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Ellen
Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
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What are the ramifications of not paying a credit card debt I

Resolved Question:

What are the ramifications of not paying a credit card debt?
I had a low interest rate (6.9) that the CC company for no good reason increased to
15.9. I am not in the position now to double payments as in the past so for the last 5 months I have not made payments because I know that making the minimum I will "never" pay this down. I have been told when calling to speak to a supervisor to try and negotiate my interest back down that I can not speak to anyone unless I make a minimum payment rignt then by phone.
Submitted: 7 years ago.
Category: Bankruptcy Law
Expert:  Ellen replied 7 years ago.
Hello,

Thank you for your question.

if you do not pay your credit card debt eventually the creditor can file suit against you and obtain a judgment. The judgment can be used to execute on assets that you may have. In Florida, head of household wages and homestead property are exempt from execution from a credit card debt.

You may want to consider a chapter 7 or 13 bankruptcy to assist you. You can post me back if you want further information concerning this option.
Customer: replied 7 years ago.

So, even tho, my name is XXXXX XXXXX house a lien could not be put against it?

How likely is it that a collection agency that the CC company will eventually sell

my debt to take me to court? And win?

I know in the fine print the CC company can raise interest rates. I was never late, I never missed a payment and for a long time, I doubled my minimum due. Could this

argument be of any value if taken to court. I'm just really feeling angry about them doing this to current customers.

Expert:  Ellen replied 7 years ago.

So, even tho, my name is XXXXX XXXXX house a lien could not be put against it?

This is correct provided the house is homestead

How likely is it that a collection agency that the CC company will eventually sell

my debt to take me to court? And win?

At sometime in the future the credit card company may determine that it is worth filing suit. If that occurs they would likely prevail since you do owe the money

I know in the fine print the CC company can raise interest rates. I was never late, I never missed a payment and for a long time, I doubled my minimum due. Could this

argument be of any value if taken to court. I'm just really feeling angry about them doing this to current customers.

I agree with you that this is not fair however it is not a valid legal argument

Ellen and other Bankruptcy Law Specialists are ready to help you