Financial challenges, student loans and "robocalls"

Mississippians use their cellphones and smartphones for just about everything these days, including negotiating with creditors and discussing debt with lenders. However, for anyone who has ever struggled with unpaid bills and owed money as a result, the telephone's ringing can be cause for alarm. Filing for personal bankruptcy can put a stop to creditors' attempts to contact a person and allows a bankruptcy attorney to handle communication with creditors.

Typically, debt collectors will phone a person as well as send letters. However, there are laws and regulations regarding how debt collectors can contact a person; collectors who violate these rules may find themselves in trouble with the law. In the future, though, debtors may find themselves receiving more and more debt-related phone calls. This is because a budget proposal has recently been made which would allow the government to loosen certain regulations regarding "robocalls," or calls that are made with auto-dialing equipment.

The Telephone Consumer Protection Act from 1991 currently helps prevent debtors from being contacted by robocalls related to debts involving loans guaranteed or owned by the federal government. However, the Obama Administration is concerned about more individuals defaulting on their student loans. Easing up on the anti-robocalling regulations, the Administration argues, would put more debtors in contact with their lenders and give those debtors a chance to find out their options. The Department of Education echoed this view, saying it would be beneficial to debtors who owe on student loans to put them in more contact with their creditors.

When it comes to owing debt, it is indeed beneficial to know one's options. Discussing a personal financial situation with a bankruptcy attorney can allow a person to learn about all of their options, from negotiating with creditors to stopping creditor harassment once and for all. In addition, those who owe on student loans may be dealing with credit card debt, unemployment or unexpected medical expenses. Considered as a whole, the debt can be overwhelming, especially in light of potentially changing laws about debt collection practices. Still, discussing one's debt with a legal professional can break down a tough situation into manageable plans for the future.

Source: MarketWatch, "Telemarketers may be big winners in Obama's budget deal with Congress," Jillian Berman, Oct. 31, 2015

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