Only
allow a creditor 7 days to get the proof into your mail
box (3 days to find it and 4 days for the mail). If
it takes any longer they probably do not have proof
and you should start taking the action listed below.
If the creditor does supply you with all the written
proof that the account belongs to you, go to Step 4.
Get
The Edge Above Your Creditors
A.
Contact the Attorney Generals Office in the city of the
creditor who is damaging your credit. Get the phone number
through directory assistance. Tell them that you have
a creditor who is damaging your credit by reporting an
account that is not yours. You have requested proof that
the account belongs to you and they do not have it. They
will contact the creditor and have the account removed
from your credit file. This is free legal service and
almost guarantees they will get the item removed.
B.
If you want to make some money off of the creditor then
take them to Small Claims Court. To do this, you will
need to call your county courthouse and ask about the
proper procedure to follow to get a court date. It's very
easy and you can do it all yourself. You'll be asked to
fill out one or two simple forms stating your complaint.
You may want to write that you wish to remove the item
from your credit file since it is not yours and the creditor
has no proof that it is your account. After you receive
a court date, mark it in your calendar and make sure to
attend at the proper time, place and date. Bring in the
receipts from the registered mail you used for your disputes
along with your phone bill and sue the creditor for your
expenses and emotional stress. Remember, if they do not
have proof that this is your account you will win and
the account will be removed from your credit file! Also,
if the creditor is out of state and does not show in court,
you win by their default.
So
far, we have not yet heard of any creditor showing up
in court. They are simply far to busy to waste time on
one person when they have thousands of other people to
be concerned with. You may contact an attorney in your
area for a free consultation about what your rights are
concerning your particular situation.
Step
4: If the creditor is able to supply the written proof
you request, offer to settle the debt for 10 cents on
the dollar provided that you have the money. If you don't
have the money go to Step 5. If you owe $1,000, offer
the creditor $100. If they refuse, tell them that you
will file Bankruptcy and they will get nothing. This will
certainly open them up to negotiating with you. Whatever
you agree to pay them, it should be a lot less than you
originally owed them. Do not agree to pay interest charges
or penalties on past due or collection accounts.
Step
5: If you don't have the money to make payment arrangements,
start back at Step 1 of this section. Remember that the
laws are in your favor and you are legally allowed by
Federal Law to dispute the negative items on your credit
file every 30 days. You are allowed to repeat this process
as many times as you wish until the Credit Bureaus cannot
verify the item and must remove it. As you already know,
the creditors do not have the staff to handle all the
disputes they receive, so if you persist, eventually the
items may be removed.
Sometimes
the Credit Bureaus may sometimes reply telling you that
they already verified the information as correct. If this
happens, write back telling them that it's a Federal Law
that they must verify your disputes and that you'll sue
them for $5,000 for each dispute that they do not handle
properly. Once they know that you are aware of your rights,
they'll become very cooperative.
Extremely
Important! If you agree to make payment arrangements
with any creditor, do so only under one condition. The
condition is that before you pay any money, the creditor
must mail you a written agreement that they will report
the account to the Credit Bureaus as current, paid off
and never late! Otherwise, it may still remain on your
credit file and may not be worth paying.
Reach
Your Goals with an IRA!
Contributing
every year to an IRA can be a great way to save
for retirement. With more people eligible for more
benefits than ever, a Roth or Traditional IRA may
give you the savings you need to retire financially
independent.
Do
You Have Access to a 401k?
Top
401k Mistakes 1.You
miss out on the match 2. You pick the wrong funds
3. You don't rebalance. But there are mistakes,
and there are Hall of Fame mistakes that can torpedo
your best intentions and keep you working long into
your golden age.
Don't
Have Any Money to Save?
Don't
Make This Mistake!
The
biggest mistake you can make is assuming you don't
have any money to save. If you earn an income, it's
simply a matter of how you're spending it. You
can put some money aside each month - if you make
saving for your future a priority.
