Understanding Consumer Law

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We hope the articles below help you understand your rights as a consumer. You can scroll through the titles, or sort by Practice Area or Topic. You can also use the search feature to locate information by keyword.

Flitter Milz represents people with a variety of problems involving consumer credit and collections. If you have a particular question or believe your consumer rights have been violated, Contact Us for a no cost consultation.

Author: Consumers Law

Solar panels on your home — an advantage or not?

Solar energy can provide benefits to many homeowners — from the financial reward of savings on energy bills, to the ecological benefits of  “going green”. While some folks may see a home with a solar power system as an added benefit, others may find it undesirable.

Regardless, the consideration of solar power and panels for the home requires research. Homeowners must explore the variety of products, evaluate the best system for the needs of the household, investigate cost savings, compare finance and/or lease terms, and finally, determine whether adding a solar system is right for their budget.

Is solar power is right for you?

Before contacting a solar sales company, the homeowner should take time to evaluate whether adding solar panels to the home would provide enough financial benefit, plus meet the energy needs of the household. Factors for consideration are: house size, roof — condition and dimensions, climate zone, community regulations, local electricity rates and government incentives. As well, the homeowner may contemplate the following:

Current energy usage?

Am I using my energy wisely?  Will solar panels reduce my monthly energy bill?
Review your energy bill for usage.  Determine ways that may reduce the current expense such as, changing light bulbs; installing dimmers; fixing a leaking faucet; repairing ductwork. Understand your cost of energy and how much you might save by changing to solar.

Sunlight Exposure?  

Does my roof get enough sunlight throughout the year?

Evaluate the sun’s path during daylight hours.  How many hours of the day does the roof get sunlight?  Calculate the number of hours that your roof is shaded.  Does the sun/shade ratio change from season-to-season?  Would solar panels provide the same benefit throughout the year?

Roof Condition?

Does the roof need repair before adding solar panels?
Does the roof and/or shingles require repair or replacement before installation of panels? Will the roof handle the weight of solar panels?  Shall I contact an independent roofer to evaluate the roof’s condition?

 

Tree Removal?

Do I need to remove trees to create more sunlight for my home?

Review landscaping around the property for sun exposure to the roof.  Will panels get enough sunlight to perform at maximum efficiency?  Consult with an arborist to estimate tree growth over a 25 year period and the impact of sunlight over the seasons. Will trees require removal or transplant?

Is solar power free?

Often, prospective customers for solar systems are told the panels will be free.  But, we must know, there is no such thing as a free lunch…and in this case, no such thing as free solar panels.  Customers will pay for the electricity that is produced by the panels, usually under a solar lease or power purchase agreement.  What is the difference?

Solar Panel Lease
A solar lease is a contractual agreement between the homeowner and the solar energy company for installation of solar panels on the roof of the home.  Usually, there is no down payment and the solar company is responsible for maintenance. The homeowner makes monthly payments to the solar leasing company at a fixed monthly amount or sells the electricity generated from the panels at a set price per Kilowatt-hour. The solar company is also entitled to all the rebates, tax breaks and incentives for solar power.  Solar leases typically last 20 – 25 years.

Power Purchase Agreement (PPA)
A Power Purchase Agreement is an arrangement in which the solar company plans for the design, permitting, financing and installation of a solar energy system on a customer’s property.  The homeowner does not own the hardware — the panels or inverter. The solar company sells the power generated to the homeowner at a fixed rate that is typically lower than the local utility’s retail rate. This lower electricity price serves to offset the customer’s purchase of electricity from the grid while the solar company receives the income from the sale of electricity as well as any tax credits and other incentives generated from the system.

PPAs typically range from 10 to 25 years and the solar company usually places a lien on the property.  The solar company remains responsible for the operation and maintenance of the system for the duration of the agreement. At the end of the PPA contract term, a customer may be able to extend the PPA, have the solar system removed or choose to buy the solar energy system from them.

Buying, Selling or Refinancing a Home with Solar Panels

Before entering an agreement for a solar power system, whether as an initial purchase, refinancing an existing contract, or purchasing a home with an existing system, you, the consumer, must obtain a copy of the solar panel contract. Take time to review the terms of the agreement. If you need clarification, consult with a real estate agent or real estate attorney for explanation of your legal and financial obligation.  Determine whether this agreement is right for you by evaluating:
-Monthly cost for panels
-Monthly cost for power
-Full term of lease or finance agreement.
Common questions:
-Ask whether you are able to assume the solar contract from the seller?
-Find out if the panels were purchased or leased.
-Inquire whether there is a lien on the property for the panels?
-Must the lien be satisfied before the sale?
-Does the solar panel contract allow for transfer to a new home buyer?
-Does the warranty transfer to the new home buyer?

