FAQS
Should I Go Bankrupt?
If you qualify for a fresh start bankruptcy, our advice is to bankrupt assuming your debts are significant. Because one can only go bankrupt once every ten years, we don’t recommend going bankrupt (absent extraordinary circumstances) with less than $35,000 in debt because BK costs 2-3,000 and workout costs $21,000. The right to bankrupt down the road is worth more than $18,000.
Why do you charge fees?
We do all of our work based on a flat fee as a percentage of the debt so to eliminate arguments and surprises. Our fees are reasonable. We are not aware of any law firm in the state focused as we are on assisting folks with high unsecured debt outside bankruptcy. Some firms charge by the hour instead of a flat fee, but we are not aware of anyone who offers a better quality of service for less money.
Debt Relief FAQs
Looking for answers about debt relief? Give us a call or review the answers to our most common questions.
How many points will defaulting on my cards bring down my credit?
In general, you should anticipate that your credit score will drop 100-150 points post-default. By law, a credit card company is required to “charge off” (remove your debt as an asset on their balance sheet) after six missed payments. Once it is charged off, the credit card company can no longer report you as late. Non-payment negatively impacts your credit score for 12 months after the last negative. Accordingly, 18 months after the first missed payment, the missed payments will no longer negatively impact your score. That doesn’t mean your score goes up. For it to go up, the underlying debts must be paid or settled. Once that happens, you can positively impact your score with payments on a mortgage, car, gas card, small trade lines, debit cards that report to credit bureaus, and similar accounts.
Can the creditor call my work?
Yes, the creditor can contact you at work subject to the restrictions under the FDCPA. Pursuant to the FDCPA, collectors may not contact you at work if they’re told (orally or in writing) that you’re not allowed to get calls there. Debt collectors do not include employees of the creditors themselves.
What if I cannot make the monthly payment?
It depends on the reasons underlying the non-payment. If your financial circumstances have changed (ie. lost your job or a significant source of income), we may need to re-evaluate your options including bankruptcy. If it’s an isolated incident, we try to work with clients to get them back on plan.
Do you do bankruptcy?
We do not offer any kind of bankruptcy services, but we can recommend lawyers who we are confident can help folks who need to pursue bankruptcy.
Can I tell my creditors to contact you?
Each time you receive a call, tell the person calling politely, but firmly: “This is not a good time for me to talk to you. I am now represented by a law firm. You can reach them at XXXXXXXXXXXXXX. Please contact them from now on. Do NOT contact me at home or at my work.” Unless they say, thank you and hang up, say this: “As I told you, this is not a good time for me to talk to you. Please contact my lawyer. Have a good day.” Then hang up. Do not wait for them to respond. If they call again, handle it exactly the same way. Better yet, don’t take their calls, don’t return their voicemails, and hang up on yourself as soon as you know it’s a creditor calling you.
What if I get sued?
Less than 10% of our current accounts in workout are in litigation. Whether you are sued depends on how fast we can put together settlement monies, how much you owe, which bank is owed, and how long it’s been since your last payment to the bank. In the event you are sued, we will represent you in the suit for $500 plus the cost of filing an answer on your behalf. We represent you all the way thru trial, if necessary.
Credit error FAQs
Looking for answers about credit errors? Give us a call or review the answers to our most common questions.
What do I need to dispute an error?
To dispute an error, you need proof that the error is a valid error. Contact McCarthy Law to find out more.
How long does a delinquent account report?
Delinquent accounts report for 7 years from the date of first delinquency.
How long does an inquiry remain on my report?
Legitimate inquiries remain on your credit report for two years. If you did not authorize the inquiry that would be something that you should dispute.
I paid the bill but the creditor is still reporting a balance.
Let McCarthy Law dispute the error for you.
How can I fix something that is not reporting correctly?
You would need to dispute the error with the credit reporting agencies. You can either dispute the error by mail, online or you can let McCarthy Law dispute the error for you for free. As a law firm we know exactly how to dispute the error so that you get it fixed immediately.
What does McCarthy Law need to get going?
If you believe that items are incorrect on your credit report, give us a call and let’s talk. If you aren’t sure if your credit report is correct, many websites allow you to pull your credit report at no charge. If you need help reading this report to understand what it means, we can help.
Student Loan FAQs
Looking for answers about student loans? Give us a call or review the answers to our most common questions.
What are the costs of hiring a student loan lawyer?
Our services are offered on a flat fee basis calculated as a percentage of the debt. Typically, we can settle our clients’ debt for 55-60 cents on the dollar and without the need for bankruptcy. If our clients end up being sued, we represent them through the trial for $500 plus the cost of filing the answer.
What is the difference between federal student loans and private student loans?
While federal student loans are offered by the government, private student loans are offered by private-sector lenders. Interest rates for private loans are generally higher, cannot be forgiven, and are never subsidized. However, private student loans are not need-based so you can qualify for a higher loan amount if you have good credit.
Am I able to discharge a federal student loan without having to file bankruptcy?
