I defaulted on a sizable amount of private loans, i received a letter from a law firm hired to collect.
My main issue is that i am unemployed, have been out of steady employment for awhile. i usually get by tutoring and getting help from family, essentially as of right now there is no wage to garnish.
The second issue is that i plan on enrolling in grad school next year and i'll be without income for the next 5-6 years in the mean time i have a family member (not a cosigner) willing to help pay the bill if i could negotiate a reasonable monthly fee. Is it possible to even try and negotiate when lawyers are involved or do i wait to get sued and the collecting company/lawyers/guarantor wait several years before they can start receiving any payment?
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.