Keeping Your Calm: 8 Key Principles to Keep in Mind When Dealing with Creditors

It happens to most consumers sooner or later. You fall behind in your credit card payments, You use one credit card to pay another card’s payment. Then, things start to snowball.

If you find yourself hitting the wall, you need to understand the position you’re facing. As Huffington Post says, “As a consumer, the most important thing you can do is to try to understand the debt collection process and know your rights.”

Check these 8 key principles in dealing with creditors:

  1. Keep track: It’s smart to keep a diary of all your interactions with the creditor. You should save emails and take notes on phone conversations. That includes the names of the contacts and numbers assigned to claims.
  2. Need to know: You have a right to know everything there is to know about your account. You can’t negotiate or discuss the collection issue if you don’t understand the starting point. A debt can be complicated with accumulating late fees and interest rates, you should know what’s at issue. You have the right to question the collector and request clarification of any term or process.
  3. Get it in writing: If you agree to anything, you have a right to see it in print. If you are working this out on the phone, you can request an email version before you sign anything. The collectors usually have standardized forms so you can insist they customize your forms to your name and deal.
  4. Take the lead: If your delinquency has reached the collection agency stage, you might take the lead in the negotiation. The collector wants a one-time, lump-sum payment. They are getting commissions on the amount collected so they will go for your gold. But, you can undercut them by offering 50 percent of the lump sum. Any creditor would rather agree to a repayment plan.
  5. Talk to the creditor: A collection agency will tell you to communicate with them only. However, you can still deal directly with the credit card company. They may be open to deals for compassionate reasons and hardship cases. They will come to solutions to reduce their obligation to their own collection agency.
  6. Stop the calls: Collectors must call after 8:00 am and before 9:00 pm. But, you also have the right to tell them to stop the calls altogether. So, it helps if you accept the calls sooner than later.
  7. Keep your cool: You should expect respect from creditors. But, they may respond in kind if you lose your temper. You should avoid the melodrama on your end, but if they are confrontational and angry, you can report them.
  8. Demand confidentiality: Collectors are prohibited from discussing your debt with your spouse, friends, and employer. They do have a right to order a garnishment on your incomes, but it takes a long process to reach that stage. Creditors prefer not to go that route because of the cost to them.

Getting out of trouble

You can start to get out of debt with an honest assessment of your problems. If you have maxed out a credit card or can’t meet the minimum monthly payment, you are in credit trouble.

These are signs it’s time to prioritize. The Houston Chronicle suggests taking inventory, “First, make a list of every debt you have, along with the interest rate and minimum payment. Then, list your income and expenses for each month to assess financial obligations.”

But, if you find you’re still over your head, it’s time to get professional help.

What To Do If An Unexpected Cost Arises

It’s great when you have your finances sorted, and you feel like you’re really getting somewhere with your money. No worries, no debt and… wait a second, is that an unexpected cost on the horizon? There is nothing more annoying than a roadblock stopping you dead in your tracks, but sometimes there is simply nothing that you can do about it. We’ve put together a guide on what to do if this happens to you, so that it doesn’t keep your finances down for too long. Sometimes, these things just happen. But they can be solved. Phew.

Use your savings, if you have some

If you’ve managed to accrue some savings, then now is probably the time to use them. Yes, it is annoying, especially if you’re saving up for the house of your dreams or that perfect vacation that you’ve been wanting to go on for some time. But the reason that you have this money is to cover things like unexpected costs; without it you’d really be in the dark. You can always save up again for that vacation, and put it back a few months from the date that you originally planned for. If you can’t avoid this payment that you just have to make right now, then prioritize it. You’ll still be able to go to Disneyland one day…

Look to tailored companies for help

If savings aren’t really your jam, then don’t worry. There are plenty of companies out there that can help you with your unexpected issues, and many of these are tailored to the situation that you’re in. For example, Charlotte Bail Bonds, LLC, can help you if you need emergency bail money for a family member, and you can pay this back in installments. This is the same for many situations, whether it is a big bill, a problem with your house or car, or something outlandish that you simply didn’t see coming. Look out for a company that won’t charge you an excessive amount of interest, and will let you pay the money back gradually.

Ask friends and family

If you don’t have a good credit score, or you simply want to avoid borrowing from a company that you don’t think you can pay back on time, then asking your friends and family for some financial assistance may be an option. The important thing to remember here is that you don’t want them to feel obliged to give you the money, and you also want them to know that you will actually pay them back. You can do this by drawing up an official agreement, so that you have something in writing to put their mind at rest. You can find templates for this kind of stuff online if you don’t want to pay out for a solicitor.

Get a loan from the bank

This is the most commonplace way to pay for your unexpected costs, and if your credit score is good then you’ll probably be able to secure a loan from the bank without too much stress. Make sure you look into all of the costs for this: what is the interest rate? When will you have to pay it back? What happens if you can’t pay it back on time? These are all questions that you must have the answers to, so don’t just sign up for some quick money without thinking of the repercussions of this. Research, research, and research again. If you need more help, go into the bank and ask to speak to someone, and compare a few banks on what they offer.

