Legal Question in Credit and Debt Law in Pennsylvania

I do not have the whole form and do not know what you are applying for or why they are asking that question, so my answer would be "it depends." However, I have found that if you lie and say "no" then it will come back to haunt you in some fashion. If you give a categorical "yes" you might be disqualified from whatever you seek.

My suggestion, without reviewing the form, would be to state neither yes or no and say "see attached explanation." Then attach an explanation - why did you get into trouble with your debts? The fact that you settled it speaks well for your character. However, the reason you got into trouble may help you. For example, did you get sick? Lose your job? Going through a divorce? All these reasons tell a creditor that you got into trouble, not because you are irresponsible, but because circumstances happened and that you dealt with the situation. The creditor or other entity seeking the information can still decline the application, but they might be less likely to do so if you give an explanation.

Feel free to contact me if you would like me to review the form and provide a better answer.

Rachel Hunter

Attorney at Law

[email protected]

(678)-687-9693

Admitted in GA, PA & NC