Student Loan Collections Resume Today
Account Recovery
MAY 5, 2025
After a five-year hiatus, the Department of Education will resume involuntary collections on federal student loans today, impacting millions of borrowers already in default.
Collections Garnishment Student Loans 
Judge Grants MTD in Student Loan Collection Case
Account Recovery
SEPTEMBER 14, 2020
A District Court judge in Connecticut has granted a motion to dismiss filed by a collection agency, a student loan servicer, and the plaintiff’s employer for allegedly violating the Fair Debt Collection Practices Act by attempting to garnish the plaintiff’s wages, because the statute of limitations on filing a claim had passed when the (..)
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Daily Digest – September 14. Judge Grants MTD in Student Loan Collection Case; Unlicensed Debt Collector Arrested in N.C.
Account Recovery
SEPTEMBER 14, 2020
Judge Grants MTD in Student Loan Collection Case; Unlicensed Debt Collector Arrested in N.C. appeared first on AccountsRecovery.net.
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Student Loan Default: Rehabilitation or Consolidation
Sawin & Shea
NOVEMBER 30, 2022
Student loan default can impact millions of Americans. Unfortunately, defaulting on a student loan can hurt your finances, credit, and other aspects of your life. If you fall behind on student loan payments, your loan won’t default immediately. What Are My Options After Defaulting on Student Loans?
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Daily Digest – April 15. Judge Grants MSJ for Plaintiffs in FDCPA Case Over Expletive-Laced Communications; Gov’t Cancels $7.4B in Student Loans
Account Recovery
APRIL 15, 2024
in Student Loans Oregon Gov. Signs Garnishment, Collection Bill into Law Compliance Digest – April 15 WORTH NOTING: Meet a guy who likes to scam the scammers … Why a shortened workweek is gaining steam here in America with CEOs … […]
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Can My Stimulus Check Be Garnished for Credit Card Debt?
Credit Corp
MAY 17, 2021
But those who are struggling with debt might wonder: Can my stimulus check be garnished for credit card debt or other money owed. In some cases, the money you get from the third stimulus could be garnished. Federal Student Loan Debt: No. This is not necessarily true for private student loans, though.
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Steps Involved in Recovering Unpaid Student Loans
Nexa Collect
JUNE 27, 2023
Recovering unpaid student loans is a systematic process. Just like mortgage recoveries, the steps can vary depending on the jurisdiction and the terms of the loan. Employ a Collection Agency : If the borrower is unresponsive or unwilling to pay, employ the services of a collection agency.
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Congress Passes Relief for Student Loan Borrowers in CARES Act
Titan Consulting
JUNE 7, 2020
Congress recently passed legislation in the CARES act that provides direct and indirect benefits to Federal Student Loan borrowers. Benefits include a suspension of payments, no negative credit reporting, no collection activity, and no accrual if interest until September 30, 2020. Help Available for Borrowers with Student Loans.
What Happens If You Ignore Your Student Loans?
Credit Corp
JULY 9, 2024
Ignoring student loans can damage your credit score, lead to wage garnishment, and accrue interest and fees. It may also result in legal action, tax refund offsets, and impact co-signers, making it crucial to address repayment issues promptly with your loan servicer. What Happens If I Don’t Pay My Student Loans?
Can a Debt Collector Collect After 10 Years?
Credit Corp
DECEMBER 14, 2020
Whether you have medical debt, credit card debt or unpaid student loans , getting calls or letters from debt collection companies can be frustrating. Can a debt collector collect after 10 years? Here’s an overview of the timelines for debt collection and what to do if you’re contacted about an old debt.
What is a Judgment?
Credit Corp
JUNE 3, 2020
The company, creditor or collection agency has legal ways to pursue payment. The judgment creditor can then use that court judgment to try to collect money from you. Common methods include wage garnishment , property attachments and property liens. This is known as wage garnishment. Nonwage garnishment.
