Walking away from a credit card?

[ortiz34]

My buddy is going through a divorce right now.

He is refinancing his mortgage to buy her out of the house. After that is all wrapped up he wants to walk away from his 15K in CC debt.
Anyone know what his consequenses could or would be with other creditors? This is all on one card, but he has three or four others with very little balance.

I had no idea on how to advise him on what to do.

 

[shrimp poboy]

He wants to walk away from it or consolidate it all into one loan?

 

[musclemom]

My buddy is going through a divorce right now.

He is refinancing his mortgage to buy her out of the house. After that is all wrapped up he wants to walk away from his 15K in CC debt.
Anyone know what his consequenses could or would be with other creditors? This is all on one card, but he has three or four others with very little balance.

I had no idea on how to advise him on what to do.

If I understand what you're saying, he's refinancing the house to buy her out and plans on letting the card just lapse? Stupid if he's the primary on the card. He'll still trash his credit. Really stupid if he's going to be the one keeping the house, what if something really big blows up, like the roof or furnace? Plus if he blows off the one card the rates on his other cards, even if he pays them in a timely fashion, can shoot through the roof.

For a pissant amount like 15k, include that in the refi and pay it off. Better to keep a clean credit record and low interest rates.

 

[ponyfitness]

If his credit is already screwed then what is a little bit more? However, if he walks away and writes it off he screws himself for a long time in terms of getting another one.

 

[puddlemonkey]

fucking americans and their sense of entitlement

 

[HAYEZ]

nothing wil happen but phone calls to harass him

i wouldnt let the card go tho if he has good credit...id trya nd refinance house for more to pay that off to

 

[PICK3]

nothing wil happen but phone calls to harass him

knot so sure about that ... if he has the means to buy the ex out of the house they can go after any assests he has

Or, after a judgement they can garnish wages

 

[joe d]

they cant do anything other that to call several times per day, put it on his credit report, and get a judgement so if he sells the house they will get their money first. he wont be able to finance a big mack until its settled.

he cant be imprisoned or anything.

 

[joe d]

knot so sure about that ... if he has the means to buy the ex out of the house they can go after any assests he has

Or, after a judgement they can garnish wages

i dont know about everywhere else but in maryland this is not true.

 

[samoth]

fucking americans and their sense of entitlement

TITCR

People don't want to be responsible for their actions. I think they should consider it on par with robbery and lock these idiots up in prison for doing this.

 

[PICK3]

i dont know about everywhere else but in maryland this is not true.

Sure it is

 

[shrimp poboy]

knot so sure about that ... if he has the means to buy the ex out of the house they can go after any assests he has

Or, after a judgement they can garnish wages

Arent you the little Suzy Orzman Today^^^^^^^^

 

[bakemeacookie]

Just pretend he's a bank and wait for Obama to bail him out

Funny how companies can do it and it's a positive financial method - and when consuemrs do it - they're demonized lol. Credit is the big scam on america. Say fuck it and avoid credit all yoru life. If u buy a house just put more money down which is easy since u'll be $15k (plus interest) up already.

c

 

[shirlene29]

knot so sure about that ... if he has the means to buy the ex out of the house they can go after any assests he has

Or, after a judgement they can garnish wages

and....in worst case scenario....add a lien to the house


if i was in that position and earned a steady paycheck(Im assuming the bor works?)

I think id contact the CC companies to negotiate freezing the tradeline, lowering the rates or changing the min
then take out a loan through my credit union to consolidate debt...and freeze the cards

fuck fighting for deletions or rebuilding your credit...been there, done that and it sucks

 

[-SD-]

Roll the cc up into the house refi and pay it off.

 

[joe d]

Sure it is

in maryland a creditor can not get a wage attachment or a court ordered payment of any kind other than if you sell property they get their money before you get yours. thats it.

