Debt Collectors Would Prefer to Talk!
November 30, 2010 by Marcy Einhorn, Esq.
A collection agency executive claims that his company would prefer to speak directly to consumers and work with them to create an arrangement that retires their account, but claims that only 6% of the people his company contacts respond to a letter, and only 18% respond to a phone call, according to a recent article in the WSJ.
Total outstanding credit debt rose to $1.9 TRILLION in 2007, from approximately $5 billion in 1993, including mortgages, auto loans, student loans, and credit-card debt.
One...
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Courts Are Choked With Debt Collection Cases
November 29, 2010 by Marcy Einhorn, Esq.
Reports are that court calendars are choked with debt collection cases, with up to 400 cases to be heard by one judge per day. One debt collector reports that it filed 245,000 lawsuits last year, and expects that number to rise this year. In some cases only 6% of people being sued respond to calls from a collection agency, resulting in the high numbers of lawsuits. The WSJ reports that 450 debt buyers scooped up $100 billion in distressed loans last year. And these collectors aren’t wasting...
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Who Pays the Debts of the Dead?
November 21, 2010 by Marcy Einhorn, Esq.
The FTC is considering new rules which would outline who a debt collector may contact about the debts of the deceased, and what they can say in the contact letter. The rules are intended to end harassment of grieving relatives, and confine collection efforts to the deceased’s estate adminitrator, but the FTC plans to leave off an enforcement mechanism, making the new rules largely cosmetic. You can post comments to the proposed rules till December 1, 2010, on the FTC’s website.
...
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Train the Trainer
November 20, 2010 by Marcy Einhorn, Esq.
Today I’ll be attending a “Train the Trainer” program run by the Coalition for Debtor Education, for trainers in the Financial Education Workshop. Send article as PDF Read More →
New Events Will Be Posted Soon
November 19, 2010 by Marcy Einhorn, Esq.
I am in talks with several different not-for-profit groups, all of whom are interested in hearing my signature talk, “Tools to Use in Court,” a 3-part seminar that teaches community groups, churches, underserved populations, the middleclass, and service providers about the ins and outs of dealing with credit card companies when they start collection efforts.
More information on where I will be speaking as these events are booked.
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Visit to a Shelter
November 17, 2010 by Marcy Einhorn, Esq.
Yesterday, I visited a shelter for survivors of domestic violence, where I delivered my signature one-hour talk, “Tools to Use in Court.” I have to say, I was so impressed with the women in the audience, each of them a mother of young, impressionable children. The courage they exhibited just by leaving their abusive situations, and committing to a new, abuse-free life, was so inspiring.
Speaking to these women about showing up in court when you are sued by a credit card company or...
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Consumers’ Right to Class Actions on the Line Today
November 9, 2010 by Marcy Einhorn, Esq.
An important case that will affect class actions brought by consumers is on the Supreme Court’s docket today, and the outlook is grim.
The case of AT&T Mobility v Concepcion involves a $30 claim that a cellphone user sued AT&T for, claiming that the phone they ordered was supposed to have been free. AT&T charged the consumer for the sales tax on the full value of the cellphone and the Concepcions sued AT&T, bringing the case as a class action, since the impact of these fees...
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