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An In-Depth Guide to Bank Account Garnishment in Texas and How to Avoid It
Debt RR
AUGUST 3, 2020
This unpaid debt can lead to a serious problem for businesses: garnishment. Bank account garnishment can create serious cash flow blocks for companies of all sizes, and those cash flow problems can compound into other issues, like payroll concerns and late payments on other accounts. Can Debt Collectors Garnish Bank Accounts in Texas?
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Can Debt Collectors Follow You to Another Country?
Credit Corp
MAY 19, 2021
If you owe money and don’t pay it, a creditor typically has to get a judgment to be able to force the collection. They could just decide that it’s too expensive to try to collect the debt while you live outside of the country. You could face severe consequences if you choose not to continue making payments on your loans.
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Dealing With Debt From COVID-19
Debt Free Colorado
APRIL 9, 2020
While credit cards and other unsecured loans are almost always the most aggressive when it comes to collecting debts, they should generally be your lowest priority. Student Loans. You should call your student loan servicers about forbearance, which will temporarily stop or reduce your payments. Credit Cards.
How New York State’s 2024 Plan Will Affect Debt Collection
FFGN COLLECT NY
JANUARY 10, 2024
On Tuesday, January 9, New York Governor Kathy Hochul delivered the 2024 State of the State address, discussing certain changes that will affect debt collection within the state. Hochul specifically mentioned student loan servicers who encourage the quickest repayment plans or plans not suitable for the party repaying.
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Tenth Circuit Adopts “Reasonable Consumer” Standard to Determine Materiality Under FDCPA
Troutman Sanders
SEPTEMBER 19, 2022
The standard courts should use to determine whether an alleged Fair Debt Collection Practices Act (FDCPA) violation is material remains unsettled. Pioneer) to help collect the debt. The packet’s first two pages contained information about the alleged debt and ordered the employer to garnish the plaintiff’s wages. In Tavernaro v.
Need to Know About Debt Negotiation and Settlement?
Sawin & Shea
AUGUST 24, 2020
Bankruptcy will wipe out credit card debt, medical bills, and personal loans, but will not eliminate primary obligation debt; things like student loans, child and spousal support, and newer tax debt. Bankruptcy can also stop or delay a home or mortgage foreclosure, stop collection actions, stop garnishments and lawsuits.
How Late Can You Be on a Car Payment, Mortgage or Other Bill?
Credit Corp
JUNE 14, 2023
How Late Can You Be on a Mortgage Loan Payment? How Late Can You Be on Student Loans? But most of the time, you must miss a number of payments in a row before the account is sent to collections. How Late Can You Be on Student Loans? Many federal student loans provide a 15-day grace period.
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How to Remove TransWorld Systems From Your Credit Report
Better Credit Blog
APRIL 1, 2022
A good credit score allows you to get better rates on car or mortgage loans just to name a few. If you fall into hard times, the inability to pay off your credit card bills or student loans can result in your debts being transferred to a debt collection agency. Have a Professional Remove the Collection.
I’m Self Employed: What Are My Bankruptcy Options?
Sawin & Shea
MARCH 30, 2021
Collect copies of all invoices you sent out. You will be able to download a record of your bank deposits. This will be true whether you deposited cash or checks (and the bank provides pictures of checks you have deposited). Don’t include invoices that you have sent out that have not yet been paid by your clients.
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How To Remove Portfolio Recovery From Your Credit Report
Better Credit Blog
APRIL 3, 2022
Portfolio Recovery Associates, LLC, is a collection agency that buys old debts from lenders and companies that have been unable to collect the debt themselves. In other words, when the original creditor has been unsuccessful in collecting on a debt, it will write off the debt as a loss. How Portfolio Recovery Associates Works.
How New York State’s 2024 Plan Will Affect Debt Collection
Collection Industry News
MARCH 17, 2024
On Tuesday, January 9, New York Governor Kathy Hochul delivered the 2024 State of the State address, discussing certain changes that will affect debt collection within the state. Hochul specifically mentioned student loan servicers who encourage the quickest repayment plans or plans not suitable for the party repaying.
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What Is a Judgment?
