Legal Question in Credit and Debt Law in Georgia
What is our legal right about credit cards? We live on Social Security and were doing just fine with our credit cards. We had an interest rate of 7-9%. Just before the new credit card laws went into effect, they raised our interest rate to 17-21%. With the new law, our payments have nearly doubled. We have never had a late payment, or gone over our credit limit. If we call and demand for them to lower the interest rate to what they were, and they refuse, do we have another option? If we stop paying them altogether, what can they do to us legally? Can they get a lien against us and go to our bank account and take our Social Security money? I want to do what is right, but if they act as they normally do, and refuse to help in any way, I want to know my legal rights before I call them. We do not own property, only a car.
2 Answers from Attorneys
Your "rights" are generally found in your card agreements (and amendments), and to some extent the laws. Generally, cards are allowed to raise interest rates and have done so. This is the risk of carrying a balance on a card. Your best option, by far, is the most obvious one - work on paying it off as soon as possible. That is "what is right," as you say.
Scott's answer is correct.
I should add that if your debts are large, you may want to go bankrupt and eliminate the debt.
Your social security cannot be attached, but they can pursue your home, bank accounts and other assets.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
