[love.is.red]

Ok so I'm pretty scared right now. I opened up a credit card with Washington Mutual about 2 yrs ago. I ended up not being able to make enough payments and stupidly ignored it for a little bit thinking that I would have enough money at some point to pay it all off. It obviously didn't happen and now my debt has been turned over to debt collectors. This one guy has been calling me and he actually called my dad twice! I don't even know how he got his number! I don't want my parents to know about this and I know they cannot help me out anyway. They'd be too upset.

Anyways, he said that I could be taken to court for not paying my debt. I don't even have any assets or a job! So he asked if I would be able to do anything and I told him I could just do $100 for now. I don't think I should have done anything and I probably should have asked him not to call me and to write to me instead. I want to pay off my debt as soon as I get a job but I don't know what to do now. He wanted to set up payments so that I would pay off my debt by the end of this month. I've only done that $100. I don't even owe over $1,000. I had a $500 limit and had overdue and overlimit fees that built up and led me to this point.

Do you guys have any advice on what I should do? I really cannot do anything. I'm broke, jobless, and can't borrow from anybody. Please give me some advice!

[Meenuh]

I'm sorry i've never had any experience with debt collectors before but I do know someone that does. Out of curiosity, why did you just decide to not pay anything at all for awhile? I mean, you could have atleast payed the min payment which probably would have been around $10. In any case, what's done is done.

I remember there was a guy that said he could help him with his debt. Apparently there are people whose jobs are to get people out of debt. Sorry i'm oblivious to these types of things.

First things first ... get a job.

[Phaze5ive]

Unless you pay off that debt, your credit score will be f*ed up worse than it is already. If you have some other card, use it to pay off this card. Otherwise, working is your only solution.

[Ogihara_Hideki]

I can understand how urgent this matter seems. However, don't panic as a $1000 collections debt is far from unmanageable. The next best option to pursue is to try and settle with your collections agency. Tell them about your situation (unemployed etc) and always communicate with them. Ignoring them will not make them go away.

Sometimes when they determine that you won't be able to pay what you owe, they may even settle your debt for a lesser amount of money (i.e. the original amount of $500) The key is to talk to them about it. I doubt they will take you to court over $1000 but you never know these days with the credit crunch. Credit companies and banks are doing as much as they can to get their money back.

I hopefully assume that this is your first credit card? Because with a $500 limit your minimums wouldn't have been that much to keep your account in good standing. I know plenty of people that blew off their very first accounts and found themselves in similar situations. Best of luck and I know everything will work out for you. Even if you think you have no one to borrow money from, try your family first. They are the best 1st option and usually collect no interest from what you owe them.

[Meenuh]

Unless you pay off that debt, your credit score will be f*ed up worse than it is already. If you have some other card, use it to pay off this card. Otherwise, working is your only solution.

Ialways wondered if you could do that. Just pay your credit card off with another card and keep going back & forth like that. Lol.

[sasuke-kun]

Ialways wondered if you could do that. Just pay your credit card off with another card and keep going back & forth like that. Lol.

these days, probably not as common due to most banks decreasing credit lines, increasing interest, closing credit cards.

i have a cousin who put like 30 grand on credit cards and all he did was transfer the balance onto a new one. dunno what happened to him. eventually it will catch up and its game over.

[CatGoesMeow]

Ok so I'm pretty scared right now. I opened up a credit card with Washington Mutual about 2 yrs ago. I ended up not being able to make enough payments and stupidly ignored it for a little bit thinking that I would have enough money at some point to pay it all off. It obviously didn't happen and now my debt has been turned over to debt collectors. This one guy has been calling me and he actually called my dad twice! I don't even know how he got his number! I don't want my parents to know about this and I know they cannot help me out anyway. They'd be too upset.

Anyways, he said that I could be taken to court for not paying my debt. I don't even have any assets or a job! So he asked if I would be able to do anything and I told him I could just do $100 for now. I don't think I should have done anything and I probably should have asked him not to call me and to write to me instead. I want to pay off my debt as soon as I get a job but I don't know what to do now. He wanted to set up payments so that I would pay off my debt by the end of this month. I've only done that $100. I don't even owe over $1,000. I had a $500 limit and had overdue and overlimit fees that built up and led me to this point.

Do you guys have any advice on what I should do? I really cannot do anything. I'm broke, jobless, and can't borrow from anybody. Please give me some advice!

The ball is in your court.... Your credit is already down the drain.. All they can do is keep on haggling you and calling you for payment. In the end they may settle if your debt is 1000.00 you can probably settle on half that. Which your debt would be considered settled. Yet you would still have to live with your POS credit.. MY ADVICE When they call you tell them your situation if they want any payment at all if they could make a easy payment plan with you... or settle for a lower figure.

