Posts Tagged 'Consumers'

Debt Consolidation and Debt Settlement: New Rules Protect Consumers

New regulations governing debt settlement and other debt help services are now in effect as the result of consumers complaining about being ripped off by scams that require up-front payment and offer little or no debt help. Highlights of new disclosures that must be made to consumers engaging debt settlement services include:

  • Cost: Consumers must be notified up-front of all fees and costs associated with a debt settlement program.
  • Time frame: Debt settlement services must advise consumers how long it takes to “see results” from the program being offered. This language leaves room for interpretation, so it’s best to ask prospective debt settlement companies how long it should take to complete the program being offered.
  • Impact of debt help programs on consumer credit scores: Debt help services must advise consumers how their programs can affect consumer credit scores. Altho

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Sep 28, 2010 No Comments by Erin Donnithorne
Tags: Consumers Debt Settlement

To Borrow Or Not To Borrow…the Question Facing Consumers

The official government reports have been issued for November 2009 and interpreting the statistics is a challenge in terms of what it means for 2010. For ten straight months consumers have borrowed less on their credit cards and taken out fewer loans. In fact, the amount of money borrowed in total on credit cards has fallen more than it has in 70 years.

The falling credit numbers generate mixed feelings though among those responsible for stimulating the economy. Consumer spending makes up a whopping 70 percent of the economy. When consumers are not borrowing…they are spending less which hurts factory orders and retailers and financial institutions are earning fewer profits. All of these consequences slow down the pace of the economic recovery. It’s almost that simple.

So the government is faced with a problem. Eve

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Feb 03, 2010 No Comments by Admin
Tags: Consumers

Consumers Have Trouble Deciding When Foreclosure is Best Option

There is a lot of information in the news every day about programs like the government’s mortgage modification program. The program is intended to give consumers an opportunity to lower their mortgage payment by changing the terms. The program was put into place during the recession because many homeowners found themselves either unemployed or with mortgage payments that did not reflect falling house prices.

The whole point of the government modification program and the programs offered by a variety of financial institutions is to keep people in their homes. But is that always the right decision? The fact is there are millions of Americans in homes they simply cannot afford.

Owning a house is an expensive proposition. Even if the mortgage is affordable, there is the high cost of maintenance to manage. W

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Jan 13, 2010 No Comments by Admin
Tags: Consumers Consumers Trouble

Revival Of Layaway Helps Consumers Avoid Debt

Older shoppers remember layaway plans when they were regularly used by consumers. Then credit cards came into existence and stores and consumers both embraced them. A sale could be completed and the buyer able to walk out of the store with the merchandise in hand. Layaway opportunities became less available as credit card usage increased.

Now there seems to be a revival in layaway plans as consumers avoid accumulating debt. Some of the largest retailers, like Kmart, Sears, and Toys “R” Us, are bringing back layaway to attract scarce consumer dollars. The plans vary with some stores limiting what can be placed on layaway to big ticket items. This enables consumers to purchase the more expensive items that they would not be able to buy otherwise.

Credit cards are still by far the primary payment form, but it is expected that layaway will account for up to 11 percent of payment methods used by consumers. For

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Dec 29, 2009 No Comments by Admin
Tags: Consumers Consumers Avoid