On behalf of Reed Law Firm, P.A. posted in Medical Debt on Thursday, May 10, 2012
South Carolina families experiencing medical debt may want to pay attention to a recent article making headlines. Paying these types of bills can be extremely confusing, especially with insurance and figuring out whom has to pay. These days, medical debt is quickly being turned over to collection agencies and has the potential to be a nasty surprise for someone who may find out later that their credit report is negatively affected by an unpaid medical bill.
In the past, relatively little revenue came from patients paying medical bills, only about 8 percent or less. Now the number stands at 20 or 30 percent, explaining why more medical debt is showing up on credit reports sooner. In the year 2010, it is estimated that about 9.2 million people in the age groups of 19 to 64 were called by collection agencies due to a medical billing error. About 30 million were called because a medical bill was unpaid.
On behalf of Reed Law Firm, P.A. posted in Credit Card Debt on Wednesday, May 2, 2012
The ease of pulling out a credit card and paying with it instead of cash has caused thousands of people living in South Carolina and elsewhere to get themselves tangled up in the mire of credit card debt. Paying with credit is convenient but can quickly lead to debt issues that have the possibility to spiral out of control. Knowing when to get serious about paying down credit card debt and how to begin the process is one of the first steps in reclaiming financial security.
One of the most important steps in freeing yourself from debt is to stop using charge cards. By adding to the credit card balance, it only deepens the debt hole already dug. Creating a budget and making a strong commitment to stick to it can only help with beginning to pay down debt. Also, making minimum payments on the cards, even if they're never used again, is not the best plan. While making payments is a positive first step, only paying the minimum does not make a dent in the actual balance and only serves to defer the financial reckoning to another day.
On behalf of Reed Law Firm, P.A. posted in Debt Relief on Thursday, April 26, 2012
South Carolina residents who owe money to the federal government can be overwhelmed, so when tax debt relief firms offer easy ways to lower tax bills, it seems almost like a dream come true. The fact is, it may well be too good to be true. In civil lawsuits filed against these firms, authorities claim that consumers paid thousands of dollars to these companies with the promise of debt relief, but no relief was actually forthcoming. Many customers were disgruntled after services promised were never rendered.
While tax debt relief firms are known to make big promises and advertise on late-night television and billboards, three of the most well-known firms have been shut down. In one state, a jury ordered the founder and chief executive of TaxMasters to pay over $113 million in restitution to customers. They were found to have made more than 110,000 violations under the state's Deceptive Trade Practices Act. Evidence against the company documented that they misled and defrauded customers and did not provide promised services in return.
On behalf of Reed Law Firm, P.A. posted in Chapter 7 on Friday, April 20, 2012
From time to time, people in South Carolina fall on hard times and athletes are not immune to such circumstances. Former NFL star Warren Sapp filed for Chapter 7 bankruptcy on March 30. He apparently owes more than $6.7 million to creditors, as well as back child support and alimony.
He claims assets of $6.45 million, including 240 pairs of Jordan athletic shoes valued at nearly $6,500, a $2,250 watch, and a $1,200 lion skin rug. He says he previously lost a 2002 Super Bowl ring and a 1991 national championship ring from college.
On behalf of Reed Law Firm, P.A. posted in Credit Card Debt on Tuesday, April 10, 2012
South Carolina residents may be interested in a new study by Transunion that found American consumers tend to pay their car notes before credit card debt and mortgages. While consumers place their credit bills as a top priority, transportation tends to trump everything else. Although auto loans normally have significantly lower interest rates than credit bills, credit card debt loses to the importance of having an automobile to ensure Americans can get to and from work.
The researchers who conducted the study believe that while Americans can cope with a late mortgage payment, paying the auto loan late can place them into an area of greater immediate financial concern.
On behalf of Reed Law Firm, P.A. posted in Credit Card Debt on Wednesday, April 4, 2012
South Carolina families experiencing credit card debt may sympathize with a recent story making headlines. A family heavily in debt pledged to turn around financially and make positive money decisions. The change in attitude came when they found themselves in credit card debt by over $40,000. For them, the number represented a threshold that neither of them thought they'd ever cross.