Seek Legal Help from a Qualified Consumer Law Firm

Flitter Milz is a nationally recognized consumer protection law firm that evaluates solar panel sales matters for potential violation of the consumer laws involving fraud, such as forged contracts, identity theft and credit reporting privacy violations.  Contact Us

Pictured:  Cary Flitter (center), Andy Milz (left), Jody López-Jacobs (right).

 

Auto Repossession and the Pandemic

During COVID, many consumers experienced wrongful repossession of their cars, trucks, motorcycles, RVs or boats — not just by big banks, such as Wells Fargo, Chase, Capital One or Bank of America, but also by credit unions and subprime lenders. While some lenders claimed to have paused repos, the rate of repossessions during the pandemic still seems to be high.  Indeed, as the Fall and Winter of 2021, a lot of COVID pandemic protections states implemented to help consumers reeling with COVID have expired.

After falling behind, many borrowers requested to have payments lowered  or deferred by their lender. Whether suffering from hardships related to unemployment, child care expenses, or missed work due to the pandemic, vehicles were still repossessed.

When do lenders decide to repossess vehicles?

Lenders don’t care why borrowers are late. They want to be paid. Most decisions to repossess are made automatically by lenders’ computer systems, and sometimes as quickly as missing only one payment.  When the system notices a missed payment, repo orders are sent electronically to the repo agent who is assigned to take the car. These same computers will simultaneously send negative late payment and repo notations to the credit bureaus.

Fallen Behind?  Three Steps to consider.

1. Contact your lender
Call the bank, credit union or financial institution and discuss whether  payments can be postponed.  Possibly, the lender may be willing to negotiate the due date or amount.  Be sure to get any changes to payment terms in writing  – whether it’s a big bank like Bank of America or Capital One, a credit union or a sub-prime lender, you must receive confirmation of any changes to the loan from the lender.
2. Consider refinancing the loan
Contact other credible lenders to see whether your loan can be refinanced at terms that you can meet.
3. Seek legal guidance from Flitter Milz, P.C.
The attorneys at Flitter Milz are experienced in representing consumers against banks, credit unions and financial institutions, as individuals and in class action lawsuits, for violation of their rights after repossession.

MOST IMPORTANT — Don’t ignore the debt.  Seek a solution.

Borrowers have rights after repossession

Are you the victim of a wrongful auto repossession?

Wrongful Repossession:  Was my vehicle repossessed in error?
Breach of the Peace:  Did the repo agent use violence or damage my property?
Police Involvement:  Did the police assist in the repossession?
Improper Notices:  Did the lender provide proper notices after the repossession?
Credit Reporting:  Are there errors on my credit report related to repossession?

Repossessions, Credit Reporting & Credit Scores

Credit Reports
Vehicle repossessions carry negative weight on credit reports.  Consumers must check their reports for accuracy and determine whether the lender has listed the payment history, loan status or balance owed in error.  To obtain a current copy of your credit report from Transunion, Experian or Equifax consumers may write to the credit bureau or visit:  annualcreditreport.com.

When errors appear on credit reports, the consumer must send a written dispute to the bureau.  The dispute must be accompanied by supporting documents that illustrate the error.  The credit bureaus have 30 days to respond to the written dispute.

Credit Scores
Auto loans that have fallen into default, and ultimately the vehicle is repossessed, a negative listing will appear on the borrower’s credit report.  The lender’s tradeline may be listed on the reports for 7 1/2 years from the date the last payment was made. This listing will factor in to a lowered credit score and make it difficult for the borrower to secure favorable terms on loans going forward.

Seek Legal Help After Repossession

Flitter Milz is a nationally recognized consumer protection law firm that pursues matters against banks, credit unions and financial institutions for the wrongful repossession of cars, trucks, motorcycles, RVs and boats.  Contact Us for a no cost legal evaluation to determine whether your consumer rights have been violated.

Pictured:  Cary Flitter (center),
Andy Milz (left), Jody López-Jacobs (right).

 

Are there Advantages to a Voluntary Repossession?

