Alabama Consumer Law Blog

Here is an update on some of the debt buyer lawsuits filed in the state of Alabama during the week of May 11, 2009.

Arrow Financial Services 26
Asset Acceptance 113
Atlantic Credit & Finance 92
Cach, LLC 4
Cavarly Portfolio Services, LLC 21
Harvest Credit Management, LLC 2
Hilco Receivables LLC 1
LHR Inc 2
Lionheart Funding LLC 61
LVNV Funding 15
MCM Holdings LLC 4
Merchants Adjustment Services, Inc. 5
Midland Funding LLC 98
NCO Portfolio Management 4
Palisades Collections, LLC 8
Portfolio Recovery Associates 5
Unifund CCR Partners 22
World Acceptance Corporation 4
Worldwide Asset Purchasing 3

If you would like our free report on "The Five Secrets Debt Buyers Don't Want You To Know About" then call us at 205-879-2447, contact us through our website, or fill out the form below:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

We are seeing more and more clients who are suffering from some of the most outrageous forms of collection abuse. And the abuse is not coming from debt collectors or debt buyers. It is coming from pay day lenders and title loan companies.

I will follow up with more information and with some videos but I wanted to give you an idea of some of the abuses consumers in Alabama are facing from these companies.

First, third party contacts are an absolute favorite of pay day lenders. Normally these lenders require "references" - family and friends - and when the consumer is late all of the references start getting harassed. The calls are not subtle - instead they demand that the brother, or neighbor, or parent make the consumer pay the loan or the calls will continue. All of the details of the loan are revealed to the third party in order to invade the privacy of the consumer.

Second, "field visits" occur. This is where a car or truck from the pay day lender will pull up to the consumer's house - well, actually the car or truck usually stays in the middle of the street to draw more attention. At least two people will jump out of the car and rush the house. This draws the attention of all of the neighbors ("why is that car in the middle of the street and why are those big guys heading to see Donna's house?"). The employees of the pay day or title loan place will then confront the consumer to get money. If the consumer is not there, then a neighbor or family member will be interogated as to why the consumer is not paying, where the consumer is, etc. Again, the purpose of this is to embarass and invade the privacy of the consumer.

Finally (actually there are many more but we'll just cover three today), and this normally occurs in a title loan, if the loan payment is late the lender will send out a car or truck to pick up the car. If the car can't be found, then the repo guys will block in the consumer's driveway so no one can get in or out until the car is produced. Neighbors will be called, family will be called, etc. in order to draw as much attention as possible. Normally threats are made about what will happen if the vehicle is not produced immediately. This again is an invasion of privacy and it normally is false imprisonment and a breach of the peace.

If you are dealing with any type of pay day lender harassment, feel free to contact us at 205-879-2447, contact us through our website, or through this blog on the contact sheet to the left. We are here Alabama consumers who are dealing with pay day lender abuse.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Here is an update on some of the debt buyer lawsuits filed in the state of Alabama during the week of May 4, 2009.

Arrow Financial Services 30
Asset Acceptance 62
Atlantic Credit & Finance 46
Cach, LLC 3
Cavalry Portfolio Services, LLC 45
Cresent Recovery LLC 1
Delta Capital Resources, LLC 2
Harvest Credit Management, LLC 1
Hilco Receivables LLC 3
Lionheart Funding LLC 107
LVNV Funding 31
MCM Holdings LLC 2
Merchants Adjustment Services, Inc. 13
Midland Funding LLC 168
NCO Portfolio Management 3
Portfolio Recovery Associates 2
RJM Aquisititions 1
Unifund CCR Partners 16
World Acceptance Corporation 5
Worldwide Asset Purchasing 5

If you would like our free report on "The Five Secrets Debt Buyers Don't Want You To Know About" then call us at 205-879-2447, contact us through our website, or fill out the form below:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

This is a question that Alabama consumers often ask us as debt collectors more often than ever before are calling our cell phones. We have previously blogged about this practice of collectors calling cell phones (and we have an article on cell phone calls on our website).

