Illinois Debt Settlement

The state of Illinois, with approximately 12.8 million residents, is the sixth most populous in the United States, and the most populous state in the Midwest. Illinois covers an area of 57,953 square miles, placing it mid-pack nationwide, as it ranks 25th in terms of geographic size. Illinois is somewhat densely populated overall, ranking 12th nationally.

However, population density is especially acute within the Chicago Metropolitan area, which includes Chicago (the nation’s third largest city by population, with over 2.7 million residents) and home to almost 8 million residents – despite it covering only 8% of the total land area of Illinois. Illinois is home to numerous multinational corporations including Boeing, McDonald’s, Motorola and United Airlines, as well as the largest futures exchange, the Chicago Mercantile Exchange.

Generating a gross state product of $796 billion in 2016, the Illinois economy placed sixth in the United States, and would rank within the Top 20 countries in the world. Despite the fact that personal income growth within the state has been virtually non-existent since 2007, Illinois’ median household income level of $60,960 is still somewhat higher than the national median household income level of $57,617, besting it by 5.8%.

In fact, a recent study from early 2017 indicates that approximately 73% of American consumers actually die in debt!  If you’ve got a debt problem, don’t take it with you to the grave. There is no better time than the present to start acting upon your debt problem. With proper planning, guidance and dedication, you can find your way out of debt. (Source)

Credit Card companies and other creditors are permitted to contact Illinois residents directly regarding debts, particularly in a situation involving delinquent payments. However, debt collection agencies are required to comply with the the Federal Fair Debt Collection Practices Act (FDCPA), as well as the Illinois Collection Agency Act (ICAA), and are therefore prohibited from taking certain actions.

The FDCPA, collection agencies are prohibited from informing employers about a debt or attempting to collect a fee in excess of any debt owed. Debt collection agencies are also prohibited from communicating in a manner that simulates a judicial process or gives the appearance of a governmental action. Additionally, debt collection agencies are prohibited from contacting debtors or debtor family members at unusual hours or with a frequency that may be reasonably construed under the law as harassment or abuse.

Meantime, the ICAA requires debt collectors to obtain a license and comply with provisions similar to, but broader than, those included in the FDCPA that limit the manner in which collection agencies are allowed to communicate with debtors. Under the ICAA, debt collectors who maintain offices within Illinois can be fined up to $5,000 for each violation related to pursuing debt collection without a license.

When sufficient time passes in a situation in which consumer debts have gone unpaid, a debt collector can lose the legal right to sue for non-payment. In the state of Illinois, the statute of limitations on debt collection varies according to the type of debt involved. For written contracts, the statute of limitations is ten years. For credit card accounts and oral agreements, the statute of limitations is five years. For either time period, the clock begins ticking from the “date of default,” which is typically thirty days after the last payment was actually made.

When debts remain unpaid prior to the statute time period elapsing in full, creditors maintain legal right to sue for non-payment and are permitted to engage debt collection agencies who can make persistent attempts at collection – as long as they remain within the boundaries mandated by the FDCPA and the ICAA.

Getting out of debt is never an easy process. If debt settlement is the proper avenue for you, be honest with yourself. Decide whether you possess the background, strength and fortitude to negotiate directly with creditors yourself – or whether engaging the services of an experienced and reputable debt settlement company will serve your needs best. Remember, the goal is to save the greatest amount of money and time while minimizing any ensuing damage to your credit score and profile.

A reputable debt settlement company will provide a realistic estimate and time frame for making offers to your creditors that can ultimately result in settlements that save you significant amounts of money, time, and aggravation. Contact us here at United Settlement, where our experienced credit counselors possess relationships with the major credit card lenders and a broad understanding of the debt marketplace. We can help you achieve the peace of mind that comes with living a debt-free lifestyle.