Legal Question in Credit and Debt Law in New York

Credit Card Debt

I owe a credit card company $5,000. They have a court order saying I need to pay $300 a month. I am currently unemployed and cannot make the payments. I have called them and asked if I could pay $100 a month. They said no. I cannot afford the payments. What should I do? What happens if I do not make the payments? Can they put me in jail? I have told them I am able to pay $100 a month. What is my best course of action?


Asked on 1/15/09, 5:11 pm

1 Answer from Attorneys
Michael Markowitz Michael A. Markowitz, PC

Re: Credit Card Debt

The credit card company can take a judgment against you for $5,000 together with interest, court costs, and possibly attorney fees.

The credit card cannot cannot put you in jail. However, a judgment will affect your credit. Furthermore, with several exceptions a judgment the company may take money from your bank account, may collect using property in your possession, or, if you are employed may take 10% of your wages each month.

Mike.

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Answered on 1/15/09, 5:33 pm


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