You are here:
- Home
- Business
- Corporate Law
- Collections Law
- past due credit card debt
Collections Law/past due credit card debt
Advertisement
Question
Freshman year of college (1999) I applied for and received a Discover card. 2 years later, I was unable to make the payments and stopped paying. I believe I owed $500 at the time. I am currently a law student and I just received a call from a collection agency saying that I owe $2000 for the debt. The woman I spoke to basically screamed at me and said I either have to pay it all upfront or have payments automatically taken out of my bank each month. I have been a student for 7 years straight. I don't have a job, own a home or a car. I don't have the money to pay them. What should I do about this debt? Should I attempt to send $20 a month? Will that help my credit rating? Is is true that after 7 years this debt will be erased from my credit report? My only income is student loans, can they garnish this?
Thank you,
Janae
Hello Janae:
This would be easier to explain in more detail on the telephone. I will not charge you just to talk on the phone, and I can then explain how the process works in your situation more fully. Not to worry so much for the moment, though. And don't pay these people anything. You have other options that will benefit you and get this behind you without affecting your career or your studies.
Call me on my cell if you like. 661 492-2673
Related Articles
Answers by Expert:
John Hall
Expertise
Law school graduate, Juris Doctorate (J.D.) Degree; Over 25 years of experience throughout the United States in bankruptcy law matters (Chapters 7, 11, and 13 of the United States Bankruptcy Code) primarily representing individual debtors with consumer debt or small businesses; Experience has included all aspects of debtor/creditor relations.
Experience
FREE BANKRUPTCY HELP. If you are being sued, if your home is being foreclosed, or if you are being harassed by bill collectors, filing for bankruptcy may be a quick and inexpensive solution.. The mere filing of a bankruptcy will operate as a federal court order (it is called an automatic stay) to stop all bill collection efforts, including lawsuits that are pending or ongoing. Bankruptcy is a legitimate way to meet your problems with debt head-on. The bankruptcy law is designed to give you a second chance to make a new start without the psychological and financial burden of pressing debts that you are unable to pay. Depending on what state you live in and what your assets are, it is very unlikely that you are going to have to lose anything if you file for bankruptcy, and this is something that you can do immediately without having to pay the $500 to $1,500 attorney fees that most attorneys charge. Also, you might be surprised that you can file for bankruptcy and that it will not have the devastating effect on your credit that most bill collectors describe. Life is too short to have all this anxiety over losing your car through repossession, getting evicted from your home, or losing your home through foreclosure. Bankruptcy law was designed to give you a second chance. I will not charge you just to talk on the phone. Call me at 432 853-5711, or send me an email at j_h14@hotmail.com with your telephone number, and I will call you back.
©2012 About.com, a part of The New York Times Company. All rights reserved.