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 Roger Your Own Question

Roger
Roger, Attorney
Category: Bankruptcy Law
Satisfied Customers: 27088
Experience:  BV Rated by Martindale-Hubbell; SuperLawyer rating by Thompson-Reuters
6704987
Type Your Bankruptcy Law Question Here...
Roger is online now
A new question is answered every 9 seconds

Ive been working on settling unsecured debt. My last targeted

Resolved Question:

I've been working on settling unsecured debt. My last targeted credit line would not settle and one collector told me they don't charge off until 180 days. My other successful settlements were between 30 and 40% at 90 days. What would be a typical for 180 days for a purchase of this debt? I'm thinking 20% now. I told them I would send a new settlement offer. I'm currently at 169 days past due. I've had better luck at the end of the month, but going into a new month may be an issue. I think I should low ball them now, then see what they counter. I have always had them counter, but all others were negotiated over the phone. This bank is harder to work with.
Submitted: 1 year ago.
Category: Bankruptcy Law
Expert:  Roger replied 1 year ago.

Kirk Adams : Hi - my name is XXXXX XXXXX I'm a Bankruptcy litigation attorney. Thanks for your question.
Kirk Adams : Because the debt is unsecured, the threat of bankruptcy is ususally the best card to play because the creditor knows that if you file, it will get nothing.
Kirk Adams : The rule of thumb on any negotiaton is to start low and move upward. You can always come up with your offers, so beginning with a 20% offer is file, but you should expect to settle around the same 30%-40%.
Customer:

Thanks. XXXXX tell them I'm looking at bankrupcy even though I'm on record of settling other accounts?

Kirk Adams : It should help with getting a settlement in place.
Customer:

Thanks. What is the downside on my credit score if any, if I settle with a collection agency vs the creditor?

Kirk Adams : The only difference is the length of time your account is reported as delinquent on your credit report. Usually, it takes several months before an account is turned over to a collection agency, so the longer you wait, more negative history will appear on your report.
Kirk Adams : If you settle earlier (before the loan is turned over to collections), there would be less negative history.
Customer:

I have credit balances that I am paying on now. One closed acct at $3,500 that they gave me 4% on and a Sears card and a currently open Master Card. So when I finally resolve this settlement, I'll be paying on my daughter's Sallie Mae (original source of credit upset) I'm paying on time I'll start to rebuild.

Kirk Adams : It takes time to rebuild, but it can be done.
Customer:

How can I dispute Sallie Mae negative credit history entries. It's not my debt but cosigned. Still I have to pay and that's what ruined my credit in the first place. The reason why I went down the settlement road vs Chapt 13

Kirk Adams : If you co-signed, you're equally liable for the debt and the negative entries are likely not disputable.
Customer:

I'd like to try to refinance my house this year and offset the income gains from the settlements. I was going to try to underwater govt loan. They don't need as high a credit score.

Customer:

Got to get above 500 for that.

Kirk Adams : Getting a refinance should also help your cashflow, which would allow you to pay more money to other creditors faster.
Customer:

I thought I'd be finished with the settlements in June, but this last one is stubborn.

Customer:

I saw a bankruptcy firm in January and they wanted me to file Chapt 13. I'm working... Still I thought I would not be able to dicharge any debt because I have an income.

Customer:

Can't get rid of Sallie Mae. What resources are available for my daughter to deal with her debt burden. Anything looming in congress to assist?

Kirk Adams : Chapter 13 is a good tool because it allows you keep your property and pay your creditors through a payment plan that you can dictate the terms of.
Kirk Adams : Chapter 13 would allow you to set up a payment plan for the Sallie Mae loan based on income.
Kirk Adams : I assume this is a student loan, and there's generally NO help getting rid of such a debt because it is not dischargeable in bankruptcy.
Kirk Adams : That's why they're so hard to get along - - they know they're protected better than any other creditor that exists.
Customer:

She has a deferment set up with interest only payments. These cosigned loans were taken out in 2004 and 2005 w current rate of 5%. Trouble is that the principal doubled with her doing that. Now I'm on the hook for 40,000 instead of the orignial $22,000.

Customer:

Any hope of the law changing on discharging student debt?

Kirk Adams : I doubt it. I have heard nothing that would change the laws on student loans.
Customer:

My daughter took out lots of debt, much more than the $40,000 I cosigned. I think she should file bankrupcy and get a better payment plan. If she did that could I get off this loan? Could she get a better deal w bankruptcy?

Kirk Adams : Her filing would have nothing to do with you, and would not change your liability for the debt.
Kirk Adams : However, if she could establish a payment plan through her 13, then it could get the creditor off of your back.
Customer:

Would you recommend refinancing the debt. The new rate is lower but variable.

Kirk Adams : If the lower rate would make a significant difference in the monthly payment, it may be a good idea, but the threat always is that the variable rate will increase your payment to the point it can't be affordable. BUT, if that were to happen, she could then file bankruptcy.
Customer:

Is that available for Sallie Mae private loans? I tried to get her on the direct loan income based repayment when it became available. She did not follow through with documents and never completed the deal. That's where I get so frustrated. Her business, but not handling it and I get hit with paying.

Kirk Adams : It's possible to refinance through Sallie Mae or through some other lender.
Kirk Adams : Thanks for allowing me to assist and please let me know if you have any additional questions.
Roger, Attorney
Category: Bankruptcy Law
Satisfied Customers: 27088
Experience: BV Rated by Martindale-Hubbell; SuperLawyer rating by Thompson-Reuters
Roger and 3 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.
 
 
 

Related Bankruptcy Law Questions

Chat Now With A Bankruptcy Lawyer
Roger
Roger
Bankruptcy Lawyer
27088 Satisfied Customers
BV Rated by Martindale-Hubbell; SuperLawyer rating by Thompson-Reuters