Expert: Michael Brotherton - 12/17/2008

Question
QUESTION: Hi I live in Massachusetts and have a credit card debt. I haven't worked in the
past 6 years .I had to go to court in 7/2008.My last payment on this credit card
was in 7/2002. The lawyer asked if I had this type of card I said yes but I
didn't tell him how much I owe. He is saying I owe $10,000 but on my credit
report it says I owe 5,000.He told me I need to get a job and I'll see you in
12/2008 well still don't have a job I have been looking but there nothing out
there . Well my parents past away and now he's taking me to housing court for a
hearing, because they left the house to me and my siblings..I just like some
advice I know that there is a statue of limitation of six years in MA, I don't
have a problem paying what the $5,000 when we sell the house but ten thousand
doesn't seem right. I just like to know what I should do. I don't have money for
a lawyer so I'm going in there by myself.I just like  some advice. Thank you



ANSWER: You are correct. The statute of limitations is six years for credit card collection in MA. Also, since you are unemployed and have no direct assets, even a judgment wont help them collect their money.

If you are an aire to an estate they cannot touch the estate until and unless you take possession of the estate and even then they would not necessarily be able to attach proceeds from the estate unless they can locate them. If you do not take title to the property they cannot touch it and they cannot place a lien against the property itself prior to any transfer. This is touchy but you may be able to avoid attachment.

One thing, if they get a judgment they may be able to call you to court on a debtor's exam. There you will have to answer questions under oath concerning  any assets or income you may have. This will allow them to attach any assets you may have, However, if you have not taken possession of the estate they cannot attach it.

That said, you may in a leverage position and may be able to negotiate a lump sum settlement for much less than the $10k, maybe even less than $5k. Don't put yourself in a vulnerable position and negotiate with the creditor, By the way, how do they know you are an aire to an estate? Avoid disclosing any information such as this or any financial information they can use to collect their money. This is private information and they have no right to it.

If you do not feel comfortable negotiating with them hire an attorney or an experienced debt negotiator to negotiate for you. If you need someone to intervene feel free to call me direct at 937 372 8581.

Good luck

---------- FOLLOW-UP ----------

QUESTION: when this lawyer took me to court in  July.2008 He had me fill out a paper of any property or bank account I have and sign under pains & penalties ...And thats why he's  taking me to housing court..matter of fact court is today at 12:00 pm and I'm a mess..I am the administrator of the house it is still under my moms name..I just dont know what to do ..I know the worst is putting a lien..But I think he has a case back in 2006 I guess I defaulted court otherwise I would have went..But I don't recall my mom past away at time..

Answer
You do not have to disclose any more information concerning the estate. You are the administrator but have not taken possession of anything yet. They only have a right to information concerning your current assets and cannot touch the estate as it is currently.

DOnt panic. Unless the judge orders you to answer a question do not answer any questions in this matter directly. You have control here. They cannot touch you or the estate. And they cannot place a lien against a property you do not own. You do not own this property, you are the administrator.

Offer them a settlement of $3k after the estate settles and get something in writing before any money is paid. DO not sign anythiing unless you read it and understand completely what it says.

Relax, things are not always as bad as they seem and our imaginations can run away with us at times. You will do fine.