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Zelle ? What happened ? Was it Fraud ?
Breaking News re Zelle, B of A, Chase & Wells Fargo !
On Friday, December 20, 2024, the Consumer Financial Protection Bureau sued the operator of Zelle, as well as Bank of America, JPMorgan Chase and Wells Fargo "for failing to protect consumers from widespread fraud" at the payment provider, according to a statement on Friday.
CFPB, the government's consumer financial watchdog agency, alleges customers of the top three banks lost more than $870 million over the seven years that Zelle has been in existence due to the banks' failures to protect them.
Among the CFPB allegations are that Zelle and the banks failed to implement proper fraud prevention safeguards, allowing scammers to proliferate, and that banks failed to properly investigate customer complaints about Zelle.
The three banks are co-owners of Early Warning Services, which operates Zelle and which was also named in CFPB's complaint. Here some of the details here from National Public Radio:
In our latest post, we explore the implications of closing a zero-balance credit card and its effects on your credit score and financial health. Discover insights on credit utilization ratios, the importance of keeping accounts open, and when it may be wise to close a card. We’ll help you understand your credit history's role and outline steps to take if you choose to close a credit account. Plus, we address frequently asked questions to support your decision-making. Empower your financial journey with expert advice from the Credit Card Defense Center!
Five Quick Ways to Boost Your Credit Score Today! Improving your credit score doesn’t have to be a long, drawn-out process. By following these simple steps, you can make a noticeable impact on your credit score quickly—sometimes in just a few weeks. If you’re serious about repairing your credit, these tips will help set you on the right path. 1. Use Goodwill Letters to Remove Late Payments One of the quickest and easiest ways to improve your credit score is by addressing late payments. Start by reviewing your credit report and identifying any late payments within the last two years—especially from companies you still do business with (like a credit card issuer). Write a goodwill letter explaining why you were late and kindly ask them to remove the late payment from your record. Many creditors will agree to do this, especially if you can provide a reasonable explanation. It’s a simple, effective method to improve your credit score without much hassle. 2. Increase Your Credit Limits Another great way to raise your credit score is by increasing your available credit. Contact your credit card issuer and request a higher credit limit. A higher credit limit helps lower your credit utilization ratio, which is a key factor in your score. Many credit card companies will approve limit increases without checking your credit report, and they’ll report the new limit to the credit bureaus within 30 days. This could have a positive impact on your score right away! 3. Dispute Inaccurate or Outdated Negative Information Review your credit report for any inaccurate or outdated negative entries. If you notice any mistakes—such as accounts that aren’t yours or incorrectly reported late payments—dispute them with the credit bureaus. Pay special attention to the “date of last activity” for each negative entry. If these dates are incorrect or have been “re-aged” to appear more recent, it could hurt your score unnecessarily. Make sure this information is accurate across all three major credit bureaus (Equifax, Experian, and TransUnion). 4. Become an Authorized User on a Family Member's Account If you have a friend or family member with a strong credit history, ask them if you can be added as an authorized user on their account. This can boost your credit score by incorporating their positive credit history into your report. While credit scoring algorithms are becoming more sophisticated, this tactic is still effective for most people. Just ensure that the primary account holder has a good payment history and a low balance-to-limit ratio. 5. Create a Debt Payoff Plan If you’re carrying high credit card balances, the best thing you can do is work to pay them down. The closer your balances are to your credit limits, the more negatively it will affect your score. Start by paying off the cards with the highest interest rates or the highest balances. If possible, pay down at least 70-80% of the balance—this will significantly improve your credit utilization ratio and boost your score. If you’re struggling to come up with the funds, consider borrowing from a friend or family member, or transferring your balance to a lower-interest credit card. By following these simple steps, you can quickly raise your credit score and improve your overall financial health. These strategies are efficient and impactful, helping you focus on the actions that make the biggest difference. "FICO" Credit Scores Your FICO Score is the most widely used credit score by lenders and reflects your true creditworthiness. To get your official FICO Score, visit MyFico.com or Equifax. Keep in mind, other credit scores are just estimates and may not give you an accurate picture of your credit health. Credit Monitoring Credit monitoring is a service that tracks your credit report every day and alerts you to any new changes or activities, such as new accounts or late payments. Staying on top of your credit helps you catch issues early and ensures you can take action before they impact your score. Ready to take control of your credit and improve your financial future? Let us help you navigate the process of credit repair with professional guidance and support. Reach out today to learn how our services can help you build a better credit score and achieve your financial goals.
