Legal Question in Credit and Debt Law in Michigan

Re: Credit Card Debt

What happens to you depends on whether or not you're jointly obligated on the credit card account. If you have filled out the credit application and been approved as a user on the account, then, yes, you are responsible for the debts. Should the payments become delinquent, the credit card company would report the delinquency to the credit bureau and anyone who is responsible for the account will have their credit standing damaged accordingly. Beyond that, a protracted default could lead the credit card company to proceed against the obligor by methods running the gamut from phone calls in the early stages of delinquency to legal action if the problem is not addressed to the satisfaction of the obligee. If they get a judgment against the obligor, the obligee can then garnish wages. I don't want to alarm you any more than you already are, but this is a very serious situation if it is ignored. I would advise that if you are responsible for these accounts to contact the credit card company or companies and be very up front with them. If you are not and your husband is solely responsible for these debt, I would implore that he do the same.

Having said that, keep in mind that you are not without rights as far as the credit card companies go. They have to follow certain rules in collecting debts that are guided by both federal and state laws. I am not sure where you stand currently with these companies in the collection process, but you are protected from certain types of bad behavior.

Re: Credit Card Debt

If you did not sign a credit card application, you are not liable for the debt. The creditor is not entitled to collect from you or report it on your credit report.

If you are an authorized user that did not sign the credit card application, you should not be liable for the debt either, although some credit card companies will argue otherwise.