Credit Card Settlement
I have a couple a credit cards that total about (15000) and I am looking to settle them due to an unexplained unusually high rate. I want to know if these unpaid credit cards will effect my wifes credit, who 's name we are using to purchase investment properties and our own home is in her name, My name is not on any of the assests. Can the creditors I am tring to settle , they are already late, have access to anything that is in her name? thanks for any help
saunier--
the only way those balances and delinquencies can effect your wife's situation is if she is a user on the credit card contract... As long as she applies as an individual the lenders will only see what is on her credit report... not yours... however this will limited the income debt ratio to what she makes,... excluding your income.
A little off topic but along the same lines.
You are obviously wanting to do the right thing by trying to take care of your obligations. But keep this in mind.
This sucks but, did you know that by settling with the creditors carrys the same bad marks as a charge off does?
Thats right, a "charge off" on your record OR a "settled for less than amount" in the comments will be just as bad and you sent them ALL that money!!
If you are in the process of negociating make sure you get a letter from the creditor stating the account will be reported as "paid as agreed" with no late pays. if you do not do this then you are wasting your money. let me add you are not wasting your money morally, just if you think that you are fixing your credit
[addsig]
I agree with wheeler, but when you negotiate with the lender and put it in writing, some will agree to delete the information from the credit reports.
I dont agree.
You arent wasting your money by settling.
Those debts arent going away if you dont settle.
They are gonna be charged off and then you WILL STILL WANT TO SETTLE later on.
Only if you go Bankrupt will they go away and that couldnt possibly be better than settlement.
All this being said, the longer you wait to settle, the better your negotiating will be.
I settled debts at 20% and 30%. Over $100,000 worth of cards negotiated down to $30,000.
And avoiding bankruptcy is well worth it!!!
I have found lenders who dont care.
Good Luck,
N.
Quote:
On 2004-02-04 06:48, Neill7 wrote:
I dont agree.
You arent wasting your money by settling.
Those debts arent going away if you dont settle.
They are gonna be charged off and then you WILL STILL WANT TO SETTLE later on.
Only if you go Bankrupt will they go away and that couldnt possibly be better than settlement.
All this being said, the longer you wait to settle, the better your negotiating will be.
I settled debts at 20% and 30%. Over $100,000 worth of cards negotiated down to $30,000.
And avoiding bankruptcy is well worth it!!!
I have found lenders who dont care.
Good Luck,
N.
Neil
What kind of rate did you get?
Just curious
Lori
[addsig]
"... the only way those balances and delinquencies can effect your wife's situation is if she is a user on the credit card contract... "
Incorrect. She'll need to be cosigner for the debt not just the user. And to reduce that debt, simply call the bank A and B and advise that you'll rather try to pay out the debt then file bankruptcy, And to do that, you'll nee bank to set your rates at no more then 1% interest. if they insist, tell the nice representative that probably answered your call form Dubai, India, that Zero % interest sounds even better.
Do exactly that and do not try to modify the scrip! It works.
Neill7,
I just wonder, how much money do you have in credit lines now, AFTER you paid the 20 cents on a dollar?
Quote:
On 2004-02-21 03:29, omega1 wrote:
"... the only way those balances and delinquencies can effect your wife's situation is if she is a user on the credit card contract... "
Incorrect. She'll need to be cosigner for the debt not just the user. Points awarded for technical correctness. But real-world experience of others shows that authorized users wind up with improperly-placed derogs on their credit more often than not when the real cardholder defaults. And often the creditor is loathe to take them off. Even worse if the authorized user's own cards have a "universal default" feature lurking in their cardholder agreements and ratejack those cards at the next account review. Ugh!
flacorps,
in the beginning and at the end of the quote.
You mistakenly quoted above Lori AKA Tinman words as they were mine and I quted them for the same purpose as an example that what she sad was wrong. If you take a better look you'll se prentices (" "
Quote:
in the beginning and at the end of the quote.
On 2004-02-21 11:35, omega1 wrote:
flacorps,
You mistakenly quoted above Lori AKA Tinman words as they were mine and I quted them for the same purpose as an example that what she sad was wrong. If you take a better look you'll se prentices (" "
Well, I didn't leave Tinman's quote there, just the quote marks.
I was actually saying that your response was technically correct ... AUs shouldn't be stuck with bad TLs if they dispute them. But many creditors see it differently, so beware of that possibility.
I think that those words were from Neutral.
From my experience Flacorp is on target with his assessment of the situation.
thank you all for the info. She is not on any part of my contracts w/credit cards.
Also by settling I am hoping to pay no more than 50% of debt and negotiate that the report read paid in full nothing else. In order to get this power I have not replied to them in three months, is this a mistake? thanks again to all your help and experienced knowledge.
Their willingness to settle is going to depend on many factors. Some of which are: how deliquent are you? What does you credit report look like? Are all of your other creditors current? Would an asset search turn up?
You can claim that you will file bankruptcy but research ontheir side could convince them that you are bluffing. Also, if you have quite a bit in assets then they may just decide to let it ride and if you don't pay then take legal action.
It all depends on your REAL situation and the creditors aggressive/nonagressive posture.
Yes it's all relative but a bank's desire to settle the debt comes first in line of many possible emotions. I suggest you offer them either no interest or O% interest and see what you can get after all.