Legal Question in Credit and Debt Law in Virginia
FDCA question
i recently got out of what i thought was a ''debt consolidation program.'' it turned out to be a program that decreases debt, but lets your credit hit rock bottom before they do anything...in the meantime they are sucking their own fees out of your account. All the while not doing a thing with my debt! Anyway, i've contacted all of my creditors to make payment arrangements. most of them were very understanding allowing me to make reasonable payments. One in particular is threatening to take me to court because i can't pay a $5500 debt in 5 months. They want me to make a $917 payment for then next 5 months in order to clear the settled debt. i only make 2200 a month. From what i understand if they would garnish my wages they can only get 25% of my take home income...which would be $550/month. The woman told me to find a way to get the money and make sure the payments don't bounce. She treated me so horribly and would not listen to the fact that in no way can i pay the $917 a month. How do i settle this and what is legal for her to be threatening and telling me i ''must pay $917 a month or i will be sued?''
1 Answer from Attorneys
Re: FDCA question
They can say that, as long as they mean it. And they can demand payment in full right now, and sue if you don't/can't pay. You may want to consider threatening bankruptcy - or actually filing it - if they don't cooperate.