Credit Corp
MAY 30, 2023
This is known as wage garnishment. The Consumer Credit Protection Act caps these types of garnishments. Nonwage garnishment. If you’re retired, unemployed, or self-employed, your bank account may be garnished instead. Veterans payments, social security, and disability benefits are not eligible for nonwage garnishment.
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8 Million Americans Are in Default With Their Student Debt
Collection Industry News
NOVEMBER 8, 2021
More than eight million Americans were in default on their student loans as of June. They represent roughly one-fifth of the 43 million Americans who held federal student debt. The department is currently conducting such a rulemaking to reform major pieces of the student loan repayment system.
Fair Debt Collection Practices Act (FDCPA)
Better Credit Blog
AUGUST 31, 2020
Having debt in collections can be downright overwhelming, especially when debt collectors bombard you with dozens of phone calls. What you may not know is that you are protected by the Fair Debt Collection Practices Act (FDCPA), a law designed to keep third-party debt collectors in check when they contact you. Table of Contents.
Top 6 Complaints Against Debt Collection Companies
National Service Bureau
APRIL 6, 2015
Debt collection companies walk a fine line between business efficiency in their primary function (accounts receivable management), while at the same time needing to respect the fact that the debtor is a valuable client to the business for whom they are running collections. 5: Improper contact or sharing of information. Government.
Tax Season Debt Collection Strategies and Why They Matter
Taurus Collect
JANUARY 24, 2023
But while it can be exciting to think about that refund cheque hitting your bank account soon, there’s another equally pressing reason why you should pay attention this tax season – debt collection! One of the most common strategies employed by debt collection companies is sending frequent letters or calls reminding you of unpaid debts.
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Who Can Declare Chapter 7 Bankruptcy?
Sawin & Shea
JANUARY 18, 2023
Filing Chapter 7 bankruptcy provides you with an automatic stay that prohibits creditors from being able to take any action to collect a debt against you, such as repossessions, wage garnishment, and legal action. What Happens After You File Chapter 7 Bankruptcy? Additionally, your creditors will not be allowed to contact you.
DEBT COLLECTION INDUSTRY DEEMS ITSELF ESSENTIAL TO “FINANCIAL HEALTH” OF CONSUMERS, FIGHTS COVID-19 SHUTDOWN
Collection Industry News
JULY 20, 2020
DEBT COLLECTORS, facing growing demands to freeze the collection of debt across the country amid the economic hardship caused by the coronavirus pandemic, are mobilizing their lobbyists to push back. In New York, residents are receiving a 30-day reprieve from the collection of state-owned medical and student debt.
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Monthly Accounts Receivables Roundup for November 2021
Katabat
DECEMBER 7, 2021
Collections Industry Increases Hiring and Technology Investments While Preparing for the ‘Next Normal.’”. The report also notes that auto debt increased by $28 billion in the third quarter and student loan balances grew by $14 billion. Student Loan Borrowers Beware: Government Collection Activities Resume Next Year.”.
Monthly Accounts Receivables Roundup for November 2021
Katabat
DECEMBER 7, 2021
Collections Industry Increases Hiring and Technology Investments While Preparing for the ‘Next Normal.’”. The report also notes that auto debt increased by $28 billion in the third quarter and student loan balances grew by $14 billion. Student Loan Borrowers Beware: Government Collection Activities Resume Next Year.”.
What is the Difference Between Secured and Unsecured Debt?
Sawin & Shea
JANUARY 25, 2022
However, if you file for bankruptcy, it can put a pause on debt collection, including actions by secured creditors. Instead, when a debtor fails to pay, the lender must first file a lawsuit in order to collect what is owed. What collection remedies are allowed will vary by state. Examples of Unsecured Debts.
The Growth Potential of the Debt Collection Industry: An In-Depth Analysis
Collection Industry News
JUNE 1, 2023
Introduction: The debt collection industry plays a vital role in the global economy, helping businesses recover outstanding debts and maintain financial stability. The growing complexity of financial products, such as credit cards, mortgages, and student loans, has led to a surge in outstanding debts.
