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Help401 · Feb 6, 2007, 06:31 AM

I need advice. Yesterday I was served papers about a debt with a credit card company. It is MY debt. I was young and very dumb about my credit cards. Now they are catching up to me. I am broke. I honestly don't own anything. No savings, I rent, and my car is financed. I as of right now have 19 days to respond. I have NO clue how or what to do. I know eventually I will have to file for bankruptcy but I DON'T have the money to hire a lawyer right now. I am sooo scared and can't sleep. I know I did this to myself but I need help. I'm afraid they will take my car. Please help.

mr.yet · Feb 6, 2007, 06:53 AM

File notice of intend to defend with the court, if you don't they will get a judgment against you by default.

How old is this debt?

ScottGem · Feb 6, 2007, 07:42 AM

There are many threads here that discuss very similar situations. I suggest you go through them and educate yourself. That should help you learn how to deal with this. If you have any more questions then come back and ask.

rbalmer · Feb 6, 2007, 09:09 AM

Originally Posted by Help401

I need advice. Yesterday I was served papers about a debt with a credit card company. It is MY debt. I was young and very dumb about my credit cards. Now they are catching up to me. I am broke. I honestly don't own anything. No savings, I rent, and my car is financed. I as of right now have 19 days to respond. I have NO clue how or what to do. I know eventually I will have to file for bankruptcy but I DON'T have the money to hire a lawyer right now. I am sooo scared and can't sleep. I know I did this to myself but I need help. I'm afraid they will take my car. Please help.

How much do you owe total? When I did a bankruptcy(before new laws) the attorney started it with half paid. The question is can you afford 25% of your check taken if there is a judgement against you? You can stall things by defending and showing up for court, and making them show contracts, and during that time you can save for bankruptcy. Just my thoughts. Unless the car is collateral for any of the debt I doubt they can touch it.

Help401 · Feb 6, 2007, 06:56 PM

The debt is about two and a half years old. I owe about $2,000. My mind is so messed up right now. On the papers that were served to me I have till the 25th to respond. There isn't a court date. Should I see if they will reason with me and let me make payments?

ScottGem · Feb 6, 2007, 07:18 PM

First respond to the court with your intention to defend. Then try to reach a settlement.

Help401 · Feb 6, 2007, 07:56 PM

Thank you for responding. Do I need to fill out the paperwork because I really don't understand it. Should I just go to the Local courthouse ASAP and speak with the Clerk of Court? I'm sorry for asking these dumb questions but the only time I've had to go to court or deal with anything Legal was for a speeding ticket. I am clueless.

rbalmer · Feb 6, 2007, 10:43 PM

Originally Posted by Help401

I need advice. Yesterday I was served papers about a debt with a credit card company. It is MY debt. I was young and very dumb about my credit cards. Now they are catching up to me. I am broke. I honestly don't own anything. No savings, I rent, and my car is financed. I as of right now have 19 days to respond. I have NO clue how or what to do. I know eventually I will have to file for bankruptcy but I DON'T have the money to hire a lawyer right now. I am sooo scared and can't sleep. I know I did this to myself but I need help. I'm afraid they will take my car. Please help.

The court clerk cannot say a thing, only get a attorney. If $2,000 is all you owe for all debts then Bankruptcy is probably not the answer, because it now will cost $1,500 for one(thats just a amount that I have heard after new laws). You might want to see if there are any attorneys that help low income, or go for free advice. If you choose to do it yourself you must file the intent to defend so you are kept in the loop for all court dates. What you will probably be defending eventually is how much you can pay a week, every other week, or month. I'm not a pro so really try and find a attorney. Google, or calling one and asking if they know of any that help low income people.

mr.yet · Feb 7, 2007, 04:52 AM

In you paper sent to you there should be a form to return to the court, read them carefully, if not file a "Notice of Intend to defend."

Court Name
Address
Case #

Your name
Address
Phone #

NOTICE OF INTEND TO DEFEND.

I hereby give notice to the court that I intend to defend this aciton and demand strick prove of the Plaintiff claim.

Good Luck

ScottGem · Feb 7, 2007, 06:57 AM

The court clerk CAN help. They can tell you what forms are needed and either provide them or tell you were to get them. You don't always need a specific form. A simple letter making a statement may suffice.

