I carried several credit cards 3-4+ maybe 5 years ago with my now exhusband. The cards I want to discuss are the ones that were in my name. I helped my husband at the time get out of debt and got cards in my name to absorb a lot of the debt. I would switch over to a new card evey chance I could that provided a zero or very low APR for a period of time.
We were struggling to pay everything, but we were doing it and figured that we would have been debt free in a couple of years. However, a loss of hours really messed that up. I couldn’t make all the payments and the credit card companies did not wan to work with me. If I remember correctly a couple of them increased the interest rates almost immediately. So finally I just quit paying them.
Now they have been sold to third parties or sent to some rep that represents himself as a law firm. I have researched and found may times where it has said that if they have been sold to a third party t hat the original creditor has charged it off and no longer plans to attempt to collect. How do I handle this situation as my new husband wants me debt free, but I feel I should not have to pay these third party debt collectors who are also trying to collect interest all the way back to the beginning of the original debt.
Your new husband might be thinking your old debt somehow transfers to him. It does not.
If you have cash on hand you might consider settling some of those accounts since they are already so delinquent. But I suspect you don’t have about 50% of the balance of those debts laying around so we need to look at two possible options.
The first option is to click here for credit counseling information. A credit counseling program could get you on a debt repayment plan that would give you one payment to make each month. There is no way to know what that payment would be till you talk to the credit counseling folks. A debt management plan takes about five years to finish and pay off but you might be able to do it quicker if you can pay extra each month to get out of debt.
If time is of the essence then bankruptcy is a real possibility. If you qualify for a Chapter 7 bankruptcy this debt could be behind you in a few months. You won’t know if you are eligible for a Chapter 7 bankruptcy unless you talk to a bankruptcy attorney licensed in your state.
You can click here to talk to a local bankruptcy attorney and if you’d like a second opinion about your situation or a personal consultation by another debt coach, please feel free to contact Damon Day.
Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.