New Jersey Debt Relief
New Jersey, though the fourth smallest of the United States by geographic area, is actually the single most densely populated state in the country, and with a population just shy of nine million, ranks eleventh in the nation. In 2016, New Jersey also ranked as the third wealthiest state in terms of median household income, coming in at $76,126, a figure that handily exceeded by 38% the national median household income level of $55,075. In 2016, New Jersey’s gross state product, driven by heavy activity within the pharmaceutical, financial and telecommunication industries, ranked eighth in the nation at $575.3 billion.
More New Jersey Economic Statistics
According to the Bureau of Labor Statistics, the unemployment rate for New Jersey stood at 4.9% as of October 2017, notably higher than the national unemployment rate of 4.1%. Residents of New Jersey also carry significantly greater amounts of credit card debt than do citizens of most other states, checking in at an average level of $8,121 – fifth highest in the nation and 42% greater than the national average of $5,700.
New Jersey’s home ownership rate checks in right in line with the rest of the country at 63%. Given the state’s higher unemployment rate and credit card debt levels relative to the rest of the nation, it makes sense that the typical New Jersey resident’s credit profile is not quite as strong as that of the average United States citizen. Accordingly, compared with the 2016 nationwide average FICO score of 699, the typical New Jersey resident’s 2016 FICO score came in considerably lower at 671.
Debt Collection in New Jersey
If you’re a New Jersey resident and are feeling the pressure that comes with mounting debt levels, you have rights. Credit Card companies, New Jersey casinos, and other creditors are permitted to contact New Jersey residents directly regarding debts, particularly in a situation involving delinquent payments. However, creditors and debt collection agencies are required to comply with the Fair Debt Collection Practices Act and are prohibited from taking certain actions. These prohibited actions include informing employers about the debt or calling a debtor while at work if the debtor has informed the creditor not to do so.
Furthermore, if the debtor has engaged an attorney, the creditor must speak to the attorney directly regarding the debt and is prohibited from speaking to the debtor. Creditors and debt collection agencies are also prohibited from communicating in a manner that simulates a judicial process or gives the appearance of a governmental action, and they cannot attempt to collect an amount greater than the debt owed. Finally, creditors and debt collection agencies are prohibited from contacting debtors at unusual hours or with a frequency that may be reasonably construed under the law as harassment or abuse.
Are you in debt? we can help
New Jersey Statute of Limitations on Debt Collection
When enough 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 New Jersey the statute of limitations for collecting on all debts is six years. This statute of limitations applies to all debts – written contracts, promissory notes, and open-ended accounts – including credit cards.
The clock on the six-year time period starts ticking from the “date of default,” which is typically thirty days after the last payment was actually made. However, it follows that if your unpaid debts remain unpaid and the full six years have yet to elapse, your creditors maintain legal right to sue you for non-payment and are permitted to engage debt collection agencies who can make persistent attempts at collection while remaining within bounds of the Fair Debt Collection Practices Act.
New Jersey Debt Settlement FAQ
Does united settlement help with debt settlement in New Jersey?
Yes, if you are a New Jersey resident and currently burdened by high levels of unsecured debt – including credit card accounts, personal loans, unpaid medical bills and private student loans, United Settlement can assist you with the process of pursuing debt settlement. Debt settlement occurs when a debtor successfully negotiates a payoff amount for less than the total balance owed on a debt. 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.
Does united settlement offer debt consolidation services in New Jersey?
Yes, United Settlement offers debt consolidation services in the state of New Jersey. The process of debt consolidation involves combining and paying off multiple debts with one single loan, typically resulting in a lower blended interest rate and monthly payment. Debt consolidation provides the dual benefits of streamlining the repayment process while simultaneously lowering interest expense and the total amount repaid over time.
Can debt collectors garnish wages in New Jersey?
Debt collectors can garnish wages in the state of New Jersey, but only after suing a delinquent debtor and successfully obtaining a court judgment that allows for wage garnishment within certain restrictions. In New Jersey, a creditor can garnish 25% of a delinquent debtor’s weekly disposable income, or weekly disposable earnings minus 35 times the federal minimum wage – whichever amount is less.
Am I responsible for my spouse's debt in New Jersey?
The responsibility for spousal debt largely depends on where a couple has lived – and whether that state is a “community property” state, or an “equitable distribution” state. Since New Jersey is an equitable distribution state, debts incurred by one spouse remain that spouse’s debts alone – unless the debt relates to a family necessity – such as shelter, food, and tuition. Additionally, all accounts with both spouse’s signatures attached are jointly liable for any accompanying debts.
Is cancellation of debt taxable income in New Jersey?
Cancellation of debt is considered exempt income in the state of New Jersey, and therefore, is not subject to New Jersey state taxation. However, debt cancellation of $600 or more is subject to Federal income tax.
