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Can I stop payment to agency settle my debt?


hmta1982
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Hello,

I consolidate my 5 CC to an agency. Now I got one CC sued me. Then I have no choice to chose BK7. Should I stop payment to them now? Or I have to wait til my case is done? I am not understand the lot so please advise.

Thank you...

Edited by hmta1982
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Your filing chapter 7 BK? Yeah, pretty safe to just go ahead and stop paying on not just the credit cards, but everything. Unless you just enjoy flushing money down the toilet. Are you familiar with what BK is? If not, please see a free BK atty before you send another dime to any creditor.

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If this is the credit repair place you are talking about, you can stop payment at anytime because they breached the contract once the judgement was filed. I would stop it tomorrow. I would also list the last 3 months of payments to them so that the trustee can take those away to pay the real creditors.

Don't worry about the credit repair agency taking you to court. All you have to prove is that they have unclean hands due to breach of contract (the judgement should be enough for that) and hence have no standing.

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You paid money to a BK atty and the atty told you it was your option to continue to pay on the credit card(s)?

Sorry for any unclear.

Not a CC. An Settlement Agency. I paid them to settle with my CC. They did 1 CC, the other one begin this month, 3 more to go then I got sued.

Best Regard

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Sorry for any unclear.

Not a CC. An Settlement Agency. I paid them to settle with my CC. They did 1 CC, the other one begin this month, 3 more to go then I got sued.

Best Regard

Just sad, sorry to hear this. I know these "settlement companies" are legal, but they should not be for the money they charge with zero guarantee the creditor will comply.

I tried this 10 years ago. The settlement company told me they had a "hand shake agreement" with the creditors so not to worry that I would not have a contract setting the terms of the payments and how much the creditor would settle for. They naturally got a big. :thefinger:

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