Author: Katrina Michelle

Current Events and Future Possibilities of Consumer Protection

Over the past several months, many newsrooms have been covering the sexual abuse allegations within the Catholic Church. On March 19, the West Virginia Attorney General filed a lawsuit against the state’s Roman Catholic diocese claiming that the diocese “knowingly employed pedophiles.” You may be thinking, “What does this have to do with consumer protection?”

In line with a new trend, the lawsuit in question claims that the diocese violated consumer protection laws when they did not disclose to parents the potential dangers of sending kids to Catholic schools and camps. According to the lawsuit, the diocese hired pedophiles and then subsequently advertised safe environments for the children. Furthermore, the suit goes on to claim that the diocese didn’t conduct proper background checks of its employees at these schools and camps. The lawsuit claims that the parents in this case were “purchasers” that were purchasing services, here that would be schooling and church camp, for their children.

Like many states, West Virginia has consumer protection laws in place that the Attorney General can bring lawsuits under. The West Virginia code states that “Unfair methods of competition and unfair or deceptive acts or practices in the conduct of any trade or commerce are hereby declared unlawful.” Here, the parents or purchases purchased a service from the diocese. Allegedly, these services were then given under unfair or deceptive acts or practices, i.e. not informing the purchasers of the potential dangers presented by the staff hired by the diocese to work at the schools or camps.
Later, the New York Times article that discusses the lawsuit mentions that consumer protection laws are beginning to be used more frequently, with consumer protection laws being cited in cases involving everything from the opioid epidemic to cases involving environmental issues.

This case and the others mentioned above are beginning to show a trend towards applying consumer protection laws to out of the box cases. Oftentimes, when we think of cases involving consumer protection, we conjure up pictures in our head of angry calls with credit card companies or cars that turn out to be lemons. However, consumer protection laws can cover more aspects of life than one may think. Realizing that deceptive practices can cover an array of topics or issues that one may experience in his her life is a great step forward in becoming an empowered consumer.

The umbrella of consumer protection laws is large and as time goes on it seems that it will only get larger. As recognition of the opioid epidemic and environmental issues, as well as the Me Too movement increases, consumer protection laws as a way to receive a remedy may also increase. Right now, we will have to wait and see how these current cases unfold. However, the door has been opened to a whole new world of consumers making a statement and taking charge.

https://www.nytimes.com/2019/03/19/us/west-virginia-pedophiles-church.html

https://essentialhospitals.org/wp-content/uploads/2018/11/Opiod-Brief-2018.pdf

https://law.justia.com/codes/west-virginia/2010/chapter46a/article6/46A-6-104.html

https://www.nbcnews.com/news/us-news/west-virginia-accuses-catholic-diocese-violating-consumer-protection-law-hiring-n984961

Current Events and Future Possibilities of Consumer Protection

Over the past several months, many newsrooms have been covering the sexual abuse allegations within the Catholic Church. On March 19, the West Virginia Attorney General filed a lawsuit against the state’s Roman Catholic diocese claiming that the diocese “knowingly employed pedophiles.” You may be thinking, “What does this have to do with consumer protection?”

In line with a new trend, the lawsuit in question claims that the diocese violated consumer protection laws when they did not disclose to parents the potential dangers of sending kids to Catholic schools and camps. According to the lawsuit, the diocese hired pedophiles and then subsequently advertised safe environments for the children. Furthermore, the suit goes on to claim that the diocese didn’t conduct proper background checks of its employees at these schools and camps. The lawsuit claims that the parents in this case were “purchasers” that were purchasing services, here that would be schooling and church camp, for their children.

Like many states, West Virginia has consumer protection laws in place that the Attorney General can bring lawsuits under. The West Virginia code states that “Unfair methods of competition and unfair or deceptive acts or practices in the conduct of any trade or commerce are hereby declared unlawful.” Here, the parents or purchases purchased a service from the diocese. Allegedly, these services were then given under unfair or deceptive acts or practices, i.e. not informing the purchasers of the potential dangers presented by the staff hired by the diocese to work at the schools or camps.
Later, the New York Times article that discusses the lawsuit mentions that consumer protection laws are beginning to be used more frequently, with consumer protection laws being cited in cases involving everything from the opioid epidemic to cases involving environmental issues.

This case and the others mentioned above are beginning to show a trend towards applying consumer protection laws to out of the box cases. Oftentimes, when we think of cases involving consumer protection, we conjure up pictures in our head of angry calls with credit card companies or cars that turn out to be lemons. However, consumer protection laws can cover more aspects of life than one may think. Realizing that deceptive practices can cover an array of topics or issues that one may experience in his her life is a great step forward in becoming an empowered consumer.

