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settle or court?

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aant

Member
What is the name of your state? GA
I have a summons for old credit card opened 10-95. Stopped using it '97, last payment 12-04 so it's in SOL. They're suing for $6500 or so more. That's what I've paid. They want that much, again. Double. Much of it is fees. I've paid almost $2K over & above the original balance, over 7 years, through CCCS most of that time. They've been difficult & uncompromising, which I'll explain if anyone asks. It's Bank of America via a CA. This creditor has called me at work relentlessly, faxed a big demand or something with my SS# on it to my job, etc. I told them I disputed this years ago & informed them I would not be paying them any more.
I got a notice from the att'y, I responded immediately with a detailed letter again disputing, got a summons to appear in court in return. Att'y acts like he's completely fed up with his client, & I actually think he's sincere.
Att'y & I have gone back & forth with a few settlement ideas. I offered $1200 over 2 years. His partner came back with $1400, $35/mo. I don't want these people in my life for 10 more minutes, let alone 3+ years. I told him I'd let him know Mon.
My financial situation:
I have an 80/20 subprime mortgage one of which is an ARM. No equity. None. I have zero extra disposable income not including paying off old debt. I have one vehicle with payments & a profane interest rate, owe about $7500. I owe taxes, $1000 or so, there's a lien. I couldn't & can't pay it. I have an existing garnishment for a student loan. It will be paid in a couple of months. I have no savings. I have a 401K. My income is insufficient & I'm paying for old mistakes which compromised my credit score so I pay more for car ins, the house, etc. The ripple effect seems interminable. The only thing of value I have is my health and my brain. (Can they take that? They're probably working on legislation towards it.)
If I get a judgment I will either live without electricity or lose my house or my truck. I will NOT lose my home over a credit card, & I can't take the bus to work. There's no bus line.
Question is, keep trying to settle, or go to court? I will be unrepresented. What are my chances of walking out of court & having my truck to drive home in & a house to drive it to?
I understand if there's objection to my refusing to pay this but I stand firm, I do NOT want to pay this. It's usury. Even if I did, I am unable. I have explained all of this to them.
Court is next Thurs.
 


aant

Member
I looked at a previous post & see that 401K is not judgment prone.
I want to clarify & add to my questions:
1. Is it legal to have my sole mode of transportation taken as part of a judgment?
2. What about this house with no equity? By the way it's not a high-end home & not a trailer either, if that matters. Would a lien really affect me if I plan to stay in the house for many years to come, & will the amount proliferate into some huge(r) amount over those years?
3. Is anyone involved in this process going to be interested in my financial situation? In other words does it matter whether or not I can pay it without compromising basic needs?
4. Is it naive of me to think that with the flak creditors are getting right now (in media & through consumer advocate activity), my lack of resources & assets, & my previous efforts to pay this over many years, I will not likely suffer a judgment? - keeping in mind I don't have an attorney. Or will I come out better scraping up a monthly payment from God-knows-where for the next 2 or 3 years, settling out & forgetting about court?
 

aant

Member
I thought the situation over & it did not seem likely that I would be exiting the courtroom without a judgment. I see no posts from people who have been able to do that. We agreed over the phone today to $1200 at $50 a month. Att'y said to change the terms on the consent order to that, from $1400 at $35/mo, & he would initial. I mail my modified CO, he initials, he faxes his initialled one back to me & then mails to me. "Payments...every month thereafter until paid in full, at which time the suit shall be dismissed...Defendant consents & agrees to waive notice of Plaintiff's request for Judgment." Payments go to the att'y office. Debt is satisfied at $1200 with no additional fees. Five days late = judgment for amounts originally sued for, ($6500+) less payments I've made.
Does this all sound straight & good, & standard practice? It did to me but I'd like input before I get it over there.
 

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