Does credit solution presents me in court ?

Question

i had trouble with my credit cards and i heird crdit solution to do the settlment for me ..one bank want to send me to court..would credit solution present me in court and what would happen in court? i have nothing to worry about no house no money in the bank and minmum wage jop..what can happen in court? what the judge may say ? any one plzz

Answer 1

More and more credit card companies are refusing to play the settlement company game.  The credit card companies are getting more aggressive about going to court over smaller amounts, too.

Check the Statute of Limitations (SOL), the timeframe to bring lawsuit, for your state:  http://www.bcsalliance.com/statute_of_li...  The SOL typically starts from the last payment.  If the debt is beyond the SOL, you can use this as an affirmative defense in court.  

However, I suspect the SOL has not passed and the credit card company will prevail.  When they win the judgment, they will attach your bank accounts, garnish your wages, and lien property.  

Credit Solutions won't be doing a thing to assist you.  I bet that a huge part of that 70% you've already paid, went directly into their pockets.

Answer 2

You want to stay away from "Debt Settlement" companies.  What they do is have you stop paying the creditor and pay them instead.  When you have enough money in their account they settle with the creditor.  The problem is that during this time your credit is wrecked(more than it might have been).  As you have found out there is nothing that keeps the credit card company from suing you.  So don't be surprised if your other credit cards follow with suits of their own.

In court they will NOT represent you.  In fact when you let the judge know that you are in a debt settlement program it will be an instant judgment against you, as that is not going to be seen as a defense.  Depending on your state they may be able to garnish your wages, or attach any bank accounts you may have.

You may want to check out Credit Counseling.  If you do make sure that they are a member of the National Foundation of Credit Counselors.

EDIT: If you have already paid them 70% of what you owe it sounds like you may have been with them for a while.  In this case the Statute of Limitations may be able to help you.  This is the period of time a creditor can prevail in a suit against you.  For Credit cards this is anywhere from about 3-6 years depending on the state.