How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask John A. Flynn, Esq. Your Own Question

John A. Flynn, Esq.
John A. Flynn, Esq., Attorney
Category: Bankruptcy Law
Satisfied Customers: 189
Experience:  14 Years Experience in Bankruptcy - Mid-South Super Lawyer
Type Your Bankruptcy Law Question Here...
John A. Flynn, Esq. is online now
A new question is answered every 9 seconds

Im working on settling credit card debt. Citicards said to

Resolved Question:

I'm working on settling credit card debt. Citicards said to deal with citicards NCO financials. How can I tell if the debt is sold or NCO is citicards agent? I want to settle and I can get a loan from my 401K. I'm almost done, and got 2 cr card companies to accept a settlement. I want to get this done this month. Please advise me on how to proceed.

The bank that I have my 2nd mortgage has an unsecured line I'm also tryng to settle (Key bank) I got into trouble when I deposited a large check into a checking acct to pay a settlement and my regular bank put a hold on until it cleared. So my 2nd mort payment was not paid. I sent it the next day, but it's late now. Still not posted and I really want to settle this one this week, since Key sent me a letter saying I have 10 days to pay in full. Should I go make a payment on this usecured line today? There is a branch near me and I can stop in and make a cash payment.
Submitted: 1 year ago.
Category: Bankruptcy Law
Expert:  John A. Flynn, Esq. replied 1 year ago.
well, you could ask NCO if they own the paper or if they are just repping Citi. They should tell you. In either event, a settlement with NCO, whether they are a first party or third party will bind Citi if they are truly their agent, and since you say Citi told you to deal with NCO, I would say you're safe there making a deal with NCO assuming you can agree to settlement terms.

Are you saying that Key Bank has BOTH a 2nd mortgage AND an unsecured LOC with you and you are trying to settle the unsecured LOC with them? If so, I would be reluctant to make a regular payment on the LOC and just insist on a lump sum settlement if that is your goal. Since they are unsecured, the only thing they can do is file suit against you at which point you could either work a deal or possibly file bankruptcy.

Be aware, however, that you are incurring income tax debt with the IRS every time settle one of these accounts. The creditors are going to send 1099s for canceled debt to the IRS. You may want to talk to a bankruptcy attorney in your area about possibly filing bankruptcy which will allow you to discharge these debts AND avoid incurring new tax liability.

Customer: replied 1 year ago.
I spoke with a bankruptcy atty in december when I was looking at what to do. It's $3000 to file chapt 13 for me and I have a job. So I'm on the hook for the money and a bankrupty on my credit. I'm looking at $26,000 to settle. I have other low balance accts that I want to pay off normally in addition to 2 yrs of paying my daughter's Sallie Mae. I figure 50% of 26,000 would add 13,000 to my income. I can take a low interest loan from my 403K, without needing a credit hit. Then if I can get my credit up by the end of the year, I'll try to do a HARP loan on the house and write off the points to offset the extra income. After 2 yrs of on time payments to Sallie Mae, they will release the cosigner. Then I'll be in better shape to retire within 8 yrs from now.

Key rejected my 3rd offer for 40% and they want me to go to a program that is not great. They sent me a notice to pay in full in 10 days or else. I thought I could stall by paying $173 and giving an extra 30 days to negotiate. Also they hang up when they know I'm recording the phone calls.
Expert:  John A. Flynn, Esq. replied 1 year ago.
Well, it sounds like you have given it a great deal of thought and planning. I suppose paying that small payment to try and buy more time might not be a bad idea. The only concern I have is that in my experience, unless you've gotten significantly behind with some of these unsecured debts, they don't agree to decent settlements. 40% should be agreeable to them but only if they think you might just default entirely. If you weren't apparently concerned about your credit, the best settlement will generally come after getting 6 months or more behind on the account. If you aren't willing to do that, you might just need to up your offer to them. Good luck.
Customer: replied 1 year ago.
Yes, I don't want my credit to go too low. Sallie Mae really hit hard. So I might as well settle while I'm low already and bring it back up by paying off the smaller accts. This would show as a one time hardship event without bankrupcy. I think I'm better off with that on my record than a bankrupcy. Espcially when Chapt 13 is just a stall and I have to pay back 100%. Opinion?
Expert:  John A. Flynn, Esq. replied 1 year ago.
You don't usually have to pay 100% in chapter 13. It depends on various factors but most of my clients pay less than 10%.
Customer: replied 1 year ago.
Hmm. Guess I was right not hiring the firm I talked to in cleveland. Raushe & assoc. They said I'd have to pay 100% and sallie mae is the biggest liability.
Expert:  John A. Flynn, Esq. replied 1 year ago.
Well, it's possible you'd have to pay 100%, I don't have enough information to say for certain either way, just that most cases do not.
John A. Flynn, Esq., Attorney
Category: Bankruptcy Law
Satisfied Customers: 189
Experience: 14 Years Experience in Bankruptcy - Mid-South Super Lawyer
John A. Flynn, Esq. and 2 other Bankruptcy Law Specialists are ready to help you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Last | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
 
 
 

Meet The Experts:

 
 
 
  • FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
< Last | Next >
  • http://ww2.justanswer.com/uploads/FL/FLAandNYLawyer/2012-1-27_14349_3Fotolia25855429M.64x64.jpg FiveStarLaw's Avatar

    FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
  • http://ww2.justanswer.com/uploads/TL/tleeders/2012-6-13_204815_TSL1.64x64.jpg Terry L.'s Avatar

    Terry L.

    Attorney

    Satisfied Customers:

    2204
    Better Business Bur 15yrs bankruptcy experience. Chicago Bar
  • http://ww2.justanswer.com/uploads/mnphillips2/2009-03-13_203105_10984459-249293407.jpeg Phillips Esq.'s Avatar

    Phillips Esq.

    Attorney-at-Law

    Satisfied Customers:

    950
    B.A.; M.B.A.; J.D.
  • http://ww2.justanswer.com/uploads/CO/cortrightlaw/2011-12-5_4117_Kevin.64x64.JPG cortrightlaw's Avatar

    cortrightlaw

    Attorney

    Satisfied Customers:

    490
    Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
  • http://ww2.justanswer.com/uploads/Jay1968/2006-12-03_004423_JoeRossPhoto.jpg JoeLawyer's Avatar

    JoeLawyer

    Attorney

    Satisfied Customers:

    376
    Attorney in the practice of Bankruptcy Law since 1996
  • http://ww2.justanswer.com/uploads/DY/Dylatess/2012-9-11_1968_BHBTemplePhoto.64x64.jpg dylatess's Avatar

    dylatess

    Attorney

    Satisfied Customers:

    370
    35 plus years of experience specializing in bankruptcy law
  • http://ww2.justanswer.com/uploads/US/USLawAnswers/2012-9-20_23143_20090105211638Headshot3b.64x64.jpg Brent Blanchard's Avatar

    Brent Blanchard

    Bankruptcy Attorney

    Satisfied Customers:

    315
    Twelve years experience in all aspects of debtor & creditor BK.