If you are sent to collections and unable to pay, what happens?

Answer 1

if you have a job they can automatically garnish your wages before you even cash your check. Or they will send the collection to a law firm and sue for payment. But the best thing to do is contact them and set up a payment arrangement. As little as 20.00 a week or even Bi weekly can keep things under control. Hope this helps...

Answer 2

You can almost always work out a payment plan with the collection company and depending on the type of debt you may be able to negotiate a lower total payment.

If you don't do anything, it will go on your credit report which will damage your credit rating for the next seven years. You'll be denied loans or made to pay higher interest rates, denied leases, even some jobs. If you owe a lot of money, they may sue you to recover the money if they think you have the funds, but just aren't willing to pay.

Answer 3

There are a few things that you can do before collections get tough.
You can communicate to them that you are unable to pay, but would like to make some kind of payment plan.
If you are unable to do that, then they could damage your credit rating and make it difficult for you to get credit elsewhere.

Answer 4

Your credit is damaged and you will be denied credit, loans, apartment rentals and even some employment in the future.

Answer 5

you have bad credit and have a hard time getting credit in the future and if you do get credit it will cost you a lot more (interest)

Answer 6

they can garnish any money that you recieve. ruin your credit. try disputing the charges with the credit reporting agencies.

Answer 7

They usaully giev yo some time if you request it.

BP