I lost my job 5 years ago and had to stop paying all of my bills other than mortgage and utilities. Luckily I only had about $8,000 in credit card debt and no auto loans. That $8,000 was spread across 8 credit cards, so right now I have just one secured credit card that I got last year, and a car loan I got 2 years ago. One card (Chase Visa) was charged off last year and I received the document which I declared as income for my 2013 taxes. Other than one Target card, the other 6 cards have been charged off and placed with collection companies. I don't have a home number and they can't call my work or cell, so I am only receiving mail at home. I am working now, do I need to start paying them? Or can I just hold out for the next 2 years until the 7 year statute of limitations runs out? I need to rebuild my credit
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.