Legal Question in Bankruptcy in California

Will a credit card company settle my debt for less if I advise them that I am going to have to claim bankruptcy as I have a loss of income and am unable to pay all of my debts? How would I go about this? I would like to avoid bankruptcy but they are raising my interest rate and I can't keep up. Would I call them and see what they would be willing to do, (say I owe 1,000.00 and the let me pay off for 500. Do they do that, even for less or what? Please advise how to do this. Are there any reputable companies that can cut what you owe in half or more and make payments?Thank you for your time.


Asked on 8/23/09, 12:59 pm

1 Answer from Attorneys
Robert F. Cohen Law Office of Robert F. Cohen

I don't think they would truly care if you threaten bankruptcy. They've heard that many times before. However, they might be willing to work with you on reducing the payments or interest rates, especially if you have a good track record. There are services that advertise that they negotiate with creditors. I would research them thoroughly before signing up with any of them, however.

Read more
Answered on 8/23/09, 1:26 pm


Related Questions & Answers

More Bankruptcy Law questions and answers in California