Got a default judgment against you ? We can hep in most circumstances. Read On... A default judgment is a serious legal issue that affects many consumers and businesses. It occurs when a plaintiff wins a civil case because the defendant fails to respond or appear within the required timeframe. Unfortunately, default judgments are all too common, and they can have devastating consequences, including wage garnishments, bank levies, and liens. How Default Judgments Happen Default judgments often arise due to improper or faulty service (ie: delivery ) of legal papers because, in many cases, process servers hired by debt collection law firms deliver the legal papers to the wrong address or even falsify their reports on the affidavit (ie: proff ) of service. As a result, you will never receive the lawsuit until it's too late, And, then, a judgment could very easily break entered without your knowledge. Ouch !! Sometimes our clients move without updating addresses with creditors. And if the debt collectors use outdated addresses, you might not get notice of a lawsuit and can lose by not showing up ti Court and a default judgment will be entered sgjunt you. Misunderstanding or ignoring a summons: Some individuals may receive legal notices but dismiss them as scams, not realizing the serious consequences of failing to respond. Creditors, including debt buyers like Midland Funding and LVNV Funding, as well as original creditors such as Bank of America and American Express, frequently seek default judgments. A troubling trend we've seen is the high rate of defaults in Merchant Cash Advance (MCA) cases. In these business debt cases, creditors often bypass traditional service requirements, sending notices by mail or email. Yet, many fail to ensure the correct addresses, which can lead to default judgments against businesses that were never properly served. Vacating a Default Judgment If you’ve had a default judgment entered against you, there are options to challenge and vacate it. Under New York's CPLR (Civil Practice Law and Rules), there are two key ways to have a judgment overturned: CPLR 5015: A default judgment can be vacated if you can show a reasonable excuse for not responding and present a meritorious defense. This motion must be made within one year of learning about the default judgment. Additionally, if service was improper (e.g., to the wrong address), the judgment may be voided. CPLR 317: This rule allows for the vacation of a judgment without a reasonable excuse, as long as a meritorious defense is asserted. It’s especially useful in Merchant Cash Advance cases where businesses are rarely served personally. However, the motion must be filed within one year of learning about the judgment, and within five years of its entry. While CPLR 317 can be very helpful, especially in MCA cases, the five-year cap means it may not apply to older judgments. Why Vacating a Default Judgment is Critical Vacating a default judgment can provide significant relief. It: Reopens your case: You can defend yourself and present your case on its merits, rather than losing by default. Stops enforcement actions: Any existing bank levies, liens, or wage garnishments will be lifted, preventing further financial hardship. Prevents further accrual of interest: Default judgments can result in interest accumulating on the debt, but vacating the judgment stops this process. Shifts the burden back to the creditor: Once the case is reopened, the burden of proving the debt shifts back to the plaintiff. If you’re deal with a default judgment right now, don’t wait for the situation to worsen. The Credit Card Defense Center of New York is here to help you understand your rights and explore your options for fighting back. Our experienced team specializes in credit card defense, debt collection cases, and vacating default judgments. Contact us today for a consultation and take the first step toward regaining control of your financial future. about the default judgment. Alternatively, under CPLR 317 a judgment can be vacated without having to show a reasonable excuse but only a meritorious defense instead if the defendant was not personally served. However, the motion must be made within one year after notice of the judgment and within a maximum of five years of the entry of the judgment. Although CPLR 317 is a fantastic rule for vacating Merchant Cash Advance default judgments due to the fact that they rarely ever try to personally serve businesses, the five-year cap prevents people and businesses with older judgments from using it. The meritorious defense needs only to be asserted and not proven although it does need to be legitimate. This is important so as not to become involved in a full hearing about meritorious defenses which should be done in litigation once the matter is re-opened.Vacating a default judgment is important because it re-opens the case and allows the defendant to defend themselves on the merits instead of losing on default. It is also important because it removes any bank levies, liens or garnishments that are in place or that could be brought. Finally, it stops judgment interest from accruing and brings the leverage back on to the side of the consumer or defendant and places the burden to prove the case back on to the plaintiff.