Fight the cost

Before you agree to hand over any cash, check that what is being asked of you is actually correct. If your gas or water company calls you and tells you that you have to pay them a wad of cash immediately, question it. They may have made a mistake, and it could be a tough battle to reclaim what you have paid them. Companies are sometimes in the wrong, so don’t be intimidated into paying just because you presume that they’re right. Ask for details, letters, and always keep email correspondence, as it can be easily traced if any issues arise in the future. Don’t pay for something that you don’t have to!

Get a credit card

Getting a credit card is a difficult call to make if you don’t want to accumulate debt, but one which you may just have to go with. 78% of Americans have a credit card, and there are plenty of choices out there that don’t come with the high interest rates you’d anticipate. Again, research is key here, and remember that whatever you choose may have an impact on your credit score. Speak to somebody and see what the deal is before you sign up, and make sure to ask about the future repercussions of using your credit card for big amounts of money. Choose wisely, and look into all of your options before you take the plunge.

Get a loan from an independent company

If your credit score isn’t the best, you can also get a loan from an independent company, although beware of the high interest rates. These companies are more likely to be hiding something sinister in their terms and conditions, so make sure that you look into every last detail. We’d recommend this as a final resort, as you may end up spiralling into further financial worries because of the costs associated with this. However, if you have to do it, just be wary of what you’re really signing up for when you request the cash.

So, there are many ways to deal with an unexpected cost, if you find that one arises. Whatever you choose to do, the real priority that you should have is to research into all of the details of it, and don’t leave yourself with even more financial issues than you began with. However, if you’re careful, you’ll solve your problem in no time. Good luck!

New Communities in Dubai

Dubai has for a long time now been an investment hub for both companies and individuals looking to take advantage of the growing market and a tax-free environment. Considering the sheer volume of real estate projects built in the last 10 years it would be easy to assume that things may be starting to slow down. With a vast range of new mega-projects planned and currently underway, the reality, however, is quite the opposite.

Let’s take a look at just some of the new real estate projects currently underway by some of Dubai’s biggest developers.

Dubai Creek Harbour

Set over a land area over 6 square kilometers, Dubai Creek Harbor is a mega project that one day will become the new Downtown of Dubai. Featuring a total of nine districts Dubai Creek is a community that will be home to some of the world’s most ambitious projects.

One very ambitious project is the new world record-breaking Dubai Creek Tower. With a final height of over 1000 meters, it is set to overtake Burj Khalifa and become the world tallest structure.  Featuring various observation decks offering unrivaled views of Dubai, Creek Tower is set to become the focal point of the entire community and a huge attraction for Dubai.

Along with being home to the world tallest tower, the Dubai Creek community will also feature the world’s largest shopping mall; Dubai Square. This new retail and entertainment mega project will cover 8million sq. ft. of space and provide visitors with an indoor/outdoor experience like no other.

Residential project development at Dubai Creek Harbour has so far been restricted to the Island District. Featuring a total of 27 towers this residential only community offers residents amazing views of the Dubai Skyline as well as the new Tower. The first projects sold here three years ago are expected to handover in the next 3 months with first residents moving in not long after that.

Dubai Hills Estate

Developed by two of Dubai’s biggest developers Meara’s and Emaar, Dubai Hills Estate is a new master community Located on the corner of Al Khail and Umm Suqeim Rd.

Set on prime land spanning over 11 million square meters once completed the Dubai Hills Community will be home to over 30,000 residences, 3 schools, a high-end mall and over 1.4 square kilometers of open space.

Residential properties available at Dubai Hills Estate include apartments, townhouses, and luxury villas. With construction starting over 2 years ago some of the very first projects released are expected to be handed over in the next 6 months.

Outside of residential type projects Dubai Hills will also include a new mall, a host of high-end retail outlets and also a number of 5-star hotels and serviced hotel apartment buildings. In addition, the entire Dubai Hills community will feature over one point four million square meters public open space.

In terms of buying residential property in the Dubai Hills Estate community, the opportunities are in no way limited.  With such a vast range of property options and types available, Dubai Hills offers something to buyers with all tastes and budgets.

Emaar Beachfront

Located in between Dubai Marina and the Palm Jumeirah, Emaar Beachfront at Dubai Harbour is set to become Dubai’s most exclusive beachfront community.

Featuring the best of urban living in a truly beachfront setting, Emaar Beachfront delivers the best of both worlds all at the same time. Once completed this resort-style community will feature a total of 27 buildings made up of residential apartment and hotel towers.

One of the many unique features of the Emaar Beachfront development is that all towers will have direct access to the beach as well as the new Marina. In addition, contained within the community will be over 200 retail and leisure outlets as well as one of the world’s largest cruise ship terminals.

Apartment types available at the Beachfront development will include a range of luxury 1,2,3 and 4 bedroom options. All apartments at the will come with high-end modern finishing along with floor-to-ceiling windows capturing the simply amazing views on offer. The scheduled completion date for the entire projects is 2024.