Have you read through other threads like I suggested? This might help you relax when you see others have gone through the same thing and all the advice that's available.

Help401 · Feb 7, 2007, 07:05 PM

I have read through the others. I thank you for your advice. I'm just trying to take it all in. I've had to work 30 hours the past three day so it has been hard all around.

bretb · Feb 7, 2007, 09:20 PM

Originally Posted by Help401

I need advice. Yesterday I was served papers about a debt with a credit card company. It is MY debt. I was young and very dumb about my credit cards. Now they are catching up to me. I am broke. I honestly don't own anything. No savings, I rent, and my car is financed. I as of right now have 19 days to respond. I have NO clue how or what to do. I know eventually I will have to file for bankruptcy but I DON'T have the money to hire a lawyer right now. I am sooo scared and can't sleep. I know I did this to myself but I need help. I'm afraid they will take my car. Please help.

They can't take your car if you don't own it. Remember... they can't squeeze blood from a turnip. :) I've always loved that saying.

I just posted my experience of being sued twice by two different collection agencies (one for almost $30,000). I strongly suggest you check it out here:

https://www.askmehelpdesk.com/bankru...y-56749-2.html

OH! Also, remember one VERY IMPORTANT fact. When I was sued, my wife and I owed over $30,000 in credit card debt (NOT including what I was being sued for). Currently, we still owe almost $25,000 in credit card debt. We have NEVER filed for bankruptcy. Dude, don't do it. It would be different if you owned a house and/or they were coming to take your car, etc.

It sounds like you're working. Life is a LOT better than you're giving yourself credit for. I got in a bit of trouble when I lost my job unexpectedly... I called my credit card folks and explained what happened. I told them that I still wanted to make my payments and keep my credit in good shape, but I'd do my best and if I had make a late payment, well, that's life (just like me losing my job). Most were Surprisingly cool and made arrangements to reduce my minimum payment temporarily. There was one that wasn't. He he... guess who DID NOT get paid when the money ran out? LMAO... yee haw! As it turns out, I was out of work for over six months, but the unemployment enabled me to pretty much pay all the bills (though it's freakin' breadcrumbs) except for one... I withheld payment from my friends at Citibank that were idiots who were unwilling to show me a little mercy in desperate times.

By the way, that's the debt the first company sued me for.

Don't fret the lawsuit man... seriously. It is serious, you'll not be happy if you don't take it seriously, but don't lose sleep over it. Read my story on this other thread and do what I did. You'll likely not even have to file a "motion to dismiss" because they're just hoping you won't file ANYTHING...

Once you file an "answer" to their "complaint" I bet 10 to 1 that they'll drop the lawsuit.

If it makes you feel any better, I was being sued for $9,000 when they dropped the suit after I filed an answer. When I was sued for almost $30,000, they actually hung in there for one more step... so I wrote a letter to the court, called it "motion to dismiss" at the top and asked the judge to throw out this lawsuit because I don't know this crazy collection company, nor have I ever had a credit card with THEIR name on it (not mentioning the original creditor).

This whole thing is a game that the collection companies play, so we all have to play along once we reach this step. Thank God for the Internet... Collection companies probably had a LOT more success when people couldn't post and email each other about their experiences.

Good luck! And... seriously, don't sweat it. Things will turn out MUCH better than you had anticipated. :) trust me! (been there, done that)

ScottGem · Feb 8, 2007, 06:38 AM

Originally Posted by bretb

when I lost my job unexpectedly... I called my credit card folks and explained what happened. I told them that I still wanted to make my payments and keep my credit in good shape, but I'd do my best and if I had make a late payment, well, that's life (just like me losing my job). Most were SURPRIZINGLY cool and made arrangements to reduce my minimum payment temporarily. There was one that wasn't. ...I withheld payment from my friends at Citibank that were idiots who were unwilling to show me a little mercy in desperate times.

As a former collector it is not surprising to me at all that your creditors were helpful in a time of trouble when YOU contacted them. The worst thing you can do is dodge and ignore. As long as you keep in contact, explain your willingness and intent to pay as muchg as you are able then most creditors will be understanding and helpful.

I must say I'm surprised that Citibank was the hold out. I've been a Citibank customer for over 30 years. Including a couple of periods of unemployment. When I was short on funds I found the people there just as helpful and accommodating as other creditors when I contacted them.