Thursday, September 24, 2015

Add up to Two Years of Past Rent Payments to Your Credit Report

We have been waiting for this!

Details about the Program:

Rental Kharma will first verify your rental lease with your property manager. After verification, they will report up to the past 24 months of history to Transunion. (They are working to add Equifax and Experian).

It will report as an "Open Tradeline". If you have more than one lease or have co-signed for someone else, it will report as a "Joint" tradeline. You can have more than one tradeline added if your name is on multiple leases.

Every month, Rental Kharma will report the previous months rental payment - building your credit!

How long until the tradeline reports? Rent Data is sent to Transunion Twice a Week. Most rental payments will reflect in under 7 days.

This is an incredible value and I am excited that our clients have the opportunity to take advantage of it. Sign up HERE. 


Next Post: Their Debt Collection Days are OVER!



Wednesday, September 16, 2015

Their "Debt Collection" Days Are Over!

by 

Posing as law enforcement and fake government agencies like the “Federal Crime Unit of the Department of Justice”?
Threatening to sue or arrest people — or tell their family and employers about a debt?
Reciting people’s Social Security and bank account numbers to seem legit?
Yup, this fake debt collection scheme did it all, illegally collecting more than $5.2 million in fake payday loan debts.
Today the FTC announced that under a settlement with the agency, defendant Kirit Patel and his company Broadway Global Master, which processed payments for the scheme, will be banned from the debt collection business, and money recovered will be used for refunds. Patel also has pleaded guilty to the real Department of Justice on charges of criminal mail and wire fraud.
So how can you tell if you’re being targeted by a Fake Debt Collector? A caller may be a fake debt collector if:
  • you don’t recognize the debt.
  • you can’t get a mailing address or phone number for the collector.
  • you’re asked for personal financial or sensitive information.
  • you’re threatened with arrest or told you’ll be reported to a law enforcement agency.
You have rights when it comes to debt collection. 
Tell the caller that you won’t discuss any debt until you get a written "validation notice," which has to include the amount of the debt, the name of the creditor you owe, and your rights under the federal Fair Debt Collection Practices Act.
If the debt is legitimate — but you think the collector may not be — contact your creditor about the calls. Share the information you have about the suspicious calls and find out who, if anyone, the creditor has authorized to collect the debt. If it doesn’t check out, report the call to the FTC and your state Attorney General's office.


Thursday, September 10, 2015

Portfolio Recovery and Encore Owe Massive Refunds for Violating the FDCPA

Portfolio Recovery and Encore Owe Massive Refunds for Violation of the Fair Debt Collections Practices Act - per the CFPB. I shed no tears and wish them all of the the best. Watch the video below. The story ran in tonight's news - WWBT 12 in Richmond VA.





Next Article: PRACTICE SAFE SPENDING! - Read the article: HERE. You will be amazed!




Tuesday, August 25, 2015

Practice Safe Spending: How To Use Your Debit Card Safely

By 

For hackers and thieves, your debit card is an easy target. Protect your hard-earned money by learning how to use a debit card safely.


Every time I pull my debit card out, I take a risk. Just a week ago, I left it at a Chicago coffee shop; when I returned an hour later, the barista handed it to me. I had no idea I’d even left it there. That barista got a nice tip — she was an honest person. But what if she wasn’t?

Until U.S. card issuers adopt data-encrypted microchips — which have been used in Europe and other parts of the world for years — our debit cards are in peril. No matter America’s status as the birthplace of the iPhone and the cradle of high-tech: When it comes to our debit cards, we’re still in the Stone Age. It’s that simple.


So how can you protect your debit cards — and yourself? Here are seven tips that explain how to use a debit card safely:


1. Move from debit cards to credit cards. 

2. The instant you discover your debit card is missing, cancel it.

3. Use cash.

4. Watch for skimming devices.

5. Keep an eye on your balances. 

6. Subscribe to "alerts" from your bank or credit union.

7. Migrate your debit information to a mobile payment service


Read all of each category details HERE:http://www.moneyunder30.com/how-to-use-a-debit-card-safely






Friday, August 21, 2015

Why There's No Such Thing As Too Many Credit Cards...


