Credit card debt

undefinedWhat is the name of your state? CA

I have $ 6,000 in credit card debt and I am way behind their monthly payments. I just received a note to show in court from one the cards even though I had arrange with them monthly payments directly deducted from my checking account, - as a matter of fact yesterday they deducted money. Is it legal for them to send me a court notice if I settled for montly payments?

A friend advised me to file for bankruptcy ch.7 if I was not going to be able to make monthly payments. I do not owe a house, nor car, nor any assets. How does the law work here if I have nothing to share with the creditors?

Thank you

Well, did you get the payment arrangements with the credit card company in writing? If not, maybe attempt to call them and find out why they have decided to sue you when you are making monthly payments. If you get them to say that it is a mistake or whatever, get them to send something to you in writing. And as far a bk goes, steer as far away from it as possible, unless you have NO OTHER CHOICE. It is not a good idea.

[Ladynred]

You don't have to have ANY assets or even an INCOME to file for a Ch 7 bankruptcy. Even if you DID have assets, there are exemptions that allow you to keep most if not all of your personal property. Ch 7 is called 'liquidation' but the liquidation only happens when you have non-exempt assets the trustee can take and sell. Sounds like you would have little to worry about.

Raina is right, BK is not to be taken lightly, but its also not the credit death sentence or as horrible as creditors would still like to have us all believe.