What Do I Do Now?
Date: Sun, 01/17/2010 - 17:57
We have accumulated approx. $60,000 in credit card debt from starting a business which has failed 5 years ago.
We did not have any debt 7 years ago after we built our home. House was paid for. Husband decided he wanted to transition from tobacco farming to cattle. In our area there were grants available at that time offering 1/2 of your investment back. We researched these grants and talked to people that approved them and were told the best thing we could do was get the money then apply. It looked better. Yeah right. Did this three years in a row. Took out mortgage on home and other loans to do this. Never got grants. Bottom fell out of the cattle market and here we are. We are liquidating the cattle and equipment but that will cover those loans. Still will have mortgage and credit cards.
Husband had called each credit card and was offered a 2% 5 year loan and closed accounts. We accepted. Were told there would be paperwork sent to us outlining the conditions and we were to sign and send back. Three weeks out no papers. Bank of America called today. Guess What? No record of any such loan or closing of accounts. So everything is still gaining interest. I will be sending out letters tomorrow with a small good faith payment requesting a negotiation. I have already emailed them to explain the situation and advise of letters. What do I do now? Do I go with debt settlement, management or bankruptcy. We both hold good jobs and are willing to pay but I cannot pay the payments we had. PLEASE ANY ADVICE WOULD BE APPRECIATED.
We did not have any debt 7 years ago after we built our home. House was paid for. Husband decided he wanted to transition from tobacco farming to cattle. In our area there were grants available at that time offering 1/2 of your investment back. We researched these grants and talked to people that approved them and were told the best thing we could do was get the money then apply. It looked better. Yeah right. Did this three years in a row. Took out mortgage on home and other loans to do this. Never got grants. Bottom fell out of the cattle market and here we are. We are liquidating the cattle and equipment but that will cover those loans. Still will have mortgage and credit cards.
Husband had called each credit card and was offered a 2% 5 year loan and closed accounts. We accepted. Were told there would be paperwork sent to us outlining the conditions and we were to sign and send back. Three weeks out no papers. Bank of America called today. Guess What? No record of any such loan or closing of accounts. So everything is still gaining interest. I will be sending out letters tomorrow with a small good faith payment requesting a negotiation. I have already emailed them to explain the situation and advise of letters. What do I do now? Do I go with debt settlement, management or bankruptcy. We both hold good jobs and are willing to pay but I cannot pay the payments we had. PLEASE ANY ADVICE WOULD BE APPRECIATED.
Perhaps the loans have passed the SOL. So you might not be legal
Perhaps the loans have passed the SOL. So you might not be legally obligated to repay the loan (check with your state's SOL).
Anyway, you can pull your credit report to check the present owner of the account. It might have happened that BoA has sold the account to a collection agency.
If the account is still with BofA, which is a first party, then
If the account is still with BofA, which is a first party, then it is doubtful it is past the SOL.