I doubt they will take you to court.. There are thousands of people defaulting on balances upwards of 20-30k, going after one minor balance would be a waste of resources on there part.

Nicee buying things you cant afford..

[aznprincess08]

like everyone before me has said, you should just talk to the collector and they will probably settle for less (minus interest payments, etc)but ONLY if they absolutely do not think they can get payment from you. however, since you only owe like what, $1000? they will probably haggle your parents until they pay. are you a dependent? considering that you do not have a job or any assets than i am assuming you are so the best thing you can do is tell your parents and they should be able to support you for $1000. my advice is you shouldnt be worried about getting in trouble or getting upset because the longer you drag it out, the worse it gets.

you probably already know this, but i agree with the person above me. don't ever spend more than you can pay for! its stupid since interest and fees just keep accumulating and you are paying more than you even did initially. also... this is why the US is in a credit crisis right now because a lot of people are in your position but with debts that are probably 100 times the size of yours.

[love.is.red]

Thanks for the replies everybody.

I didn't really ignore the collector. I did talk to him before but he kept saying that I could be taken to court. He was polite about it but I think he's bluffing now. Apparently collectors do this. I also learned that they could really take me to court but I don't have any assets or a salary and I just let him know that I will pay it off as soon as I get a job. He just kept insisting that I borrow money. Trust me, there isn't anybody for me to borrow money from. You would think I should ask my parents but they already have a tough situation. I'm aggressively looking for a job right now and wanting to pay all my debt off asap. My debt is less than $1000. I know...I have myself to blame for not being careful enough. I was in college and needed it to pay for utilities, food/groceries, etc. My parents struggle enough themselves and I hated asking for money. It's not like I was blowing it off on shopping either. I just made the minimum $20 but I stupidly kept using the card bc I would get desperate. Bah, hopefully my credit isn't too horrible. This was my first credit card and I have not since used another one.

So I talked to him today and I told him that I would get back to him as soon as I can pay the debt. He seemed ok about it but I'm sure it's part of his job (and for the bonuses) to get me to pay something. He just mumbled a bunch of stuff really fast and left it at that. Ok well, here's to hoping I find a job asap to pay off my debts and college loans. Thankfully they don't add to a crazy amount. Thanks for the responses!

[angelxglo]

yu can always go to debt liquidation centers. they will work with your debitor to decrease the amount and lower you interest rate.
but in your case, since its already been turned over to the debt collectors could be different, but i would still go and consult cuz they can help lowering your debt.

[4ever_sweet]

My sister is in a similar case, but she's in about 10 grand in debt. For my sister, the debt collectors called home, my mom's work, my sister's work place no matter how many times she switched jobs, etc. So DON'T IGNORE the calls. They will always find you no matter what.

Definitely tell them your situation and find a payment plan that you KNOW you can commit to. Plus, I don't know why you are so scared to ask your parents for 1K. They are your parents, they are supposed to help you. Also, just assure your parents it's nothing serious and you'll pay your parents back when you can. The nice thing about loaning from parents is that they won't charge you interest...and they won't really be expecting you to pay them back. Good luck! Seriously, consider asking your parents for help.

[Phaze5ive]

This reminds me of an incident back when I was 12. I ordered some magazine and never paid the subscription fees. They turned me over to a debt collector and they (the collectors) mailed me constantly demanding payments. I'm not sure if they knew I was 12, but eventually (after about a year), they stopped.

Sweet, sweet memories. Now school takes all my money I guess that's life. Someone's always after your money.

[zaq112]

Read the FDCPA at http://www.ftc.gov/os/statutes/fdcpajump.shtm . It tells you all you need to know about what a debt collector can/can't do. The best thing to do is the pay the balance in full. A thousand dollars really isn't that much when it comes to debts. If you decide to take a settlement and your credit is checked it will still show a balance. It won't show that it's owed but in certain circumstances sometimes whoever your dealing with (like trying to buy a house) will want for the whole thing to be paid. Another reason it's better to pay in full is if you do settle and you end up needing to pay the remaining balance it can actually be a hassle getting that to happen. They aren't allowed to call your work place if you tell them not to. Some places will stop calling if you just tell them not to call that phone number again. Other places need a letter. If you don't want them to contact you at all write a cease and desist letter and let them know you will be sending in payments. Make sure to keep a copy. If they break any of the FDCP tell them you're going to write to the Fedral Trade Commission and your attorny general. And actually do it so they know you're serious and that you know what you're talking about.

