Legal Question in Credit and Debt Law in Alabama

Re: if i continue to pay on my credit card can the collection agency take legal

If you are scared to death, I have to wonder what they (the collection agency) have been telling you. Check with an attorney about what they have been sending you or telling you on the telephone (contact me if you do not have one already or know of one locally). The Fair Debt Collection and Practices Act (FDCPA) regulates collectors and places strict limits on what they can say and do. If the collector is acting improperly, you can bring suit against them. Well, first, a creditor is under no obligation to accept partial or structured payments. Many do, but they are not required to. If they choose to only demand the whole balance, and you cannot pay it or refinance it with someone else, then their next option would be to sue you for the amount owed, plus costs and fees, if they are allowed. Whether they will choose to do this depends on alot of things, mainly their ability to collect. Do you own your home? A car? Cash in bank accounts? If you don't really have much, they may not choose to go to the trouble since it will be difficult to collect. Of course, once they obtain a judgment against you, they can garnish your wages, but there are limits on that and it can take a while to get all your money. I would suggest that you try speaking with an attorney at length about your situation. Without knowing more, I am limited in the advice I can give.