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Ulysses101
Ulysses101, Lawyer
Category: Canada Law
Satisfied Customers: 3361
Experience:  11 years experience in Canada family law, plus criminal, civil, and employment
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i have a judgement against me from a credit card company but

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i have a judgement against me from a credit card company but I can't afford the monthly payments as the interest rate is very high and there is no principal being paid down. How can I change the judgement to ask the credit card company to remove the interest fees and set a one sum which I can pay back monthly.
Hello, thank you for the question.

So the card company already has judgement against you? You're certain?

What is the interest rate? Have you seen the order?

How much do you owe?

Have you considered speaking to a trustee in bankruptcy?

Ulysses
Customer: replied 3 years ago.

Yes. There is an order. 19% interest rate


 


Yes. I have. I have too much equity in the home.


 


I owe the credit card company $19,000.

Did you actually consult with a trustee in bankruptcy? It's rare that you'd have to sell your home to fulfill a consumer debt.

Ulysses
Customer: replied 3 years ago.

Yes and she said that she couldn't help me. Would it be in my best interests to consult with another trustee in bankruptcy?

Oh, absolutely you should see another trustee in bankruptcy. I don't know why the one you saw said that they couldn't help you.

It's very unusual for a bankruptcy to lead to you having to sell your home. A proposal to creditors if accepted would mean that you don't have to go bankrupt and that you'd pay them a much smaller amount. If you actually go bankrupt then they'd get nothing, so they have an incentive to accept your proposal.

Depending on your income and assets, you may find that you're paying far less than half of the debt over time with a manageable interest rate. If you go bankrupt, then you're wiping everything out but your credit rating is shot for the next seven years at least.

Most people just need help negotiating a repayment plan for a lower principal, with a reasonable interest rate, and payments you can afford. If you do nothing, the credit card company will try to enforce it's judgement. They can literally sell your home from under you. So you have nothing to lose by seeing another trustee.

Does that help? Please reply if you wish to discuss this further. If you're satisfied that I've answered you then please give a positive rating so that I get credit for having helped you.

Ulysses



Ulysses101 and other Canada Law Specialists are ready to help you
Customer: replied 3 years ago.

Hi,


 


thank you for your help. I will investigate the option. I spoke to one organization that offered a credit proposal option but they wanted me to give them $1200 up front which I don't have at this time so I didn't take that route. There must be a way. I will contact another trustee in bankruptcy to discuss a credit proposal. Thank you very much for the information.

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