Timothy Kingcade Archives - Page 44 of 53

Bankruptcy Law, Credit, Timothy Kingcade Posts

Debt Collectors Calling You? Make sure you know your rights.

Posted on March 9, 2015by Admin

In honor of National Consumer Protection Week, at the law firm of Kingcade & Garcia we want to take a moment and educate you on your rights as a consumer. There are few things more frustrating than being harassed by a debt collector for a bill you cannot pay. There are federal laws that protect consumers from inappropriate and deceptive debt collection practices.

The Fair Debt Collection Practices Act defines consumers’ rights when it comes to dealing with debt collection agencies and regulates what debt collectors can and cannot do legally when collecting on a debt. A collection agency has the right to call you at your home or workplace within reasonable hours, unless you specifically ask them not to do so. Within five days of calling you, a collection agency is required to send you a written confirmation stating the amount you owe and the name of the creditor.

If you do not believe you owe the debt, you can send the agency a letter explaining this within 30 days of receiving the notice, according to the Federal Trade Commission. With the letter, include any proof that the debt is not yours. The collection agency must cease contacting you at this time, unless it can send you written verification that the debt is in fact yours.

If the debt is yours and you want the agency to stop contacting you, you can send a letter requesting this. After your letter has been received, there are two instances in which you may still be contacted by the debt collector:

• The collector may contact you to let you know there will be no further contact;
• The collector may contact you to let you know that a specific action will be taken (i.e. – filing a lawsuit against you). If this is the case, it is important that you respond to any court summons you receive, otherwise you forfeit your right to fight a wage garnishment and the debt collection agency can take money directly out of your bank account.

Important Tip: Make sure you keep copies of communication you have had with the debt collection agency. This will be of great importance if legal action occurs.

Debt collectors can also contact third parties (typically only one time) to find out general information about you (i.e. – your address, phone number or place of employment.)

What Debt Collectors Cannot Do:

• Contact you at unreasonable hours. Debt collectors cannot contact you during unreasonable hours, before 8 a.m. or after 9 p.m. They also must quit calling you at your place of employment if you notify them in writing or over the phone that you cannot accept calls there.
• NO harassment. A debt collector cannot harass you about a debt you owe. Harassment can include threats of violence, obscene language, multiple phone calls or publishing your name publicly because you owe a debt.
• NO unfair collection practices. A debt collector may not engage in unfair collection practices (i.e. – trying to collect more than you owe, depositing a post-dated check early or taking your property when they are not legally allowed to do so).
• NO double dipping. If a collection agency has more than one of your debts, it cannot apply payments you make to one debt to another. It also cannot apply payments to a debt you say you do not owe.
• NO lying. A debt collector cannot lie to you in an attempt to collect on a debt. These lies can include falsely representing him or herself as an attorney, government official or someone else; accusing you of committing a crime; stating you owe more than you do. Debt collectors cannot threaten legal action or wage garnishment will occur if this is not the case. They also cannot give false credit information or lie about the agency they work for.

If you have an attorney representing you, the collection agency has to talk to your attorney, not you. As a general rule, a debt collector cannot discuss your debt with anyone besides you, your spouse and your attorney.

If you have questions regarding the Fair Debt Collection Practices Act, click here to watch this short video.

If you are in a financial crisis and are considering filing bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Timothy Kingcade Posts

5 Tips to Digging your Way out of Debt

Posted on March 6, 2015by Admin

Financial guru Dave Ramsey has advised millions on how to get out of debt. Here are five tips that can work for you.

1. Stop shopping and sell what you do not need.

2. Cut up the credit cards. Use a debit card or just plain cash. Paying with cash will make you think twice about every purchase.

3. Skip the big car loan. The average car payment runs American’s $478 a month over 84 months. If you invested that amount from age 30 to 70 instead of paying a car payment, you would have $5.6 million!

4. Have an emergency fund. Start with $1,000 as your starter emergency fund and go from there.

5. Pay off credit cards, starting with the one with the highest interest rate.
Once you have paid off your credit cards, begin saving for your children’s college and try to pay off your mortgage in 15 years. Most importantly, have hope that things will get better.