The umbrella of consumer protection laws is large and as time goes on it seems that it will only get larger. As recognition of the opioid epidemic and environmental issues, as well as the Me Too movement increases, consumer protection laws as a way to receive a remedy may also increase. Right now, we will have to wait and see how these current cases unfold. However, the door has been opened to a whole new world of consumers making a statement and taking charge.

https://www.nytimes.com/2019/03/19/us/west-virginia-pedophiles-church.html

https://essentialhospitals.org/wp-content/uploads/2018/11/Opiod-Brief-2018.pdf

https://law.justia.com/codes/west-virginia/2010/chapter46a/article6/46A-6-104.html

https://www.nbcnews.com/news/us-news/west-virginia-accuses-catholic-diocese-violating-consumer-protection-law-hiring-n984961

Bankruptcy: Costs, Credit Scores, and Life After Discharge in Missouri

Bankruptcy is a court-supervised process where a debtor in files papers with the federal courthouse. This blog post answers three frequently asked questions about bankruptcy: (1) How much does a bankruptcy lawyer cost? (2) How bad will filing for bankruptcy hurt my credit score? (3) How quickly after bankruptcy will my credit score begin to improve? The answers are all specific to bankruptcies filed in Missouri only.

Bankruptcy is a tool used to halt your creditors in their tracks; as soon as one files the appropriate papers with the federal court, creditors must stop all collection attempts. This gives debtors something extremely valuable: breathing room. There are two federal court systems in Missouri: the Western District of Missouri and the Eastern District of Missouri. You file bankruptcy in one of those two districts depending on where you live. Additionally, there are two types of bankruptcy that debtors can file. Chapter 7 bankruptcy is the fastest option (approximately 3-6 months from beginning to end), whereas Chapter 13 bankruptcy lasts between 3-5 years before the court gives you a fresh start. Most debtors hire an attorney to consult and assist them throughout the bankruptcy process.

Frequent Question #1: “How much does a bankruptcy lawyer cost in Missouri?”

The Answer: it depends. Each bankruptcy lawyer will agree to a unique price with each client, and several factors go into this final price. I spoke with one lawyer who uses a flat-fee method. He will file a Chapter 7 bankruptcy for his clients on the western side of Missouri for $2,000. The same lawyer charges $1,300 for his clients on the eastern side of Missouri. If a client wants to pursue Chapter 13 bankruptcy, this lawyer charges a flat fee of $3,600 for clients in the western half of Missouri and $2,800 for clients in the eastern half. He requires that his clients pay $300 up front to cover certain expenses he will incur on the client’s behalf (doing a credit check, paying for the pre-filing credit counseling, etc.).  The full amount of the bill must be paid prior to the end of bankruptcy.

Another lawyer, located in Jefferson City, Missouri, will file a Chapter 7 bankruptcy for as low as $675. However, this is not a flat fee; the price may go up depending on the complexity of the case and how many debts a client will discharge.

Frequent Question #2: “How bad will filing for bankruptcy hurt my credit score in Missouri?”

The Answer: it depends. One lawyer I spoke with told me that his clients usually take a 250 point hit to their credit score. Other research shows debtors who file bankruptcy experience a decline in their credit score between 180-260 points. Bankruptcy affects every debtor differently, but it will most likely result in a debtor having a “poor” credit score (a poor credit score is usually anything below 600 points). The hit to your credit score will appear once you file for bankruptcy. Filing for Chapter 7 bankruptcy will stay on someone’s credit score for 10 years, and fling or Chapter 13 bankruptcy stays on a credit score for 7 years. Discharged debts that disappear after bankruptcy will still remain on a credit report for 7 years. This is because while a bankruptcy court can wipe away your debts, it will still show up as a debt that was not paid in full.

Frequent Question #3: “How quickly after bankruptcy will my credit score begin to improve in Missouri?”

The Answer: it depends, but it can begin healing almost immediately. Filing for bankruptcy can be viewed as dropping a bomb on your credit score; it will be damaged for a while. But, like a forest fire, sometimes scorched earth can reveal new life underneath. One Missouri bankruptcy lawyer told me that he had a client who filed for Chapter 7 bankruptcy in the summer of 2017, she received her discharge (non-secured debts were wiped away forever) at the end of 2017, and a car dealership gave her a new car loan in January of 2018. While this result is specific to that particular debtor, the take away is that your credit will rebuild if you make it a priority.

Additionally, in the world of home loans (mortgages), most banks will begin to loan to someone 24 months after their bankruptcy discharge is issued. While most lenders will not extend credit (a loan) in the immediate months after bankruptcy, a person who works hard to improve their credit (by paying bills on time, for example) will eventually be back on their feet.

How to Check Your Credit

By: Jennifer Boston

Whatever your financial goals are, it’s important to know your credit score!

You should never pay to learn about your own financial information. Although these sites require you to input personal information such as a social security number and past addresses, but you should never be asked for a credit card number.

