Scared !!

What is the name of your state? North Carolina

I went through a divorce and used credit to basically pay rent, bills...LIVE!

Now it has caught up to me and I can't pay. It has been months since I have paid or talked to the creditors and the calls are daily and numerous.

I have this stigma if I talk to them, they will think I can pay. I simply can't pay, but I can't ignore the situation any longer and I REALLY don't want BK.

What should or can I do? What happens if I continue to do nothing?

Credit cards are not welfare. Do not expect much sympathy (if any) from any of the credit card companies. Figure out what you can pay...and you must pay some, or you should declare BK.

Then call them and try to work it out and tell them what you can do. Also stop using the credit cards.


You might also want to try a credit counseling service. They may be able to work something with you.

If you dont pay, they will sue you and you will have a judgment against you and they may actually sell some of your stuff.

I assume you now are making money. You need to cut some bills even further to find the money you need to pay these off.

[dequeendistress]

LawDawg, from personal experience the credit collection people will not want to hear what you can pay. They will tell you that is not enough. Actually they will tell you anything to make you pay more than you can actual afford thru guilt.

It is horrible to have creditors call and send mail all the time.

If I were you Q&ANC I would check my budget and see if you will ever feasibly be able to pay your debt. If you can get the credit cards to agree to a pay off of less than you owe, and you can AFFORD it, that may be an option. BUT don't think that a credit card company will accept a $20.00 monthly payment when the minimum required is more, I doubt they will, especially if you are over 90 days delinquent.

Also they WILL file against you eventually. Ignoring them does not make them go away, I tried, did NOT work.

I would suggest consultation with a BK attorney. (Before Cambece or NCO gets your account)

You MUST do something!

LawDawg, I think the poster is asking the beginning questions as to what she should do and you may scare her further by talking about getting sued. Where should she start? Does she have a job? Why hasn't she paid? Have there been unusual bills? Are they collection agencies, or the original credit cards?
I don't think the credit counseling services are any good, if you read the posts on this channel.
I agree about stop the credit cards and cut expenses. Don't other things happen first before judgements are put on you and what if you don't own anything?

First of all, don't be scared. Worring about your debt isn't going to change anything. I know, because I'm currently preparing to file Chapter 7 on 60K in CC debt. Now, as you said, you can't pay them. If this is true now, and is likely to be true for a long time, then you can always file bankruptcy and discharge your credit card debt. There is a lot that goes into Bankruptcy Chapter 7, but in short, if you your take home pay each month is just enough to cover living expenses, you can file. I would suggest that you take advantage of a free consultation with a Bankruptcy attorney. They can give you advice and for free! Keep in mind, the bankruptcy would be your final option.

What you should do now, rather than worry, is prepare yourself. It's certainly possible that in the long run, a creditor could sue you. It's POSSIBLE, But that doesn't mean it will happen. Every situation is unique. What you should do now is change your phone number so you aren't harrassed. When you get the letters in the mail, file them away. Keep them for your BK records.

You will need to start saving money for your Bankruptcy attorney in the event that you are sued. If you recieve a REAL summons, and not just a threat, your lawyer can file bankruptcy and the lawsuit will be dead in the water. The attorney fee is usually around $1k depending on where you live. So start saving now.

Now, you will most likely have a long period while your account is charged off, sold to collectors, and then eventually, MAYBE, sued.
It could be months. Could be years. Depends on the Creditor. In anycase, be prepared to file bankruptcy if this happens. Also, if in this time period your situation changes and you want to settle with your creditors, you can do so. Just don't your precious time being scared.

For instance, I have many creditors. Some I owe a few hundred, some I owe up to 15k. The worst creditor thus far, and I am abouty 60 days late right now, is Dillards and I only owe them about $300. Go figure.

Good Luck