While most repossessions are initiated by the lender, sometimes it’s the borrower that decides to voluntarily surrender his or her vehicle.  Whether or not, after a repossession it’s important for the borrower to understand his or her financial responsibility to satisfy the loan once the lender has taken possession of the vehicle.

Surrendering Your Vehicle

The choice to voluntarily surrender your vehicle is not easy decision. Borrowers understand that the lender has the right to repossess the vehicle if they can’t meet the terms agreed upon in their auto loan agreement.

After payments are missed or late, the lender could come to take the vehicle at any time of day or night. Repossessions are stressful and usually occur at the most inopportune times.

Often, borrowers faced with the possibility of repossession may choose to voluntarily give their car back. A voluntary repossession allows the borrower to have some control and address financial troubles in a less stressful manner, and without the shock of finding the car missing.

Ten Advantages of a Voluntary Repossession:

1. Arranged return of the vehicle – date, time and location
2. Removal of all personal belongings from the vehicle
3. Removal of all important documents from the vehicle
4. Removal of the license place
5. Photograph the condition of the vehicle – interior & exterior
6. Take odometer reading to know precise mileage on the vehicle
7. Contact auto insurance carrier to inform of the voluntary repossession
8. Deliver the vehicle and keys to a convenient location
9. May not have to pay a repossession fee
10. May not have to pay storage fee

Voluntary Repossession Will Not Cancel Your Loan

A voluntary repossession does not dismiss the responsibility that the borrower has to satisfy the loan.  The financial obligation and collection process from a voluntary repossession are the same as a regular repossession.

First, after taking back the vehicle, the lender will send a repossession notice, or Notice of Intent to Sell Property, to the borrower. This letter states the location of the vehicle, terms to get the vehicle back, where to retrieve personal property, and where and when the vehicle will be sold.

Second, once the vehicle has been sold, the borrower will receive a letter called a Deficiency Notice.  This notice informs the borrower of the selling price of their vehicle and shows the calculation of any remaining balance owed on to satisfy the loan.

Collection of the deficient balance may be handled by the lender’s collection department, or the lender may assign this task to a third-party collector. If the collector is unsuccessful in collecting the balance, the lender may choose to file a lawsuit against the borrower to collect this balance.

Repossession and Your Credit Report

Both voluntary surrender and lender-initiated repossession carry negative weight on a credit report.  It’s not just the repossession that is listed on credit reports, but also, the missed or late payments that may have led to the repossession in the first place.

These negative listings can remain on your credit report for up to seven and one-half years, jeopardizing the ability to obtain another auto loan, or one with favorable credit terms.  In addition, repossessions could have other negative consequences such as creditors raising interest rates, the reduction of credit limits, or an overall drop in credit scores.

Seek Legal Help After Repossession

Flitter Milz is a nationally recognized consumer protection law firm that pursues matters against banks, credit unions and financial institutions for the wrongful repossession of cars, truck, motorcycles, RVs and boats.  Contact Us for a no cost legal evaluation to determine whether your consumer rights have been violated.  Pictured:  Cary Flitter (center), Andy Milz (left), Jody López-Jacobs (right)

 

Understanding Vehicle Repossession and the Impact on Credit

The hard facts about Repossession.

We all understand that when you borrow money, you need to pay it back. And if you take out an auto loan, whether it’s with a bank, credit union or other financial institution, if payments are late or missed, the lender has the right to repossess the vehicle.

Signing a loan agreement means that you agree to the terms to repay the money borrowed, plus any interest and fees, within a scheduled period of time. Opting to finance a vehicle is an important decision and carries significant responsibility and financial discipline.

Short Term v. Long Term Effects of Repossession

When the borrower defaults on an auto loan there are serious consequences. Immediately, daily life becomes upset without use of the car.  Getting to work or handling routine daily chores, such as food shopping, taking children to school, or attending doctor’s appointments, may present difficulties for the household.

But more important is the long-term consequence. Repossessions can remain on credit reports for seven-and-one-half years, beginning from the date that the account first became delinquent.  And, as long as the repossession stays on your report, it can seriously damage credit and impact the calculation of credit scores. Also, negative listings on credit reports may make it more difficult to secure new loans, and existing creditors could alter credit terms by lowering credit limits or increasing interest rates.