What Happens When You Dispute a Debt? If you dispute a debt in writing during the validation period, the debt collector must stop trying to collect the debt—or any part of it that's in dispute—until they provide verification of the debt. This means that once the debt collector receives your written dispute, they cannot continue collection efforts until they send you proof of the debt or a copy of a court judgment. To resume its collection, the debt collector must send you the verification (such as a copy of the judgment or other documentation) in writing or electronically. If they choose to send it electronically, they must follow the rules outlined in a law called the the E-SIGN Act, which sets guidelines for electronic communications. Ways to Dispute a Debt in Writing: You can dispute a debt in several ways, including: • Mailing a letter to the debt collector. • Sending an email or using an online portal, if the collector accepts electronic communication. • Delivering a dispute in person or via a courier service. Special Situations: By the way, if the consumer is deceased and has not disputed the debt, someone authorized to handle the deceased person's estate can dispute the debt on their behalf. Important Note: By the way, just because you don’t dispute a debt doesn’t mean you’ve admitted to owing it. Failing to dispute the debt doesn’t automatically mean you are legally responsible for it. See the law about this at 12 CFR 1006.38(d)(1).
Seniors in debt do not have to worry about thier Social Security or pensions bin seized by he debt collectors in New YIrj beach this money is exempt.
Revive your credit to empower your future ! Improving your credit score is possible. But it takes time and dedication.
Because we are on our way Court for you instead... . As New York Credit Defense Attorneys , we focus on helping clients navigate and resolve debt-related challenges without the need for bankruptcy. While bankruptcy may seem like a quick solution, we believe that most clients can avoid this drastic step by working through their financial difficulties. Bankruptcy often means relinquishing control over your financial life and facing long-term consequences that can be avoided with the right credit defense strategy. Each debt defense plan we design for you and will be a tailored solution for your particular financial and credit circumstances with the objective of reaching solutions that address our clients' unique financial situations. Our goal is to help our clients overcome their debt and debt collection issues and finding resolutions through negotiation or legal defense in Court, and, ultimately, move toward a better financial future. This is why we specialize in credit and debt defense and not bankruptcy. By working with the The Credit Card Derfense Center, you can protect your assets and avoid the pitfalls of bankruptcy, regaining control of your financial life. Common Defenses in a Debt Collection Case A defense is a reason why the plaintiff should not win the case. You tell the Court your defenses when you answer the summons and complaint or when you ask the Court to vacate default judgment. You must then prove your defenses in Court. If you prove your defenses then the plaintiff will lose and you will win the case. Listed below are examples of defenses to a debt collection case. Read the explanations carefully to see if any of them apply to you. Everyone’s case is different. Some of the defenses may apply to you and most may not. You can also tell the Court about a defense that is not listed below. You should tell the Court about all of your defenses. In defending you, we will use these defenses if appropriate in your case . You do not owe the money . 
We'll u se this defense when you simply do not owe the money that the plaintiff is asking for. You dispute the amount of the debt - Plaintiff is suing for the wrong amount of money
This defense is used when the plaintiff sues you for the wrong amount of money in the complaint. All the amounts listed must be right, including interest, collection costs and attorneys fees. Plaintiff has been unjustly enriched. 
This defense is used when the money in the complaint is much higher than what you think you owe and you've been, in essence, taken advantage of in the transaction in question. Remember interest can make the money you owe higher than the original money that you borrowed. But in dealing with these cases, we never have our clients wind up paying interest when we resolve these cases. The credito r is violating the duty of good faith and fair dealin g . 