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Troutman Pepper Weekly Consumer Financial Services COVID-19 Newsletter
Troutman Sanders
MARCH 22, 2021
Department of Education announced that about 72,000 student loan borrowers, who were defrauded by their schools, will receive student loan forgiveness that could total $1 billion. The bill also would require such payments to be encoded, and would extend other restrictions on collection of such funds.
Is It Better To Declare Bankruptcy or Debt Consolidation?
Sawin & Shea
JANUARY 24, 2024
The Pros Bankruptcy can stop foreclosures , repossessions, lawsuits, wage garnishment, utility shut-offs, and debt collection activities through its automatic stay provision. Any debts not discharged, like student loans, remain. At the end of the plan, any unpaid balances on the qualifying debts are discharged.
CFPB Issues COVID-19 Special Edition Supervisory Highlights
Collection Industry News
FEBRUARY 15, 2021
In the area of debt collection, the CFPB observed, among other things, that some entities reported increases in consumer contacts and payments, which may have been attributable to more consumers being at home, reduced spending, and pandemic-related assistance. insufficient loss mitigation processes.
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How Much Debt Is Needed to File for Bankruptcy?
Sawin & Shea
MAY 2, 2024
Whether you’re facing foreclosure , repossession, wage garnishments, or relentless creditor harassment, our expertise in bankruptcy law can offer the protection and relief you’ve been seeking. Student loans are also difficult but not impossible to discharge in bankruptcy.
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How To Remove McCarthy Burgess & Wolff From Your Credit Report
Better Credit Blog
AUGUST 25, 2020
When a collections account makes its way onto your report, it can do a surprising amount of damage to your credit score. The agency has been in the business of debt collection since 1980. Though they collect from debtors across the nation, their headquarters are in Cleveland, Ohio. Outsourcing debt collections.
How To Remove Northland Group From Your Credit Report
Better Credit Blog
SEPTEMBER 8, 2020
Since your payment history constitutes 35% of your credit profile, and the longer a debt goes unpaid the more damage it does, a collections account can be devastating to your score. While they aren’t a household name, they collect for some well-known service providers. Student loans. Bloomington, MN 55438. Credit cards.
Questions to Ask a Chapter 7 Bankruptcy Lawyer Before Filing for Bankruptcy
Sawin & Shea
MARCH 7, 2023
When you file for Chapter 7 bankruptcy, the Court will place an automatic stay upon filing, which stops creditors from collecting payments, garnishing wages, or repossessing property. Chapter 7 bankruptcy, also known as liquidation or straight bankruptcy, can help those having financial difficulties clear away various types of debts.
What Can I Keep if I File For Chapter 7 Bankruptcy?
Sawin & Shea
SEPTEMBER 27, 2023
If you are a victim of debt collector harassment, it’s important to know the debt collection laws, and consider your options for debt relief. Debt Collection Laws: What Can Debt Collectors Do? Debt collectors have a legal right to pursue the collection of personal debt within the bounds of the law. What Are My Next Steps?
What Debts Can Bankruptcy Eliminate: Examples of Unsecured Debt
Debt Free Colorado
DECEMBER 23, 2024
Quick Summary: Filing for bankruptcy stops all debt collection right away through the automatic stay. Student loans, child support, recent taxes, and court fines must be paid in full. This process can stop creditors from collecting money from you. If you fail to pay, creditors cannot take your belongings.
Troutman Pepper Weekly Consumer Financial Services Newsletter
Troutman Sanders
DECEMBER 20, 2022
On December 15, the Office of the Comptroller of the Currency, along with the Federal Financial Institutions Examination Council, released revised procedures for how its examiners will investigate financial institutions for Fair Debt Collection Practices Act compliance, incorporating Regulation F changes into their review.
Chapter 7 Bankruptcy Timeline
Debt Free Colorado
DECEMBER 7, 2016
Lawsuits, garnishments, foreclosures, and other collections stop at this time. Certain taxes, student loans, child or spousal support, fees owed the government, and other debts aren’t affected. The Trustee collects these assets. All the debts listed in your case that can be discharged are wiped out.
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