Click here to read more on this story.

Foreclosures, Timothy Kingcade Posts

Struggling Florida Homeowners Get a Break: No Default Notice Means No Foreclosure, Fourth DCA Rules

Posted on March 5, 2015by Admin

The Fourth District Court of Appeal has sided with the homeowners in a case involving Deutsche Bank and a mistake over the notice of default in a foreclosure case. A mailing address proved to be the bank’s downfall in an attempt to recover a house in Port St. Lucie, well-known for being one of the hardest hit cities following the housing collapse.

The attorney for the family argued the bank violated terms of the mortgage by sending the notice of default to a post office box as opposed to the property address, which was the official address listed on the mortgage. Even though the house was vacant at the time, the appeals court agreed and remanded the case to the trial court for dismissal.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Foreclosures, Timothy Kingcade Posts

South Florida Couple Accuses Wells Fargo of Fraud

Posted on March 3, 2015by Admin

A South Florida couple claims that Wells Fargo engaged in fraud when it accepted thousands of dollars in exchange for a promise of a permanent loan modification, which was never delivered. The Federal lawsuit centers on the issue of a “Trial Period Plan.”

After falling on hard times, the couple received an offer from Wells Fargo called a Trial Period Plan. The letter began by stating, “”Wells Fargo Home Mortgage wants to continue to work with you to modify your mortgage.” According to the letter, the family “must make new monthly ‘trial period payments’ in place of (their) normal monthly mortgage payments” at a little more than $2,000 and “after all trial period payments are made, (their) mortgage will be permanently modified.”

After making three payments, and several more, Wells Fargo worked to reschedule the foreclosure sale and no permanent loan modification was granted. “It felt like the rug got pulled out from under us. Because of the fact that we’ve given them everything and they still said, ‘No, you’re denied.’ It was very frustrating. Because you’re going through this modification process, you’re doing what the bank asks you to do because we’re told to trust the bank,” the family said.

The family’s attorney is accusing Wells Fargo of misleading the couple with broken promises, acting maliciously, and breach of contract. They are seeking injunctive relief to protect the ownership and title of their home and $75,000 in damages.

The lawsuit also alleges that Wells Fargo had “no intention of offering such permanent loan modification … by inducing Plaintiffs into making thousands of dollars of additional payment (that could not otherwise be collected) with the false promise of a loan modification Defendants, Wells Fargo, can collect more from the distressed homeowner, than the $4,000 maximum incentive payment collected under Defendant, Freddie Mac, loan modification program.”

Click here to read more on this story.
http://www.local10.com/news/south-florida-couple-claims-wells-fargo-engaged-in-fraud/31341328

Bankruptcy Law, Credit, Timothy Kingcade Posts

Student Loan Debt May be Sabotaging Your Shot at being a Homeowner

Posted on February 27, 2015by Admin

In 2014, student loan debt topped $1.2 trillion, its highest figure to date. A sample taken from Equifax showed that most borrowers owed an average of $27,000. This number is 74 percent higher than it was ten years ago. Economists believe student loan debt is largely to blame for the decrease in young adults becoming homeowners. The number of 27-30 year olds with home-secured debt has dropped significantly since 2009, according to a report by the Federal Reserve Bank of New York.

The Federal report also showed that financial conditions for young adults are not improving. In the last quarter of 2014, the percentage of delinquent student loans rose from 11.1 to 11.3. Missing student loan payments can greatly impact a consumer’s credit score. Since the housing bubble burst, credit scores and debt-to-income ratios have been held to higher standards, making it harder to be approved for a home loan.

Click here to read more on the effects student loan debt has had on homeownership over the last decade.

Credit, Foreclosures, Timothy Kingcade Posts

Mortgage Rates Continue to Increase

Posted on February 26, 2015by Admin

Although the 30-year fixed-rate average is down year to date from 4.28 percent to 3.73 percent, mortgage rates moved higher again this week. One week ago the fixed rate average was 3.69 percent, up .04 percent. Earlier in February, the rate hit a 21-month low of 3.59 percent. The 15-year fixed-rate average also increased from 2.99 percent to 3.05 percent in the past week. The one-year ARM average moved higher to 2.45 percent, up .03 percent from last week.

