Minnesota Attorney General Lori Swanson filed a lawsuit last week in Hennepin County District Court against AFNI, Inc., an Illinois debt collection agency, for attempting to collect debts from Minnesota citizens who stated they did not actually owe the debts and for failing to substantiate debt that consumers stated they did not owe.

The lawsuit alleges that AFNI used unfair collection techniques to attempt to collect debts that Minnesota consumers stated they did not believe they owe, and that AFNI did not adequately verify the validity of debts to ensure it was collecting the debt from the right people. As a result, AFNI repeatedly contacted Minnesota consumers in an attempt to collect debts, some up to ten years old, that in some cases were not actually owed by the citizens.

“In this troubled economy, many people are struggling to pay their bills. Debt collectors are entitled to pursue payment of legitimate debts, but they must do so fairly and in compliance with the law,” Swanson said.

The lawsuit alleges that AFNI continued collection efforts, rather than verify the legitimacy of the debt, after citizens informed AFNI that it was attempting to collect the debt from the wrong person. In response to AFNI’s requests, Minnesota consumers sometimes provided private information, including social security numbers and police reports of identity theft, to prove that AFNI was collecting the debt from the wrong person, but that even after being provided with this requested information, AFNI sometimes continued its collection efforts. (more…)

I will say Iam sorry first for this being so long….I bought my first home in 1994 I divorced in 1999 and he quiet claimed the deed to me we split all expenses I paid my half he filed bankruptcy on his and of course I got stuck with his half then…paid both of our debt and raised two kids with no child support…..

In 2005 my oldest child who has always said she was not leaving home (who knew she really ment it!) Had my one and only grandchild, her and the baby’s daddy took over payments on my first home. They were together a little over 7 years and silly me listen to them and refid my home for extra money for them and at this time moved out and bought me another home…

my secound home was financed with the guy i worked for and I paid him direct. Thier is no paper work filed on this anywhere so it looks as if i own my secound home stright out with no mortage, it is a mobile home so I put my name as well as my daughters name on the title.  My daughter and her boyfriend then split up and I was trying to help her as well as pay my bill. My company sold out in January and I took a cut in pay along with all my other expenses increasing my daughter and grandbaby has moved in with me and my son now and I am paying for both homes. 

I have a arm on my first home and the payment has now increased and I can no longer pay for both homes….can I file a quiet claim deed to my secound home and leave just my daughters name on it and let them forclose on my first home without them trying to take my secound?

Annette (more…)

How many years can a debt collector collect?

Fernando (more…)

Hi Paul:

I’m a lawyer in California who provides TILA audits and rescission representation for homeowners. I offer affordable flat fees: only $500 to review up to two sets (for a 1st and 2nd loan) of loan docs. If I find a violation that allows the client to rescind, and if the client decides to rescind, then I put together rescission packages for an additional $500 flat fee. The greatest thing is that my services end up being free to the client upon rescission, because of TILA’s attorney fee provision. Please let your California readers know I’m out here. For more information, you can visit my website: jsb-law.com/foreclosure_services

Thanks,

-Jason

Hi Paul.

I just went through a short sale, and through your advice was able to get a full release of liability. Thank you!

The short sale has now reported on my credit as settled for less than the full amount, and showed one 30-day late payment. I expected this to ruin my credit, but surpringly, this only affected my credit score about 40 points, and I still have good credit. After talking with a mortgage company about when I could possibly get financed again for another mortgage they indicate the only thing holding me back is that one late payment on my report. They said I could just wait one full year to show clean credit for 12 months and get financed then, but I was wondering if there is any way to have that late payment erased now since the account is closed and paid? Your thoughts and advice is very mush appreciated.

Thanks,
Rachel (more…)

I have a phantom loan with Countrwide. I never closed escrow, they show the loan somewhere on my credit; they contact me to refi.
How do I get the loan off my credit history?

Jackie (more…)

I was put on a repayment to modification plan. I paid the payments exactly how they asked me even early on all occassion. I am having a hard time trying to get my loan modified. Does the mortgage lender have to modify my loan since I stuck with the agreement.

Cheryl (more…)

I wanted to share some of my success with you and hope you will post it for others to read.

Before I found your sight I had no idea how to go about repairing my credit or how to get a mortgage with less than a 620 FICO score.

I read and read and asked questions and after learning how to go about it. I went about it and raised my score 44 points in one month. I kept good records of all my letters and kept insisting that my credit report entries be complete and accurate.

I have had 9 items deleted. 4 from one agency. I also had two bogus collections deleted.

I am in the process of getting preapproved for a mortgage and I owe a lot of it to info on your site. It really is very informative.

I have not seen any info on your site about the USDA loan guarentee program. It’s not for everyone but is a very good program for some in less densely populated areas.

Thanks for all the info. I tell everyone about your site.

Albert

My husband had a car repossesed. The finance company sold the car and the remaining debt.This was in 05. We were living in Arizona when the car was bought. We moved to Illinois to care for my mother in law. We were there for a year and a half. We then moved back to Arizona in June of 07. We were planning on attempting to buy a house when our lease expires. I checked hubby’s credit and there was a judgment on it for the car. This was taken to court in Dec of 07 in Illinois while we were in AZ. I understand this judgment would be void because we can prove we live in Arizona during the time of the ruling. What are the best steps to take ? How would we go about it from out of state ? After we learned about it we tried contacting the new collection company. They never returned our phone calls.

Sarah (more…)

And he said, A certain man had two sons: And the younger of them said to [his] father, Father, give me the portion of goods that falleth [to me]. And he divided unto them [his] living.  And not many days after the younger son gathered all together, and took his journey into a far country, and there wasted his substance with riotous living. 

And when he had spent all, there arose a mighty famine in that land; and he began to be in want.  And he went and joined himself to a citizen of that country; and he sent him into his fields to feed swine.  And he would fain have filled his belly with the husks that the swine did eat: and no man gave unto him.

And when he came to himself, he said, How many hired servants of my father’s have bread enough and to spare, and I perish with hunger!  I will arise and go to my father, and will say unto him, Father, I have sinned against heaven, and before thee, And am no more worthy to be called thy son: make me as one of thy hired servants.

And he arose, and came to his father. But when he was yet a great way off, his father saw him, and had compassion, and ran, and fell on his neck, and kissed him.  And the son said unto him, Father, I have sinned against heaven, and in thy sight, and am no more worthy to be called thy son.

But the father said to his servants, Bring forth the best robe, and put [it] on him; and put a ring on his hand, and shoes on [his] feet: And bring hither the fatted calf, and kill [it]; and let us eat, and be merry: For this my son was dead, and is alive again; he was lost, and is found. And they began to be merry.

Now his elder son was in the field: and as he came and drew nigh to the house, he heard music and dancing.  And he called one of the servants, and asked what these things meant.

And he said unto him, Thy brother is come; and thy father hath killed the fatted calf, because he hath received him safe and sound.

And he was angry, and would not go in: therefore came his father out, and intreated him.

And he answering said to [his] father, Lo, these many years do I serve thee, neither transgressed I at any time thy commandment: and yet thou never gavest me a kid, that I might make merry with my friends:

But as soon as this thy son was come, which hath devoured thy living with harlots, thou hast killed for him the fatted calf.

And he said unto him, Son, thou art ever with me, and all that I have is thine.  It was meet that we should make merry, and be glad: for this thy brother was dead, and is alive again; and was lost, and is found.

Luke 15:11-32