I know it trashes your credit score, but I'm in a house and don't care much about credit score.
It would be tough if I had to finance a car, but anything else?
Can they sue or garnish wages?
What are the consequences if you just quit paying your credit cards?
I know it trashes your credit score, but I'm in a house and don't care much about credit score.
It would be tough if I had to finance a car, but anything else?
Can they sue or garnish wages?
- Don't lie.
- Don't cheat.
- Don't steal.
- Don't kill.
- Don't commit adultery.
- Don't covet what your neighbor has, especially his wife.
- Honor your father and mother.
- Set aside a day of rest for church, family and friends.
- Don’t use your Higher Power's name in vain, or anyone else's.
- Do unto others as you would like to be done to.
"For the love of money is the root of all evil..."
I Timothy 6:10, KJV 1611
First, lots of phone calls from collection agencies. And I mean LOTS. First one agency, then when they give up, another.
Next, threatening letters from collection agencies.
If the amount is high enough, they can sue. Sometimes in small claims, sometimes not. If they win, the judge can require you to pay. I've never heard of wages being garnished for credit card debt, but I suppose it might be possible in some states.
I believe some cards have terms that allow repossession of things you bought with the card if you don't pay, but most are unsecured.
Tip: if you ever decide to pay after a long period of not paying, never pay the collection agency. Only pay the original owner of the debt, even if they have subsequently sold it to others for collection. Much less damage to your credit score that way, and the collection agencies don't get as much of a cut, if any.
My blog: www.12knowmore.com
"You can ignore reality, but you can't ignore the consequences of ignoring reality." -- Ayn Rand
I wonder if you can fake death?
gotta be a black market for it.......
- Don't lie.
- Don't cheat.
- Don't steal.
- Don't kill.
- Don't commit adultery.
- Don't covet what your neighbor has, especially his wife.
- Honor your father and mother.
- Set aside a day of rest for church, family and friends.
- Don’t use your Higher Power's name in vain, or anyone else's.
- Do unto others as you would like to be done to.
"For the love of money is the root of all evil..."
I Timothy 6:10, KJV 1611
I have a friend who moved from one state to another. When his old state sent him a tax return at his new address, he wrote "DECEASED, RETURN TO SENDER" on the unopened envelope, dropped it in a mailbox, and never heard from them again.
Not that I would recommend such a thing....
My blog: www.12knowmore.com
"You can ignore reality, but you can't ignore the consequences of ignoring reality." -- Ayn Rand
As someone who has worked in collections, the only real consequence is a ding to your credit score as long as you don't owe an outrageous amount (like $10,000 or something).
[P]eople of
[A]merica
[U]nited for
[L]iberty
Originally Posted by jllundqu
Don't ignore a subpoena to appear or you can be held in contempt = jail; expect hand delivery by a cop; best not to be there; or not answer the door anyway, best to inform anyone you live with not to sign for you. Just because you appear does not mean you have to agree or do; best not to legally "know" to be there to begin with.
Dump your email, new account. Change your phone #, pay for unlisted, have new account in a roomates/family member name. Dump email and phone again in 12 months if needed; unlikely. Your parents, family, or other contacts may be subject to collection calls depending upon what info you have given the company. Best to pay for their number change and/or electronic call blocking to maintain civility.
Sue or garnish unlikely unless you owe the feds or have obvious ability to pay; ie 6 figure salary. Empty bank accounts preemptively and move to mason jars in the dirt and money orders. Max out, cash out on remaining line of credit could be considered fraud; don't do it. Not paying is NOT lying, cheating, or stealing. Continuing to rack up debt after making internet declaration that you have the INTENTION to not pay = crime. 7-10 years is all most reporting agencies keep records on unsecured, non-federal debt; that doesn't mean you won't die with court ordered liens, but it doesn't mean you will either.
Also, if you have any debts that you intend to keep paying, you may be forced into default rates because of fine print terms, even if you pay on those debts as promised; consult your lender behind closed doors. Filling your propane, starting an electric account, internet/cable/phone service, other services, etc. may require significant down payment after cc default. Renting anything, such as home, storage, equipment, trucks, cars, home depot tool rental, etc. will require a cc to secure; you'll be SOL.
There may also be emotional baggage / cognitive dissonance / family&friend shame to deal with. You may also have to carry large sums of cash in your pocket, at times, to get shit done; but that said... you'll often get a "cash deal" and preferential treatment.
fake death = bad idea; keywords: fake death fraud
Last edited by presence; 11-07-2012 at 07:18 AM.
It does not require a majority to prevail,
but rather an irate, tireless minority keen
to set brush fires in peoples minds
Revolution is Action upon Revelation
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Yes they can sue you. Yes the judge can decide to garnish your wages.
They most likely won't sue unless it's a significant amount of money and they feel that they have a good chance of getting it from you.
"No matter how noble you try to make it, your good intentions will not compensate for the mistakes that people make; that want to run our lives and run the economy, and reject the principles of private property and making up our own decisions for ourselves." - Ron Paul
I recently spoke to a bankruptcy attorney about this. I was shocked to hear her say that letting them charge off is a viable plan. Bankruptcy costs money, impossible if you don't have liquidity. She poo-pooed the fear of being sued for the balances.
Unless your balances are high, you'll be number 758,283 in line for a company to sue to collect. After years of haggling for lower payments and "hardship" arrangements, I'm comfortable with charge-offs and ignoring the calls. I'd rather keep my house payment up to date, secure the things I have and save up cash for an inexpensive car next time. Chase, BofA and Cap1 convinced me to use Greenspan's easy money to spend, and I've paid it back in interest many times. I consider myself to have been educated by the process and leave it at that.
If you don't have a home, or valuable assets; file a chapter 7 bankruptcy... will cost you $315.00 to file it in Federal Court ... you have to fill out some schedules about assets, debts etc... you're allowed to keep so many thousands of dollars in stuff (exemptions); but all your debts are wiped out.
With a Chapter 13, depending on income a payment plan is established based on a certain percent of your earnings.. so not much in earnings; not much in your monthly payment to the creditors. After 60 months (I believe) of paying what you can afford; the debts are all forgiven.
"People should not be afraid of their governments. Governments should be afraid of their people."
---V
They'll harass you for years but that's about it. My advise would be to just work out a settlement. Call em up, tell them your going to stop paying, and offer them 10% right now to pay off the entire balance. They'll probably take it.
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