John Ulzheimer has 13 credit cards, but he's never paid a cent in interest, his credit score stays above 800, and he's never dug his way out of consumer debt.
That's because he knows exactly what he's doing.
Ulzheimer, credit expert at CreditSesame.com, has over 23 years of experience in the consumer credit industry and has even worked for credit bureau Equifax and for FICO, Fair Isaac Corporation.
"The initial strategy wasn't to just open a bunch of cards," he remembers, "but when I went to work for FICO, I realized that if you have a lot of cards, pay them all on time, and keep your balances low, you're actually benefiting from that." 
"A lot of people are critical of my example," he acknowledges. "But having a lot of cards is only a problem if you aren't responsible with them — if you let the cards control you."
Here, we've highlighted nine of the credit lessons to learn from Ulzheimer's experience. Even if you plan to stick with the three or four held by the average American consumer, see what you can glean:
1. Have a reason for opening each card. You should have a use in mind for every card before you apply. Ulzheimer only opens cards that have a purpose, like his Delta Reserve card. "I live in Atlanta and fly Delta all the time," he explains, "and the card earns Medallion miles, which allow me to do things like upgrade to first class and check bags for free. It makes my travel much more convenient and enjoyable."
2. Keep your cards open. Unless you're paying exorbitant fees, or find that you can't control yourself with too much credit, there's no reason to close your cards. While closing a card will not shorten your account history. It will decrease your total amount of credit available and therefore increase your credit utilization rate, which could have an adverse effect on your credit score. Ulzheimer's oldest card is from 1999.
3. Keep your cards active. "I don't use all 13 cards at the same time," explains Ulzheimer. "I rotate one or two into regular use to make sure they all get some activity, so the issuer doesn't proactively close them." Credit card companies want you to use their cards, so if you haven't touched yours in awhile, they can take it upon themselves to lower your balance or close the card altogether. They must notify you if they do, but why would you want to take that chance?
4. Be deliberate about which card you choose to use. On the recommendation of his accountant, Ulzheimer uses a business credit card for his professional expenses, a credit union card for small, everyday purchases like gas or dry cleaning, and his favorite rewards card — the Delta Reserve — for bigger purchases, like furniture or auto work. When he signed his son up for a summer of camps, he used three of the cards that have lain dormant for a few months.
5. Never spend money just to get rewards. "I call this chasing rewards, where you buy things or open cards you wouldn't normally to get the points," Ulzheimer says, noting that he uses his cards only to spend money he would anyway. "It's incredibly dangerous. Most people who find themselves in terrible credit card debt attribute it to using cards this way."
6. Get close with your account statements. Ulzheimer logs into his accounts every day — sometimes more than once. He doesn't find it difficult to keep track of them because he's familiar with exactly which cards he's using and how much he's spending. "I'm very engaged with my bank accounts," he says.
7. Be on top of your payments. Ulzheimer pays all of his credit card bills manually — no auto-pay for him — and makes a point of logging into his account and paying the balance even before the statement period closes and a bill is sent to him. "That way, I never carry a balance, and it doesn't show up on my credit report," he explains.
8. Space out your new accounts. There's no need to go out and get a dozen credit cards today. In fact, Ulzheimer advises against it. "Don't acquire a bunch of cards all at one time because the hard inquiries will destroy your credit score, and you probably won't be approved for all of them," he says. "This is a long-term strategy."
9. Use credit cards as they were intended. Credit cards aren't meant to let you spend money you don't have, and treating them that way is what gets too many of us in trouble. "You have to use credit cards for what they were designed for: convenient shopping," cautions Ulzheimer.

Read more: http://www.businessinsider.com/how-to-manage-many-credit-cards-2014-5#ixzz3jVY3zshr


*** Next Famous CRA Blog Post: The CFPB "SLAPS" JP Morgan Chase:  http://creditra.blogspot.com/2015/07/cfpb-47-states-and-dc-take-action.html


Thursday, July 9, 2015

CFPB, 47 States and D.C. Take Action Against JPMorgan Chase for Selling Bad Credit Card Debt and Robo-Signing Court Documents

Chase Ordered to Overhaul Debt Sales and Halt Collections on 528,000 Consumers’ Accounts.

Awesome!!!


