Lets hear it for DEBT SETTLEMENT!!!!!!!
Date: Wed, 08/30/2006 - 07:39
things came to my mind. First of all in the "
important Lawgistix thread" There was a comment
that was mentioned.
I am in a debt settlement program and I owe cc debt
of 25K. My monthly payment is: 400.00 EVEN. I am
in a 36 month program, so by the end of 36 months,
I will have paid in: $14400.00 25,000.00/50% is
12,500.00. Meaning I have enough to settle with
and fees to company were 2,300.00 total. I don't
think that is a bad deal. October will by my 1st
full year in the program and I will have 24 months
left.
Sure, I get letters here and there that are scary, but I call my company and they are really good to answer all my questions and the don't give me the
run around. They are very honest with me and friendly and they will stay on the phone with me as long as I have questions for them. I am with CNI.
I also read from a poster that they had got sued
and they went to courthouse and settled on their
own for 50%. Well, of course if I get sued I will
have to go to courthouse, but how could I come up
with a 50% settlement if I am paying every extra
dime to my name to my settlement company to try to
get out of debt! The only money I would have is
the account I have with CNI that is set aside to
settle accounts. What would I do? Call my company
and tell them I settled in court, issue me my money
back into my account?
Linder Are you currently being taken to court, or are those j
Linder
Are you currently being taken to court, or are those just thoughts. If you're in a debt consolidation program, then your creditors have agreed to the consolidators terms.
If you get taken to court, then the judge will view both sides. If it's a company that you have listed with your program, find out the reason of them suing you, when they agreed to the terms.
Most companies offer "pay 50%, and we'll settle" after hearing no response from the letters they send out. Are you wanting that option, rather than being in a consolidation program?
Regards
Mike
No, I am in a settlement company, which is very different than a
No, I am in a settlement company, which is very different than a consolidation company. My cc accounts do not AGREE on anything through settlement companys. Basically settlement companies more or less "are the go inbetween the cc and you". They stall them, they offer 50 % settlements and if cc refuses, then settlement company calls them in 30 more days and offers again and again and again.
So, no, I am not in a consolidation program.
No, I have not been sued yet. I was told that could happen. I am just "looking at all the what if's".
Because honestly, since I am in the settlment program, I don't know what I would do if I was sued. They have all my spare money to settle my accounts with.
If you are sued, the judge can only garnish a small portion of y
If you are sued, the judge can only garnish a small portion of your income. This will most likely be the same as making a minimum monthly payment towards the debt. The maximum for garnishment is 25% (some exceptions for child support).
Regards
Mike
Well, that would cause me to have to drop out of my program. I
Well, that would cause me to have to drop out of my program. I pay them 400.00 monthly.
25 % of my wages would be $575.00 if going by gross. If going by net--$458.00 How is that a very small portion? How could they do that to me if I am in debt settlement company? I mean, I litereally have 128.43 left to my name each month for "emergencys that pop up".
Such as: kids get sick, dr. fees, medications, extra gas for vehicle, lawn mower (unless i want snake bitten), auto repairs/tune ups. If we need to add a quart of oil here or there, have a flat tire, replace a belt or alternator.
My hands are up in the air with questions....
Paying 25% is a lot better than paying the entire amount, which
Paying 25% is a lot better than paying the entire amount, which you just stated you could not do. Have you thought about a consolidation company, instead of a settlement company. How long have been with the settlement company?
Also, that 25% is the maximum amount. Most of the time it's usually set at that amount, till the debt is paid. However, with certain circumstances, such as several children, the judge may order a lessor percentage.
Regards
Mike
debt consolidation would be far worse than settlement. With deb
debt consolidation would be far worse than settlement. With debt consolidation on 25k my payments were going to be 555.00 monthly for 5 years! That is more than the 400.00 I pay settlement company plus the 128.00 I have extra to live off of for all the unexpected things that arise for the entire month.
There is no way I could consider consolidation. 128.00 per month comes to 32.00 per week for all little tiny extras that pop up each week. I have very little to work here with.
I am not being sued yet, but will completely lose my mind if I am. I mean, I have all my bill records and what I have left down to the very penny. Surely proving to a judge I am in settlment program and after she sees I have NOTHING left, they will surely rule in my favor, should it come to that. I mean, I am really trying here.
I have 1333.00 in my settlement account and it grows monthly. So, I pray it don't come to court.
Money already paid to consolidation company
If you have to settle with the creditors through the courts you can just tell the debt settlement company to pay from your savings account. You need to make sure that your money is stored in a legitmate third party savings account that you have control over. The fees you pay the settlement company are theirs and it comes off the top of your payments, but the money that goes into your savings account it yours. Even if you setup the settlement with a creditor then they have to pay that from your account, if you have enough money in there to cover it. I would stick with the settlement company and just wait. You will get out of debt much easier and quicker than any other program.
Thanks,
Fred
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Link deleted as per forum rules - Mike
This kind makes me think, has anyone in a settlement or consolid
This kind makes me think, has anyone in a settlement or consolidation program even been sued, gone to court, and had the judge tell the creditor they had to work with the consolidator or settlment company??
The judge is not going to tell the creditors to work with the ne
The judge is not going to tell the creditors to work with the negotiation/consolidation companies. However, atleast with negotiation companies, you can tell the company to pay out of your account. You have full control over YOUR money (not the money paid to the fees of the negotiation company) with LEGITIMATE settlement/negotiation companies. They actually have to get your signature to release any money from the account. If you cancel the services, then that money is still yours. Or if you complete the program and you have money left over, it is your money also.
Fred
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Link deleted as per forum rules - Mike