I live in Florida & about 6 months ago I had to stop paying on several of my credit cards because of an increase in medical expenses for my partner. I just received a notice from discover card stating that unless I begin payments today on my balance ($2915.00), they will send my account to an attorney & possibly get a judgement against me. I had contacted them in the past & explained what I could afford to pay, but was informed that it wouldn’t be enough. As a result, I stopped contacting them.
1. What can I expect to happen from here?
2. What is the best way for me to handle this considering that my financial situation will not permit me to make a lump sum payment ( or the type of payments they want) ?
3. Can they place a lein against my home?
4. How do I keep them from contacting me at work?
Typically, Discover sends the accounts to collections. If you are sued, you have the right to challenge the amount owed. If someone other then Discover sues you, challenge their right to collect from you. If they get a judgment, they can use any collections means allowed by law. They can garnish you or even try to get a lien on any property with equity.
Bankruptcy may be an option. For that, contact a local attorney for a complete review of your situation.
Mitchell Goldstein is an attorney licensed in Virginia. His practice focus is consumer bankruptcy, mortgage and debt defense and technology issues. He is a proud member of the National Association of Consumer Bankruptcy Attorneys (NACBA) and National Association of Consumer Attorneys (NACA). His goal is to educate people with solid advice and give guidance to consumers to help them made decisions that impact their financial well-being. His website is www.morethanbankruptcy.com
Legal Disclaimer: This is for educational purposes only. It is not to be relied upon as legal advice. It also does not create an attorney-client relationship. No such relationship is formed with attorney without a written agreement.