Has anyone ever tried this?

iVillage Member
Registered: 12-08-2008
Has anyone ever tried this?
5
Wed, 02-25-2009 - 8:57pm

Okay, I'm beginning to re-think my bankruptcy filing. I think we can scrape together about half of what I owe to my cards. What if I called all of my creditors (all credit cards...all about 60 days behind) and told them honestly that I am about ready to file Ch 7 but if they will reduce my balances by half I can pay them in full and will close the accounts? Is this going to be just as bad for my credit as BK would be? The reason I am balking with filing to be honest is that I am terrified the trustee will either take our house or force us to pay the equity to him, which in the end would probably be almost as much as paying the cards off (if they will go for this).

Anyone tried this? What do you all think?

iVillage Member
Registered: 11-18-2003
Tue, 03-10-2009 - 12:15pm
I am new to this board and all this but did you ever get an answer? Is Chapter 13 an option for you?

 


Terri

iVillage Member
Registered: 11-17-2007
Thu, 03-12-2009 - 12:14am

Many years ago we got into a real financial bind. But there was one thing I knew is that the cards would not charge off an account for 90 days. We paid out our behinds in late charges and interest for a while but we never filed.


If you are only 60 days behind then your accounts they are still active. I think if you call these people and talk to them about catching up the accounts You might even get them to credit back some of the late charges and such.


Really You could go for years with an account never really being charged off all you have to do is pay them a part of your payment before the closing date goes into the 3 month. Buy yourself some time if you think that things are going to get better. In our case we were buying time.


What you have already done by being late has already hurt your credit.

Community Leader
Registered: 03-17-2003
Thu, 03-12-2009 - 12:30am
I wouldn't negotiate a settlement with your creditors.
Avatar for courtv
iVillage Member
Registered: 04-29-2003
Mon, 03-23-2009 - 2:35pm
It seems this is a bit late but I will provide my experience anyways in case you're still looking for advice and anyone in a similar situation passes through here.
Community Leader
Registered: 03-17-2003
Sun, 03-29-2009 - 7:07pm
violation reported.