Legal Question in Bankruptcy in Virginia

We were working with a debt settlement company and they only settled 3 out of 19 debts. We paid them their fee, but the companies that they were supposed to help with now are sending us letters that they want the money. I have contacted a debt management company and they suggest that we take our current debts and roll them into a program. However, the past debts they can not help with. I dont want to go into bankruptcy, what should I do.


Asked on 8/08/12, 4:14 am

1 Answer from Attorneys
Robert Brandt The Law Firm of Robert S. Brandt

Yup, debt settlement companies are typically a complete waste of money for the reason you just stated. Want to waste more money and time, then go with a debt managment company.

If you do not want to use the bankruptcy option then the best thing to do right now is nothing. Just sit back and wait and see if anyone sues you in the future. If someone eventually does, it will likedly be a debt buyer, not the original creditor, and they can be pretty easily be disposed off since they almost always have a very hard time proving that they own the account.

In about 8 years, all these charged off accounts should dissapear from your credit report.

Good luck!

Robert

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Answered on 8/10/12, 3:29 pm


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