
Financial Challenges Support Group
This community is for people who are struggling to meet financial obligations of any kind. Financial challenges include everything from the day-to-day challenges of making ends meet to managing credit card debt to bankruptcy. Get support from others who are going through similar obstacles on the road back to financial stability.
What happens whe you stop paying credit cards?

deleted_user
hi-
husband and i are considering going through a debt settlment prrogram. i wrote a post about this a bit earlier, and now i have a little more information about the the process, i wanted some of your opinions.
you sign up for the program, you pay the 3rd party, and you stop paying your credit cards. once there is enough money built up in your acount to make a decent offer to settle one of your cards, they work with the creditor and settle the account.
i am worried about a few things:
1. they cannot stop any of the harrassing phone calls- they have no control of what the credit card company can do
2. there is no guarantee that the credit card company will settle the debt - they are basing the settlment on past experience
3. it will be nearly 3 years before they are able to settle our last account/card - so in that time what can that credit card company do to us?
i am worried that lawsuits can be filed/wages garnished/etc -- and for what??? because we joined this program! the balance on the last card is pretty high - appx 13k.
anyone have any experience with this? i know one person had stated that the credit card companies would not work with her or settle her account, so she got stuck at square one PLUS all the negative credit and a large balance.
we are considering debt consolidation/credit counseling as the other alternative - in the long run it appears we may be paying more, but we will be working direct with the creditors so little chance of harrasing phone calls/visits and less of an effect on our credit cards.
thanks in advance for your feedback!!
any resources to recommend as well?
husband and i are considering going through a debt settlment prrogram. i wrote a post about this a bit earlier, and now i have a little more information about the the process, i wanted some of your opinions.
you sign up for the program, you pay the 3rd party, and you stop paying your credit cards. once there is enough money built up in your acount to make a decent offer to settle one of your cards, they work with the creditor and settle the account.
i am worried about a few things:
1. they cannot stop any of the harrassing phone calls- they have no control of what the credit card company can do
2. there is no guarantee that the credit card company will settle the debt - they are basing the settlment on past experience
3. it will be nearly 3 years before they are able to settle our last account/card - so in that time what can that credit card company do to us?
i am worried that lawsuits can be filed/wages garnished/etc -- and for what??? because we joined this program! the balance on the last card is pretty high - appx 13k.
anyone have any experience with this? i know one person had stated that the credit card companies would not work with her or settle her account, so she got stuck at square one PLUS all the negative credit and a large balance.
we are considering debt consolidation/credit counseling as the other alternative - in the long run it appears we may be paying more, but we will be working direct with the creditors so little chance of harrasing phone calls/visits and less of an effect on our credit cards.
thanks in advance for your feedback!!
any resources to recommend as well?
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They charge a small monthly fee ($10.00). They talk with your creditors, get interest rates and finance charges reduced or removed. They consolidate your payment into one monthly payment until all debt is paid.
They give you budget counseling and will not make you pay more than you can afford.
They will make you cut up your credit cards!
Good luck
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