As far as legal action, they can sue you, win, get a judgment, go for a wage garnishment, etc. Nothing positive will come from it.

Honestly, the kindest thing your friends can do for you is to pay for a bankruptcy attorney so you can end this debt with bankruptcy. It is also the kindest thing you can do for your friends, otherwise you are taking their money and pouring down a black hole with no bottom.

I’m very surprised that Novadebt would put you on a debt management plan knowing you do not have any money coming in. A payment plan is not a wise move at this point and in my humble opinion, is unfair to those that care enough to provide support.

Big hug.

Steve

I signed up with Allegro to help with 5 credit cards with a total outstanding balance of 50,000. In the one year I was with them, they have not have not settled a single account and I have lost 10,000 to Allegro. I tried to call all my creditors and the balance has increased to 60,000 and they told me they cannot do anything for me because they have sold my accounts to collection attorneys/agencies. I’m getting threatening letters saying that they will take legal action if I don’t pay within 30 days. My questions are: What kind of legal action can they take? What can I do in response? Currently, I am unemployed because my company went bankrupt and there is no money coming in (I am not receiving unemployment). Some friends were making payments to Allegro for me. I can’t afford the Novadebt payments because they are asking 1,100 per month. Are you aware of any organizations that will start a minimum payment plan (I can afford up to 550 per month)? Any advice would be greatly appreciated.

Thank You

-Anna