Here is a video we recently made as we know many people prefer to watch a video than read an article (that's why we all love youtube, right?):

If you have any questions, or would like our free report on How To Make Debt Collectors Pay For Illegal Voicemails, please contact us in one of the following ways:

1. Call us at 205-879-2447 and let us know you want the free report or you have questions; or
2. Contact us through the blog - the form is to the left of this post; or
3. Contact us through our website; or
4. Go to our website Illegal Voicemails which is devoted to stopping illegal voicemails from debt collectors

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The Alabama Consumer Lawyer Blog has posted an article that discusses the pros and cons of filing for bankruptcy and the differences in Chapter 13 and Chapter 7.

John W. Sharbrough, the author, suggests that for people who have a house they want to keep filing Chapter 13 bankruptcy is more effective. However, for a totally fresh start, Chapter 7 is the way to go.

The pros of filing bankruptcy, according to the article, are:

It can wipe out or “discharge” all or some of your debts;

It can give you a chance to “catch your breath” by temporarily prohibiting creditors from foreclosing or repossessing your home or car;

It can temporarily prohibit wage garnishment or disconnection of utilities;

It will stop harassing creditor phone calls and letters;

The cons are:

It puts a blemish on your credit report that will remain there for 10 years;

Can be a source of embarrassment and may be seen by potential employers, insurance companies and such.

If you are considering or interested in filing bankruptcy feel free to contact us - we don't file bankruptcies but we will be glad to recommend you to a bankruptcy lawyer in your area and often people are seeking bankruptcy protection because of harassing debt collectors. We have been able to keep people out of bankruptcy by suing the collection agencies for violating the law .

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Here is an update on some of the debt buyer lawsuits filed in the state of Alabama during the week of April 27, 2009.

Allgate Financial, LLC 1
Arrow Financial Services 12
Asset Acceptance 11
Atlantic Credit & Finance 2
Cavarly Portfolio Services, LLC 1
Delta Capital Resources, LLC 1
Hilco Receivables LLC 2
LHR Inc 2
Lionheart Funding LLC 23
LVNV Funding 1
MCM Holdings LLC 1
Merchants Adjustment Services, Inc. 10
Midland Funding LLC 55
Northstar Capital Acquistions, LLC 1
Palisades Collections, LLC 1
Portfolio Recovery Associates 17
TBF Financial 1
Unifund CCR Partners 9
World Acceptance Corporation 8
Worldwide Asset Purchasing 12

If you would like our free report on "The Five Secrets Debt Buyers Don't Want You To Know About" then call us at 205-879-2447, contact us through our website, or fill out the form below:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

In our last video blog post we discussed that the biggest danger facing Alabama consumers who have been sued is not answering the collection lawsuit filed by a debt buyer. Since we have hopefully convinced you to answer - the question is "How long or how much time do I have to answer?"

In circuit court in Alabama you have 30 days from when you were served. In district or small claims court you have 14 days to answer the collection suit.

Make sure you answer on time! If you would like some guidance, call us at 205-879-2447 or contact us through our website or through this blog or fill out the form below and we will send you our free report on "The Five Secrets Debt Buyers Don't Want You To Know About".

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The Houston Chronicle has posted an article that very clearly outlines what constitutes debt collector harassment.

Under the Fair Debt Collection Protection Act, debt collectors are not allowed to:

Tell a neighbor, co-worker or non-spouse that you owe money.

Call at work after you've told them you can't receive such calls.

Call before 8 a.m. or after 9 p.m.

Call an excessive number of times.

Continue to call after receiving written request to stop.

Threaten violence, arrest or incarceration.

Use profanity or harassing and abusive language.

Threaten to take your house or garnish your wages in Texas.

The article says that economic hard times make debt collectors more aggressive and more prone to illegal tactics. However, you can sue them to stop the problem. You may be able to receive $1,000 or possibly more if you have been severely harassed.

Dana Karni, a Houston lawyer, is quoted.

"A lot of consumers don't understand that they can go after the debt collectors and they can get paid for their pain and suffering and their attorneys fees can be paid."

Karni sued for a Huntsville woman who was severely harassed. The debt collector threatened she would lose her house, go to jail and never see her children again. She received $17,500 because of the Fair Debt Collection Practices Act and Karni received $50,000 reimbursement in legal fees.

