Spagal Posted December 29, 2009 Report Share Posted December 29, 2009 I have vowed that 2010 will be the last year I bow down to creditors.Citi raised my rate from 11 to 29 in their recent change in terms and I did not react quick enough to opt out.They refuse to work with me at all until I am late.I also carry balances with B of A, Us Bank, Chase and Discover.I am up to date on everything including my student loans and car payment.Before I found this site I was getting ready to talk to an atty about BK.If I am reading everything right, I should stop paying all accept my car & fed student loans, hoard up my cash and try to get these leeches to settle...Now I will not have enough money to settle with all at once. I have a small savings that I use for emergencies and think I can save about $1k a month.Please let me know, i keep reading that my creditors in particular are difficult to deal with.Balances:Citi $23kBOA $15KUS Bank $11kDiscover $8kChase $4kAside from the not answering the phone what else should I do? and how do I plan this strategically so I am not expected to pay up all at once? Link to comment Share on other sites More sharing options...
GAMtgGuy Posted January 6, 2010 Report Share Posted January 6, 2010 I have vowed that 2010 will be the last year I bow down to creditors.Citi raised my rate from 11 to 29 in their recent change in terms and I did not react quick enough to opt out.They refuse to work with me at all until I am late.I also carry balances with B of A, Us Bank, Chase and Discover.I am up to date on everything including my student loans and car payment.Before I found this site I was getting ready to talk to an atty about BK.If I am reading everything right, I should stop paying all accept my car & fed student loans, hoard up my cash and try to get these leeches to settle...Now I will not have enough money to settle with all at once. I have a small savings that I use for emergencies and think I can save about $1k a month.Please let me know, i keep reading that my creditors in particular are difficult to deal with.Balances:Citi $23kBOA $15KUS Bank $11kDiscover $8kChase $4kAside from the not answering the phone what else should I do? and how do I plan this strategically so I am not expected to pay up all at once?That is it in a nutshell. Save everything you can to use for your settlements. On your list above, I've settled with CITI, Discover, and Chase. Discover was the toughest to deal with. As you go through this process, your debts may get charged off by the original creditor BEFORE you settle them. In this case, you will start receiving calls from external collection agencies. Most of the collectors that call commit FDCPA violations. You can partner with a local consumer lawyer, save the calls on your voicemail, and possibly sue the collectors for violating the law.I promise...it works! Just collected a 4700 check on 12/24 from a company that is trying to collect from me.Whatever you do...don't get suckered into hiring a debt settlement company. Link to comment Share on other sites More sharing options...
BrokeBob Posted January 6, 2010 Report Share Posted January 6, 2010 Another thing to consider--- most of these banks have arbitration clauses in their cardholder's agreements. I know Citi, BoA and Discover do. Chase does, but it only applies to amounts over $25k. I don't know about US Bank. Check out the Arbitration forum. Send letters to Citi, BoA, Discover and possibly US Bank saying: "I hereby elect arbitration for all disputes between _____ and myself." Send the letters CMRRR, so you will have proof. Often, they are much more willing to settle, and to settle for lower amounts, when you have taken their right to sue away from them. Link to comment Share on other sites More sharing options...
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