Steps You Can Take To Regain Control When Finances Get Out Of Hand...

Developing A Budget: Start by doing a realistic assessment of how much money comes in and how much your spend. List income sources, “fixed” expenses (mortgage or rent, car, insurance) and expenses that vary (entertainment, clothing, recreation). Don’t leave anything out, no matter how trivial it seems.

Obviously, necessities are your first priority. Then you can prioritize rest. The bottom line Is, that unless there’s money to cover, you’re going to have to cut back on spending.

Contacting Your Creditors: Many creditors will work with you if you let them know you are having trouble making ends meet. Tell them why it’s difficult for you and try to work out a modified payment plan that reduces your payments to a more manageable level. Don’t let them give up on you – get to them before they resort to collection agency action.

Dealing With Debt Collectors: Nobody wants to deal with bill collector – least of all you! But, should it happen, be sure you know rules. The Fair Debt Collection Practices Act is law that dictates how and when a debt collector may contact you ...

A debt collector may not call you before 8a.m. or after 9p.m ... or at work if collector knows that your employer doesn’t approve of calls. Collectors may not harass you, make false statements, or use unfair practices when they try to collect a debt.

Debt collectors must honor a written request from you to stop further contact.

If you’ve ever applied for a charge account, a personal loan, insurance or a job, there’s a credit report about you. This credit report contains information on where you work and live, how you pay your bills, and whether you’ve been sued, or filed for bankruptcy.

About The Fair Credit Reporting Act? (FCRA)

The Fair Credit Reporting Act was first federal law to regulate use of personal information by private business. It was all way back in 1899 that first major credit reporting agency was started. Over time, credit reporting grew into a huge industry and, by late 1960’s, became surrounded by controversy.

Credit reports from Credit Reporting Agencies were being used to deny services and opportunities. At that time, you would have had no right to see what was in your credit report. The FCRA was passed in 1970 and fortunately now you have that right.

On December 4, 2000 President George Bush signed into law first phase of Fair And Accurate Credit Transactions Act (FACT Act), which amends FCRA. The FACT Act establishes Financial Literacy and Education Commission and calls for a national financial literacy campaign.

The act addresses consumer’s rights to understand and protect information in their credit report and to get help when their financial information has been stolen. It also restricts use of medical information in determining a consumer’s eligibility for credit, and also limits sharing of medical information with affiliated companies under certain circumstances.

Here are some questions consumers commonly ask about credit reports, Consumer Reporting Agencies and answers. Note that you may have additional rights under state laws. You can contact your state Attorney General or local consumer protection agency for more information. You also have information and resources at your disposal 24/7 at: www.creditandyou.com.

Q. What can I do about inaccurate or incomplete information?