If you are being harassed by debt collectors, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Here is a (belated) update on some of the debt buyer lawsuits filed in the state of Alabama during the week of April 20, 2009.

Arrow Financial Services 28
Asset Acceptance 70
Atlantic Credit & Finance 123
Cach, LLC 3
Cavarly Portfolio Services, LLC 7
Delta Capital Resources, LLC 2
Hilco Receivables LLC 4
LHR Inc 2
Lionheart Funding LLC 3
LVNV Funding 6
MCM Holdings LLC 1
Midland Funding LLC 110
NCO Portfolio Management 2
Northstar Capital Acquistions, LLC 1
Palisades Collections, LLC 2
Portfolio Recovery Associates 27
RJM Aquisititions 3
TBF Financial 1
Unifund CCR Partners 7
World Acceptance Corporation 27
Worldwide Asset Purchasing 8

If you would like our free report on "The Five Secrets Debt Buyers Don't Want You To Know About" then call us at 205-879-2447, contact us through our website, or fill out the form below:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

We recently made a video discussing the biggest danger that consumers face when they are sued in Alabama by a collector or debt buyer - not answering the lawsuit! We are amazed at how often this happens.

Consumers who don't answer the lawsuit face a default judgment which means the collector or debt buyer wins.

But if you answer the lawsuit then you have given yourself a chance to be successful. We discuss these types of issues in more detail in our free report on Debt Buyer Secrets that you can request through our website or by calling us at 205-879-2447 or by filling out the form below the video. We wish you the best!

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Time.com has posted an article that takes a different approach to dealing with the issue of credit card debt.

Barbara Kiviat, author of the article, says that credit card companies' "laundry list" of fees and other assorted charges are a large matter in the problem when looking at consumer debt. However, some fault lies with the consumer. The article says that people are more likely to make bad decisions when using a credit card to pay. People dont' typically think of all the fees and interest rate they will have to pay off on top of the cost of the item when the bill comes in.

...we're just really bad at understanding costs that come later on. Instead, we assign a disproportionate amount of importance to what's immediate and tangible.

Several impulse purchases put on a credit card with a hefty interest rate can take quite awhile to pay off. Let's take this article as a reminder to consider the long term effects.

If you have had problems with credit card debt, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Here is a (belated) update on some of the debt buyer lawsuits filed in the state of Alabama during the week of April 13, 2009.

Arrow Financial Services 65
Asset Acceptance 17
Atlantic Credit & Finance 78
Cach, LLC 11
Capital Financial Credit LLC 1
Cavarly Portfolio Services, LLC 6
Delta Capital Resources, LLC 7
Harvest Credit Management, LLC 2
Hilco Receivables LLC 11
Lionheart Funding LLC 10
LVNV Funding 15
MCM Holdings LLC 2
Merchants Adjustment Services, Inc. 3
Midland Funding LLC 82
NCO Portfolio Management 5
Northstar Capital Acquistions, LLC 21
Palisades Collections, LLC 3
Pinnacle Credit Services, LLC 1
Portfolio Recovery Associates 48
Unifund CCR Partners 39
World Acceptance Corporation 19
Worldwide Asset Purchasing 14

f you would like our free report on "The Five Secrets Debt Buyers Don't Want You To Know About" then call us at 205-879-2447, contact us through our website, or fill out the form below:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

With the economic slowdown, we are seeing more and more abusive debt collectors calling co-workers, neighbors, family members, and others in order to collect debts. These bill collectors know this is illegal but they do it for one simple reason:

It Works!

If you would like to read our free report on Making Collectors Pay For Contacting Third Parties either call us at 205-879-2447 or fill out our contact sheet on our website or on this blog or fill out the report form below and we will send it to you by email or mail - whichever you prefer.

Nothing is quite as effective as applying pressure to an innocent third party. Some favorite targets of collection agencies that willingly break the law:

1. Neighbors ("block parties");
2. Co-workers ("office parties");
3. Family members;
4. Preachers/ministers/pastors;
5. Ex-spouses, inlaws, etc; and
6. Anyone else that the collector knows will let you know that the collector has called.

We recorded a short video on this subject that you are welcome to watch. Be sure and get our free report on how to make collectors pay for illegal third party contacts - this lays out step by step what you should do.

