Badly need advice

[bad luck]

What is the name of your state? FL

I have a few questions. Okay, I moved to FL a little over a year ago and when I first moved here I had a serious medical problem and had to go to the hosp. Long story short I had no insurance and know 7 mnths later, part of the bill has gone to collections. I had over $8,000 and only $500 (so far) is in collections. I told them I would send $5.00 a month and they laughed at me and hung up. I called back and they said they were going to sue me and garnish my wages. We agreed on $10.00 a month. What happens if I don't pay? I am a single mom who gets nothing for child support (that's a NYS issue and worthless in pursuing I've tried for two years). I have other credit card bills from 4 years ago and I am spending $10.00 a month for one of those and I know $20.00 doesn't seem like a lot but it adds up. I know there is a law I am missing, I know people who don't pay anything and get away with it, I'm not lucky like that. So I honestly want to know what can happen to me if I don't pay my past credit card debts and hospital debts back? I have another problem regarding a car loan but I will ask that later. I already asked alot. Thanks!

 

[kopes]

Have you ever thought of filing for bankruptcy? I am only asking because if $10.00 a month is all you can honestly pay, you are never going to get ahead of these bills. Do you realize that paying 10.00 a month for 500.00 is over 4 years of payments, and that's if there is no interest and they agree to wait that long. And there is another 8000.00 waiting? You will be paying for these until the day you die. I tried that for almost 3 years and barely lowered my balances.

 

[olgethorpe]

Try calling..

You might try calling the hospital to see if they have a hardship program. I'm not exactly sure what it would be called in FL, but most hospitals have a way of dealing with people who are essentially insolvent.

 

[Ladynred]

Ok, now lets answer your questions

So I honestly want to know what can happen to me if I don't pay my past credit card debts and hospital debts back?

What happens is they can sue you and win a judgment against you. Once they win that judgment, they can garnish wages (though you may have an exemption from that), sieze bank accounts, and sieze any other non-exempt assets you have. Judgments last a LONG time - 10 years in FL, so even if you have nothing they can take now, they will keep hounding you and when you do have something, they will be there to pounce. The judgment accrues interest on its own, so as long as its unpaid, it just gets bigger and bigger.

Now - if you are head of household - meaning you provide more than 50% support for dependents, then you can claim HOH and your wages cannot be garnished. That doesn't stop the rest.

As for those credit cards - how long has it been since you last paid the original creditors ?? If it HAS been 4 years or more, then the Statute of Limitations may have expired and you don't have to pay anything, just send the collectors a cease and desist letter. Hopefully you have some documentation on those accounts.

Kopes is right at $10 a month, you'll never pay anything off and they're likely to sue you anyway - 4 years of $10 just isn't acceptable to collectors. They may be appeasing you now - don't expect that to last. The demand for ALL of it will come. Bankruptcy may be your best option to get out from under the debts.