Debt Settlement Company has taken our money then recommends chapter 13
Date: Thu, 06/16/2011 - 14:48
"____ " has hit the fan! To say we have been scammed is an understatement. We are now facing three law suits against us that have resulted in garnishment of wages (we nothing of this before it happened). These wonderful legal advisers are telling us to file chapter 13. We are back at the starting gates, except, have accrued more debt in the process (penalties and interest), lost $20,000.00 and have managed to do the one thing we were trying to avoid, destroy our credit. Is there any way out of this mess? Help!
You can file a complaint against this debt settlement company as
You can file a complaint against this debt settlement company asap. You have been scammed. Ask this company to return the money. Since you were not aware of the lawsuits, so you may appeal to the court for vacating the judgment. Call your creditors and explain the situation to them. May be they can help you out
Ok....the only reason you were sued is because you didnt make pa
Ok....the only reason you were sued is because you didnt make payments, which means you had already destroyed your credit. If you are being garnished, that means you were sued....did you not receive a summons? Were you not reading your mail?
Using a debt settlement firm is risky and expensive....if you stop making payments to your creditors, you risk being sued. Debt settlement companies will not represent you in the lawsuits, so you have to keep on top of your creditors. What has happened to the rest of your money? Have they paid anyone off? Do you have enough in escrow to pay or settle any of the debts?
One positive note....if you file bankruptcy, the attorney will probably have to return all of the money including his fee as as a "preferential"
creditor"
