I live in Georgia which seems to have laws that are very biased toward the debt owner. An example is the statutes of limitations for Mortgage debt. For instance, if the 1st lienholder forecloses, and you have a 2nd mortgage also, the 2nd remains in effect The OCGA states that the statute of limitations for any " debt instrument under seal", is 20 years from the date of foreclosure. The 2nd lien can be sold over and over and the last one holding it can come after you for up to 20 years. In these times when houses are lost due to catastrophic illness, job loss and other situations that not due to the irresponsibility of the homeowner, legislation should be drafted to protect the consumer from financial ruin.
I would like to comment on the predatory practices of debt collectors in regards to their purchasing bad debt for pennies on the dollar and then attempting to collect the full amount of the balance of the original loan. State regulations should preempt them from collecting exorbitant returns on such minimal investment (usury!!!). Other items to consider pertaining to this issue are : The bad debt
buyer does not disclose what he/she purchased the bad debt for. This should be disclosed and transparent as they have the original debt information, including SSN, phone and financial information. I don't begrudge them making a profit , but
their predatory practices need to be regulated. A superior court judge should be able to examine the original transaction, (for instance a 2nd mortgage in default) , all the documents concerning the purchase of this debt by a third party
and determine a fair and equitable payment to resolve the problem, avoiding bankruptcy .
dbentley
1
I live in Georgia which seems to have laws that are very biased toward the debt owner. An example is the statutes of limitations for Mortgage debt. For instance, if the 1st lienholder forecloses, and you have a 2nd mortgage also, the 2nd remains in effect The OCGA states that the statute of limitations for any " debt instrument under seal", is 20 years from the date of foreclosure. The 2nd lien can be sold over and over and the last one holding it can come after you for up to 20 years. In these times when houses are lost due to catastrophic illness, job loss and other situations that not due to the irresponsibility of the homeowner, legislation should be drafted to protect the consumer from financial ruin.
View this comment in the discussion thread
dbentley
2
I would like to comment on the predatory practices of debt collectors in regards to their purchasing bad debt for pennies on the dollar and then attempting to collect the full amount of the balance of the original loan. State regulations should preempt them from collecting exorbitant returns on such minimal investment (usury!!!). Other items to consider pertaining to this issue are : The bad debt buyer does not disclose what he/she purchased the bad debt for. This should be disclosed and transparent as they have the original debt information, including SSN, phone and financial information. I don't begrudge them making a profit , but their predatory practices need to be regulated. A superior court judge should be able to examine the original transaction, (for instance a 2nd mortgage in default) , all the documents concerning the purchase of this debt by a third party and determine a fair and equitable payment to resolve the problem, avoiding bankruptcy .
View this comment in the discussion thread