LEGAL TIPS

30 Days to File

In Arkansas you have 30 days to file a written answer when served with a lawsuit to prevent a default judgment from being entered against you. If your creditors are suing you it is crucial that you seek legal counsel right away.

Re-establish your Credit

You can re-establish your credit by getting a co-signer on a loan and also by getting a secured credit card. With a secured credit card, your credit limit is based on the sum of money you gave the creditor as security for your card.

Chapter 7 Bankruptcy Info

Chapter 7 Bankruptcy will remain on your credit report for 10 years, while chapter 13 will remain for 7 years. You may start qualifying for loans as early as one year after filing bankruptcy if you meet the income requirements. However, the lender will likely charge you higher interest rates. It may take five to seven years before you are offered normal interest rates again.

Financial trouble?

What are the signs that you may be in financial trouble? Take a look at the list below to see if your situation is similar.

• You're making balance transfers from one card to another card with a lower interest rate.
• You are able to make only minimum credit card payments.
• You have maxed out your credit cards.
• You are covering basic living expenses, such as food, with your credit card.
• You're taking cash advances from one card to pay another.
• You need a co-signer before you can qualify for a loan.
• You cannot afford health insurance because all of your money is being used to cover revolving debt.
• You are refinancing your house over and over again to pay down debt.

The Fair Debt Collection Practices Act

The Fair Debt Collection Practices Act provides debtors with a way to challenge payoff demands and determine the validity and accuracy of asserted debts. Congress enacted the act to stop abusive, deceptive, and unfair debt-collection practices. This means that if you are being mistreated by a creditor, you may have the right to take legal action and pursue compensation.