Are you checking your mailbox every day and finding it cluttered with offers for new credit cards? Millions of other consumers are inconveniently dealing with the same dilemma and you can find a solution to reducing credit card junk mail with the help of the Federal Trade Commission (FTC)...
Figuring out how to pay off your holiday debt or other credit card debt can be a daunting, challenging task. Doucet & Associates Co., L.P.A. has created a list of tips and tricks to help you eliminate your debts, become debt free, and avoid receiving calls from debt collectors...
Columbus, Ohio residents in the 614 area code receive an extremely high number of robocalls. Robocalls are automated messages sent to a consumer’s phone that are typically annoying and unwanted...
Many consumers have at least one debit card and one credit card. Understanding the liability differences between each and knowing when it is the right time to use them is important...
Some companies make extra money by oppressing consumers with hidden fees. Most of the time hidden fees appear in transactions that include contracts such as charge cards, loans, hotels, student fees, and telecommunication services like internet, television, and phones.
Do You Want to Improve Your Credit Score?
Experian estimated Columbus, Ohio’s average credit score to be 666 in 2015. That is only three points below the 669 national average. If your credit score falls below these averages, there are steps you can take as a consumer to gain some points. The lawyers at Doucet & Associates Co., L.P.A. can also offer advice about the Fair Credit Reporting Act (FCRA) and how to correct problems on your credit report.
Ways to Improve Your Credit Score
1.You should first check your credit report for errors using at least one of the three main credit reporting agencies (Equifax, Experian and TransUnion). Your credit score may differ a little on each report based on resources the agency used to develop your score. If there is an error on your credit report, the FCRA says you can send a letter to the credit reporting agency asking for the error to be corrected. If the credit reporting agency fails to correct the error, you can contact Doucet & Associates Co., L.P.A. for help on correcting your report or read more about the FCRA on our website by clicking here and they may have to pay our fees. Correcting the errors on your credit report can improve your credit score.
2.Get a credit card. Having a credit card shows that a creditor can trust you to pay back borrowed money. If you use the credit card correctly without developing debt, then you can increase your credit score.
3.Pay off your credit card debt. Some people cannot pay off all their debt in one payment. If that is the situation for you, stop using your credit cards and focus on minimizing your debt by making the required minimum payments every month.
4.Pay your bills on time. This includes all bills such as credit card bills, utility bills, medical bills and student bills. Failure to pay bills on time lowers your credit score.
5.Ask for a raise on your credit card limit. Getting a raise does not mean you have to spend more on your credit card, but shows that your creditors trust you more.
6.Get involved in paying off different types of loans, whether it is all at the same time or separately. Your credit score can be improved if you have history of accurately paying off a credit card, an auto loan, student loans and a home mortgage loan. If you encounter problems paying off a home mortgage loan the lawyers at Doucet & Associates Co., L.P.A. have experience helping homeowners secure loan modifications and fighting foreclosure lawsuits.
Nursing Home Residents Can Now File Lawsuits in Court
A federal agency that controls a large amount of Medicare and Medicaid funding decided to stop providing funds to nursing homes that force residents to use arbitration and forbid the right to go to court.
Arbitration is a technique used outside a court room where an unbiased third party makes a decision to resolve a problem between two other parties. Nursing homes are placing rules and regulations in contracts detailing residents are not allowed to take legal action in court.
“This is a huge step forward for the rights of everyday citizens. I applaud the agency for this new rule and encourage other agencies to follow, especially those that govern banks and mortgage companies,” Troy Doucet, the firm principal here, said. “It’s time wrong doing comes out of the secret shadows of the arbitration clauses.”
Over a million Americans live in nursing homes. Many agree to abide by arbitration policies simply because their initial need for health aid is bigger than their future need to take legal action in court. Nursing homes forcing residents to use arbitration have prevented serious claims of sexual harassment, abuse and wrongful death from court.
Many nursing home companies prefer to force the residents to use arbitration because it is more cost efficient. Government agencies and lawyers believe nursing homes force arbitration to keep legal matters from destroying good reputations. Taking away a person’s right to take legal action in court is irrelevant to why a person decides to move into a nursing home. Nursing homes are supposed to protect a person’s health and provide a safe atmosphere, not dictate a person’s legal actions.
