Hi all,
This is my first time here and I'm glad I found this site 'cause I've read some threads and they are very helpful.
Here is my question:
My mother in law has about 35,000 dollars in credit card debt which she can't pay anymore because she no longer has a job. She is about 60 yrs old and she doesn't own anything. No home, less than 100$ in her bank account so she is basically getting some help from us.
I've heard that there is nothing the collectors/credit card companies can do to her even if they sue her 'cause she basically has nothing. Is that true?
Should we call the cc companies and see if they want to forgive her debt? When are supposed to call these companies to settle the debts. She is already running 2-3 month late on the payments.
Thanks for your time.

Hi, mimi79!

The first thing that I would suggest doing is calling the credit card companies to see if some sort of arrangements can be made for payments and maybe even the writing off the debt on the cards. If there's no communication in some way and if the debts go to the collection stage and maybe even the court stage as far as suing for payment of the debts, then that is where the bad things start to happen.

The sooner you call, then the better. I would suggest having a second person on the line as a witness when you call, and tell the credit card representative that you have someone else on the line and have your witness say something in order to prove that someone else is on the line. I have done this a number of times to make arrangements concerning credit card debt. It has worked out okay for me.

Beyond that, I'm not sure. The amount that your mother-in-law owes is a lot more than I owe. I have been able to negotiate payments that I can afford and with much less interest by calling the companies, though.

Hopefully, others will come along to address your question.

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Originally Posted by mimi79

Hi all,
This is my first time here and I'm glad I found this site 'cause I've read some threads and they are very helpful.
Here is my question:
my mother in law has about 35,000 dollars in credit card debt which she can't pay anymore because she no longer has a job. She is about 60 yrs old and she doesn't own anything. no home, less than 100$ in her bank account so she is basically getting some help from us.
I've heard that there is nothing the collectors/credit card companies can do to her even if they sue her 'cause she basically has nothing. is that true?
Should we call the cc companies and see if they want to forgive her debt? when are supposed to call these companies to settle the debts. she is already running 2-3 month late on the payments.
Thanks for your time.

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I mean.. what's the worst that can happen? She has literally nothing. Not even an active phone line and she is currently overseas because she is ill and can't afford the medical costs here and we don't even know when she's going to come back

If she has no intention of coming back to this country, then the credit card companies cannot do anything to her financially in another country. They don't extradite a person from another country back to this country for bad debts. After so many years the credit card companies will write off her debt. The bad news is if she does decide to come back to this country she won't be able to get any credit cards in her name.

OK, you can call them and ask them to forgive the debt ( if you want to get laughted at)

You can ( well actually you can't do anything) but she can call and try and make payment arrangements,

Worst that can happen, they will get a judgement and if she does latter get a job they will garnish her wages.

Hi MiMi79,
The only way your mother in law's debt can be erased is by her filing a Chapter 7 Bankruptcy. She's unemployed and has little money and no assets. Even if she has a car, by filing bankruptcy she will protect what assets she has, and wipe her slate clean. That would be a new beginning for her.