A Sydney woman who racked up credit card debt of nearly $200,000, but was still able to turn her life around, has given her advice on how to bounce back from financial ruin.
Originally from Canada, Alice Crawley racked up $100,000 on credit cards in her homeland before coming to Australia 15 years ago and adding $85,000 of debt to that.
'I was only earning $50,000 per year, but was completely out of control with money and was a chronic over-spender on credit cards,' she explained.
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The number of customers who failed to pay their credit card debt reached 2.8 million in the third quarter of this year, while the amount of credit card debt that Turks defaulted on increased by TL 465 million compared to the last quarter and totaled TL 5.76 billion, recent reports from the Banking Regulation and Supervision Agency (BDDK) and the Turkish Banks Association (TBB) have shown.
A prolonged drought this summer led to an increase in the prices of almost all food products and triggered a hike in inflation rates for three consecutive months. Even though a slight decrease in the consumer price index (CPI) was observed in September, it rose again in October. In parallel with these developments and consumers reduced purchasing power, the volume of unpaid credit cards continued to rise in the third quarter. While the amount of credit card debt was TL 5.29 billion by the second quarter, it surged by TL 465 million and reached TL 5.76 billion in the third quarter. In addition, the total number of people who failed to their pay credit card debt reached 2.8 million in the same period.
Speaking to Todays Zaman, Mehmet Buuml;lent Deniz, the chair of the Federation of Consumers Unions (TBF), stated that the federation has been warning consumers and the authorities about an explosion of bad loans and unpaid credit card debt in the country since June. Mentioning the banking law on bad loans, Deniz said banks are obliged to launch legal proceedings if consumers do not pay their balances within 90 days, adding that the recent figures are a result of the latest hikes in the price of electricity and gas and increasing inflation rates
According to Fatih Macit, a professor of economics at Istanbuls Suuml;leyman Sah University, the inflation rate that surpassed government expectations in recent months also played a crucial role in the upward trend in the volume of unpaid credit card debts. Macit said the government had estimated the inflation rate to be around 5 percent at the beginning of this year, adding that it recently revised the rate to 8.9 percent.
Underlining that the annual increase in the price of food products was 12.6 percent in October, Macit argued that these developments in the inflation rate yielded a considerable decrease in the purchasing power of consumers.
This question is more tricky than it might first seem. I meet with a lot of people who have been sued by one of the big debt buyers (ie Midland Funding, Portfolio Recovery, Unifund, CACH, LLC, etc.) who think that they are going to win their debt collection case easily because the statute of limitations has expired. The confusion in this area stems from the fact that Arizona law changed a few years ago to extend the time in which a credit card company (or someone who is claiming that they bought a credit card debt) can file a lawsuit.
The Old Arizona Law
Here is what the law used to be:
Oral debts, stated or open account = 3 year statute of limitations
Written contract = 6 year statute of limitations
The confusion stemmed from the fact that credit card accounts could be considered a stated or open account and thus subject to the three (3) year statute of limitations but at the same time could be considered based upon a written contract and thus subject to the six (6) statute of limitations. So which is it?
2011 New Law is Passed
The Arizona State Legislature addressed this issue in 2011 when it amended ARS. 12-548 to state that any debt founded on a credit card would be subject to the six (6) year statute of limitations. So basically any credit card lawsuit must be brought within six (6) years from the time the account went into default otherwise it will be barred forever.
When Does the Clock Start Ticking?
The statute of limitations begins to run when the account goes into default. Basically if the creditor was legally justified under the terms of the contract to file a lawsuit against you then the clock has started. In most credit card cases this occurs 30 days after you stop making payments on the account.
In my experience most of the large debt buyers that file lawsuits usually know approximately when the statute of limitations is about to expire and they seem to file those lawsuits prior to its expiration. Not always, but most of the time.
The good news is even if you dont have the statute of limitations defense you are still in a good position to win your case. Debt buyer cases are very winnable if you make the right arguments and participate in the process.
Philadelphia, PA (PRWEB) November 13, 2014
National Debt Relief recently shared in an article published November 5, 2014 how student loans could be affecting the country's economy. The article titled "Does Student Loan Debt Threaten Our Country's Future?" talks about how the student loans has become a national problem in the past few decades.
The article starts off by explaining that the days of working through college and graduating debt free are long gone. At least it is for the majority of students loan borrowers. The rising cost of tuition , room and board, school books and other miscellaneous expenses makes college a more expensive affair than ever before.
The article points out that there are about 40 million Americans who has at least one outstanding student loan account under their name. This usually leads these people to make repayments on five-figure debts. And these borrowers are usually making the payments on the student loans for at least ten years.
One reason for the increase in student loan debt is that the cost of higher education rose much more rapidly than the overall cost of living and wage compensation. It was on the rise even during the Great Recession where mortgage loans, car loans and even credit card debt took a downward slope. But during these times, the student loan kept on increasing.
The article also shares that the educational system suffered a harsh blow when legislators attempted to preserve state college budgets. However, many of them couldn't, and the defunding resulted in raised tuition. This lead to an increase as well in the amount of student loans being taken out by the students.
To read the article, click this link: http://www.nationaldebtrelief.com/student-loan-debt-threaten-countrys-future/