man named Gerald said i could do jail time for credit card debt, is that true??
2007-07-06 06:57:51 · 5 answers · asked by ? 4 in Business & Finance ➔ Credit
No, debtors prison was stopped centuries ago.
2007-07-06 07:01:19 · answer #1 · answered by Slumlord 7 · 1⤊ 0⤋
You used to be able to exchange a fine (from the city, traffic ticket, etc) for jail time in some states, if you were unable to pay the amount or if you preferred to do "the time" (usually 2-3 days) instead of having to pay some amount like $300-500. However, many cities are getting away from that option and now require you to pay the full amount.
As for credit card debt, I have never heard of anyone going to jail for running up a huge debt and being unable to pay. For credit card fraud? Yes. But not for credit card debts.
What this debt will do is (depending on its size) force a court to rule against you and make you pay a set amount each month or each paycheck. If you have furniture, jewelry, or a car, they may send bailiffs to seize that stuff to be auctioned off as payment on your debt.
If you have no job and nothing worth selling to help pay the debt, you may need to file for personal bankrupcy.
However, do not treat that lightly! If you file for bankrupcy it will stay on your credit rating for at least seven years and you will be ineligible for loans, car financing, and certain other areas where credit checks are done.
As others mentioned to you on the original question, I would tell the collection agency that you are entitled to certain treatment under the Fair Debt Collection Practices Act, and you will be recording any further phone calls you receive from their agency for your protection.
Meanwhile, contact Chase Bank (account services phone number should be written on the card) and explain your situation. Ask them if there is any way for you to forward them a low set amount each month until you get a job and back on your feet. It may be too late now that it has gone to a collection agency, but you can always try.
2007-07-06 07:33:02 · answer #2 · answered by SteveN 7 · 0⤊ 0⤋
Not in the US. If any collector says you can, it is an illegal scare tactic that needs to be reported.
2007-07-06 07:08:12 · answer #3 · answered by Brian G 6 · 2⤊ 0⤋
no but they can post it on ur credit report and make attempts to collect it.
2007-07-06 07:02:26 · answer #4 · answered by spadezgurl22 6 · 1⤊ 0⤋
no but they can sue and get a judgment and the garnish your wages
2007-07-06 07:01:06 · answer #5 · answered by golferwhoworks 7 · 0⤊ 0⤋