This defense is used when you think that you have tried to take care of this debt in a fair way, but the other side has not been fair or was not honest with you. Plaintiff waited too long to sue you . This is called laches, which is a defense used when the creditor waited too long on purpose to bring you to court or to sell your debt to the plaintiff. This case surprised you and the delay is very bad and makes it hard for you to defend the case. The amount of delay depends on the facts of each case. If the creditor has a good reason for the delay this defense will not win. Contract is very, very unfair or, in other words, unconscionable. This defense is used when the agreement was not fair and is very, very one-sided. “Shockingly” unfair. We use this defense mainly as bargains leverage in negotiating with the debt collector and the collection attorneys. Statute of limitations has passed. In other words, it's simply too late too for the debt collector to sue you. Statute of limitation laws are in place because waiting too long to sue you is inherently unfair because, a s time goes by, people and companies lose old records and people do not remember details as well. Because of this there is a struct time limit for bringing lawsuits. This is called the "statute of limitations". In New York, as of April 7th 2022, the Consumer Credit Fairness Act established a 3-year time limit on many kinds of debts including all consumer credit transactions. If you are sued in certain other kinds of consumer debts, longer statutes of limitations may apply. Contact us at the Credit Card Defense Center for more details about this defense. Also, as of April 7th, 2022, any additional payments on the debt after the statute of limitations has expired will not extend the limitations period for most types of consumer debts. And, if the company is based outside of New York State, of the contract is to be interpreted under the law of another state, the statute of limitations may be shorter depending on that state’s statute of limitations. We simply do a comparison and use the defense on the shorter statute for your benefit. You filed bankruptcy, and it included this debt. . 
This defense is rare because once you file bankruptcy, your debts are dealt with in federal court and no longer in the Courts of the State of New York. Simply put, if the debt was discharged in bankruptcy you do not owe the money. The secured property (collateral) was not sold at a commercially reasonable price. This is our very favorite defense when it comes to vehicle reoissesions. in fact, if yr veggie as reposted and you are being sued for s defocilmcy, we can usually put up a very good defense based on the way the vehicle was repossessed and sold atmost likely, an auction. and most likely for less money that it was actually with at the tie of the sale. If you don’t pay your debt, the collateral is sold to pay back the money you owe. If the money from the sale of the collateral does not cover the entire remains debt, the plaintiff may sue you for the difference. The repossessed collateral should be sold by the debt collector or the debt collection attorney for a “commercially reasonable” amount, which is a fair, market price. You never had a contractual relationship with the plaintiff. We call this a lack of standing. In other words, the creditor or debt collector has no contractual relationship to you 
This defense is used when you don't know who the plaintiff is and how the plaintiff got to own your debt. The plaintiff may have bought your debt from the person or company that you owed money to. Because you never signed a contract with the plaintiff who bought your debt, you can ask if the plaintiff can sue you (also known as standing to sue you). The plaintiff must prove to the court that it owns your debt. To do this, the plaintiff must have a contract of sale (assignment) that says your debt has been sold. You were only an authorized user. 
This applies when the credit card associated with the debt is in another person’s name and that person gave you permission to use their credit card. If you were only an authorized user but never agreed to be responsible for paying the card then you cannot be held responsible for the credit card debt. You are a victim of identity theft or mistaken identity. Identity theft is when somebody steals your name and personal information and opens up credit accounts in your name pretending to be you. You are not responsible for debts that a thief made in your name. Mistaken identity is when you are sued for somebody else’s debts because you have similar names or identifying information. This defense is used when your identity was stolen, or if this is someone’s else’s debt. Full or Partial Payment of the Debt
. This defense is used when you have already paid all or part of the money that the plaintiff is suing you for. If the debt is paid off, you should not have to pay it again. Whether this is a full or partial defense to the lawsuit depends on how much of the debt you have paid. Special New York City Defenses Only If the NYC Department of Consumer and Worker Protection shows no record of plaintiff having a license to collect debts in New York City, will prevent company which buys debt from another company or an original creditor buys debts, the company must be licensed by the NYC Department of Consumer and Worker Protection. If the plaintiff is not licensed, that is a defense to this case. So, we will determine if the debt collector is license and tie that as a defense f it s not. 