Fill out this form for the free report!

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

CreditCards.com has posted an article that discusses exactly how the newly passed credit reform bill will affect consumers.

The new bill calls for credit card companies allowing consumers more time to pay their balance and "clearer due dates and times." Payments would be due at least 21 days after the notice is mailed. This would prevent random changes in the due date of payments and the resulting late fees. Time deadlines, such as before 5pm, would also be illegal.

Cut-off times set before 5 p.m. on the payment due dates would be illegal under the new law. Payments due at those times or on weekends, holidays or when the card issuer is closed for business will not be subject to late fees.

Hikes in interest rates would also be limited. Interest rates on a transaction could only increase after the first year and drastic changes cannot be made sooner than 45 days after the consumer was informed. "Universal default" would also be done away with, meaning that interest rates would no longer be affected by the consumer's payment history with any other institution.

The credit card company must tell the consumer about the implications of only paying the minimum balance each month, as well as tell the consumer how much to pay monthly if they want their debt off in a specific amount of time. The consumer would have the option to eliminate over-limit fees. One option is to have their card rejected if a transaction would exceed the limit and thus avoid late fees. Double cycle billing is also done away with.

Upfront fees for subprime credit cards would also not be allowed to exceed 25% of the first year's credit limit.

If you have had credit issues feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The explosion in lawsuits filed against Alabama consumers in Jefferson County, Shelby County, and really all counties in the state continues. So many debt buyer lawsuits are filed that the courts are struggling to handle the burden of the cases. The first question that you are likely to ask yourself when you are sued by a debt buyer is "What is a debt buyer?" Or "I never did business with Midland, Unifund, Asset Acceptance, etc - who are they?"

In this short video I want to give you a little bit of insight into debt buyers and we will continue with a number of videos walking you through some information about debt buyer lawsuits.

We hope this video is helpful to you and we look forward to helping you any way we can. After the video you can fill out a form for a free report on "The Five Secrets Debt Buyers Don't Want You To Know About When They Sue You" as knowing these secrets can help you in your case.

Contact us at 205-879-2447 or through our website which discusses debt buyer lawsuits or you can fill out the form below to get our free report on debt buyer lawsuits.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

InsideArm.com has posted an article about a collection agency accused of stealing $2.7 million from the city of Boston.

Prosecution is claiming the president of the collection agency has "transferred more than $2.7 million from a City of Boston bank account to his own company’s account." Walker Associates, Inc. has been under contract with the city of Boston from 1995 to 2007 to collect late motor vehicle excise taxes.

Under the terms of the contract, Walker was required to pay over to the city 100 percent of the taxes and statutory fees collected; the city would then pay Walker Associates a percentage of the fees the company had collected. Each week, Walker Associates was required to pay over to the city the amount of the previous week’s cash payments and cleared checks, and to provide a paper and electronic report detailing the amounts collected from each taxpayer and the date of collection.

In June 2001 the president of the company began taking money out of the city's bank account, claiming it was to cover Walker's business costs. Prosecutors claim that over the next five years, a total of $2.7 million was transferred from the city's account to Walker Associates' account. An arraignment is set for May 12, 2009.

If you have had a similar problem, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

We recently published a new article on our consumer protection website answering the question "Can a bill collector call my cell phone and leave a voice mail?"

In general the answer is "sometimes" but normally the collection agency will violate the law.

We have previously discussed illegal voicemails and everything we said there also applies to cell phones (request our free report if you don't already have it) so the main thing we want to point out here is that using auto-dialers (computer generated calls) are normally illegal. They violate the Telephone Consumer Protection Act unless the debt collector can show that you gave permission to call your cell phone.

We have sued a large number of collectors for violating the TCPA when making collection calls to cell phones and we have not yet seen a time where the defendant collection agency could show it had permission to use an auto dialer.

If you are dealing with a debt collector calling your cell phone and if you live in Alabama, please feel free to contact us for assistance in making the collector stop breaking the law.

You can also go to our site on Illegal Collection Voicemails or request our free report on "Making Debt Collectors Pay For Illegal Voicemails" by contacting us at 205-879-2447:

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The Florida Bankruptcy Attorney Blog has posted an article that discusses the effects of the recession on mortgage payments, especially people with 2 mortgages to pay.