Factors that can Damage Credit

  • Late payments – every month a payment is missed a negative mark appears on the account’s payment history.
  • Defaults – Loan defaults carry negative weight.   i.e. charge-off or repossession.
  • Collections – Collection accounts appear as negative listings on credit reports.
  • Court Judgments – Unsuccessful collection attempts, lead to lawsuits against the borrower to obtain a judgment.

Factors Contributing to the Calculation of a Credit Score

  • Payment History – Timely payments made to an account
  • Credit Utilization – The ratio of available to used credit
  • Age of Credit – The length of time an account has been open
  • Types of Accounts – A consumer’s credit mix: mortgage, credit cards, loans, etc.
  • Application history – The number of credit applications submitted within a specific period

Legal Protections from a Wrongful Repossessions

Whether or not the borrower defaulted on the terms of the auto loan, State and Federal laws govern how lenders and repo agents are to handle repossessions properly– at the scene and afterwards. When the borrower’s consumer rights are violated, a case could be pursued against the lender, repo agent or both. Repo agents may not threaten the borrower or use physical force.  In the course of repossession, the borrower’s vehicle or property is not to be damaged.  If police are called to the scene, their job is to keep the peace, not assist with the repossession.  If personal items have been left in the repossessed vehicle, the repo agent must permit the borrower to retrieve those items.

AFTER the Repossession

Following the repossession the lender has responsibilities to the borrower.  They must provide notices that inform the borrower with steps to retrieve the vehicle and their personal property.  Once the vehicle is sold, the lender must inform the borrower of the selling price and present a calculation of any remaining balance owed to satisfy the loan.

Manage Auto Loan Payments and Credit Reporting

Monitor Credit Reports for Errors
Over the course of the auto loan, borrowers should monitor their Transunion, Experian and Equifax credit reports for accurate reporting. If incorrect information is listed, such as a late payment history, a dispute letter should be sent to the lender and the credit bureau to request correction on the report.  

Send Effective Disputes
Disputes letters must include documents that show the error, such as cancelled checks, account statements, correspondence with the lender, etc. Also, the dispute must clearly state the requested action,  an update, correction or removal of the information.

Keep Accurate Payment Records

As important as it is to make payments in full and on time, we can’t always rely on the lender to keep an accurate record of payments.  Sometimes mistakes are made. Incorrect payment amounts could be applied to the borrower’s account, or the payment could be applied to someone else’s account.  Borrowers that manage and keep accurate payment records have good documents to support disputes made to the lender and/or credit bureau.

Seek advice from a Qualified Repossession Lawyers

Flitter Milz is a nationally recognized consumer protection law firm that represents consumers in matters of wrongful repossessions and credit reporting accuracy and privacy disputes. When errors remain on credit reports after a dispute, Contact Us for a no cost legal review to determine whether your consumer rights have been violated.  Pictured: Cary Flitter (center), Andy Milz (left), Jody López-Jacobs (right).

Why the Pandemic May Be Hurting your Credit Score

Consumer Reports, February 3, 2021
Why the Pandemic May Be Hurting Your Credit Score By Lisa L. Gill
https://www.consumerreports.org/credit-scores-reports/why-the-pandemic-may-be-hurting-your-credit-score/

Photo-illustration showing a credit score icon and finance-related terms floating above a person's head

Illustration:  Lincoln Agnew

Attorney Andy Milz, cautions consumers that COVID-19-related payment deferrals aren’t the only problem contributing to credit reporting errors and drops in credit scores since the pandemic.  He states, in this recent Consumer Reports article, that other common credit reporting errors, such as accounts or loans that have been paid off but still appear as unpaid, individual loans reported multiple times, or debt that’s listed as in collections but has been paid off, can pose hurdles, too, if you need a loan or line of credit.

Protect your credit.

Don’t let inaccurate information on your credit report keep you from getting the loan you want.  The Fair Credit Reporting Act, is the federal law that helps ensure the accuracy of information on credit reports.  It is the duty of credit furnishers and the credit bureaus to report accurate information. If reported information is disputed by the consumer, the bureau and/or creditor must investigate the claim and correct the error. Consumers must take steps to keep accurate credit reports.

1. Review your Credit Report Regularly

Consumers are entitled to receive one free credit report every twelve months from each of the Big 3 credit bureaus – Transunion, Experian and Equifax. Consumers must provide two forms of identification, such as a current driver’s license, pay stub or utility bill, to obtain a report.

