… article in the Star-Telegram, the Better Business Bureau is warning consumers away from using debt settlement companies, which often worsen their financial condition and fail to deliver on their promises.

The article said:

“The Better Business Bureau at Fort Worth has just completed a report on debt settlement businesses and warns consumers that seeking their help is rarely a good idea. Debt settlement usually adds to the consumer’s debt load and rarely leads to a significant …

Tags: Bankruptcy Better Business Bureau Debt settlement Financial services

Permalink: /debt_consolidation/better-business-bureau-gives-debt-settlement-companies-an-f/

… and other financial issues delay bankruptcy.  Too many of them turn to questionable debt settlement firms who charge the exorbitant fees while failing to deliver on their promises. The truth about debt settlement is…

Debt settlement firms claim to have the power to negotiate your debt balance; but the truth is that they have no legal authority to force creditors to settlement legitimate debt.

Debt settlement firms claim to offer low fees; but many debtors end …

Tags: Bankruptcy Debt settlement Financial services

Permalink: /job_loss_unemployment/the-truth-about-debt-settlement/

Debtor’s can’t afford the payment(s).  The number one reason most debt settlement schemes don’t work is because the debtor cannot afford the payment(s).  Most debt settlement schemes require large upfront payments to the debt settlement firm which will be redirected to the creditor (minus the debt settlement firm’s fees). However, most debtors are severely cash strapped and can’t afford to pay.

The debt settlement firm is often unable to …

Tags: Debt Debt settlement IRS Taxes

Permalink: /managing-your-finances/six-reasons-why-debt-settlement-schemes-often-don%e2%80%99t-work/

… Materials Holding Corp., will pay nearly $475,000 to a group of construction workers under a legal settlement approved by the bankruptcy judge overseeing the company’s Chapter 11 proceedings.

The article said:

“The lawsuit accused the company and its subsidiaries, including San Francisco-based SelectBuild Construction Inc., of violating state and federal law by not paying laborers higher rates for overtime work and by withholding payment for time spent in transit between job sites. …

Tags: Building Materials Holding Corp Labor Dispute SelectBuild Construction Inc. Settlement

Permalink: /lawsuits/bankruptcy-judge-approves-settlement-for-labor-dispute/

According to an article in About Lawsuits, a bankruptcy judge approved a $24 million settlement for the family of a California longshoreman who brought a wrongful death lawsuit against Chrysler before the company went bankrupt.

The article said:

“The Chrysler wrongful death lawsuit was filed by the family of Richard Mraz, who was 38 years-old when he was killed in April 2004 when his 1992 Dodge Dakota pickup rolled over him while he was working at the Port of Los Angeles. …

Permalink: /chapter-11-bankruptcy/bankruptcy-court-approves-24-million-chrysler-settlement/

Given today’s economy, many debt settlement companies are waiting to take advantage of you.

An article in the USA Today warns that people should make sure they are not being taken advantage of by debt settlement companies.  Many people are struggling financially right now, and there are companies and individuals trying to profit from others misfortunes.

A prime example of this came to the forefront in Florida last week.  …

Permalink: /fort_worth_attorney/watch-out-for-debt-settlement-scams/

… the Star-Telegram, Texans eligible to share in the nearly $7.5 million foreclosure restitution/settlement agreement from Countrywide Financial Corp. should be receiving claim forms in the mail this week.

The article said:

“The attorney general’s office investigated Countrywide in 2008 for encouraging homeowners to accept loans they could not afford, failing to fully disclose risky terms and writing loans for unqualified borrowers.”

The restitution/settlement agreement is the …

Permalink: /lawsuits/are-you-eligible-to-receive-a-settlement-check-from-countrywide/

… can somehow settle their debts for pennies on the dollar like advertised on the late night debt settlement infomercials. But debt settlement is not as easy or pain free as the debt settlement merchants would have you believe. Let’s take a look at some of the hard-cold facts:

*If you want to use debt settlement, you need CASH. In plain English that means that if you want to settle a $4000 debt for $2500, you need $2500 available right now to hand to the creditor. Most creditors will …

Permalink: /dallas_bankruptcy/debt-settlement-is-not-as-easy-as-advertised/

With many Americans struggling to repay debt, advertisements for debt settlement companies are on the rise.  Many debt settlement companies claim that they can help debtors pay only a fraction of their debt and walk away debt-free.  “Pay only pennies on the dollar!,” they say.  Many debtors are under the false impression that debt settlement is like bankruptcy.  The truth is that debt settlement and bankruptcy are completely different.  Although a debtor …

Permalink: /debt_consolidation/how-is-debt-settlement-different-from-filing-bankruptcy/

According to an article in the Star-Telegram, debt settlement can often leave debtor’s worse off than they were before they attempted to settle the debt.

The article said:

Anybody buried in bills has seen the ads or received letters or calls from companies promising to settle credit card debt for 50 cents on the dollar. The pitch is that debt settlement is a better way out than credit counseling, debt consolidation or bankruptcy. But many …

Permalink: /debt_consolidation/beware-of-debt-settlement-pitfalls/

… Dallas Morning News Attorney General Greg Abbott filed a lawsuit against two Dallas-area debt settlement companies and two out-of-state firms this week, accusing them of orchestrating fraudulent debt settlement schemes.

The article said:

According to the state’s lawsuits, the defendants unlawfully misrepresented and overstated the nature of their services…Court documents filed by the state claim that the defendants misrepresented the availability and consequences of bankruptcy, …

Permalink: /breaking-news/debt-settlement-companies-face-lawsuit/

… troubles are just too much to handle. But often their last stop right before bankruptcy is debt settlement. There are a lot of companies out there that offer debtors the opportunity to settle their debts with creditors for "pennies on the dollar." Sound too good to be true? Well, many debtors coming to bankruptcy court after going through "debt settlement" have found that at least in their case, it is too good to be true. What a lot of debt settlement companies fail to …

Permalink: /bankruptcy/debt-settlement-or-bankruptcy/