Legal Question in Credit and Debt Law in North Carolina

In 2009 I owed $9000.00 to a credit card. This debt was turned over to a collection agency. Since 2009 I I have borrowed money to pay large sums at one time and did make $250.00 payments for a year to bring the debt down. I made a payment of $1200 (which I had to borrow ) in January 2001 to bring the debt to $4200.00. They are now telling me I have to make $300.00 payments for the next 4 months then pay the balance in full. I did ask for receipts of the money I have had paid in and I was told they could not give me any type of documentation. I am not refusing to pay I just can't pay $300.00 a month on top of the other money I am making payments on. Do I have any options? I have contacted the credit card company of where the debt originally started and they have no record of my account only that it was turned over to the collection company.

Thanks for your help

Rhonda


Asked on 2/25/11, 7:27 am

1 Answer from Attorneys
Rachel Hunter

Rhonda,

Yes you do have options. This debt can be settled at a later date. You can save up until you have enough to settle and pay in one lump sum. Or, you can continue to make payments, but you need to get something in writing first from the debt collector. You should not have paid them any amount without a written agreement. Generally, payments should not be more than 1% to 2% of the total debt. If they want more, they are not being reasonable and you then need to save up and pay later or file bankruptcy if you have other debts.

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Answered on 3/10/11, 5:15 pm


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