There are hundreds of ways to find yourself being harassed by debt collectors, but the exact details of how you got here are not important. What is important is how you are going to get things back on track.
If you have recently lost your job or suffered some other financial setback, you may be concerned about falling behind in your home mortgage payments. If this happens, the bank may foreclose on your home.
Bankruptcy is huge, no matter your age, but it's arguably more important as you grow older. You have less time to deal financially with your debt before retirement, and you must know all of your options. This is becoming more relevant for baby boomers, and here are five key things this generation needs to know.
People in Kentucky and throughout the United States who took out federal loans to attend for-profit colleges accused of fraud may be able to get those loans forgiven under a new Obama administration initiative. The Department of Education would also prevent universities that get money from federal student loans from requiring students to enter into mandatory arbitration agreements.
In 2016, John Oliver purchased $15 million in unpaid medical debt for $60,000. After purchasing the debt, the host of Last Week Tonight forgave it. While this may seem like a nice gesture, it may not have as much of a positive impact as one may think. First, the type of debt that Oliver purchased was time-barred. In other words, it was debt that could no longer be collected because of the applicable statute of limitations, which Kentucky and every other state has.
Each year, many Kentucky college graduates are scrambling for enough income to repay their student loans. For a great many of them, it is a distant goal, and their finances may suffer due to entry-level jobs and the cost of living. Enter debt relief companies looking to capitalize on debtor desperation. A Forbes article outlines the national significance of debt relief scams and warns people about how to spot and avoid them.
Some Kentucky consumers who are overwhelmed by debt try to resolve them by going through debt relief agencies. While some of these companies are able to help people, others are scams and take advantage instead by charging outrageous fees.
Kentucky residents will likely be aware that student loan debt has become a major issue as the 2016 presidential election draws closer. Democratic candidate Bernie Sanders has proposed a that a college education should be free for all Americans, and several other candidates from both sides of the aisle have criticized some of the practices of for-profit financial institutions. Student debt in the United States has now reached $1.2 trillion, and many economists believe that this is hurting the U.S. economy be preventing young people from buying homes or making significant purchases.
To some Kentucky residents, debt is considered a necessary evil while others cannot stomach the thought of owing money to anyone. When people are considering paying off debt early, they might first want to think about their savings. Paying off debts is a relief, but building up savings might be more important than paying off obligations quickly.
Many Kentucky residents who are overwhelmed by their student loan debts are often tempted to turn to debt relief agencies for help. However, state attorney generals are now suing many of these agencies for unlawful business practices. In early May, five debt relief agencies were sued by the attorney general of Illinois for breaking state laws.