New Jersey State Residents
and Debt Settlement
If you are a resident of New Jersey and are currently burdened by high levels of unsecured debt – including credit card accounts, private student loans and unpaid medical bills – the process of pursuing debt settlement may make sense for you. Debt settlement occurs when a debtor successfully negotiates a payoff amount for less than the total balance owed on a debt. This lower amount is agreed to by the creditor or collection agency and is fully documented in writing. Ideally, this lower negotiated amount is paid off in one lump sum, but it can be paid off over time. Though creditors are under no legal obligation to accept debt settlement offers, negotiating and paying lower amounts to settle debts is far more common than many people may realize.
Decide whether you possess the background, wherewithal 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 most money and time while minimizing any damage to your credit profile as best as possible. A reputable debt settlement company will provide a realistic estimate and time frame for making offers to creditors that can ultimately result in settlements that save you significant amounts of money. At United Settlement, our experienced credit counselors possess relationships with the major credit card lenders, along with an understanding of the marketplace, that can help you navigate these waters effectively.
Related to: New Jersey Debt Relief
Time and again, I did not know how to handle my debt
Time and again, I did not know how to handle my debt. Even when I paid my credit cards off, a few months later I was back in the same situation. But this year is different. I contacted United Settlement to see if we could work...
Business debt relief is what I needed when I contacted the United Settlement crew
Business debt relief is what I needed when I contacted the United Settlement crew. They are committed to helping people like me who requires more help with business debt problems. I had several loans out for my deli, and these...
Student loan debt was the reason that I reached out to United Settlement
Student loan debt was the reason that I reached out to United Settlement. I had about 200K plus in student loan debt for my business degree. I recognized that I had to do something when I struggled to make the $1,000 student loan...
There is nothing worse than falling ill and then having to deal with super expensive medical bills
There is nothing worse than falling ill and then having to deal with super expensive medical bills that you really do not have the patience or experience to handle. I was pleased with my experience with United Settlement. They...
I took out a few personal credit cards to open my boutique
I took out a few personal credit cards to open my boutique. When than money ran out, I went on to take out more loans for my business. However, this quickly turned into a disaster. Today, I now have a mountain of debt without a...
Who knew that auto loans were so negative for your credit lines
Who knew that auto loans were so negative for your credit lines? Especially, if they are not paid off right away. As a married couple, we had vowed to keep auto loan debt at bay. But, we found ourselves in a situation where we...
I didn’t have a ton of debt when I contacted United Settlement
I didn’t have a ton of debt when I contacted United Settlement, but what I wanted from them was some information about how to handle my debt management. I knew that I needed some more information to get my business and personal...
Federal student loans were the reason I ended up at United Settlement
Federal student loans were the reason I ended up at United Settlement. I had about $200K to pay back and I was not quite sure where to tackle that debt once I got out of school. But I reached out to that company and they provided...
Everyone knows how horrible student loans are
Everyone knows how horrible student loans are. For me and my family, they had become more than just an annoying monthly bill. They had taken over our lives. That’s why I decided to take action and find a company like United Settlement...
I wanted to be more informed about my own personal and business debt
The number one reason I chose to contact United Settlement was I wanted to be more informed about my own personal and business debt. When you have credit card debt, it can be extremely frustrating. Especially if you don’t know...
I cannot believe I was finally able to find a company to actually help me pay off my debt
I cannot believe I was finally able to find a company to actually help me pay off my debt! I thought I would forever be chained to debt. But United Settlement offered me multiple solutions for paying off short- and long-term debt....
What your money can do for you.
The great reviews that you have thanks.
Dealing with high interest auto loan debt was difficult for me and my wife
Dealing with high interest auto loan debt was difficult for me and my wife. We thought we got a good deal, but it actually was a horrible loan. So, we reached out to United Settlement, and they got to work creating a debt repayment...
No one really wants to go bankrupt, and neither did my family
No one really wants to go bankrupt, and neither did my family. But fortunately, we did not have to go that route. It was our last resort, but United Settlement helped us figure out a way around bankruptcy for good. They gave us...
I had been through about 5 different credit counseling agencies before I found United Settlement
I had been through about 5 different credit counseling agencies before I found United Settlement. I had read through their reviews and made the decision to move forward with them. I also was so impressed by their free information...
Save time and money
Just what I needed, already had a company I was working with and I switched because I was able to same some money. Brian and Alfred were really nice and helpful
As a business facing some unwanted financial difficulties
As a business facing some unwanted financial difficulties, we were at a loss for what to do next when our debt started to soar. We took a closer look at our financial situation by contacting United Settlement. These guys were very...
I had no clue how to create a debt management plan
I had no clue how to create a debt management plan and in fact, I didn't even know what a debt management plan was. Fortunately, I reached out to United Settlement before I had too much debt to tackle. I was so pleased with the...
Being burdened by debt is one of the biggest struggles we faced as a family
Being burdened by debt is one of the biggest struggles we faced as a family. But these people at United Settlement were very helpful in deciphering the different debts we had and then coming up with a debt consolidation planned...
Student loan debt was my worst enemy before I ran into United Settlement
Student loan debt was my worst enemy before I ran into United Settlement. I really thought I would just have terrible credit for the rest of my life because I will never get out from underneath it. It was so stressful of an experience....