Most debt buyers, known in the legal world as "assignees", must be licensed by the NYC Department of Consumer and Worker Protection and must list the license number on the complaint. This defense can be used if the plaintiff did not list a license number. The court may dismiss the case or may let the plaintiff change (amend) the complaint to list the license number.
If you've received a letter from The Credit Card Defense Center or another attorney, it means a creditor has filed a lawsuit against you in New York State Court. Your case is now part of the public record, and attorneys can offer their services even if you haven’t been formally served. Ignoring the lawsuit or failing to respond could lead to a default judgment, wage garnishment, property liens, and frozen bank accounts. It's crucial to take immediate action upon receiving such a letter to protect your rights and prevent these consequences.
Contact The Credit Card Defense Center today for a free consultation to discuss your options, understand the legal process, and learn how we can help you defend against the lawsuit and avoid financial harm.
When you are facing a debt collection lawsuit by a bank, credit union, loan company or other creditor, the court's only focus is the evidence presented against you to determine whether the debt is valid and whether you owe the debt. Unfortunately, many clients mistakenly believe that explaining their financial difficulties, their other debt obligations or their lack of funds to the creditor's attorney, and, in essence, asking for mercy, will prevent the debt collection attorneys from continuing the lawsuit. However, financial hardship and other bills, or even a medical condition you are suffering, are not legal defenses to a debt collection lawsuit. So, simply calling the debt collection attorneys who are suing you is not a sufficient response to a debt collection lawsuit And your "hardship" circumstances will certainly not save you from a judgment. You can't rely on hardship or the mercy of the debt collection attorneys to avoid legal action because this just won't work to dissuade debt collectors or their collection attorneys. After all, their job is to get your money one way or the other, without regard to your personal circumstances. However, our experienced Credit Card Defense Attorneys can and will use your hardship circumstances as part of our negotiations on your behalf with creditors which will in fact help reduce your debt and help us make more suitable arrangements in the lawsuit we are handling for you. So, yes, explain your hardship circumstances toy us and we will use those circumstances to you benefit and as leverage in our negotiations with the debt collection attorneys who are suing you.
You’re Not Alone: How to Navigate Credit Card Debt in New York and Find Your Path to Financial Freedom If you’re struggling with credit card debt in New York, it can feel like you’re trapped in a cycle that never ends. But take heart—you are not alone. Thousands of New Yorkers are facing the same challenge, and there are concrete steps you can take to regain control of your finances. With rising interest rates, inflation, and the high cost of living in New York City, credit card debt is more burdensome than ever. In fact, credit card debt in the U.S. reached record levels in 2024, with millions of Americans, including many in New York, finding it increasingly difficult to make ends meet. But despite the financial strain, there are resources and legal protections to help you find a way out. The State of Credit Card Debt in New York In 2024, many New Yorkers were and still are grappling with mounting credit card debt. Rising interest rates—sometimes exceeding 20%—have made it even harder to pay down balances, and this is compounded by New York’s high cost of living. Whether you're living in Manhattan, Brooklyn, or upstate, credit card debt can quickly spiral out of control, making it feel like there’s no way out. New York State has its own set of financial realities that you need to navigate. For example, if you're in Manhattan, where the cost of rent and basic necessities is sky-high, it’s easy for debt to accumulate faster than your income can keep up. And in upstate New York, where wages tend to be lower, even small credit card balances can become overwhelming. But no matter where you live in the state, you're not alone—New York's consumer debt issues are widespread, and there are ways to get help. What You Can Do Now: Take Action Before Facing a Lawsuit If you're behind on your credit card payments and worried about a lawsuit, don't panic. New York law offers several protections and resources that can help you get back on track. Here’s what you can do before things escalate: 1. Prioritize Your Debts Take a close look at your debts. Start by prioritizing your credit card balances that carry the highest interest rates or that are in danger of turning into legal actions. In New York, unpaid credit card debt can lead to collections and even lawsuits, so addressing the most urgent balances first can help you avoid further damage to your financial health. For example, if you owe money to a New York-based credit card company, they may file a lawsuit in a local civil court if your debt remains unpaid for long enough. Once the lawsuit is filed, you may face wage garnishment or even the seizure of your property. Prioritize the accounts that have the potential for the most serious legal consequences. 