with the Federal Trade Commission (FTC) imposing new regulations on debt relief and consolidation companies. These rules sought to protect vulnerable consumers looking to avoid bankruptcy and relieve their mounting credit card debt.
In our last blog post, we went over some of the soon-to-be implemented rules created by the Federal Trade Commission (FTC). These rules seek to protect consumers who are seeking debt relief by utilizing the services of debt relief organizations. Today, we will continue to examine the new rules and discuss why using these services is still not always in the consumer's best interests.
The economic downturn has left many Americans saddled with credit card debt with little to no way of paying it back. These stressful situations have led many consumers to turn to debt relief companies which claim to negotiate and settle your debts. Unfortunately, however, many of these companies prey on distressed consumers rather than provide legitimate debt relief.