Charge Offs--I'm panicking

[workingonit2]

Hi everyone,

I'm totally new to the forum so hi and hello.

Bottomline, I am in complete PANIC mode. 

In the last few months, I have 4, yes FOUR account charge offs. I had two accounts with Capital One, and two accounts with First premier Bank and they have all, now, charged off.  This year was a tough year for me financially; i made a lot of mistakes and did some overspending last year and it seems this was the year everything came around to bite me in the butt. Obviously hind sight is 20/20 and I see now all my mistakes---shouldn't have got the cards to begin with, should have paid more than the minimum, should have done automatic payments yata yata..... but here we are. I have had HUGE bills these last few months which truly left no extra money at all. Im in my 30s and I support myself completely. My own place, my own car my own BILLS :(. 

So as I'm feeling like this is the end of the world; Does anyone have any success, advice, or encouragement?? These are the only (and I don't say Only lightly...) negative items on my report. The other accounts I have (car, an online store card, student loans) are all current and paid on time. These 4 cards are the 4 things I could just not stay on top of. My Capital One balances are 1270 and 700, my first premier are something like 800 and 700, I believe. Ive been disputing, hasn't been working of course.

 

I just feel so discouraged.

[Clydesmom]

2 hours ago, workingonit2 said:

Does anyone have any success, advice, or encouragement?

Capital One is an aggressive litigator.  If you don't reach a settlement with them first they WILL sue you.  They removed arbitration from their card agreements in 2010 so if you opened your account with them after that you can't use that strategy to defeat them either.   I would recommend contacting them and settling with them to avoid litigation if at all possible.

As for First Premier:  that is a Sherman company.  They will hand it off (claiming they sold it) to Midland Funding and they too will eventually sue you.  However, that can EASILY be beaten.  I would ride that one out because the negative entries from all 4 accounts have already done their damage to your credit.

[BV80]

@workingonit2

I want to commend you on your following statement.

5 hours ago, workingonit2 said:

My own place, my own car my own BILLS :(. 

You requested encouragement.   Your words show your willingness to try to be responsible for your actions    That's a great thing, and I applaud you.

EVERYONE screws up at one time or another.   I don't know why you overspent, but it's not an uncommon occurrence.   Most of us are here for that very reason.  We overspent for one reason or another.   I would "guestimate" that most of the time it's based upon "counting our chickens before they hatched." 

@Clydesmomis correct that certain creditors will sue.   However, don't panic right now. 

How recent are the charge-offs.?   Have any of the debts been sold to a debt buyer?

We have very knowledgeable CA posters that could possibly help you.  @Anon Amos   @sadinca @calawyer

 

[workingonit2]

3 hours ago, Clydesmom said:

Capital One is an aggressive litigator.  If you don't reach a settlement with them first they WILL sue you.  They removed arbitration from their card agreements in 2010 so if you opened your account with them after that you can't use that strategy to defeat them either.   I would recommend contacting them and settling with them to avoid litigation if at all possible.

Oh wow thank you! Panicking a bit more now lol but I'm glad I know that! I called them as soon as I read what you wrote but their offices are closed of course today. Will call first thing Moday. Ugh I hope it's not too late. It's been a couple months... :/

[Clydesmom]

3 hours ago, workingonit2 said:

Oh wow thank you! Panicking a bit more now lol but I'm glad I know that! I called them as soon as I read what you wrote but their offices are closed of course today. Will call first thing Moday. Ugh I hope it's not too late. It's been a couple months... :/

Take a deep breath and center yourself.  There is no reason to panic.  Start educating yourself on dealing with debt and negotiation tactics.  If you can keep Cap1 out of court and deal with it great.  If not there are a litany of resources on this site and others on how to deal with a lawsuit.  There is nothing to be gained by stressing yourself out.

[Anon Amos]

On ‎8‎/‎13‎/‎2016 at 2:49 PM, workingonit2 said:

Oh wow thank you! Panicking a bit more now lol but I'm glad I know that! I called them as soon as I read what you wrote but their offices are closed of course today. Will call first thing Moday. Ugh I hope it's not too late. It's been a couple months... :/

I disagree with all the Cap one horror stories in this forum. I also wouldn't bother calling and trying to negotiate something that's been charged off. I think it was to your benefit that you weren't able to speak to them. I have never seen anyone in this forum from CA lose to cap one (even in the extremely rare cases that did go to trial (that were in the 20k range) were dismissed, although at the last minute.

