This topic contains 4 replies, has 5 voices, and was last updated by Anonymous 8 years, 1 month ago.
- May 24, 2011 at 3:20 pm #217895
I know the only I can get a debt settlement with GE Money Bank and Good year tire is if I do not pay my bill for a few mouths. The only problem is that there fees and interest add to my bill which will cause the debt to almost double I settle for 50% I will pay almost what I would paid in first place then They will tell the IRS I made money by settle which will cause me a TAX problem. I also think Straight up default would be better It will go on My Carad report the same and There no Taxes on it since I still owe the money. the Debt is 1100 to GE and 650 to goodyear. Credit counseling says they can not help me because it below the standers.
1. Would I be better to Settle or stright up default
2. What possible of getting sued or repo?
3 would I end up paying more be setteling than making min payment for a while untill I get a head again.
- May 25, 2011 at 8:01 am #283778
This is a tiny amount of debt. There is no reason to deliberately default…Charge-offs are a disaster for for your credit rating and they’ll last for 7 years.
If you default….they’ll either just walk away from the debt…or take you to court. You can never predict how any one creditor will respond.
- May 26, 2011 at 3:09 am #283909
Not all companies will do a settlement agreement with you. I know, I’ve tried over the years. One way is to go thru Consumer Credit Counseling (their name changed recently so you’d need to find the new name on the internet, I think it’s Credability) and it’s by the federal government so no fee. And it’s better than going Chapter 13 bankruptcy. You can check with H&R Block if you want to know if you owe taxes on it.
If you’re talking about like the loan is on a car, and it’s a federal loan, then they can and will stop by after you have missed ONLY ONE payment and the repo man will come and take your car (you’re supposed to get a call from the police or sheriff first but sometimes that doesn’t occur) and then they will drop your car off at a car sales place and your car will be auctioned off and the balance between what they auction it off and what was owed on the loan is what you will still be charged plus cleaning and fixing fees and then they will take you to court if you don’t pay that, and then a judgment plus interest will be on a judgment in your name that will ruin your credit until you pay it. With the interest charge it will take you a long while to pay that off.
- June 15, 2011 at 11:15 am #289645
Note about credit cards:
They never settle for below the amount of purchases you bought on your card.
What they take off is some of the late fees, high interest rates, etc.
You will always come out losing if you settle.
Make that min payment – at least.
You could face being sued by a collection agency if you don’t pay – easily…
- September 13, 2011 at 5:45 am #290016
I have looked into your case and I am wondering that your situation is the same as that of mine.I ended up using a debt settlement company and it worked out great. but be careful and do your research alot of companies are taking advantage of people in thier time of need and if you choose the wrong one, it will hurt you even more. you can also settle the accounts yourself, but i chose not to do this for many reasons. but you have to do something its not just gonna go away.
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