FTC issues report about finance fraud

    Finances can be a source of frustration for anyone, especially college students whose futures may hang in the balance, The Federal Trade Commission (FTC) reports.

   Students who are unable to pay their bills on time should contact their creditors before the deadline passes, the FTC advises, to avoid problems that inevitably will happen.

   The individual should try to negotiate a payment plan that spreads payments out over a longer period.

   If the account has been given to a debt collector, it is likely too late, as the creditors have given up on the student and turned the bill over for collection, the FTC points out.

   The Fair Debt Collection Practices Act prohibits certain methods of debt collection, which thereby ensures that all individuals are treated fairly.

   Creditors usually rely heavily on the credit rating of the individual when granting credit. Therefore, if a person was late in making their payments at one point but now are not, it is his or her responsibility to make sure that the records are updated.

   If an individual does not look into this matter, the information would be inaccurate, and the person would suffer for data that is not correct.

   The Fair Credit Reporting Act protects individuals by requiring credit bureaus to supply correct and complete information to companies to use for evaluating credit, insurance or job applications.

   The FTC publishes free brochures to inform people of their rights about fair debt collection and credit reporting practices.

   In addition, the agency works to prevent fraudulent, deceptive and unfair business practices and to help consumers avoid companies that do.

   To file a complaint, or get free information on various topics, call toll-free, 1-877-FTC-HELP (1-877-382-4357) or visit www.ftc.gov.