Hi Bevgonsman
If you cannot pay back a creditor, they may first inform the credit bureaus about the debt and your debt will be listed in your credit report. After reporting the debt, they may charge off your account and sell it off to a collection agency if they consider the debt as a bad debt. They may also sue you to the court and bring judgment against you to recover the debt and if there is a judgment against you, your credit score may get damaged.
Have you tried contactin the credit card companies and explaining what is going on. Sometimes people who fall behind due to illnesses or other things avoid talking to their creditors at all. It would show that you are willing to work out some type of repayment plan if you call them in advance and explain. It is better to do this then to have your debts reported negatively on your report and your wages garnished. Hope you get well soon.
I have seen credit card places waive interest fees for a certain period of time. I also have heard of them forgiviing a couple months of payments. They do not make the payments go away they just let a couple months slide with no payments. You have to relize getting behind due to illness does effect the credit card companies too. It is expensive for them to sue for payment or to sell it off for a lesser amount to collectors..this is why most will help out in a bad situation..unless of course it becomes frequent, then it raises red flags.
Yeah.....maybe you can contact them and explain your situation. SOME creditors actually do listen and try to help you out. This would be better than having a 'negative' mark on your credit.
If you cannot pay back the creditor, then the creditor can file a lawsuit against you. The creditor may get the right to garnish your wages after the court issues judgment order against you. Your creditors can also report it to the credit bureau. Hence, it is better to negotiate with your creditors and explain them your financial situation. You can workout a better repayment plan with your creditors and payoff your debt.
well...first they will mess your credit report for 7 yrs, then depending on what state you live in they might garnish your wages.
Hi Bevgonsman
If you cannot pay back a creditor, they may first inform the credit bureaus about the debt and your debt will be listed in your credit report. After reporting the debt, they may charge off your account and sell it off to a collection agency if they consider the debt as a bad debt. They may also sue you to the court and bring judgment against you to recover the debt and if there is a judgment against you, your credit score may get damaged.
Have you tried contactin the credit card companies and explaining what is going on. Sometimes people who fall behind due to illnesses or other things avoid talking to their creditors at all. It would show that you are willing to work out some type of repayment plan if you call them in advance and explain. It is better to do this then to have your debts reported negatively on your report and your wages garnished. Hope you get well soon.
I have seen credit card places waive interest fees for a certain period of time. I also have heard of them forgiviing a couple months of payments. They do not make the payments go away they just let a couple months slide with no payments. You have to relize getting behind due to illness does effect the credit card companies too. It is expensive for them to sue for payment or to sell it off for a lesser amount to collectors..this is why most will help out in a bad situation..unless of course it becomes frequent, then it raises red flags.
insurance
Yeah.....maybe you can contact them and explain your situation. SOME creditors actually do listen and try to help you out. This would be better than having a 'negative' mark on your credit.
what can a creditor if you can not pay them?
If you cannot pay back the creditor, then the creditor can file a lawsuit against you. The creditor may get the right to garnish your wages after the court issues judgment order against you. Your creditors can also report it to the credit bureau. Hence, it is better to negotiate with your creditors and explain them your financial situation. You can workout a better repayment plan with your creditors and payoff your debt.