It's possible to have taken out a "second home equity line of credit" to catch up with delinquent payments. However, if all that money has been spent and payments are still incomplete, this article suggests bankruptcy as a possible option. Bankruptcy would allow for the removal of the second mortgage, as well as lower the total mortgage payment.

If you have questions about bankruptcy, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

As we have discussed before, abusive debt collectors love to contact third parties to intimidate you into paying a debt. When they do this, they should be sued under federal law (Fair Debt Collection Practices Act) and state law (invasion of privacy, etc).

We are often asked "What" or "Who" is a third party? We shot this quick video to answer this question. We will be adding more videos that we hope will be helpful to you. Always feel free to contact us to discuss your situation or to request our free report on Debt Collectors Contacting Neighbors And Co-Workers. You can feel out the form below or fill out the form on our website or you can call us at 205-879-2447.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Associated Press writer Marcy Gordon has written an article about the House passing Obama's proposed credit card bill. The bill seeks to protect consumers by demanding 45 days of notice before an increase in interest. If made into law, this would take effect in 90 days.

Some other parts of the bill wouldn't take effect until next year, such as:

The measure would prohibit so-called double-cycle billing and retroactive rate hikes and would prevent companies from giving credit cards to anyone under 18.

The White House released a statement saying that the credit card industry needs more accountability and effective enforcement against violations and consumers need protection from "abusive fees and penalties."

If you have had problems with sudden raises in interest rates or other credit card issues, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The Michigan Collection Law Blog has posted an article about "outrageous debt collectors' actions." It gives two examples of creditor harassment that violates the Fair Debt Collection Practices Act.

A man was delinquent on his Mercedes payments and the collection agency Universal Tracing Services, Inc tracked down his daughter on Myspace and sent her the following message:

We have been retained by, JPMorgan Chase Bank, to locate and repossess their missing collateral a 2007 Mercedes GL 450. Please contact our office immediately so we can discuss the peaceful recovery of the collateral. Failure to contact me will result in further action against your father James Ricobene. Legal options range from having a replevin order served on you or even worse reporting the collateral as stolen to local authorities in Illinois under the A.R.S. act 18-5-504. Failure to comply with this notice of surrender is a class 5 felony and carries a maximum penalty of imprisonment for two years plus all applicable surcharges. You must contact the writer within 5 days to prevent this action from taking place. You can contact me directly at 800-667-7704 ext 222 or directly at 604-267-1581 ext. 222

Awaiting your immediate response.

Chris Flanagan
Senior investigator

The second example involves a woman who was also behind on car payments. Her car was repossessed and then she was told there was a hidden GPS in the car to track it. She got the car back, but fell behind on payments again. This time Auto Financing Network bought a URL with the name "Jennifer Dicks isn't paying for her Cavalier." They also sent her inappropriate and harassing text messages:

April 10:

Can you quit playing games and give me the car?

April 11:

I'm 2 miles away coming to your house...are you home? Neeee the car.

April 15:

You need to call me...This isn't fair to me. Do you have no soul?

April 18:

All you do is lie. It isn't registered to you so call again. I wish you died when you fell off the roof. If ur not married good. He can do soooo much better.

If you have had problems with creditor harassment that violates the Fair Debt Collection Practices Act, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Here is an interesting post from Consumer Reports about the recent bankruptcy of Chrysler, a first for an American automaker in over 70 years....

Massive changes are taking place around us - now it is even more important to understand your legal rights when dealing with credit reports, debt collectors, or even car companies. If we can help you, let us know.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

The BKBlog has posted an article that discusses if an individual can file for Chapter 7 bankruptcy and still keep their business. Often times, the owner could have used personal credit cards and finances for the business, so they are being held responsible for that debt.

This article suggests that one needs to close down the business if filing for Chapter 7 and waiting 6 months to a year before reopening. This enables the owner to have a fresh start.

Except in the case of a personal service business that has no inventory or receivables or any value other than the daily efforts of the owner, my experience has been that if you file a Chapter 7, the trustee will demand that you cease operations and turn over the books, the keys and the inventory to the trustee's office.