With mortgage rates rising for the second consecutive week, housing starts declined 2 percent according to Len Kiefer, Freddie Mac deputy chief economist. However, Kiefer said home builders are remaining confident in new home sales. In addition to housing starts, home loan applications were also down approximately 13 percent last week. The refinance index decreased 16 percent while the purchase index dropped 7 percent. Economists say it is no coincidence that mortgage rates hit the highest number of 2015 and home loan applications dropped sharply, particularly for refinances.

Click here to read more on the rise in mortgage rates this week.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Steps to Protect your Credit Score when you get Married

Posted on February 25, 2015by Admin

Many people assume that once you are married, you automatically take on your spouse’s past credit and any debt they have. This is not the case. However, things change when you start incurring debt during the marriage. Once you open a joint account with your spouse, you are both responsible for the debt incurred. If you have worked hard to maintain your credit score and your spouse or future spouse has not, it can greatly impact your own credit score. Below are a few tips to protect your credit score in marriage.

1. Understand your liability for your spouse’s debts: You are not automatically responsible for your spouse’s debts once you say “I do.” However, if you have opened a joint account, applied for joint credit, cosigned on a loan or added your spouse as an authorized user, your credit score will reflect any of your spouse’s financial mistakes. If your spouse incurs debt during the marriage, you may be responsible for the debt to creditors if you live in a “community property” state. If you live in a common law state, you are generally only responsible for debts in your own name. Florida is a community property state.
2. Share your financial past with your spouse: Before you getting married, make sure you know of any debt or past debt your future spouse has owed and vice versa. When you’re planning a wedding, it may seem insignificant; however, disagreements about money is a leading cause of divorce.
3. Wait until you have your finances in order: If your partner has substantial debt, experts suggest waiting until you both have your finances in order to tie the knot. If you do not want to wait, you may consider waiting to open up a joint account in the marriage.
4. Make major purchasing decisions together: Make sure you both agree on when and how to make major purchases before tying the knot.
5. Consider applying for credit individually: If your spouse does not have responsible spending habits; you may want to consider applying for credit individually. If your spouse’s credit score is low, it can make your interest rate higher than usual.
6. Be careful when you cosign: Do not cosign on anything your spouse wants to purchase unless you are fully prepared to make the payments if your spouse fails to do so.
7. Add he or she as a joint account holder: If you decide to add your spouse as a joint account holder, your spouse is then responsible for the balance. The only way it will hurt your credit score is if your spouse uses all of your available credit or an amount that you cannot pay.
8. Add he or she as an authorized user: By adding your spouse as an authorized user, they are not responsible for the debt. They can however, get you in trouble if they spend more than you can afford to pay.
9. Keep your individual accounts open: Even if you open a joint account, keep your individual accounts open. The length of your account history is a factor in your credit score.
10. Consider legal agreements: Although it may make for an uncomfortable conversation, prenuptial agreements can be one of the best ways to protect you from your spouse’s debt in case you divorce. Prenuptial agreements let you and your spouse agree upon how debt and assets will be handled if the marriage does not last.

Click here to read more on ways to protect your credit score when you get married.

Credit, Foreclosures, Timothy Kingcade Posts

Who will Claim $380 Million in Unspent Foreclosure-Abuse Money?

Posted on February 24, 2015by Admin

After a 2013 settlement, the Federal Reserve and Office of Comptroller of the Currency are attempting to reissue checks to borrowers whose homes were improperly foreclosed on between 2009 and 2010. The nearly 600,000 checks being reissued range from several hundred dollars to $125,000. In many cases, the Federal Reserve is reissuing these checks to updated addresses. Approximately $3.1 billion dollars has already been cashed or deposited by homeowners who suffered from the foreclosure-related abuse.