2. Send written dispute to address errors with the Credit Bureaus

If you notice errors on your credit reports, you must send a written dispute to the bureau.  The letter should clearly identify the error and state why the listing should be updated or removed. Errors that remain on a consumer’s report could violate the consumer’s right under the Fair Credit Reporting Act.

3. Seek Legal Help from a Qualified Consumer Protection Law Firm

Attorneys at Fitz MilnerFlitter Milz is a nationally recognized consumer protection law firm that represents consumers in matters where the credit bureaus or credit furnishers have continued to report errors on credit reports.  Contact Us for a no cost legal review to determine whether your consumer rights have been violated.
Pictured: Cary Flitter (center), Andy Milz (left), Jody López-Jacobs (right).

Are you keeping your Credit Information Private?

Credit reports contain a wealth of personally identifying financial information and offer a peek into a consumer’s current, and past, financial status.  The privacy of these reports, and the accuracy of their information, is critical to consumers. Prospective lenders, employers, landlords and utility companies may need to request access to reports to determine whether to extend credit, offer a job or a place to live.

The Fair Credit Reporting Act is the federal law that governs how credit information is used and distributed. Consumers have the right to see their reports, who may have accessed it, and dispute any errors that appear and get them corrected.

Who can access your credit report?

An individual or business may request access to a consumer’s credit file, but they must obtain written permission from the consumer.  Often, during the process of applying for credit, interviewing with a prospective employer or landlord,  or applying for utilities,  there may be a request to access the consumer’s credit file.  Many times the credit application will serve as written permission.  Other times, a specific document will be presented to the consumer for his or her signature.

Periodically, lenders with whom you already have credit accounts are also given permission to access your credit reports as part of their account review process. These inquiries, however, would not negatively impact your credit scores.

In some instances, the government is also permitted to access your credit reports, specifically if responding to a court order or subpoena, or when reviewing your eligibility to certain governmental benefits.

Monitor your Credit Reports for Privacy and Accuracy

Credit report print outConsumers must monitor their reports, not only for accuracy, but to see who has accessed his or her credit file. The three main credit bureaus, Transunion, Experian and Equifax, are required to keep track of instances in which credit reports are accessed, and who is accessing them.

Impermissible Credit Pulls include:

  • A sales company pulling a credit report before a consumer has given an OK.
  • A creditor that pulls a report after debt is discharged in bankruptcy.
  • A creditor pulling a report after the account has been closed.
  • A potential employer pulling a report during the interview process.
  • A potential landlord pulling a credit report without permission.

What is ‘Hard’ v. ‘Soft’ Credit Inquiry

In general, two types of credit inquiries exist:  a hard inquiry and a soft inquiry.

      • A ‘hard’ inquiry, is when a lender with whom you’re applying for credit reviews your credit reports within the scope of their process to decide whether to approve or decline the new credit application. Too many hard inquiries on one’s credit report is not a good sign to lenders, since it signals that you either have too many accounts open, that you are having financial difficulty, or that you are at risk of overspending.
      • A ‘soft’ inquiry, is when a lender or credit card company reviews your credit reports as part of a preapproval process for some type of promotional offer. The important thing to remember is that a ‘soft’ credit pull will not hurt your credit score.

How do I know if someone accessed my report?

Credit reports are divided in to sections, such as:  Personal Information, Public Records, Account Information, Satisfactory Accounts, Closed Accounts, Collections, and Inquiries. The Inquiry section lists all individuals or companies that have accessed the consumer’s report and includes the name of who inquired, the date of the inquiry, the type of business and the businesses’ contact information.  The consumer may write to the address of the inquirer to request an explanation for the inquiry.

How do you get your Credit Reports?

All consumers are entitled to one free credit report every 12 months from TransUnion, Experian and Equifax. Often, the credit bureau will request two forms of identification with your request which confirm who you are and where you live. You may choose to submit a current driver’s license, utility bill or pay stub. Consumers that wish to view their reports more often could enroll in a credit monitoring service, or pay to receive additional individual reports from each bureau.

3 Options to obtain credit reports:

      1. Write to the credit bureau.
      2. Visit the website:  annualcreditreport.com.
      3. Call toll-free –877-322-8228.

 

Have you become a victim of Identity Theft?

Periodic reviews of credit files can help ensure that no fraudulent activity has occurred with your financial information.  By checking your credit reports frequently, you can see whether credit applications or unfamiliar accounts were opened in your name, or that your file was accessed without permission. If you discover that you may be an identity theft victim, place a fraud alert on your credit report to alert the bureaus that you must be contacted when credit applications are filed.