WASHINGTON, D.C. – Today the Consumer Financial Protection Bureau and Attorneys General in 47 states and the District of Columbia took action against JPMorgan Chase for selling bad credit card debt and illegally robo-signing court documents. The CFPB and states found that Chase sold “zombie debts” to third-party debt buyers, which include accounts that were inaccurate, settled, discharged in bankruptcy, not owed, or otherwise not collectible. The order requires Chase to document and confirm debts before selling them to debt buyers or filing collections lawsuits. Chase must also prohibit debt buyers from reselling debt and is barred from selling certain debts. Chase is ordered to permanently stop all attempts to collect, enforce in court, or sell more than 528,000 consumers’ accounts. Chase will pay at least $50 million in consumer refunds, $136 million in penalties and payments to the CFPB and states, and a $30 million penalty to the Office of the Comptroller of the Currency (OCC) in a related action.
“Chase sold bad credit card debt and robo-signed documents in violation of law,” said CFPB Director Richard Cordray. “Today we are ordering Chase to permanently halt collections on more than 528,000 accounts and overhaul its debt-sales practices. We will continue to be vigilant in taking action against deceptive debt sales and collections practices that exploit consumers.”
Chase Bank, USA N.A. and its subsidiary Chase BankCard Services, Inc. are based in Newark, Del. and provide consumers with credit card accounts. From 2009 to 2013, when consumers defaulted on debts, Chase attempted to collect by contacting consumers, filing collections lawsuits, and selling accounts to third-party debt buyers. When Chase sold accounts, it provided debt buyers with an electronic sale file containing certain basic information about the debts from Chase’s internal databases, which the debt buyers used to collect on the debts. Chase was also responsible for preparing affidavits to verify debts when it or its debt buyers filed lawsuits to collect on defaulted credit card debts.
The CFPB found that Chase violated the Dodd-Frank Wall Street Reform and Consumer Protection Act’s prohibitions against unfair, deceptive, or abusive acts and practices. Chase sold faulty and false debts to third-party collectors, including accounts with unlawfully obtained judgments, inaccurate balances, and paid-off balances. Chase also sold debts that were owed by deceased borrowers. Chase also filed misleading debt-collections lawsuits against consumers using robo-signed and illegally sworn statements to obtain false or inaccurate judgments for unverified debts. Specifically, the CFPB and states found that Chase:
  • Sold bad debts to third-party debt buyers: Chase sold certain accounts that had already been settled by agreement, paid in full, discharged in bankruptcy, identified as fraudulent and not owed by the debtor, subject to an agreed-upon payment plan, no longer owned by Chase, or that were otherwise no longer enforceable. Chase also sold debts with missing or erroneous information such as whether the debt had been paid and the amount owed.
  • Assisted third-party debt buyers in deceptively collecting debt: By selling inaccurate or uncollectable debts, Chase subjected certain consumers to debt collection by its debt buyers on accounts that were not theirs, in amounts that were incorrect or uncollectable. Chase knew, or should have known, that third-party debt buyers would seek to collect these faulty debts. Therefore, by providing inadequate or incorrect information, Chase assisted debt buyers in deceptive collection activities.
  • Robo-signed affidavits to sue consumers for unverified debt: Chase filed more than 528,000 debt collections lawsuits against consumers and provided more than 150,000 sworn statements to debt buyers for their collections lawsuits against consumers, often using robo-signed documents. In doing so, Chase systematically failed to prepare, review, and execute truthful statements as required by law. Chase also made calculation errors when filing debt collection lawsuits that sometimes resulted in judgments against consumers for incorrect amounts. Chase failed to notify consumers and the courts once it learned of these problems.

