Category: Credit & Debt
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Debt collectors can take Social Security only in rare cases, but back taxes, federal student loans and support orders can reach it
A private debt collector cannot simply reach into a Social Security check. The Consumer Financial Protection Bureau says that only in rare cases can debt collectors take Social Security or VA benefits. The exceptions are real, though: the agency says Social Security and Social Security Disability Insurance can sometimes be garnished for back taxes, federal…
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Credit Acceptance must also reach borrowers away from the dealer showroom to explain add-on products and offer to cancel them
Credit Acceptance Corporation, a subprime auto lender, has agreed to contact borrowers away from the dealer showroom, explain any add-on products on their loans and offer to cancel them. The requirement is part of a $700 million settlement announced Sept. 17 by a bipartisan coalition of state attorneys general. Add-ons are the extras that can…
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Most NFL team credit cards moved from Visa to American Express, the old cards stopped working October 12, and no cardholder could opt out and keep a Visa account
NFL team credit cards that ran on the Visa network now run on American Express, and the old Visa cards stopped working on October 12. That was nine days ago. Cardholders could not opt out and keep a Visa account, according to CardRates, a card-industry news site. Comenity Capital Bank is still the issuer, and…
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U.S. Bank is dropping the five-cent fuel discount from Kroger Rewards cards
Holders of the Kroger Rewards credit card are losing the five-cent-per-gallon discount at Kroger Fuel Centers. U.S. Bank, which issues the card, is moving the accounts to a different product, the Smartly Visa Signature card. The discount ends when the replacement card is activated, and the switch is expected to be finished this fall. CardRates,…
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Bright Lending would cancel borrowers’ balances or pay at least $15 in cash under a proposed settlement
Bright Lending would cancel the balances of some borrowers and pay others at least $15 in cash under a proposed $15 million class action settlement. The lender, which operates as Aaniiih Nakoda Finance, LLC, denies any wrongdoing. The settlement website says no claim form is needed. Borrowers who want a payment sent electronically, or who…
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A judge’s October 5 approval clears payments to people who filed in the Flagstar data-breach case, a class of about 2.19 million, with cash estimated at $60 each
A federal court has given final approval to the Flagstar Bank data-breach settlement, which opens the way for payments to people who filed claims. The settlement website says the Court issued a Final Approval Order and Judgment on October 5, 2026. The case covers a class of about 2.19 million people, and the cash payment…
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Social Security gives a debtor 60 days after the due process notice to pay in full, set up installments or appeal before the debt goes to the Treasury Offset Program
A Social Security debtor has a 60-day window that starts with the due process notice. Inside it, the debtor can repay the overpayment in full, arrange installments or appeal. If none of that happens, the debt is selected for the Treasury Offset Program and for credit bureau reporting. After that point, staff tell debtors, the…
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Federal law bars employers from firing a worker because their wages were garnished for a single debt
An employer cannot legally fire a worker because the worker’s wages were garnished for a single debt. That protection comes from federal law, and it applies no matter how many times a collector sends the employer a garnishment order to collect that one debt. The Department of Labor’s Wage and Hour Division explains in its…
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Debt collectors must send validation information, and consumers get a 30-day window to dispute the debt
A debt collector has to send a consumer a written breakdown of the debt, called validation information, and the consumer then has 30 days to dispute it. The rules come from the Consumer Financial Protection Bureau (CFPB), which wrote them into Regulation F. A dispute made in writing inside that window makes the collector stop…
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Debt collectors cannot sue or threaten to sue over debts past the state time limit, the CFPB says, but a partial payment can restart the clock in some states
Debt collectors cannot sue, or threaten to sue, over a debt that is past the state time limit for lawsuits, the Consumer Financial Protection Bureau says. In some states, though, a partial payment or even a promise to pay can bring an old debt back to life and restart that clock. For anyone getting calls…