Learn the law-understand the Fair Debt Collection Practices Act, know what collectors can and cannot do. empower yourself to resist unfair collection practices. know how and when to communicate with creditors. Always protect the following first-food, shelter, utilities, clothing.
Learn about things like mortgages, (types, underwriters, process, costs, interest rates, pre payment penalties and more. home buying, all types of insurance, (auto, medical, renters, life and more)types of car sales (ex: buying vs leasing), all types of insurance and investment vehicles. learn about banking and work ethic.
Many of the clients I mentor have this problem of debt collectors, nasty people; constantly calling and bothering you for money when you have none, when this happens daily or weekly, it emotionally drains you and constantly reminds you of your debt and how bad you want to be able to help your family. It is critical to study the Fair Debt Collection Practices Act which protects you from abusive debt collectors & defines guidelines and the rights you have as consumers and gives you an avenue for disputing and obtaining validation of debt information in order to ensure the info is accurate. and it shows penalties and remedies for violations of this act. ultimately, our mutual goal-you and then me as your mentor, is to stop this harassment and work toward eliminating this debt completely so you lose the stress, help yourselves and your fmaily and become debt free.
You may also have questions about your credit report-most people do. I will be covering this more in a near future blog about that topic. Bottom line is to remember that these reports are all about debt, it is about how you manage your debt specifically and our goal for you is to become self sufficient with cash so that you never have to worry about these reports. you need to learn how they set out and use formulas to figure your scores and I will help with that in near term blog coming up.
