I have signed a 3 -yrs contract with a debt consolidation company, but last week I received a call which was from the credit card company. They said they denied the "deal" (honestly, I didn't get what they said), and they would sue me if I didn't pay the balance right away. Then I called the debt consolidation company, they said the credit card company was only threatening me. But I am worrying whether it is true, or the debt consolidation didn't want me to cut the payment I paid them every month?
Another question: Anyone know the formula of credit card finance charge?
2007-01-23 07:00:07 · 5 answers · asked by tiffanychoi@sbcglobal.net 1 in Business & Finance ➔ Credit
check out the debt company with the better business breau and collectors for credit card companies will say anthing to get you to pay. i have not paid one of my credit cards for over a year because of a job loss and they havent threatened to sue me.
2007-01-23 07:04:50 · answer #1 · answered by Just my Luck 3 · 0⤊ 0⤋
I'm too late in saying this but, "dont get involved with consolidation companies." All they do is charge you for what you can do for yourself. Which is: Pull your credit bureau, contact all your debtors, work out payment plans with them, or just dispute the info.
On the topic of legal action, most credit card companies are what you called 'insecured' debtors. Meaning they will almost never pursue you legally and are the last to be paid when you file bankruptcy. I pull credit bureaus daily and have never met a person being sued by a credit card company. But that's here in OK, other states may have different legistlation regarwding their collection abilities.
It's hard to understand what you mean on credit card finance charge. Did you have a fixed or adjustable rate line of credit for your card? If it was fixed then just multiply your balance by the percentage rate and add the fee daily.
2007-01-23 07:09:13 · answer #2 · answered by Cynthia S 4 · 0⤊ 0⤋
I went through one of those a few years back...after 2 judgments because the credit cards companies sued me, and losing the money I paid to the debt consolidation company, I am working very hard to get my credit back up.
GET OUT NOW!!!! Make contact with the credit cards and explain the situation and make payment arrangements. Run your credit and see how far behind they are reporting you. And know that you will not get your money back for the debt consildation company.
2007-01-23 07:09:18 · answer #3 · answered by BMW BFD 5 · 0⤊ 0⤋
You should fire them and file a chapter 13. All lenders look at CCC at a bk 13 anyway. You will not get another call from the collection co. after that and you will get up to 5 years to repay the loans
2007-01-23 07:05:15 · answer #4 · answered by golferwhoworks 7 · 0⤊ 1⤋
go to www.bbb.org and check out the company involved
2007-01-23 08:58:01 · answer #5 · answered by sunbun 6 · 0⤊ 0⤋