Expert: Creditwrench - 5/15/2009

Question
QUESTION: i have amounted a great deal of cedit card debt and when my hiusband lost his job a few yeas ago we couldnt pay. we are a a time when we can begin to repay some of these debts and are trying to do so one at a time.. i obviosly cant pay them all at once.  i have a law firm sending me letters of intent to sue over 10000 owed to citibank. i spoke to a rep that told me that they would deduct 200 for the next to months from my checking to show an intent to pay while i finish out the pay arrrangements with other creditor. and then we would discuss settlement.  however the check hasnt ben withrwan and i recd another letter from them with an intent to sue.. what do i do at this pont? should i make the payment myself directly? can they still sue? What is my next step?

ANSWER: They can sue you and they can garnish wages, seize bank accounts, possibly seize vehicles that are free and clear of debt, boats, trailers or anything that has a title to it registered with the department of motor vehicles in your state. It is also conceivable that they could send a sheriff to your home to see what they can find to sell. So one of the first things I need to know in order to give you the best possible advice is what are your sources of income? Wages from work, SSI, pensions, what? Just tell me in general terms like that. I don't need to know specifics. But quite frankly I would not agree to pay them anything if I were you. First thing you knothey will be wanting you to sign a stipulated judgment or a cognovit note which will immediately be turned into a judgment and a garnishment of whatever assets they can find. Then you will be in real trouble. You need to learn how to fight their attempts to ruin you instead of trying to figure out how you can eat less or do without other essentials.

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

QUESTION: the source of income ismy husband onl..i do not have a job. i live is pa and i have nothing that is only in my name everything we own or is morgaged is is both our names while the credit card debt is solely in mine.

Answer
Sounds like you don't have a lot to worry about. Just keep all money that is not from pensions out of your bank account. Of course, you can always fight if you want to. I always recommend that people fight instead of just laying down and taking whatever comes their way.