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beanbean · Jul 17, 2008, 06:26 PM

I had enrolled with credit Solutions due to $50,000 debt. They worked out a payment plan for me in which they said they would save me approx. $18,000. The problem is the first settlement offer for one of my cc was way low. I owe like 22,000.00 and they had an offer of knocking it down only to $19,500.00. They claim to clear your debt the very least by 40%. I do not know if this is going anywhere or not. They say I can decline this offer yet it sets me up for creditors to sue me etc.. I have all ready paid CSA $1700.00 to get start in which they wanted that much before they call my creditors ( 3months). Does this seem legit ? Do you know if this company stands by their word? If not I read I can back out but they may penalize me? Any input would help! I live in Florida and I do have a home but no money. I live on a very tight budget now since I enrolled with credit solutions and I feel trapped! Do you know of any one who was successful with this program? I am in desperate need of some input!

George_1950 · Jul 17, 2008, 09:27 PM

Welcome to AMHD. Have you considered Chapter 7 or 13? Bankruptcy Chapter 7 Personal Consumer Creditors File and
Bankruptcy Chapter 13 Debt Payment Retain Assets

TheCleaner · Jul 18, 2008, 04:16 AM

Hi, how long since your last payment? Most creditors use not to settle for less than 80% until the last minute before the charge off, this is six months after your last payment, few creditors won't setlle at all, just charge off and send the account to in-house collections.

Carl.-

Fr_Chuck · Jul 18, 2008, 05:15 AM

Each settlement company has various contracts with different lenders, No you should not have paid anything until an agreement was in place normally.

Percent of savings are guess or averages of what they have saved people in general, each case is different in fact some lenders will not deal at all with these companies.

beanbean · Jul 18, 2008, 07:38 AM

Originally Posted by TheCleaner

Hi, how long since your last payment? most creditors use not to settle for less than 80% until the last minute before the charge off, this is six months after your last payment, few creditors won't setlle at all, just charge off and send the account to in-house collections.

Carl.-

beanbean
It has been almost 4 months since my last payment. I also recently read that Discover card does not deal with thes companies and their might be some truth to it because after missing two payments a collection agency mailed me a letter to collect and respond within 30 days etc.. Have you or any one you know ever dealt with Credit Solutions?

beanbean · Jul 18, 2008, 07:44 AM

Originally Posted by George_1950

Welcome to AMHD. Have you considered Chapter 7 or 13? Bankruptcy Chapter 7 Personal Consumer Creditors File and
Bankruptcy Chapter 13 Debt Payment Retain Assets

beanbean
What isChapter 13? Is it for businesses only? I had been told it is very difficult to claim bankruptcy in the state of Florida as well as anywhere. It use to be anyone could do that but now it is hard to do! Any truth to this? I want to pay off my debts but I could not keep up with the payments so I sought help with CSA! Do you think they are legit and I should just wait it out?

beanbean · Jul 18, 2008, 07:52 AM

Originally Posted by Fr_Chuck

Each settlement company has various contracts with different lenders, No you should not have paid anything until an agreement was in place normally.

Percent of savings are guess or averages of what they have saved people in general, each case is different in fact some lenders will not deal at all with these companies.

beanbean,
I paid them after the fact they made out a payment plan in which I had to follow faithfully and I am to date. They had a plan( it is printed in my documents on their website) in which I am to pay out approx. $700.00 a month for 4 years. Two hundred a month goes to them for 21 months the rest goes in my savings account. For the first 3 months that I did not make credit card payments I was paying them $500.00 a month. For they claimed they do not start negotiating until they get that fee! Have I got a chance?

George_1950 · Jul 18, 2008, 07:53 AM

Originally Posted by beanbean

beanbean
What isChapter 13? Is it for businesses only? I had been told it is very difficult to claim bankrupcy in the state of florida as well as anywhere. It use to be anyone could do that but now it is hard to do! Any truth to this? I want to pay off my debts but I could not keep up with the payments so I sought help with CSA

Did you read those links?