What is the name of your state?Arizona
O.K. Here goes-- I wanted to start off with this is one really cool site. I just found it..Thank You!!!
From what I have been reading on the net I am under the assumption that CC companies can do almost anything they want when you are in default.
I got behind in payment plan with one CC by 3 months. I in turn contacted them and told them I would like to work with them if they could do so. They put me on a plan where they were pulling $105/month directly from my checking. I was told I would be contacted to reduce my rate for a "hardship". I was never contacted. I contacted them 3 times. I was told to be patient. They were undergoing being bought out by another company and they were extremely behind in dealing with all of the people in my situation. So I let it go. I was receiving monthly bills from them (which I more or less disregarded) because I was paying. I noticed the balance was going up with the late fees and over limit charges. At the time originally when I worked with them, my balance was $7100.
In Mid Jan. 2005 they took out another payment as scheduled. About a week after that I was contacted by the collection agency the original CC company had turned me over to. I told the collection agency what was going on. He really didn't care (big surprise). I called the original CC company. They didn't want to talk to me because they turned me over and was no longer of concern to them.
The good side is that the collection agency has stopped all late charges and interest.
The bad news: 1) I now owe $8100 on a debt that was $7100, even though I was paying $105 a month for about 8 months.
2) I now have a charge-off on my credit report (not that my report was spotless anyways).
My question is can they do that? I have a feeling they can. I read somewhere that once you are in default, they can turn you to collections anytime they like. I am burnt about owing extra $1000.
I have learned just say "NO" to credit cards. They make me ill when I think about it too hard. I am going to try to pay my debts as quick as I can and just say no more.
What do you guys think?
Bill
O.K. Here goes-- I wanted to start off with this is one really cool site. I just found it..Thank You!!!
From what I have been reading on the net I am under the assumption that CC companies can do almost anything they want when you are in default.
I got behind in payment plan with one CC by 3 months. I in turn contacted them and told them I would like to work with them if they could do so. They put me on a plan where they were pulling $105/month directly from my checking. I was told I would be contacted to reduce my rate for a "hardship". I was never contacted. I contacted them 3 times. I was told to be patient. They were undergoing being bought out by another company and they were extremely behind in dealing with all of the people in my situation. So I let it go. I was receiving monthly bills from them (which I more or less disregarded) because I was paying. I noticed the balance was going up with the late fees and over limit charges. At the time originally when I worked with them, my balance was $7100.
In Mid Jan. 2005 they took out another payment as scheduled. About a week after that I was contacted by the collection agency the original CC company had turned me over to. I told the collection agency what was going on. He really didn't care (big surprise). I called the original CC company. They didn't want to talk to me because they turned me over and was no longer of concern to them.
The good side is that the collection agency has stopped all late charges and interest.
The bad news: 1) I now owe $8100 on a debt that was $7100, even though I was paying $105 a month for about 8 months.
2) I now have a charge-off on my credit report (not that my report was spotless anyways).
My question is can they do that? I have a feeling they can. I read somewhere that once you are in default, they can turn you to collections anytime they like. I am burnt about owing extra $1000.
I have learned just say "NO" to credit cards. They make me ill when I think about it too hard. I am going to try to pay my debts as quick as I can and just say no more.
What do you guys think?
Bill