When I entered college in 1979, getting a checking account was a rite of passage. In those days, I wrote checks for just about everything for which I didn't pay cash. But checks were a pain, they required writing out the check, two forms of ID and sometimes even the store manager knowing you. They didn't have electronic readers which verifying funds in an instant like they do now.

Since I first wrote about debt consolidation companies in early 1999, I have watched them grow into big business. They used to be the biggest advertiser on the internet back in 1999, now you can see TV commercials about these guys more often than you see Coca-Cola ads.

Here are the major changes, summarized. Want to see who voted for this mess? Here's the bill (S256) in its entirety.

The FACT Act (HR 2622) was signed into law by President Bush in December 2003. Officially titled the Fair and Accurate Credit Transactions Act of 2003, the FACT Act incorporates and extends the Fair Credit Reporting Act (FCRA), which had preemption provisions due to expire in December 2003. The new Act also aims to: Prevent identity theft, Improve the resolution of consumer disputes, Improve the accuracy of consumer records, and Make improvements in the use of, and consumer access to, credit information. Noble goals all.

From January 1, 2002 - December 31, 2002, the FTC identity theft hotline reported 161,000 cases. In 2002, experts estimate that there was between 1.2 million victims nationally.

The 3 credit reporting agencies (CRAs) - Experian, Equifax and TransUnion - get overwhelmed during the holidays, specifically between Thanksgiving and New Year's. Credit card companies flood the CRAs with holiday Instant Approval applications to be processed with credit checks. A large number of staff at both the CRAs, credit card companies, collection agencies, etc. are on the maximum number of vacation days during this time. It makes it difficult to get all of the credit reports resolved during this time. More negative accounts are deleted than at any other time of the year.

Many people have written to me asking this question, so I've decided to do a little write up about it.

Even with the economy in the doldrums, some people still overspent this Christmas on gifts for friends and family. If you didn't take our advice on how to shop on a budget before the season, you can pull out of your Christmas debt tailspin.

Before you go to the stores: Make a budget! How much can you really afford to spend without pulling out your credit cards? Make a list of everyone for whom you want to buy presents. Examine it closely. Can you get by giving casual acquaintances or co-workers cards instead of gifts? Decide the amount you want to spend on each person who makes the "cut" in your Christmas list. Make sure the total fits within the overall budget you came up with in the beginning. Have you considered inexpensive but personal gifts? Ideas include attractively wrapped home-baked goods, small photo albums with a summary of the past year's events and framed pictures of your family or children. I find these gifts are sometimes more appreciated than something just purchased at the store. If you know the specific gifts you intend to purchase, check out your local paper and the internet for sales, and comparison shop ahead of time, if possible. While shopping: Avoid impulse purchases! If it isn't on your list or is not for a specific person, don't buy it. Take a calculator with you while you shop so you know the "running total" on how much you have spent as you go along. Stick to your budget! If you have the money available, take only the cash you have allotted yourself for gifts, and leave your credit cards at home.

There are an enormous amount of fees associated with doing a loan. Most of them are fees that the loan officer and mortgage company cannot control, and are a part of every loan. In the case of the rest of the loan fees, the loan officer is in complete control of how much they will make off of a loan. Unfortunately, the typical consumer is unaware of these costs because they are hidden (legally so) in the loan paperwork and closing documents. However, laws are in the process of being drafted to correct this outright thievery.