As soon as you get a job start sending in payments. Before breaking off ties with the collection agency ask them if they have a website you can make payments on. Also ask them when the debt will be leaving their office and going to another company. If you want to stay on somewhat good terms with at least one person tell them that you don't want to be contacted and will be writing a cease and desist letter but will call whenever you send a payment. Get that persons name and ask for them each time. If you're sending a payment by western union make sure to get all the info on how to do that and call back with the mtcn#. Make sure to keep ALL receipts. If sending a check call back with the check#. Write down all info when making payments. You may need it later to prove you made payments. Keeping in touch with one person may make them easier to deal with (especially if your payments are coming in on time) and they will be more willing to help you out with things like getting a receipt sent to you.

[kpxkimcheexyoja]

you should ask them if they are hiring so you can get a job to pay back your debt! my coworker's boyfriend worked for a collections agency and they do get pretty persistant because they need to make their quotas or else they get fired. A bit of good news for you is that if they do keep calling your house, they can't tell your parents WHY they keep calling you. Like everyone else is saying, just tell them to stop calling you and that you will contact them. If they continue to call, technically, it's harassment! My advice to you is that you see if they'll settle for the original debt, and make payment arrangements. Sometimes they'll try to play hardball and scare you with empty threats of taking you to court and blah blah blah. But look at it this way, you already said you don't have a job OR ANY ASSETS! what are they gonna do? take a pound of flesh? Tell them you'll make payments towards your debt once you get a job. It sucks that you accumluated debt, but at least it's not an impossibly huge amount. And at least you're learning your lesson. I suggest that once you get a job, save a small chunk of money from each paycheck and put it in a savings account so that way you have a small amount of money for emergency situations or when you're between jobs. And look on the bright side: they can't harass you! so if they start to make all these crazy threats against you or whatever, record and report them!

[Yubumsuk]

Ok so I'm pretty scared right now. I opened up a credit card with Washington Mutual about 2 yrs ago. I ended up not being able to make enough payments and stupidly ignored it for a little bit thinking that I would have enough money at some point to pay it all off. It obviously didn't happen and now my debt has been turned over to debt collectors. This one guy has been calling me and he actually called my dad twice! I don't even know how he got his number! I don't want my parents to know about this and I know they cannot help me out anyway. They'd be too upset.

Anyways, he said that I could be taken to court for not paying my debt. I don't even have any assets or a job! So he asked if I would be able to do anything and I told him I could just do $100 for now. I don't think I should have done anything and I probably should have asked him not to call me and to write to me instead. I want to pay off my debt as soon as I get a job but I don't know what to do now. He wanted to set up payments so that I would pay off my debt by the end of this month. I've only done that $100. I don't even owe over $1,000. I had a $500 limit and had overdue and overlimit fees that built up and led me to this point.

Do you guys have any advice on what I should do? I really cannot do anything. I'm broke, jobless, and can't borrow from anybody. Please give me some advice!

I moved to Korea and then the calls stopped coming. Now I have a Korean credit card. I plan to use it to pay the bankruptcy consultant when I visit Canada next year, lol.

But for less than $1,000??? Do you have any idea how many bigger - way bigger - fish they have to fry? (me, for instance). NO ONE is going to go to much trouble over a three-digit number. Tell him that if they're willing to reduce your interest rate you'll pay it back in three months and that if they don't they can take you to court.

Or just use call display and don't answer the phone unless you know who's calling.

[slimjim]

You owe too little for them to take you to court. First you really should get the exact amount owed. The bad thing is that you already paid 100 dollars which just told the collector that you can pay if he pushes you enough. Collection agencies buy debt for cheap, so if you owe $1k, they probably paid less than 300 for your debt.

Tell them you have no job, you can't make payments to keep your phone line, and you are not sure if you can keep up with your current rent. Anything to make the guy think you have no ability to pay to lower his expectations.

I'd suggest avoiding debt-help type companies that charge money, since their only goal is to charge you money and you're better off using that money to pay off your original debt.

There's not much difference between a charge off and a charge off with settlement, so don't worry anymore than you have about your credit score. $1k chargeoff's pretty small anyway.

Until you have a job, don't pay the collector anything else--you have no money. The phone calls will stop eventually.

[inthesoul-k]

I saw 2 people suggest you pay off your current debt with another credit card. THAT IS THE MOST INSANE THING YOU CAN DO...in a situation like this. Don't spend what you don't have. First finda job and just work out a payment schedue with debt collector. How come your afraid to tell your parents. I dont know what your parents are like but a easy solution would be to ask them to pay off the debt for you. That way your debt won't keep increasing which can ruin your credit score and make it harder to pay back. If your parents paid it for you, than you could pay them back without any worries.