If you want an honest answer of how many times cap one sues and goes to trial look at your online court docket. Getting sued and going to trial are two entirely different things. I think they file the suits for intimidation and to help negotiations. Again, I cannot imagine trying to negotiate a charged off debt.

Also, I think you may be a bit hard on yourself. All of your debts are for a low amount. When you add them all up they are still smaller than many of the lawsuits that are dismissed here. It's also unlikely you will get sued on all of them. However, I do think if you start calling them and mentioning the ability to pay them (especially if they have ben charged off) it's going to have the same effect on you as chumming shark infested waters. Also, if you could make payments, you could set this money aside incase they do sue and then negotiate. If you go from charged off to a lawsuit you will then be back in a negotiation stage.

 

[Anon Amos]

Also, the fact that they removed arbitration will be to your advantage as well.

[workingonit2]

24 minutes ago, Anon Amos said:

I disagree with all the Cap one horror stories in this forum. I also wouldn't bother calling and trying to negotiate something that's been charged off. I think it was to your benefit that you weren't able to speak to them. I have never seen anyone in this forum from CA lose to cap one (even in the extremely rare cases that did go to trial (that were in the 20k range) were dismissed, although at the last minute.

If you want an honest answer of how many times cap one sues and goes to trial look at your online court docket. Getting sued and going to trial are two entirely different things. I think they file the suits for intimidation and to help negotiations. Again, I cannot imagine trying to negotiate a charged off debt.

Also, I think you may be a bit hard on yourself. All of your debts are for a low amount. When you add them all up they are still smaller than many of the lawsuits that are dismissed here. It's also unlikely you will get sued on all of them. However, I do think if you start calling them and mentioning the ability to pay them (especially if they have ben charged off) it's going to have the same effect on you as chumming shark infested waters. Also, if you could make payments, you could set this money aside incase they do sue and then negotiate. If you go from charged off to a lawsuit you will then be back in a negotiation stage.

 

Thank you so much. Yea... I've calmed down. A lot lol. Not panicking anymore. I've had charge offs years and years ago, like college and I just remember the sigh of relief when they finally fell off... I worked hard to clean up my credit, so I think I'm, more than anything just frustrated that this was such a tough year financially that this even happened. I still have a steady source of income so I know I'm not in as troubled waters as some... And so far, these are my only blemishes. They're just BIG ones..... Capital One was really good to me, I'm sad I wasn't able to hang in there. Anyhow..... I haven't decided if I'm going to reach out or just let it be.  I'm just trying to work on being more money savvy, less spendy and figure out how to put money away. I thank you very much for your replies. You have talked me down from the ledge....

[sadinca]

do not panic yet. the time to panic will be when (and if) you receive summons for any of those debts. and even then, do not panic. you have found this wonderful website early and you can start educating yourself if that day ever comes. some members join only over a month from trial and some have still manage to pull some wins, so that puts you ahead of the curb from most members. 

my wife and i went through some tough times during the meltdown, after both of us having 800+ FICO scores, great paying jobs, and having credit relationships with major cars for over 13 years.  she got sued by midland for a Chase debt of just over 1700, the day before trial she decided to settle for monthly payments of half the  debt, but also she never heard anything from Citibank on a $5000 debt, now is past SOL and that charge off has fallen off her credit report. 

I got sued by Calvalry for almost $6000 citibank debt,  got my case dismissed. but never heard anything from a $9000 Discover Debt which still lingers on my credit report but its now past SOl. 

Thanks to @calawyer, @Anon Amos, and @RyanEX who guided us during those discouraging, and bleak days. they gave us the hope to stand up and fight. and because of them, we are now financial stable, my wifes credit score is now up on the high 700, and mine is on the way to recovery. 

so dont panic. there are many options. 

do you remember when were the last payments to those debts? are they anywhere close to SOL?