General Credit: Debts & Loans Articles

  • Credit is the privilege to borrow money and obtain goods today based upon a promise to make repayments in the future. Credit is not a right, but merely a privilege that can be lost if it is not used responsibly.
  • The Maryland Job Applicant Fairness Act makes it illegal for most employers to require a credit check for job applicants.
  • Credit Counseling Agencies are nonprofit agencies that help debtors work with creditors to arrange a repayment plan as a means of reducing their debt without filing for bankruptcy.
  • “Debt collectors” are collection agencies, attorneys, creditors collecting for someone else, and creditors collecting under another name as well as others. Creditors collecting for themselves are not “debt collectors.” Under the Federal Debt Collection Practices Act debt collectors may not...
  • To garnish is to take property, most often a portion of someone's salary, by legal authority. Garnishment is a proceeding by a creditor to collect a debt by taking the property or assets of a debtor.
  • There are laws that protect certain income and assets from debt collectors. This is sometimes known as being “Collection Proof” or "Judgment Proof".
  • In 2011, the General Assembly passed a law requiring firms offering debt settlement services to register with the Commissioner of Financial Regulation
  • Buying on credit, over time, is very popular these days. Yet once in a while, a bill has a mistake on it. What can you do when your credit card bill has a mistake?
  • Mistakes on your credit report can affect your ability to obtain credit, insurance, employment, or rent or buy a home or car. Errors on your credit report can be corrected to accurately reflect your current credit.
  • Am I responsible for my spouse's debts even if I did not benefit from the items? My spouse died recently. All of our property was jointly owned. I am receiving medical bills with charges I did NOT authorize. Am I required to pay these bills?
  • In Maryland, debts must be collected within a certain time. If you owe money to someone, the person is called a creditor, and what you owe them is called a debt. The creditor generally has 3 years (4 years if the debt is owed for the sale of goods) from the date the debt becomes due to ask the court to order you to pay. A court order to pay a debt is known as a judgment. If the creditor does not go to court within the time limit, then the court generally will not order you to pay the debt.
  • Warning signs of a debt problem, what if you cannot pay your bills, going to court and protecting your assets.
  • To "garnish" is to take property, most often a portion of someone's salary, by legal authority. Garnishment is a proceeding by a creditor to collect a debt by taking the property or assets of a debtor. The "garnishee" is a person who has property of the debtor, or who owes money to the debtor. An employer may be a garnishee because the employer owes wages to the employee.
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