I got laid off from my job a year ago...and only have social security income now. I owe about 17,000.00 credit card debt (on several cards) which I can't pay anymore. Especially since they raised my intrest rates to 19 to 25% last year even though I paid on time for years and years on them. I own one house with my daughter and homesteaded it...and have another house my name is on with my son and daughter in Law of which they make all the payments. Can the credit card companies go after one of the houses? I am sorry I can't pay these cards anymore...but I can't seem to get another job in this economy, especially at my age. And the credit card companies won't work with me. please advise me. Thanks
A person can protect one property and not more. You can protect your home if you have declared it a homestead. However, the other property is exposed to a potential lien. You may want to take a look at debt collection in Texas. Below I will discuss a few options you may want to consider in order to resolve the debt.
Credit counseling, or signing up for a debt management plan, is a very common form of debt consolidation. There are many companies offering credit counseling, which is essentially a way to make one payment directly to the credit counseling agency, which then distributes that payment to your creditors. Most times, a credit counseling agency will be able to lower your monthly payments by getting interest rate concessions from your lenders or creditors.
It is important to understand that in a credit counseling program, you are still repaying 100% of your debts -- but with lower monthly payments. On average, most credit counseling programs take around five years. While most credit counseling programs do not impact your FICO score, being enrolled in a credit counseling debt management plan does show up on your credit report, and, unfortunately, many lenders look at enrollment in credit counseling akin to filing for Chapter 13 Bankruptcy -- or using a third party to re-organize your debts.
Debt settlement, also called debt negotiation, is a form of debt consolidation that cuts your total debt, sometimes over 50%, with lower monthly payments. Debt settlement programs typically run around three years. It is important to keep in mind, however, that during the life of your debt settlement program, you are not paying your creditors. This means that a debt settlement solution of debt consolidation will negatively impact your credit rating. Your credit rating will not be good, at a minimum, for the term of your debt settlement program. However, debt settlement is usually the fastest and cheapest way to debt freedom, with a low monthly payment, while avoiding Chapter 7 Bankruptcy. The trade-off here is a negative credit rating versus saving money.
Bills.com makes it easy for you to apply for traditional forms of debt relief.
I hope this information helps you Find. Learn & Save.