A credible online payday loan ender is constantly looking for ways to help bring personal finance awareness to everyday money problems. Though a payday loan lender does not use a credit score to determine a loan, they aware of the importance of this number. Individuals are encouraged to know their credit score, understand what is reported on it and understand solutions to fixing it.
Each year, an individual is allowed a free credit report from each of the three reporting agencies: TransUnion, Experian, and Equifax. Learn to understand what is written on your report so you can spot errors which may have hurt your credit score. If you do find an error, you will want to clear it up as soon as possible.
What are Zombie Debt Collections? Zombie debt collections are collections affecting many people’s credit from companies which no longer exist. Hollywood Video went out of business in 2010, but some of their customers are still dealing with harassing debt collections for bill payments which they do not owe. If the Hollywood Video company is dead, why does it still like it came back to life?
The company went bankrupt and out of business claiming its only assets were unpaid fees. Attempts to collect on those fees have turned into a horrific experience for the former customers. The harassing collections practices being used against customers who don’t owe anything have been an attack from a dead company, zombie collections. Former customers have made claims that collectors have bullied and threatened to ruin their credit if balances were not paid off. The main collections agency, which these complaints are against have denied all allegations emphasizing that fair debt collections practices are used.
This isn’t the first time collections practices have been abusive for the past Hollywood Video charges. In 2011, there was another company which was harassing former customers for the alleged $39 late fee. The complaints became so big that the Hollywood Video bankruptcy trustee reached a settlement with all 50 states’ Attorney Generals. In the settlement, there was an agreement reached to remove all credit blemishes and clean up the collections practices. They promised to clean up the collections practices and move on to another collections agency.
Within the last few months, these new allegations have brought the collections problem back alive by collections agency for the dead Hollywood Video company. There have been about 1000 new complaints over the last 12 months with 420 coming in since June! The enormous amount of complaints against collection practices from more than one collections agency has sparked new investigations.
The people being attacked by the collectors just want their credit score saved. Some people have paid the small fee just to get rid of the problem, where others report the problem based on principle. When you know how to read your credit report you will be able to spot any misinformation and take care of the matter. Most collections agencies will follow regulations, but errors are made in reporting.
A payday loan lender is a cost effective way to protect your credit from reported late fees. If you are supposed to be on that collection’s list, though the practices may be wrongful, it is a perfect example of how late fees can hurt your credit. Returning a movie late created many unnecessary credit problems. Payday loan lenders offer fast money at a low price in order to take care of late fees. Late fees for a movie get forgotten or lost in shuffle of everyday needs, but forgetting them all together can lead to a much bigger problem. Use your resources in order to keep these types of fees lingering. A payday loan lender’s cost is then a small investment in your future finances.