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Corporate credit card debt

Date: Sat, 06/26/2010 - 06:54

Submitted by anonymous
on Sat, 06/26/2010 - 06:54

Posts: 202330 Credits: [Donate]

Total Replies: 4


Can these consolidation services be used for corpoate cards?


Quote:

Originally Posted by Anonymous
Can these consolidation services be used for corpoate cards?


Did you guarantee the card with a signiture ? If so you are on the hook. Otherwise there are a few settlement co's. Be Careful. Check out the debt collection association website.
(google) read this forum top to bottom and learn...you may want to do it yourself.


lrhall41

Submitted by on Fri, 07/09/2010 - 00:30

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Robert,

If by consolidation you mean settlement, yes.

Settling business accounts for a business still in operation will have some side effects that may/may not give you pause.

Example:
If the business is listed with D&B, you will forever have the negative reporting associated with missing payments etc... Business debt is not like consumer debt on credit reports.
Consumer negative reporting is removed after 7.5 years in most instances.
Business tradelines that go negative are forever.

If your business is in a rough patch now, but in an economic turnaround could thrive and grow, you will be facing a steep uphill battle to use credit for that growth, whether it be with banks or vendors.

Not a big deal if you are winding down the business.
Major big deal down the road if your doors are still open.

If you personally guaranteed the card (as most small business owners do) you will be on the hook for payment even if the business closes or files BK.

Best to you and yours!


Mileage may vary


lrhall41

Submitted by on Fri, 07/09/2010 - 05:00

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