Enforcement Action

Pursuant to the Dodd-Frank Act, the CFPB has the authority to take action against institutions or individuals engaging in unfair, deceptive, or abusive acts or practices or that otherwise violate federal consumer financial laws. Chase suspended collections litigation in 2011 and stopped selling debts in 2013. The CFPB and state actions provide relief for injured consumers, prohibit Chase from reviving its unlawful practices, and impose penalties for Chase’s law violations. Specifically, the order requires Chase to:
  • Cease collecting on 528,000 accounts: Chase cannot collect, enforce in court, sell, or transfer debts for consumers whose Chase credit card accounts were sent to collections litigation between January 1, 2009 to June 30, 2014. If Chase previously obtained a court judgment requiring consumers to pay the debt, Chase will notify the consumer that they will not try to collect, enforce, or sell the judgment. Chase will also contact the three major credit reporting companies to request that the judgments not be reported against consumers. These accounts had an original face value estimated at several billion dollars when Chase sent them to collections litigation. The actual market value is now estimated in the tens or hundreds of millions of dollars. Debt relief of this kind permanently protects consumers from any further collections and judgments on these accounts.
  • Pay at least $50 million in cash redress to consumers: Chase will pay cash refunds to consumers against whom collections litigation was pending between January 1, 2009 and June 30, 2014, for amounts paid above what the consumer owed when the debt was referred for litigation, plus 25 percent of the excess amount paid.
  • Prohibit debt buyers from reselling accounts: Chase must require by contract or agreement that debt buyers cannot resell debts purchased from Chase, unless to sell back to Chase.
  • Confirm debt before selling to debt buyers: Chase cannot sell debts that have been paid, settled, discharged, or are otherwise uncollectable. Prior to sale, Chase must provide account-level documentation to debt buyers confirming that the debts are accurate and enforceable. For a minimum of three years after selling the debt, Chase must make certain additional account information available to debt buyers including agreements, statements, and dispute records.
  • Notify consumers that their debt has been sold and make their account information available to them: Chase must notify consumers when their account is sold and reveal who purchased the account, the amount owed at the time of sale, and that consumers can request further information about their accounts at no charge.
  • Not sell zombie debts and other specified debts: Chase may not sell debts that do not have the required documentation, have been charged off for over three years or where the consumer has not paid for three years, are in litigation, are owed by a servicemember, are owed by someone who is deceased, or where the debtor has a payment plan.
  • Withdraw, dismiss, or terminate collections litigation: Chase will withdraw, dismiss, or terminate all pre-judgment collections litigation pending at any time after January 1, 2009.
  • Stop robo-signing affidavits: Declarations must be signed by hand, must reflect the actual date of signing, and must be based on the direct knowledge of the person signing and their review of Chase’s business records. Supporting documents submitted for debt collection litigation must be actual records of the debt, verified to be accurate, and not created solely for litigation.
  • Verify debts when filing a lawsuit: When filing collections lawsuits, Chase is required to submit specific information associated with the debt including the name of the creditor at the time of the last payment, the date of the last extension of credit, the date of the last payment, the amount of debt owed, and a breakdown of any post-charge-off interest and fees.
  • Pay $30 million civil penalty: Chase will pay a fine for its unlawful debt sales and robo-signing practices.
Chase must also implement policies, procedures, systems, and controls to ensure compliance with federal consumer financial laws when selling and collecting debts.
The Bureau is joined by 47 states and the District of Columbia in today’s action. The Bureau also worked in coordination with the OCC, which entered into a related agreement with Chase in 2013. The total relief to consumers includes debt relief associated with halting collections on more than 528,000 consumers’ accounts and at least $50 million in refunds. The amount of penalties and payments to states includes a $30 million civil penalty paid to the CFPB, a $30 million civil penalty paid to the OCC on the related matter, and $106 million in payments to states.
###

The Consumer Financial Protection Bureau is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit consumerfinance.gov.





Thursday, July 2, 2015

"Opting Out" Does NOT Increase Your Credit Score

There is an abundance of information and advice regarding credit scores floating around online. Most of it is well-intentioned and much of it is accurate, but there is still a great deal of misinformation polluting the Internet. Sorting myth from reality is a constant challenge. 

Credit card issuers and other lenders can buy prescreened lists of consumer names from each of the three credit-reporting companies and then mail these consumers offers of credit, via the prescreening process described here.

The Fair Credit Reporting Act (FCRA) allows consumers to have their names removed from any of these prescreened lists, a process called “opting out.” When you’ve opted out, the credit bureaus can no longer sell your name as part of any prescreened list.

The myth associated with opting out is that your score will actually improve as a result of you doing so. This is false. Your choice to opt out or not is not even reflected in your credit files at the CRCs, so credit scoring models cannot and do not consider your choice whether to opt out when determining your credit score. Again, the choice to opt out has no direct influence on your credit scores.

The next logical question is, “Could there be an indirect influence on your credit score if you choose to opt out?” The answer is also “no.” The only impact opting out has on your credit reports, which are the sole basis of information used to determine your credit scores, is that by doing so you’ll reduce the number of soft inquiries appearing on your reports. 

Soft inquiries are those posted to your credit reports if your name has been sold by the credit bureaus as part of prescreened lists, and soft inquiries have no effect on your credit score.

Many consumers mistakenly believe that fewer inquiries on a credit report lead to improvement in credit score. That misperception assumes soft inquiries have an impact on your scores, which they do not. Soft inquires are never seen or considered by lenders or credit scoring models, so whether you have one soft inquiry or 100 of them, they have no impact on your credit scores.

If you’re tired of receiving credit card solicitations in the mail, then opting out is a great way to reduce or eliminate them. But if you think opting out will improve your credit scores, then you are mistaken. You will have to pay your bills on time and stay out of excessive debt in order to accomplish that goal.