The Association of Settlement Companies (TASC) is your friend

People trying to deal with their debt problems often ask me about debt settlement companies. They express concern about whether or not they can believe these companies and what their saying to them. Questioning like this is a good thing. It shows that these people are taking a proactive interest and are concerned in ridding themselves of their debt problem.

Its true that you can’t just take for granted that what every company is telling you is the god honest truth. I won’t say that companies often flat out lie to their customers, but they do mislead them and tell half truths. This has been a quasi standard sales tactic since the first days of man.

Debt settlement companies are a business and thus exist to make money. Their not just helping people out with their debt problems because of some altruistic need to assist our world. These companies make money and do charge a fee, after all they are offering a service.

The best way to ensure that you are dealing with a reputable company is by making sure their a member of the Association of Settlement Companies. The goal of this association is “to promote good practice in the debt settlement industry, protect the interests of consumer debtors, and lobby on behalf of debt settlement companies on the federal and state level.”

The way this helps you, the consumer, is that this association has strict guidelines in place that these companies must comply with in order to maintain their good standing in the association.

Membership of TASC™ is reliant upon debt settlement companies being able to demonstrate that they comply with the standards set out in the TASC™ Bylaws.

The Bylaws have been developed in consultation with a number of debt settlement companies, discussions with different states’ legislators, and major lenders. The aim of the Bylaws, and that of TASC™, is to encourage debt settlement companies to provide services of the highest standards to ensure the public and the credit industry’s confidence.

Right now this association boasts almost 200 members and is constantly growing. Having this group serving as a watchdog over the industry benefits both the industry and the consumer.

When people are doing buisness the right way, the only person its bad for is a buisness doing it the wrong way.

Check out the associations website to find a company thats a member. If your already dealing with a company and don’t see them on this list, I advise you to ask them why not? Then run!

TASC website

Credit card debt can trouble anyone, even John McCain.

In these troubled times a whole lot of people in our country are struggling with the difficulties of credit card debt. This struggle touches people of all walks of life, from the poor.. to the rich… to people formerly running for the highest office attainable in our country.

Yes, that is correct, even former Senator and Presidential candidate John McCain struggles with credit card debt. Much like a lot of fellow Americans, his problem has only gotten worse in the past year.

An article in today’s issue of The Hill appropriately titled “McCain’s credit card debt rises in the past year”, details just how bad the ex-candidate’s situation has become.

At least four charge cards are credited to McCain, his wife Cindy McCain and an unnamed dependent child, according to the report.

The Arizona Republican has a joint J.P. Morgan Chase Bank charge card with his spouse that had liabilities of $15,001 to $50,000 during 2008. That is a slight jump from 2007, when McCain had debt of $10,001 to $15,000 on that account.

Cindy McCain has two American Express charge cards in her name. One had $250,001 to $500,000 in liabilities — again a rise from 2007 when the debt was $100,001 to $250,000 — while the other had $15,001 to $50,000 in debt, according to the report. The debt on the second card was actually pared down; it was $100,001 to $250,000 in 2007.

An unnamed dependent child also had a charge card with American Express that had debt of $15,001 to $50,000, which was level with McCain’s 2007 financial disclosure report.

This really demonstrates just how bad the situation has become. It even goes on to say in the article that “three American Express cards credited to McCain’s spouse and his child all had a zero percent interest rate.” This implies to me that either they are just spending beyond their means or just have a complete disregard for the importance of paying their bills on time. Either way its just complete financial irresponsibility.

I’m not saying that just because Mr. McCain lives his life in the public eye, that its going to be problem free. His troubles are something that all of us can learn from.

If your struggling with credit card debt you can take solace in the fact that you are not alone. Millions of people across are country are in the same situation. Although it my seem like a hopeless situation at times, it in fact is far from that. You, John McCain and everyone else in credit card debt just have to take an active interest in fixing the problem. There are many options out there, and yes you Mr. McCain can one day be debt-free.

New credit score tool and how it can help you today

The Wall Street Journal had an interesting article entitled “Applying for Credit? New tool grades your health”

In it they talk about a new service available out there for people to utilize.

If you’ve ever had trouble deciphering your credit report, a new tool aims to make sense of it all.

This week, CreditKarma.com–a Web site that offers free credit scores–rolled out a new free “Credit Report Card” that scores key components of users’ actual credit reports at TransUnion LLC.

The tool assigns grades, ranging from A to F, on the five factors that are most likely to affect your score: credit card utilization, percentage of on-time payments, average age of your payment accounts, the number and mix of credit accounts, and the number of credit inquiries. Users can also see their total debt and the debt-to-income ratios, which aren’t scored but are key metrics that lenders consult when evaluating loan applications.

Its important for everyone to arm themselves with whatever information is at their disposal. A great way to avoid getting into problems with credit card debt is to have all the available information.

No one wants to have credit card debt, the best way to avoid this is to be pro-active early.

Also remember that it is never too late to fix your credit score. 30 percent of your credit score is made up of your debt vs income ratio. If your already in debt this is the area that would be most easily changed. By staying on top of things, anyone can eventually fix their credit score.

Arm yourself with information, and then you can go about fixing it in the most effective manner.

How closely do you look at your statement?

When was the last time you took a moment and read your credit card statement from top to bottom?  I am not just talking about the line items you charged, I am talking about all the fine print and terms.

Some questions you should ask yourself:

What is my current interest rate? 

When does my introductory / teaser rate end?

Did I get charged any fees?

Did my due date change?

Did my credit limit change?

It is more important then ever to stay on top of your credit cards.

Welcome to the Debt Gazette!

The Debt Gazette is here to make people’s lives simpler by providing a one stop shop with the answers to all your questions concerning credit card debt and personal finance.

During these difficult times a lot of people are struggling with just how to go about solving their debt problem. Our experts here at the Gazette intend to help you by arming you with information on ways to dig yourself out of the hole of debt and come out gleaming.

Please join us for what should be an informative and helpful journey.