You can access your entire credit report from each of the three credit bureaus (Experian, Equifax, and Transunion) at annualcreditreport.com. Because this site only allows you free access to each report once a year, it makes sense to only view one at a time so that you can go back in a few months and check for any changes. Annualcreditreport.com gives you access to your entire detailed credit report, but it does not give you your credit score for free.

To find out your credit score first check with your bank or credit card company, many include credit information in their online portals or on printed monthly statements.

Another option for getting your credit score is creditkarma.com. You can register for a free lifetime account and check your credit score free anytime on this site. There is also a credit karma mobile app that makes it easy to keep track of your credit score. This site includes a simple break down of what is impacting your credit but be cautious, it suggests credit cards you may be eligible for, but you do not need to sign up for these.

It is worth mentioning that freecreditreport.com is NOT free as the name suggests.

Annualcreditreport.com

Creditkarma.com

Bankruptcy: Costs, Credit Scores, and Life After Discharge in Missouri

Bankruptcy is a court-supervised process where a debtor in files papers with the federal courthouse. This blog post answers three frequently asked questions about bankruptcy: (1) How much does a bankruptcy lawyer cost? (2) How bad will filing for bankruptcy hurt my credit score? (3) How quickly after bankruptcy will my credit score begin to improve? The answers are all specific to bankruptcies filed in Missouri only.

Bankruptcy is a tool used to halt your creditors in their tracks; as soon as one files the appropriate papers with the federal court, creditors must stop all collection attempts. This gives debtors something extremely valuable: breathing room. There are two federal court systems in Missouri: the Western District of Missouri and the Eastern District of Missouri. You file bankruptcy in one of those two districts depending on where you live. Additionally, there are two types of bankruptcy that debtors can file. Chapter 7 bankruptcy is the fastest option (approximately 3-6 months from beginning to end), whereas Chapter 13 bankruptcy lasts between 3-5 years before the court gives you a fresh start. Most debtors hire an attorney to consult and assist them throughout the bankruptcy process.

Frequent Question #1: “How much does a bankruptcy lawyer cost in Missouri?”

The Answer: it depends. Each bankruptcy lawyer will agree to a unique price with each client, and several factors go into this final price. I spoke with one lawyer who uses a flat-fee method. He will file a Chapter 7 bankruptcy for his clients on the western side of Missouri for $2,000. The same lawyer charges $1,300 for his clients on the eastern side of Missouri. If a client wants to pursue Chapter 13 bankruptcy, this lawyer charges a flat fee of $3,600 for clients in the western half of Missouri and $2,800 for clients in the eastern half. He requires that his clients pay $300 up front to cover certain expenses he will incur on the client’s behalf (doing a credit check, paying for the pre-filing credit counseling, etc.).  The full amount of the bill must be paid prior to the end of bankruptcy.

Another lawyer, located in Jefferson City, Missouri, will file a Chapter 7 bankruptcy for as low as $675. However, this is not a flat fee; the price may go up depending on the complexity of the case and how many debts a client will discharge.

Frequent Question #2: “How bad will filing for bankruptcy hurt my credit score in Missouri?”

The Answer: it depends. One lawyer I spoke with told me that his clients usually take a 250 point hit to their credit score. Other research shows debtors who file bankruptcy experience a decline in their credit score between 180-260 points. Bankruptcy affects every debtor differently, but it will most likely result in a debtor having a “poor” credit score (a poor credit score is usually anything below 600 points). The hit to your credit score will appear once you file for bankruptcy. Filing for Chapter 7 bankruptcy will stay on someone’s credit score for 10 years, and fling or Chapter 13 bankruptcy stays on a credit score for 7 years. Discharged debts that disappear after bankruptcy will still remain on a credit report for 7 years. This is because while a bankruptcy court can wipe away your debts, it will still show up as a debt that was not paid in full.

Frequent Question #3: “How quickly after bankruptcy will my credit score begin to improve in Missouri?”

The Answer: it depends, but it can begin healing almost immediately. Filing for bankruptcy can be viewed as dropping a bomb on your credit score; it will be damaged for a while. But, like a forest fire, sometimes scorched earth can reveal new life underneath. One Missouri bankruptcy lawyer told me that he had a client who filed for Chapter 7 bankruptcy in the summer of 2017, she received her discharge (non-secured debts were wiped away forever) at the end of 2017, and a car dealership gave her a new car loan in January of 2018. While this result is specific to that particular debtor, the take away is that your credit will rebuild if you make it a priority.

Additionally, in the world of home loans (mortgages), most banks will begin to loan to someone 24 months after their bankruptcy discharge is issued. While most lenders will not extend credit (a loan) in the immediate months after bankruptcy, a person who works hard to improve their credit (by paying bills on time, for example) will eventually be back on their feet.