If you have questions or have had problems with issues relating to bankruptcy, feel free to contact us.

You can also sign up for our free email newsletter sent out every Thursday morning - we cover topics such as the one in this post. We would love to include you! Just fill out the form below:

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Glad my Bank of America cases are closed - check out this article by the Consumerist.

Let's hope our tax money doesn't get sent to these jokers.

Given Bank of America's need for cash, it shouldn't surprise us to see these types of banks breaking the law more and more. Those pesky rules about accurate credit reporting just get in the way at times. You can read some frequently asked questions and answers on our website and if you are dealing with false entries on your credit reports, let us know.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Associated Press writer Ben Feller has written an article about President Obama trying to reform aspects of the credit card industry.

He wants to do away with "the tricky fine print, sudden rate increases and late fees that give millions of consumers headaches."

"I trust that those in the industry who want to act responsibly will engage with us in a constructive fashion, and that we're going to get this done in short order," Obama said, delivering a pointed message to leading executives of credit-card issuing companies after a closed-door White House meeting.

The Senate and the House are both pushing credit bills that provide more protection for consumers, especially during the recession. Obama has made clear that he intends to sign the bill into law. If passed, it will come into effect next year.

We plan to follow this and keep you updated. If you have had problems with credit card debt, feel free to contact us.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

There are many reasons why you would want to sue an abusive debt collector. Here is one that we have known about for some time but we are seeing more and more confirmation of it:

When you sue a debt collector there are companies that will put your name in a database (along with my name....I think they must have a long list under "Watts" and "Herring") and then they sell that database to collectors and debt buyers. The reason is for the debt collector or debt buyer to get rid of you because you might sue again.

Check out this website - Webrecon. In their own words (and what a clever business move - got to give them credit there!):

WebRecon LLC's FDCPA Litigant Alert empowers you to protect yourself from overly-litigious debtors by allowing you to compare FDCPA/FCRA/TCPA litigants nationwide with debtors in your own database. Find out immediately if you are collecting against anybody with a history of suing collection agencies.

We give you four different tools to do this.

Our searchable database of over 32,000 FDCPA, FCRA & TCPA cases will help you find individual litigants, defendants or consumer attorneys.
Upload your list of debtors to be crosschecked against our database for an instant display of matches. Scrub an unlimited number of accounts!
We'll give you a spreadsheet of the more than 500 new FDCPA/FCRA/TCPA lawsuits filed twice monthly.
You will be immediately notified if your name appears on any of the more than 30 consumer rights web sites we monitor daily.
Warning: If you are not a member of the collection industry, what we offer
here is not available to you. This service is for industry professionals only.

How will this benefit you directly and immediately?

By knowing who is filing FDCPA/FCRA/TCPA cases, you can check them against your database and if you find a hit, act accordingly. A smart agency will look at those accounts and make a decision among several options including A) return them to the creditor, B) close them, C) immediately file suit, or D) hand them to their most experienced collector to be processed with extra care, knowing the debtor is prone to sue collection agencies.
By knowing which "consumer rights" attorneys are most prolific, as well as which courts and judges hear the most cases, you can monitor trends and use that knowledge to decide if you are doing everything you can to protect yourself from being targeted.
By knowing when and where your business is being discussed on the consumer web sites, you can pre-empt impending traps, lawsuits and even class action recruiting missions by being aware of the situation and heading it off by whatever means are necessary.

Here is the cost which seems very reasonable to me:

Here is the best part - we haven't even talked about cost yet. There is another company that sells just FDCPA case listings for $1595/year. That equates to $132.92/month.

WebRecon's FDCPA Litigant Alert is much less, a bargain at only $99 per month, and you get much more useful information. They only provide FDCPA case information. We combine FDCPA cases with FCRA & TCPA cases, because there is a high likelihood that once somebody sues under them, it is inevitable that they will also sue under FDCPA when they get the chance.

Also, knowing who is filing suit and who is being sued is only half the battle. We go a huge step further by providing intelligence from the consumer web sites. Knowing when and how the enemy is scheming against you will give you crucial information to help protect yourself.

I like the "scheming" part. Something I'm sure collectors never do....

