HUD PROPOSES MORTGAGE REFORM TO HELP CONSUMERS BETTER UNDERSTAND THEIR LOAN, SHOP FOR LOWER COSTS
May 29, 2008
WASHINGTON – In an effort to significantly improve the complicated, unclear and costly homebuying process, U.S. Housing and Urban Development Secretary Alphonso Jackson today proposed mortgage reform designed to help consumers better understand their loan terms so that they can shop more effectively for the largest purchase of their lives. Read more
BUSH ADMINISTRATION TO EXPAND MORTGAGE HELP FOR STRUGGLING FAMILIES
May 29, 2008
WASHINGTON – The Bush Administration today announced additional mortgage assistance for subprime borrowers who are at risk of foreclosure. The plan, which is designed to help address the adverse economic conditions affecting many communities across America, will help break the cycle of house price depreciation that is being caused by an increasing number of foreclosures and the overall contraction in the credit market. Under the new plan, HUD’s Federal Housing Administration (FHA) would have the added flexibility to insure more mortgages, including those for borrowers who were late on a few payments and/or received a voluntary mortgage principal write-down from their lender. Read more
For People on Debt Management Plans: A Must-Do List
May 29, 2008
Reputable credit counseling organizations employ counselors who are certified and trained in consumer credit, money and debt management, and budgeting. Those organizations that are nonprofit have a legal obligation to provide education and counseling. Read more
How to Dispute Credit Report Errors
May 29, 2008
Your credit report contains information about where you live, how you pay your bills, and whether you’ve been sued, arrested, or filed for bankruptcy. Consumer reporting companies sell the information in your report to creditors, insurers, employers, and other businesses that use it to evaluate your applications for credit, insurance, employment, or renting a home. The federal Fair Credit Reporting Act (FCRA) promotes the accuracy and privacy of information in the files of the nation’s consumer reporting companies. Read more
Special Web Section Unveiled for Homeowners Who Lose Homes; Foreclosure Tax Relief Available to Many
May 29, 2008
IR-2007-159, Sept. 17, 2007
WASHINGTON — The Internal Revenue Service unveiled a special new section today on IRS.gov for people who have lost their homes due to foreclosure. The IRS also reassured homeowners that, although mortgage workouts and foreclosures can have tax consequences, special relief provisions can often reduce or eliminate the tax bite for financially strapped borrowers who lose their homes.The new section of IRS.gov includes a variety of information, including a worksheet designed to help borrowers determine whether any of the foreclosure-related relief provisions apply to them. For those taxpayers who find they owe additional tax, it also includes a form they can use to request a payment agreement with the IRS. . In some cases, eligible taxpayers may qualify to settle their tax debt for less than the full amount due using an offer-in-compromise. Read more
Before You File for Personal Bankruptcy:Information About Credit Counseling and Debtor Education
May 28, 2008
Produced in cooperation with the Department of Justice’s U.S. Trustee Program
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 launched a new era: With limited exceptions, people who plan to file for bankruptcy protection must get credit counseling from a government-approved organization within 180 days before they file. They also must complete a debtor education course to have their debts discharged. Read more
Professional Help For Negotiating With Creditors
May 14, 2008
by Lester Rennard
If you are facing difficulties keeping up with your debt servicing obligations, your strategy should be proactive rather than reactive and defensive. As difficult as it may be, resist the temptation to go into denial. Contact your creditors to discuss your financial difficulties and explore payment and settlement options before your accounts go into default.
If you are weighed down by debts and are unable to dig yourself out, you may wish to talk with a legitimate credit counseling service to seek help for managing your debts. Most creditors will welcome and be supportive of your proactive attempts and good faith efforts to exploring with them for solutions to your debt payment difficulties.
If you fail to initiate contact with your creditor such as your mortgage loan servicer or credit card issuer when you are unable to make payment, you will be hearing from their collections department. In many instances, a contact initiated by the collections department may force you on the defensive. Under such circumstances, your response may tend to be reactive. Some collection agents may take an aggressive and confrontational approach in their attempts to collect from you. Their goal is to collect and some do unfortunately border on being rude and discourteous to their customers.
If you find it difficult talking with your creditors and need help negotiating for options and solutions to specific debt obligations including money judgments, I might be able to help with selective cases. As a professional mediator, arbitrator and Harvard Law School trained negotiator, I have the background, knowledge and experience to consult and assist in resolving disputes and also in negotiating win-win options for debt settlement and other related debt issues on your behalf.
You may use the ‘contact‘ form above to contact me or you may do so by using the email address or telephone number listed under that section. May 11, 2008 From the Consumer Literacy Consortium, a working group of representatives from federal and state government agencies, consumer groups, business organizations, and educational institutions that seeks to develop and disseminate essential messages to inform and educate consumers. Read more May 7, 2008 The current crisis that has been taking a serious toll on the U.S. economy and the international financial market has brought to the forefront a not too surprising reality - a vast portion of the American population is highly illiterate when it comes to dealing with personal financial matters. This financial illiteracy cuts across every stratum of society and has very little to do with individual intelligence or academics. There is a deficit in programs, efforts and intentional well directed activities to educate the American public on basic issues of money management, assets and liabilities, investments and savings, credit and debt management, home acquisition, home financing and home ownership. Read more
66 Ways to Save Money
New Forum to Enlighten Consumers on Financial Issues
