Georgia Debt Consolidation

Debt Help In Georgia

If you live in Georgia and are facing more debt than you can handle, there are a few programs that can help you get back on track.

Georgia Debt Consolidation and Credit Counseling

A credit counselor is typically someone from a nonprofit organization that works with consumers to help them solve financial problems, get out of debt, and learn to live within their means. In Georgia, credit counseling companies are not regulated by the Department of Banking and Finance. Consumers need to do their homework to find reputable credit counseling companies to work with.

While credit counseling companies are usually nonprofit, there is a cost for their services. Most good companies will send information for free, but actually working with the company will cost something. Shop around to find a company that has affordable rates but is willing to provide some initial information for free.

Some credit counseling agencies have federal government approval to work with bankruptcy cases. The list for Georgia is found at http://www.justice.gov. Others are registered with the National Foundation for Credit Counseling (http://www.nfcc.org/). Both of these resources will help you find a qualified credit counseling agency that likely has your best interests in mind.

One option your credit counselor may suggest is consolidating your debts. Debt consolidation in Georgia refers to lumping your current debts into one large loan. As long as the loan has an affordable monthly payment and an interest rate lower than what you are already paying, it ends up being an affordable option.

Georgia Debt Relief Programs

If you find that credit counseling services do not provide sufficient support, consider a Georgia debt relief program. Debt relief programs work with your creditors to find a solution to your debt problem, often in the form of a debt settlement. This can greatly lessen your financial pressures, but you need to be careful. Many companies advertising debt relief services are less than honest about their fees and what they can accomplish. Even if they can successfully negotiate your debts, you will pay dearly for it.

To find a good debt relief company, look at the Better Business Bureau in your area. avoid companies that have a lot of complaints against them. Also, ask about all fees upfront. If a company is unwilling to tell you what and how they will charge, then choose a different company. Legitimate debt relief services will be able to clearly articulate what they will be charging.

Georgia Debt Collection Laws

Georgia follows the Fair Debt Collection Practices Act, a federal law that provides guidelines under which debt collectors must work. Any personal debts are covered under this act. According to the FDCPA, debt collectors may contact you directly, or they may call you, send a telegram, email, letter, or fax. However, unless you give permission or it is ordered by the courts, a debt collector may not call under these circumstances:

• The call occurs before 8 a.m. or after 9 p.m.
• The call occurs at work and your boss does not allow this
• The debt collector calls you after you have informed him or her that you are working with an attorney, at which point they must contact the attorney

Also, when calling, the debt collector may not use any harassing or abusive tactics, such as using profanity or threatening to advertise your debt or information about it to others.

The only reason that a debt collector can contact someone other than you or your attorney about your debt is if they are trying to find a way to contact you. When they do contact others, debt collectors cannot mention the reason they are doing so. In other words, they cannot tell your friends and family about your debt situation. The only exceptions to this are when talking with your spouse, your guardian if you are younger than 18, cosigners on an account, or the executor of your estate.

Remember, you have the right to stop debt collection calls, but you must ask for this in writing. After receiving a letter, the collection agency can only call you if something changes in regards to your count. However, you still owe the debt.

If you feel that a debt collector is violating these laws, contact the Governor’s Office of Consumer Affairs or the Federal Trade Commission.

In addition to debt collection laws, there are a few other laws that protect debtors in Georgia. The Georgia statute of limitations for various debts are as follows:

• Oral debts: 4 years
• Promissory notes: 6 years
• Written debts: 6 years
• Open debts, like credit cards: 6 years

If your debt situation is bad enough, creditors can garnish your wages. Georgia laws allow them to garnish only 25 percent of your after tax earnings.

Georgia Mortgage Assistance Programs

One of Georgia’s main mortgage assistance program is the Georgia Dream Homeownership Program. The program offers affordable fixed-interest loans to low to moderate income families. Eligible homebuyers can also apply for down payment and closing cost assistance through the program. The Georgia Dream Homeownership Program is offered by the Housing Department and the Department of Community Affairs.

Those who have bad credit may qualify for a loan under the Georgia Dream Homeownership Program, because it works with both the VA and the FHA to offer loans to people with less than desirable credit ratings who qualify for the programs. In these situations, income and employment status is more important than credit rating.

If you are facing foreclosure, you can get guidance from a Georgia housing counseling agency that is approved through HUD. To find one near you, call 800-569-4287. You can also get foreclosure assistance the HOPE program, which has a hotline at 888-995-HOPE. You can call the HOPE hotline at any time, day or night, for free advice about foreclosure.

Georgia Government Assistance Programs

The Georgia Insurance Commissioner can provide assistance in dealing with complaints regarding certain types of lenders, including small loan companies, finance companies, automobile dealers, stores, pawn shops, and private individuals. For help, call 404-657-6931.