An independent review of the banks’ foreclosure practices was conducted in 2011 and found that bank employees were processing foreclosure cases without personally verifying accounts. It was also discovered that the banks were improperly denying loan assistance to homeowners, made errors in assistance plans and charged improper fees. Ultimately, fifteen banks signed the multi-billion dollar settlement leading the Federal Reserve to reimburse some 4.2 million borrowers.

Click here to read more on who will be claiming the $380 million in Unspent Foreclosure-Abuse Money.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Considering filing for Chapter 7 Bankruptcy? Read this FIRST.

Posted on February 23, 2015by Admin

Many consumers unknowingly make detrimental financial mistakes before filing for bankruptcy. These mistakes can ultimately affect the outcome of your case. By avoiding the below mistakes, you can assure your bankruptcy filing goes smoothly and avoid challenges by your creditors and the bankruptcy trustee.

• Do not transfer money or assets: Oftentimes consumers will transfer funds to a family member or change the name on titles to a child or spouse’s name. The court will view these type transfers as fraud, even if you have innocently transferred the property without any intention to conceal it.

• Do not pay off certain creditors: Consumers sometimes pay off certain bills just before filing bankruptcy to satisfy their creditors. However, if a court finds these payments as “preferential transfers” it can lead to “claw back” lawsuits where the court sues the entity you paid to get the money back.

• Avoid using your credit cards: Do not accrue unnecessary debt just because you anticipate it will be erased in bankruptcy.

• Do not make unusual deposits into your bank account: Only deposit salary or wages into your bank account. For example, do not deposit any money in your account that you have borrowed from others or that has been given to you. A tip to small business owners: Avoid conducting transactions for the business through your personal account.

• Do not sue anyone: Any legal claim that you have is an asset that can be taken by the bankruptcy court. Even claims that you may have against others that have not been filed in court, is property of the bankruptcy estate.

• Speak to your attorney before accepting future payments: Bankruptcy court can seize funds that are not actually in your possession, but you expect to receive. For example, if you are receiving an inheritance which will be paid in the future or filing tax returns that result in a refund.

• Waiting too long to file: Many of the mistakes above can be avoided by simply not delaying the filing of your bankruptcy claim.

Click here to read more on mistakes to avoid before filing Chapter 7 bankruptcy.

Bankruptcy Law, Credit, Timothy Kingcade Posts

Protecting Military Service Members from Predatory Loans Issue of National Security

Posted on February 20, 2015by Admin

Laws such as the Military Lending Act are intended to reduce service members’ likelihood of ending up in debt to predatory creditors by capping interest rates on loans at 36%; prohibiting “roll over” loans where the borrower pays off an existing debt with another loan (usually with less favorable terms); eliminating forced arbitration with creditors; banning creditors from requiring that they carve out an automatic amount of money from their paycheck to pay back your loan; and forbidding prepayment penalties for borrowers who pay back some or all of the loan early.

These rules, which protect our military are not just about doing something nice for our soldiers, it is an issue of national security. While it is unfortunate for any consumer to end up with revolving debt, there are particular concerns when the borrower is a service member. Someone looking for unauthorized access to military information or assets may be able to leverage that debt in their favor. This is why service members with significant debt on their credit reports may end up having their security clearance lowered or taken away. Some debt collectors are using this as leverage when trying to get service members to pay up, threatening to reveal their financial situation in a way that will negatively impact their position in the military.

According to the Consumer Financial Protection Bureau, some debt collectors have even threatened to tell the soldier’s superiors about the debt and when their status comes up for review. Such contact is illegal as outlined in the Fair Debt Collection Practices Act. Even if a soldier’s security clearance is damaged by debt, they can appeal their case to an Administrative Judge of the Defense Office of Hearings and Appeals, where they will be given a chance to explain how they ended up in debt and what they are doing to address the problem. This can include the soldier showing that they are currently living within their means; that they are making a good faith effort to resolve the unpaid debts; disputing debts that are not theirs, etc.

Click here to read more on this story.
http://consumerist.com/2015/01/09/protecting-military-servicemembers-from-predatory-loans-is-a-national-security-issue/

If you are in financial crisis and considering filing for bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.