America is truly the land of opportunity - here a collection agency owner figured out this was a better business model to service other collectors rather than having his own collection agency.

So, if you sue a collector you might just make it on Webrecon's database. Not a bad thing.

Remember, if you are dealing with abusive debt collectors who are leaving illegal voice mails, calling third parties, or suing you, contact us as we have special free reports for you to provide you with the more knowledge so you can determine if you want to sue the collector. And make Webrecon's list....

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Associated Press' Matt Apuzzo has written an article about a "nightmare mortgage" scheme.

Around 1,000 people in Maryland were tricked into paying a combined total of roughly $70 million to a company that promised to use the revenue from their money to pay off their mortgages. An upfront investment fee of $50,000 was required for each house. A $100,000 investment got the customer a seat on the "Junior Board of Directors."

Investors were told they were investing in ATM machines, television advertising and calling card kiosks that would raise money for the mortgage payments. But prosecutors say the businesses never made any money.

Instead, prosecutors say the investments were used to pay company salaries of up to $200,000 and maintain a fleet of luxury cars and a staff of 10 chauffeurs. And company officials allegedly traveled to the Super Bowl and the NBA all-star game with investor money.

The individuals responsible for the scam had businesses that went by several different names, such as Metro Dream Homes, Metropolitan Grapevine LLC and POS Dream Homes. Officials believe they have all of the schemers' names.

If you have had problems with mortgage fraud, feel free to contact us.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

I don't even know what to say about this one - a collection agency has created a "cute girl" on Facebook and she befriends people who owe money to help track down their contact information.

Check out this story on the Consumerist.

It is only a matter of time before collectors start abusing the more modern technologies like texting, social media, etc. Remember the same laws apply - collectors can't engage in any unfair conduct to collect debts. And all communications must have the mini-miranda which is where the collector informs you that he or she is a debt collector and is attempting to collect a debt.

When the Fair Debt Collection Practices Act is violated, you have the right to sue for damages and attorney fees. Please contact us if you have been abused in an old fashioned way (calling your neighbors, etc) or in a more modern way like this article in the Consumerist discusses.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Cam Simpson of the Wall Street Journal has written an article about the large amount of auto theft in states that border Mexico.

7 out of the 20 cities with the largest numbers of auto theft are close to the Mexican border. These cities include Laredo, TX; San Diego; Albuquerque, N.M.; Tucson, Ariz.; El Centro, Calif.; El Paso, Texas; and Phoenix.

Laredo and El Paso have drastically jumped in ranking. There has been a 47% increase of auto theft in Laredo since 2005. In 2005, El Paso was ranked #81 out of 100 and has since climbed to #17.

Officials say that the Mexican drug cartel isn't responsible for each individual stolen vehicle, but their need for vehicles and money to pay people to take them are important factors.

President Barack Obama will visit Mexico this week to show support for President Felipe Calderón, who is using Mexico's military to crack down on the drug cartels behind an epidemic of violence in northern Mexico. The White House says boosting federal law-enforcement efforts on the U.S. side is a priority.

If you have had issues as a result of a stolen vehicle, feel free to contact us.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

Yahoo Tech has posted an article warning about a new kind of spamming called "smishing." It's getting more and more difficult for spammers to succeed through emails, and many are beginning to text message instead of email. This technique is called "smishing."

People are much more accustomed to ignoring spam emails, but not text messages. Texts are also not filtered through spam guards like emails.

Consumers should ignore any text messages sent to them that tell them to call a toll-free number to "complete or cancel some financial transaction." The article says that the only company that is likely to contact you through text message is your cell phone provider. If you receive a message that concerns you, contact your bank or service provider instead of calling the number in the message. Doing so can prevent identity theft.

If you have had a problem with scamming leading to identity theft, feel free to contact us.

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.

We recently added an article that discusses your right to have correct and accurate credit reports. Our credit reports are very important particularly when credit is tight in these "interesting" economic times.

Make sure you pull your reports, review them, dispute any items that are false, and then if you still have errors feel free to contact us. Taking these steps will make sure you not only have the right to have accurate reports but that you actually do!

Another resource for you is to join our Facebook Fan Page - Alabama Consumer Protection Attorneys where we share useful information about the same types of issues that we cover in this blog.