Can Credit Card Company Sue Me?
Posted by China Sourcing CommentatorDec 4
I owe $40,00 to 8 different credit companies. I had been paying them regularly for years. I lost my job and my only source of income is the social security. no bank account, No 401K. My spouse nad myself jointly own the house we live in. credit cards are only in my name. I don’t have any money to pay. what worse can happen? Debt collection agencies are already calling. Pls help with your answers. I am going crazy.
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Do you have any equity in your home? If so, you could consider pulling out some of your equity via a home equity loan or a HELOC (home equity line of credit)…and use it to pay off the cards in full. That would get you out of trouble, and reduce your monthly payment to a much more affordable amount…on 40k the payment on a equity loan would be around 200-250.
If you don’t have any equity, then you could try and call the creditors and tell them of your situation, and see if you could negotiate a lower monthly payment, or some other arrangement.
Your other option is chapter 7 or chapter 13 bankruptcy as a last resort.
Good luck!