How do you dispute Credit Reporting Errors?

Credit reports must be accurate.  When you discover errors or listings that are unfamiliar, a written dispute letter must be sent to the credit bureau. The letter must clearly identify the error and state the action required to correct the problem.  In addition, the bureaus must receive documents which support the claim for correction.

Get help from a Qualified Consumer Law Firm

Flitter Milz is a nationally recognized consumer protection law firm that represents consumers in matters involving credit reporting accuracy and privacy. Contact us for a no cost evaluation of whether your consumer rights have been violated.

Dangers of Co-Signing an Auto Loan

Being asked to co-sign a loan for a family member or close friend is a larger responsibility than most people realize.  When you co-sign a loan, such as an auto loan, you and your credit are on the hook if that relative or friend decides to stop making payments on the loan.  In other words, by co-signing, you are a co-borrower and must accept responsibility of terms stated in the loan agreement.

Risks of Co-Signing

There are inherent risks associated with co-signing an auto loan for someone else. Usually, when someone approaches a relative or friend about co-signing a loan for the purchase of a vehicle, it is because that individual, or co-borrower, does not have good enough credit to qualify for the loan on his or her own.

When you agree to co-sign an auto loan, if anything goes wrong, you will be subject to the terms of the loan and responsible to satisfy any balance owed.

The vehicle could be repossessed.
If the co-borrower does misses payments on the auto loan and the vehicle is repossessed, the lender will approach the co-signer to furnish past due payments, or possibly request payment of the entire loan balance.  If the co-signer can not meet the terms, the vehicle would be sold at an auction or private sale.  Afterwards, the lender will seek payment of any deficient balance owed to satisfy the loan.

Additionally, when proper insurance is not maintained on the vehicle, the co-borrower may be in breach of the auto loan agreement. This type of breach could pave the way for the lender to repossess the vehicle, causing additional harm to the both co-borrowers credit reports and credit scores.

You Could Be Sued.

Once the vehicle is sold, the lender may assign collection of the deficient balance to a debt collector or law firm collector.  If the loan balance is not paid, the lender could choose to sue the co-borrowers to recoup funds owed on the outstanding balance.

 

 

The Occurrance of Unexpected Life Events
Equally important, the loan agreement may state terms  if unexpected life events were to occur.  In these situations, the lender may look to the co-signer to fulfill the terms of the outstanding auto loan agreement. Be sure to read the loan agreement carefully and understand your obligation.

      • Divorce
      • Loss of employment
      • Filing for bankruptcy
      • Death of Co-Borrower

Impact on your Credit — Understand your Debt-to-Income Ratio.
Co-signing a loan should not be taken casually. The co-signer must consider whether or not credit may be needed for him or herself.  If a co-signer has too much debt in relation to income, he or she may be viewed as a high risk for a new loan. The lender may either decline the new loan application or offer unfavorable credit terms.


Offer Help in Other Ways 


If you truly desire to help out a family member or friend who may simply be unable to secure a loan on his or her own, perhaps you can consider privately loaning the individual the money for the purchase. In other words, you lend the individual the money and they pay you back in installments over time, or whatever agreement the two of you come up with.

Of course, if the loan is for a larger purchase, such as an automobile, you should make sure the friend or relative would be able to pay you back. Whenever you loan money, it’s advisable to get your agreement in writing and indicate the amount borrowed and terms for repayment.

Seek Legal Help

Flitter Milz is a nationally recognized consumer protection law firm that represents individuals in matters against auto lenders, as well as debt collectors and credit bureaus.  CONTACT US for a no cost legal evaluation to determine whether your consumer rights have been violated.

 

 

Are Solar Panels Really Free? Things To Look Out For During Solar Sales

There may be a knock on your door by a friendly solar panel sales representative. You may be informed of the benefits of solar power and that by choosing to get panels for your home they would be ‘free’.

Remember the old adage – ‘There’s no such thing as a free lunch.’

Free Doesn’t Mean Free or ‘No-Cost’

A solar company sales representative may inform you that by signing up for solar power, you won’t have to pay for the panels themselves — they will be given to you for free.

The trouble is that you will still end up paying each month toward a lengthy contract which could last up to a quarter century. Basically, a solar lease, or solar power purchase agreement (PPA), closely resembles a home mortgage in contract duration than it would an automotive loan. (Think long-term versus short-term).

