subject: Do You Need to Face a Lawsuit When You Fail to Make Credit Card Payments? [print this page] When you are up to your eyeballs in credit card debt, what must you do? Ignoring it? Stop considering this idea. You must look for positive way to solve it. When you have huge outstanding balances on your card statement, you are advised to obtain fund to eliminate your debt immediately. You are suggested to consolidate all your unsecured debts and obtain one single loan to pay off the debts. Or else, you can put in your effort to negotiate with your creditors to reduce the interest rate or finance charges so that you can pay back the amount you owe in an easier way. In the point of view of many irresponsible card holders, they ignore their debts as they think that sooner or later, the creditors will write off the debts as bad debts. In real business world, creditors may not do so especially during economy downturn. They have the right to take legal action on their debtors. When the creditors fail to collect the payment through their collection process, they can opt to file a lawsuit to demand for payment, usually when the past due is 6 months old. The debtors have to face the lawsuit and they will be asked to attend to court personally. If they fail to work the situation out, they will be awarded judgment by court. If this is the case, the debtors will be sued for bankruptcies or their monthly income will be garnished to pay off their debt. Remember, you can become debt free, no matter your level of credit card debt; you just need a good budget plan to get you there. Be fully prepared to keep track of your monthly expenses and maintain a tight budget. You will be able to overcome the problem soon. Never ever run away from it as you will be required to face the legal proceedings.
Do You Need to Face a Lawsuit When You Fail to Make Credit Card Payments?
By: Jeslyn Jessy
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