Posted on
November 20, 2009
at
1:40 am
Can you guys explain what delinquency on credit cards mean? I understand it has something to do with late or non-payment - but what happens down the road?
Posted on
November 20, 2009
at
1:45 am
Delinquency on credit cardsIt has something to do with being late for 30 days and that you'd be slapped harsh fees and penalty rates if that so happens.
Posted on
November 20, 2009
at
2:45 am
Delinquency on credit cards - is if you haven't paid for over 30 days. The creditors would not only tag you as a late payer but some of them may automatically report your delinquent credit card accounts to the credit bureaus. I said some coz others would wait until payments are 60 days late to report it.
Posted on
November 20, 2009
at
2:59 am
And what would reporting it to the credit bureaus do to me? What if I really can't pay. I've lost my job or something else happened and paying would just have to wait until I'm all better. What then?
Posted on
November 20, 2009
at
3:21 am
Delinquency on credit cardsWell if you are experiencing hardship, why not let your creditors know about it, and then propose a payment plan that you can afford? If you can't afford to pay anything at all, at the moment, I suppose it would help to know that a negative mark on your credit report might be unavoidable, but at least you would have a chance to settle that debt at some point. If your account is still with the original creditor, it is unlikely that they would settle with you.
Posted on
November 20, 2009
at
3:28 am
Delinquency on credit cardsI agree with the black sheep but just to expound on what was said - The usual practice of the original creditors is to try to collect on the debt for 5-6 month but then accounts like that are to be written off (as bad debts to the IRS). So what they do to at least get a portion of that debt back is assign it to a a third party debt collection agency (which they might also own).Collection agencies do settle with the debtors or the settlement company that represents them.
Posted on
November 20, 2009
at
3:36 am
What is debt settlement? Are you saying that I won't get sued or go to jail for not being able to pay my credit card bills?
Posted on
November 20, 2009
at
3:38 am
Delinquency on credit cards - Debt settlement No you won't go to jail for being delinquent or being unable to pay. You might get sued though for judgment. A judgment could be any of the following:-wage garnishment-bank levy-property lienDebt settlement is a program that can reduce your balance to more or less half.
Posted on
November 20, 2009
at
3:43 am
Oh what a relief to know that! Thank you Luke.But. I just said that I've lost my source of income...how much would debt settlement cost? How long would it last? What do I need to do to get to do it? Can you recommend a settlement company?I'm sorry, so many questions, and thank you - by the way- for the patience.
Posted on
November 20, 2009
at
3:54 am
Delinquency on credit cards - Debt settlement - Qualifications If your debt amounts to $10,000 or more and your accounts delinquent or past due - you may qualify for a settlement program. It runs from 12 to 36 months. If it is below that amount and your accounts are current, you might want to try credit counseling instead. Unlike debt settlement which negotiates the principle amount, credit counseling negotiates the interest rates instead.