Last spring, the Consumer Financial Protection Bureau began creating a rule that would prevent credit card companies from forcing consumers to agree to arbitration practices. Since the turn of the century, arbitration regulations have started to appear in a variety of contracts including student loans, employment contracts and cellphone contracts.
Wells Fargo Created Millions of Fake Accounts
Wells Fargo created millions of fake bank accounts under consumer names between 2011 and 2015. By doing so, the Wells Fargo bank was able to meet targeted sales and collect more money in fees from their consumers who were unaware of these unauthorized accounts. It is noted that consumers were signed up for checking accounts and credit cards that they never agreed to open and pay fees on. Wells Fargo has said to have dismissed over 5,000 employees regarding this issue, suggesting this was a widespread problem and ingrained in the banks culture.
Over a million fake accounts are estimated to have been created by employees in consumers names. Employees allegedly created fake email addresses and fake pin numbers to enter these accounts into the system. Roughly a quarter of the accounts created without a consumer consent were credit card accounts. These credit card accounts jointly created a little under a half a million dollars in fees including interest charges, overdraft protection fees and annual fees. Wells Fargo does plan to compensate consumers involved in these fraudulent accounts.
So how does a fraudulent bank account effect a consumer?
A bank account developing fees that are going undetected by the consumer can continuously grow causing the consumer to have to pay more once detected. If never detected, then the consumer is accumulating debt. The unauthorized bank accounts also affect a consumers’ credit score as they are missing payments. A drop in credit could affect a consumers’ ability to take out a loan on items such as a car or mortgage for a home.
Wells Fargo creating unauthorized bank accounts violated the Truth in Lending Act (TILA). TILA expresses that consumers should be made aware of certain information when signing contracts related to credit cards and loans. Wells Fargo employees violated this act by never providing a contract for consumers to sign agreeing to the bank accounts and credit card accounts that were created. More information regarding the TILA can be found in 23 Legal Defenses to Foreclosure: How to Beat the Bank by Troy Doucet.
Truth In Lending Act
The Truth in Lending Act (TILA) is a federal law legislated on May 29, 1968 under the Consumer Credit Protection Act. The TILA was created to protect consumers involved in contracts with credited purchases with creditors and lenders. Essentially the TILA act enforces loan companies and credit card companies to provide all information regarding interest rates and other fees before a consumer agrees to borrow.
TILA covers open-ended credit and close-ended credit. Open-ended credit includes borrowed funds such as credit cards, debit cards and home equity loans. Examples of close-ended credit include auto loans and home mortgages. Information regarding terms of an Annual Percentage Rate (APR), the total amount offered in a loan and the frequency of due dates to repay the loan is now obligatory for the loaner to provide to the consumer under this act. The dispense of required information now allows consumers to be aware of contracts, costs of credit and so-called hidden fees. Consumers are also able to be more confident and comfortable agreeing to credit related contracts because they can use the provided information to compare a variety of loans or borrowed money.
Failure of cooperation by a loaner or creditor to provide the required information to the consumer can result in rescission in certain instances. The loan or credit transaction would be disentangled and canceled, and all fees and paid money would be returned back to the consumer in a rescission. Lenders and credit companies are more disposed and willing to provide the required information based on TILA due to the amount of loss which could generated during a rescission.
You can find out more information about the Truth in Lending Act (TILA) regarding home owners and foreclosure by reading 23 Legal Defenses to Foreclosure: How to Beat the Bank by Troy Doucet.
Can my credit card company sue me?
Troy Doucet is quoted in this Yahoo article about arbitration clauses. http://finance.yahoo.com/news/credit-card-company-sue-123048287.html
He would also point out that every so often arbitration clauses will be reciprocal, but that is rare and he has only seen it in commercial contracts. Even then, the clauses are usually limited in some respect or another.
If you have an arbitration clause you are worried about, please contact the attorneys at Doucet & Associates Co., L.P.A. by calling (614) 944-5219.