Solar Leases or PPAs: What Is The Difference? 

Solar Lease. If you opt to enter into a solar panel lease, you contractually agree to pay a monthly fee for the ability to essentially rent the solar system from a third-party vendor.  So, while the sales representative may tell you that by signing up you are getting the solar panels for ‘free,’ you are still locked into a contract for a system that you will have to pay toward for several years.

Power Purchase Agreement. The other model is a PPA, which is where the homeowner chooses to purchase power directly from the solar power company at a certain rate. In this type of arrangement, the solar companies typically make out better financially than the individual consumer, since the company can take advantage of certain tax credits and monetary benefits, being that they are technically the ‘owner’ of the system, while the individual customer still has to pay for a system that isn’t actually theirs.

The ‘Free’ Panels Aren’t Yours

Because both of these types of arrangements – a lease and a PPA – involve paying for electricity-generating equipment over a lengthy contract period, those ‘free’ panels that you were promised may be anything but. Once installed on your home’s roof, you will still end up paying toward an entire system that is leased or rented, for a number of years. In the end, the savings you may reap from the solar generated electricity itself may not be enough to make up for those ‘free’ panels.

Be Cautious…Be Patient…No need to act today.

Many door-to-door solar sales representatives often ask the consumer to make quick, on-the-spot decisions about obtaining solar power for the home. It is not unusual for the homeowner to feel pressured and the need to act immediately.

 

 

Before signing anything consider the following:

1.  Insist that the salesperson provide paper copies of contracts and documents
2.  Read every document that requires your signature or initials.
3.  Get all of your questions answered.
4.  Get all of the salesperson’s promises in writing.
5.  Seek advice from a trusted advisor.

Seek Legal Help

Flitter Milz is a nationally recognized consumer protection law firm experienced in evaluating fraudulent sales tactics, such as forgery, identity theft and unauthorized credit pulls by solar panel salesmen. If you feel as though you may have been scammed into leasing a home solar system, Contact Flitter Milz today for a no-cost consultation.

How to Maintain Good Credit During Divorce

Financial Separation is Key

Getting divorced is never easy. Although it is an unfortunate fact of life for more than half of all U.S. couples, parting ways with your spouse doesn’t mean that your credit has to take a hit.

Separating financially is crucial as most married couples share joint assets, such as homes, cars, credit cards and loans. But the division of these accounts can be a messy financial predicament.  It is important for you to protect your credit, and good name, as you work towards an independent life from your spouse.

Credit Impact During Divorce

Joint accounts have joint consequences, and often with the stress of divorce one spouse may have forgotten to make a payment, or assumed the other spouse did. Missed or late payments may result in contact from debt collectors, negative credit reporting and lowered credit scores.  To ensure joint accounts get paid properly and on time take these steps:

1. Calendar payments.
–   Identify accounts: your name v. joint.
–   Create a file for each account.
–   Organize account statements.
–   Calendar payment due dates.
–   Review accounts for payment status.

 

2. Obtain Current Credit Reports.  Transunion, Experian and Equifax are the three main credit reporting agencies. Consumers are entitled to receive one free credit report from each bureau every year.  Sometimes, consumers choose to enroll in a credit monitoring service which enables review of credit reports on a regular basis throughout the year.

How to get credit reports.  We suggest that you send a written request to each credit bureau to obtain a report.  Your letter should include two forms of identification, such as a current driver’s license and utility bill. It takes about two weeks to receive your reports.  While you can also obtain your reports online through www.annualcreditreport.com, this method requires you to agree to terms in a “click” agreement, which could negatively impact your consumer rights.

3. Identify your accounts
Review your reports and identify accounts in your name and those that are joint with a spouse.  Evaluate your reports for errors such as:

            • Inaccurate personal identifying information.
            • Account balance or payment history errors.
            • Duplicate account information.
            • Personal information belonging to someone else.
            • Accounts opened by someone other than yourself.

4. If Inaccurate…Dispute!  After obtaining your credit report, if there are errors, you should send a dispute letter to the credit reporting agency to request that the errors be corrected.  Be sure to enclose documents that support your claim. The credit bureaus have 30 days to respond to your dispute. You may include documents such as, account statements, cancelled checks, court docket information, or collection correspondence that  prove why your claim of an error is valid.