The beginning of their financial troubles came in 2002. The couple moved in together and started a publication company. Believing it would take off and generate a much-needed income, the couple continued to finance the company by using their credit cards. Eventually, the financial strain became too much and they shut the company down. They found full-time jobs and raised their combined household income to $150,000 per year.
On behalf of Reed Law Firm, P.A. posted in Chapter 13 on Tuesday, March 27, 2012
As we wrote about on this blog recently, there are programs offered by the state to assist some homeowners with meeting their financial obligations. However, readers may also be interested to know that a multi-state settlement with the many of the nation's largest lenders may also provide debt relief for South Carolina households. Yet before accepting a mortgage modification, whether under the multi-state settlement or otherwise, there may be some implications with regards to bankruptcy that one may wish to consider.
Under the settlement, the designated lenders have agreed to loan modifications for many of their customers. Moreover, Bank of America reached a separate settlement in which it will write down a mortgage loan to the home's fair market value for roughly 200,000 homeowners across the nation who are currently underwater on their mortgage. But as a news story explained recently, a loan modification can actually hurt the homeowner in some cases.
On behalf of Reed Law Firm, P.A. posted in Debt Relief on Wednesday, March 21, 2012
The South Carolina Homeownership and Employment Lending Program offers homeowners in the state mortgage debt relief and the opportunity to avoid foreclosure on their homes, even if they are already behind on their payments. The program allows homeowners up to $20,000 in funds to make up for any delinquent mortgage payments, helping to bring their mortgage up to date. Unemployed homeowners seeking debt relief may be eligible for up to $36,000 of forgivable funds used to pay their mortgages, allowable until they are able to improve their financial situation.
People who are too late to salvage their mortgage may receive up to $5,000 from the program to help them become renters again. The funds have been provided by the Obama administration and are necessary due to the economic recession and the high rate of unemployment in the state. Approximately $300 million has been made available to the state to help homeowners either salvage their homes from foreclosure or to move into more affordable housing.
On behalf of Reed Law Firm, P.A. posted in Debt Relief on Tuesday, March 13, 2012
For those struggling with debt relief in South Carolina, foreclosure is a common word that can often inspire fear. Too often, those needing debt relief lose their home in a foreclosure, further draining their assets. Unfortunately, recent reports by RealtyTrac, a national foreclosure tracking firm, suggest that foreclosures will continue to increase in 2012.
According to data, South Carolina foreclosure sales accounted for 11.6 percent for all home sales in the state for the fourth quarter and 23 percent for all home sales in the state for the year. Homes in foreclosure are typically being sold on average for $130,696, which is 28 percent discounted compared to homes being sold that are not in foreclosure. While the South Carolina percentage of foreclosures is smaller than the nation's, which accounted for 23.7 percent of all home sales in the fourth quarter and 23 percent of all home sales for the year, this is hardly any form of relief for those in South Carolina who are undergoing the painful process of losing their home.
On behalf of Reed Law Firm, P.A. posted in Medical Debt on Friday, March 9, 2012
As many people know, medical fees can be difficult to pay. However, when half of your family members are seriously disabled, medical bills can be an almost impossible challenge. One South Carolina family faces this exact dilemma. With a 35-year-old son who has been suffering from muscular dystrophy for 20 years and a husband who has suffered with Parkinson's disease for a decade, one woman finds herself as the sole provider and caretaker of the family.
The 35-year-old man was first diagnosed with Duchenne muscular dystrophy as a 7-year-old. When he was 15, he grew very sick and has since almost died. He is currently bedridden, and the family is looking to buy a specialized computer that would allow him to communicate through his eye movement. To complicate matters, a decade ago, his father was diagnosed with Parkinson's disease. Though the father used to work in construction and in radio, his condition has worsened, and he cannot lift his bedridden son.