2. Contact Your Creditors Before your credit card companies decide to take you to court, contact them. In New York, many creditors will work with you to establish a payment plan, reduce interest rates, or even offer temporary relief. Simply calling them to discuss your situation can often prevent collection calls and buy you some time to get your finances in order. If you are having trouble with a specific creditor, you can file a complaint with the New York Department of Financial Services (NYDFS), which regulates financial institutions operating in the state. They may be able to assist in resolving disputes or negotiating better terms for you. 3. Seek Non-Profit Credit Counseling Consider contacting a non-profit credit counseling service. These agencies can help you assess your financial situation and develop a Debt Management Plan (DMP). With a DMP, you may be able to consolidate your payments and reduce your interest rates—helping you pay off your debt faster and more affordably. There are several reputable non-profit organizations in New York, such as The National Foundation for Credit Counseling (NFCC) and Money Management International (MMI), which provide free or low-cost services to New Yorkers in financial distress. 4. Consider Debt Settlement If you’re already behind and facing legal threats, you may want to explore debt settlement. This involves negotiating directly with creditors to pay less than what you owe, typically in a lump sum or through a structured payment plan. While debt settlement can be an effective way to reduce your debt, it’s important to understand that it may affect your credit score, and creditors are not always willing to negotiate. In New York, if you're dealing with multiple creditors and mounting debt, a debt settlement attorney familiar with New York state law can help negotiate a settlement on your behalf. They can also help you navigate the legal system if you're facing a lawsuit. What to Do If You’ve Been Sued If you’ve already been served with a lawsuit, it’s crucial to act quickly to protect your rights. In New York, failure to respond to a lawsuit within the prescribed timeframe can lead to a default judgment. This means you could lose your case automatically, resulting in wage garnishment, bank account levies, or the seizure of your property. Here’s how to proceed if you've been sued: 1. Review the Documents Carefully When you receive a lawsuit, carefully read the summons and complaint. Make sure that the creditor is legitimate and that they have provided all necessary documentation to back up their claim. Under New York law, creditors must provide clear proof of the debt in court. If they cannot prove that you owe the debt, the case may be dismissed. 2. Respond on Time In New York, you have 20 days from the date of service to file an answer to the lawsuit with the court. If you fail to respond within this period, the court may issue a default judgment, which can result in serious financial consequences. If you’re unsure how to respond, it's crucial to consult with a qualified attorney. 3. Don't Wait - Get Legal Help Today Contact a credit card defense attorney immediately if you’ve been sued. A lawyer who specializes in New York debt law can help you understand your options, including filing an answer to the lawsuit, negotiating a settlement, or defending against the claim. Experienced attorneys can also help you identify any mistakes made by the creditor in the lawsuit, which could result in the case being dismissed. We’re Here to Help on Your Path to Financial Freedom At The Credit Card Defense Center of New York, we understand that dealing with credit card debt in New York can feel like a heavy burden. But you don’t have to face this alone. Whether you’ve already been sued or are just worried about mounting debt, we can help. Our team of experienced New York credit card defense attorneys offers free consultations to assess your situation and provide personalized advice. We’ve helped countless New Yorkers protect their assets, negotiate settlements, and defend against lawsuits. With the right strategy, it’s possible to reduce your debt, protect your rights, and start over with a fresh financial outlook. Take the First Step Toward Financial Freedom Today Remember, you can regain control of your financial future. The key is taking action now. Whether that means negotiating with your creditors, seeking credit counseling, or getting legal assistance to fight a lawsuit, we are here to guide you every step of the way. If you’re struggling with credit card debt in New York or have already been sued, contact us today for your no-obligation consultation . We’ll listen to your unique situation, offer you honest advice, and help you find a path to financial freedom. The Credit Card Defense Center of New York Phone: 212-591-0400 Email: info@creditcarddefensecenter.com Don’t wait—reach out now to get started on your journey toward a debt-free future.