One Dispute Letter Per Error. If you find multiple errors on a credit report, dispute them individually with the bureau. Enclose a copy of the credit report with the error highlighted and your supporting documents. The credit bureaus then have 30 days to respond to your dispute letter.

 

 

The Fair Credit Reporting Act 
The Fair Credit Reporting Act is a federal law governing how consumer credit information can be used and distributed. Consumers have the right to see what’s on their credit reports and dispute errors and inaccurate information. Errors not corrected, may violate the consumer’s rights.

Seek Legal Help

Flitter Milz, P.C. represents people in consumer credit matters related to credit reporting accuracy and privacy, abusive debt collection contact and vehicle repossessions which stem from a pending divorce or separation.  Contact Us for a no-cost consultation.

 

Who are the Credit Reporting Agencies?

 

What is a Credit Bureau?

Credit reporting agencies are companies that compile detailed financial information on consumers from various sources.  The information collected is put together into a credit report. When the consumer seeks credit, businesses then contact credit reporting agencies to obtain credit reports to assess the consumer’s financial health. These credit reports may be requested by insurance companies, credit card companies, potential landlords, potential employers, and others that need to evaluate your credit history.

The Fair Credit Reporting Act (FCRA)

The federal law, commonly called the FCRA, helps to ensure the accuracy, fairness and privacy of the information in consumer credit bureau files. The law regulates the way credit reporting agencies can collect, access, use and share the data collected in consumer reports.

The Big Three:  Transunion.  Experian.  Equifax.

Transunion, Experian and Equifax are the three main credit bureaus.  If a person or business is requesting your credit report, that request may very well be to one of these three national credit reporting agencies. However, there are many other credit reporting agencies, and many of them are tied to specific industries.

Industry Specific Reporting Agencies

Some credit bureaus are businesses that collect data and assign scores for specific purposes.  Usually these types of businesses may check reports before offering you employment, lending money to you or leasing you an apartment.  Some of these bureaus are listed below by industry.

Employment Screening

    • Accurate Background
    • ADP Screening & Selection Services, Inc.
    • com
    • Checkr
    • EmpInfo
    • First Advantage Corporation
    • General Information Services, Inc. (GIS)
    • HireRight
    • Info Cubic
    • IntelliCorp
    • OPENonline
    • Pre-employ.com
    • Truework
    • The Work Number

Tenant Background Screenings

    • Contemporary Information Corp. (CIC)
    • CoreLogic Rental Property Solutions
    • Experian RentBureau
    • First Advantage Corporation Resident Solutions
    • Real Page, Inc. (LeasingDesk)
    • Screening Reports, Inc.
    • TransUnion Rental Screening Solutions, Inc. (TransUnion SmartMove)

Check or Bank Screening

    • Certegy Check Services
    • ChexSystems
    • CrossCheck, Inc.
    • Early Warning Services
    • Global Payments Check Services, Inc.
    • TeleCheck Services

Insurance Screening

    • A-PLUS Property (by Verisk)
    • LexisNexis C.L.U.E. (Auto & Property Reports)
    • Drivers History
    • MIB, Inc.
    • Milliman IntelliScript

Sub-Prime Loan Market
for Auto Loans or Retail Installment Contract

    • Clarity Services
    • CoreLogic Teletrack
    • FactorTrust

Requirements for all Credit Bureaus

The list of credit reporting agencies goes on.  But regardless of the nature or type of credit reporting agencies, each such agency is required to give you at least one free credit report every twelve months.  Requests for credit reports should be made in writing and sent by mail.  For example, you could request a free copy of your credit report from both Transunion and Experian, so long as you have not requested a credit report from these agencies in the past twelve months.  The bureaus may charge for multiple reports requested during the year.

Credit Reporting Errors

Marking Up errors on credit report

Have you noticed any inaccuracies listed on your credit report?  If so, it is highly important that you dispute the errors directly to the credit reporting agency.  Dispute letters should be accompanied by a copy of the credit report with the error highlighted.  The letter should be  sent by certified mail, and should include all relevant evidence and documentation that supports your dispute. If the credit bureau does not correct an inaccurate listing, seek legal counsel.

Seek Legal Counsel

Flitter Milz is a nationally recognized consumer protection law firm that represents victims of inaccurate credit reporting.  Contact Us for a no cost legal review of your credit reports and evaluation of whether your consumer rights have been violated.