Can credit card companies take your stuff as colladeral?

Question

If You decide to go deliquent on your payments, can they sue you for your stuff? Or money?

Answer 1

Credit cards accounts are generally unsecured debt -- meaning they aren't backed up with any collateral.  However, you can be sued for the debt, have your wages garnished (which can sometimes lead to losing your job if you have too many garnishments), and have your credit ruined for years to come.

Better to pay off the credit cards ...  

Answer 2

It actually depends on the credit card.  Some card agreements give the creditor a security interest in the purchased item until it is paid off. Sears cards and the Q Card from QVC are examples of these cards.  If you default on payments, these companies can actually repossess the goods.  All credit card companies can sue delinquent cardholders.  Once they have a civil judgment, they can usually garnish wages, seize bank accounts and lien real property.  Judgments are valid for a long time and accrue interest.

Answer 3

They can't come "take your stuff" no...

But if you just go delinquint on your payments they will freeze your card, send you to collections and ruin your credit. So anything you apply for in the future will be declines because of this debt you refuse to pay.

Answer 4

they can take you to court and sue you for the past due balance and freeze your bank account.  Possibly even garnish your wages. It all depends on what state u live in.  You are obligated to pay the debt. You can just decide not to pay for it.  It will ruin your credit.  How about closing the card, and calling them to see if u can make some kind of payment arrangement on it?

Answer 5

If you default, the credit card company can sue you and win a judgment.  They can then attach your bank account, garnish your wages, and lien your property.  It is very unlikey they will actually come after your stuff.  They want cash, not a bunch of used stuff.

Answer 6

Yes. You have a legal obligation to repay your debts. That said, they're not going to show up on your doorstep anytime soon.