In most situations, neither federal student loans nor private student loans are eligible to be discharged in bankruptcy. However, in some cases, you can have a federal student loan discharged if you experienced serious problems with your school, worked in public service, or have a severe disability.
How can a private student loan attorney help me?
Student loan attorneys can provide you with legal advice, represent your interests during negotiations or lawsuits, resolve delinquencies, protect you from debt collector misconduct, and handle any credit disputes.
Debt Relief
Debt Relief FAQs
Looking for answers about debt relief? Give us a call or review the answers to our most common questions.
How many points will defaulting on my cards bring down my credit?
In general, you should anticipate that your credit score will drop 100-150 points post-default. By law, a credit card company is required to “charge off” (remove your debt as an asset on their balance sheet) after six missed payments. Once it is charged off, the credit card company can no longer report you as late. Non-payment negatively impacts your credit score for 12 months after the last negative. Accordingly, 18 months after the first missed payment, the missed payments will no longer negatively impact your score. That doesn’t mean your score goes up. For it to go up, the underlying debts must be paid or settled. Once that happens, you can positively impact your score with payments on a mortgage, car, gas card, small trade lines, debit cards that report to credit bureaus, and similar accounts.
Can the creditor call my work?
Yes, the creditor can contact you at work subject to the restrictions under the FDCPA. Pursuant to the FDCPA, collectors may not contact you at work if they’re told (orally or in writing) that you’re not allowed to get calls there. Debt collectors do not include employees of the creditors themselves.
What if I cannot make the monthly payment?
It depends on the reasons underlying the non-payment. If your financial circumstances have changed (ie. lost your job or a significant source of income), we may need to re-evaluate your options including bankruptcy. If it’s an isolated incident, we try to work with clients to get them back on plan.
Do you do bankruptcy?
We do not offer any kind of bankruptcy services, but we can recommend lawyers who we are confident can help folks who need to pursue bankruptcy.
Can I tell my creditors to contact you?
Each time you receive a call, tell the person calling politely, but firmly: “This is not a good time for me to talk to you. I am now represented by a law firm. You can reach them at XXXXXXXXXXXXXX. Please contact them from now on. Do NOT contact me at home or at my work.” Unless they say, thank you and hang up, say this: “As I told you, this is not a good time for me to talk to you. Please contact my lawyer. Have a good day.” Then hang up. Do not wait for them to respond. If they call again, handle it exactly the same way. Better yet, don’t take their calls, don’t return their voicemails, and hang up on yourself as soon as you know it’s a creditor calling you.
What if I get sued?
Less than 10% of our current accounts in workout are in litigation. Whether you are sued depends on how fast we can put together settlement monies, how much you owe, which bank is owed, and how long it’s been since your last payment to the bank. In the event you are sued, we will represent you in the suit for $500 plus the cost of filing an answer on your behalf. We represent you all the way thru trial, if necessary.
Credit error FAQs
Looking for answers about credit errors? Give us a call or review the answers to our most common questions.
What do I need to dispute an error?
To dispute an error, you need proof that the error is a valid error. Contact McCarthy Law to find out more.
How long does a delinquent account report?
Delinquent accounts report for 7 years from the date of first delinquency.
How long does an inquiry remain on my report?
Legitimate inquiries remain on your credit report for two years. If you did not authorize the inquiry that would be something that you should dispute.
I paid the bill but the creditor is still reporting a balance.
Let McCarthy Law dispute the error for you.
How can I fix something that is not reporting correctly?
You would need to dispute the error with the credit reporting agencies. You can either dispute the error by mail, online or you can let McCarthy Law dispute the error for you for free. As a law firm we know exactly how to dispute the error so that you get it fixed immediately.
What does McCarthy Law need to get going?
If you believe that items are incorrect on your credit report, give us a call and let’s talk. If you aren’t sure if your credit report is correct, many websites allow you to pull your credit report at no charge. If you need help reading this report to understand what it means, we can help.
Student Loan FAQs
Looking for answers about student loans? Give us a call or review the answers to our most common questions.
What are the costs of hiring a student loan lawyer?
Our services are offered on a flat fee basis calculated as a percentage of the debt. Typically, we can settle our clients’ debt for 55-60 cents on the dollar and without the need for bankruptcy. If our clients end up being sued, we represent them through the trial for $500 plus the cost of filing the answer.
What is the difference between federal student loans and private student loans?
While federal student loans are offered by the government, private student loans are offered by private-sector lenders. Interest rates for private loans are generally higher, cannot be forgiven, and are never subsidized. However, private student loans are not need-based so you can qualify for a higher loan amount if you have good credit.
Am I able to discharge a federal student loan without having to file bankruptcy?
In most situations, neither federal student loans nor private student loans are eligible to be discharged in bankruptcy. However, in some cases, you can have a federal student loan discharged if you experienced serious problems with your school, worked in public service, or have a severe disability.
How can a private student loan attorney help me?
Student loan attorneys can provide you with legal advice, represent your interests during negotiations or lawsuits, resolve delinquencies, protect you from debt collector misconduct, and handle any credit disputes.