” Debt Collector’s Tend To Favour Going After African American’s Rather Than White’s”

#AceDebtNews says according to HUFFPOST  a  new survey finds that African-Americans are much more likely than whites to be called by debt collectors, despite both groups reporting relatively equal levels of debt and repayment rates.

Just take a look at this chart:

DEBT-COLLECTORS

Think tank Demos and the NAACP Economic Department collaborated to survey moderate-income American households with some credit card debt for the study. Black Americans weren’t any more likely than whites to be late on a payment, the survey found, and they were also no more likely than whites to declare bankruptcy or get evicted.

So what gives? It’s not clear exactly why debt collectors seem to be going after one race more than the other, but the study’s findings could be the result of one unfortunate reality: Black Americans tend to have lower credit scores than white Americans, research has shown. And that gap got wider as a result of the financial crisis — sub-prime lenders were more likely to target African-Americans during the housing boom. Those loans, with higher interest rates, were more likely to default. The result: credit scores that could be marred “decades,” as the Washington Post pointed out in 2012.

“African-American households are more likely to have been called by bill collectors because they are more likely to have blemishes on their credit history that would send debts to collection agencies,” Catherine Ruetschlin, an author of the Demos report, wrote in an email to The Huffington Post.

The economic recovery hasn’t been kind to African-Americans: The unemployment rate for blacks (12.5 percent) is more than double that of whites (6.2 percent), according to the most recent jobs report. In fact, the jobless rate for blacks now is much higher than the overall unemployment rate in October 2009 (10 percent), the highest it got in the aftermath of the recession.

“Those disadvantages mean that African-Americans are more likely to face financial insecurity and have poor credit scores as a result,” Ruetschlin wrote.

Blacks also have a harder time than whites getting a home loan. They earn less than their white peers. They’re much more likely to live in poverty and less likely to have health insurance.

Mark Schiffman, a spokesperson for ACA International, a trade association of third-party debt collectors, defended his industry as “color-blind.” “They [the third-party agencies] don’t get into the ethnic information,” he told HuffPost. “Their job is to collect the debt, not give out the credit.”

Adam Christian Debt Management Services

#DRAP

#acedebtnews, #acefinancenews, #aca-international, #african, #african-american, #collection-agency, #credit-scores, #debt, #debt-collectors, #huffington-post, #huffpost, #national-association-for-the-advancement-of-colored-people, #united-states, #washington-post, #white-american

‘Hope to be bankrupt for Christmas’: Irish mortgage debtors see insolvency as way out

#AceDebtNews says “Irish Mortgage Debtor’s” see Insolvency as a way out of their debts. Of course once insolvent you cannot get credit again under UK Law – so better to request ” An Arrangement with Your Creditors” and then agree a new contract – but never miss an agreed payment otherwise the lender will return to the “Original Payment Arrangement and Add back missed Repayments and Add Compound Interest for every day! #DRAP

#bankrupt, #debtors, #irish, #lenders, #mortgage

Local Courts tossing people in Debtors Prison

#aceDebtNews says ” Local Courts Tossing People Into Debtors Prison” According to a post from #americaforchange many people unable to pay their fines are being imprisoned, by the “State of Pennsylvania” read more at his site. #unfairness

My Opinion My Vote

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#acedebtnews, #courts, #debtors, #prison

PressTV: Standard and Poor’s downgrades EU credit rating

#AceDebtNews says ” Standard and Poor’s Downgrades EU Credit Rating” after introduction of the changes in the bond market and further controls on the bankers purses #banksters

#acefinancenews, #credit-rating, #downgrades, #eu, #presstv, #standard-and-poors

IFS analysis of today’s public finance figures: for immediate release

#AceDebtNews says just received a "Press Release" Subject: IFS analysis of today’s Public Finance Figures:

"Immediate Release"

IFS analysis of today’s public finance figures: for immediate release

Today the Office for National Statistics and HM Treasury published Public Sector Finances November 2013. We now have details of central government receipts, central government spending, public sector net investment, borrowing and debt for the first eight months of financial year 2013–14.

Headline Comparisons

· Central government current receipts in November were 4.6% higher than in the same month last year. Receipts between April and November 2013 were 4.0% higher than in the same months of 2012, excluding the impact of transfers related to the Asset Purchase Facility. The Office for Budget Responsibility’s (OBR’s) latest Economic and Fiscal Outlook, published earlier this month, forecast an increase in receipts relative to last year’s levels of 3.6% for the year as a whole and a fall of 1.1% for the period from November 2013 to March 2014. This forecast growth for the year as a whole is slightly higher than the 2.8% forecast by the OBR at the time of the March 2013 Budget.

· Central government current spending in November was 1.8% lower than in the same month last year. Spending between April and November 2013 was 1.8% higher than in the same months of 2012. The OBR’s latest forecast implies an increase relative to last year’s level of 1.9% for the year as a whole and of 1.4% for the period from November 2013 to March 2014. This is forecast growth for the year as a whole is largely unchanged from the 2.1% previously forecast by the OBR at the time of the March 2013 Budget.

· Public sector net investment in November was £2.3 billion, £0.6 billion more than was spent in November last year. Public sector net investment between April and November 2013 has been £13.1bn (excluding the impact of the transfer of assets from the Royal Mail Pension Plan to the public sector), which is 7.2% higher than in the same eight months of 2012. The OBR’s latest forecast was that net investment in 2013–14 would be £24.9bn (excluding the impact of the transfer of assets from the Royal Mail Pension Plan to the public sector), which is 9.8% above last year’s level.

Courtesy of Rowena Crawford, a senior research economist at the IFS, said:

“Two weeks ago the Office for Budget Responsibility updated its forecasts to predict lower borrowing, lower spending and higher receipts than it had previously forecast in March. Today’s figures are consistent with that overall picture; receipts from many of the major taxes continue to grow strongly and central government spending continues to grow less quickly than the OBR forecast for the year as a whole.

A £2.6 billion upward revision to estimated borrowing over the year so far means that borrowing is now estimated to have been higher than was thought last month. However, with four months of the financial year left much uncertainty remains, and the OBR’s forecast for borrowing this year may still prove to be correct.”

The full analysis can be downloaded from: http://www.ifs.org.uk/publications/7023

Previous analysis of public finance figures can be found at: http://www.ifs.org.uk/publications/browse?type=pf

Please let me know if you have any queries.

#debtreductionanalysisplanexcercise, #ifs, #public-finance

IMF’s Lagarde says euro crisis not solved, demands pre-emptive action from ECB

#AceFinanceNews says nice post “The Problems in the EU are Three Fold” Firstly the credit control situation, secondly the unemployment and thirdly and most importantly the corrupt element, always ready to distort the #truth

Global Geopolitics

Christine Lagarde, the IMF’s managing director, says it is premature to declare the eurozone crisis over

The International Monetary Fund has poured cold water over claims that the eurozone is safely recovering, calling on the European Central Bank to take pre-emptive action to alleviate the credit crunch for small business and head off the risk of deflation.

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#acefinancenews, #action, #euro-crisis, #imf, #lagarde, #pre-emptive