 

[PICK3]

in maryland a creditor can not get a wage attachment or a court ordered payment of any kind other than if you sell property they get their money before you get yours. thats it.

wrong

State wage garnishment and attachment rules


21. Maryland Wage Garnishment

Disposable wages are defined as the amount of wages that remain after mandatory deductions required by law, plus medical insurance payments. The amount exempt is the greater of 75% of disposable wages, or $145 times the number of weeks in which the wages were earned (in Caroline, Kent, Queen Anne's and Worcester 30 times the federal minimum hourly wages due under the Fair labor Standards Act.) (Annotated Code of Maryland, Commercial Law Article Sec. 15-601.1)

 

[joe d]

wrong

State wage garnishment and attachment rules


21. Maryland Wage Garnishment

Disposable wages are defined as the amount of wages that remain after mandatory deductions required by law, plus medical insurance payments. The amount exempt is the greater of 75% of disposable wages, or $145 times the number of weeks in which the wages were earned (in Caroline, Kent, Queen Anne's and Worcester 30 times the federal minimum hourly wages due under the Fair labor Standards Act.) (Annotated Code of Maryland, Commercial Law Article Sec. 15-601.1)

lol. i love those sites. try going through a .gov or better yet the cecil county court. i am positive as my niece is thousands in credit card dept and has gone through her lawyer with this during her divorce stuff.

 

[shirlene29]

I dunno....that site has Ct's wage garnishment rules spot on


weird(and not) to me that child support wage garnishment is so much harsher...
theyll take your whole check if they feel like it, but usually restrict themselves to 30% of gross

 

[-SD-]

I dunno....that site has Ct's wage garnishment rules spot on


weird(and not) to me that child support wage garnishment is so much harsher...
theyll take your whole check if they feel like it, but usually restrict themselves to 30% of gross

Why? "Its for the children"

 

[joe d]

maryland is tough on the chils support. not that i always disagree some situations seem just others seem pretty shitty. im glad im in neither of them.

 

[shirlene29]

maryland is tough on the chils support. not that i always disagree some situations seem just others seem pretty shitty. im glad im in neither of them.

yeah ditto...

I wound up having to go through support enforcement for my oldest after ohhh 6 years of no support or help for her with basic needs of any kind.

theyre ruthless, support enforcement
They wanted to take away his drivers license, hunting license, fed tax return and full wages until it was paid.
I was like, uhm, then hows he gonna survive to go to work to pay his support, plus he has other kids...this seems excessive.
Then they fed program skims some of the support for their services and pays the custodial parents on a schedule of "when they feel like it"
Plus they take their fees out and hold it for however long they deem nec.

good times,
I have big conspiracy theories about this and paternity fraud perpetuated by the judicial system.

 

[PICK3]

lol. i love those sites. try going through a .gov or better yet the cecil county court. i am positive as my niece is thousands in credit card dept and has gone through her lawyer with this during her divorce stuff.

Why didn't you explain your niece was in cc trouble? That supersedes all civil codes

Just admit you were wrong and try to move on with your life.

 

[joe d]

Why didn't you explain your niece was in cc trouble? That supersedes all civil codes

Just admit you were wrong and try to move on with your life.

nice lol. well im not going to argue. have a good night.

 

[HAYEZ]

well i walked away form 23000 in credit card bills and i couldnt be happier...lucky you guys paying your bills where there to pick up my tab!!!!! you guys supported many of my 400 bar tabs 4 times a week...

thanks again fellas!


7 years from now ill do it all over again

 

[-SD-]

well i walked away form 23000 in credit card bills and i couldnt be happier...lucky you guys paying your bills where there to pick up my tab!!!!! you guys supported many of my 400 bar tabs 4 times a week...

thanks again fellas!


7 years from now ill do it all over again

so how exactly does this work broski. i assume youre filing bankruptcy every 7 years? arent you fucking your life up by doing that or have you figured out a way to live in the USA by having your credit not matter at all?

 

[HAYEZ]

so how exactly does this work broski. i assume youre filing bankruptcy every 7 years? arent you fucking your life up by doing that or have you figured out a way to live in the USA by having your credit not matter at all?

i was just talking shit..i know thee people get all owrked up over people not paying bills..lol

after 7 years all debt is wiped clean and you have frsh start..if you file bankruptcy it stays longer..best just not to pay anythign and its gone

 

[-SD-]

i was just talking shit..i know thee people get all owrked up over people not paying bills..lol

after 7 years all debt is wiped clean and you have frsh start..if you file bankruptcy it stays longer..best just not to pay anythign and its gone

if we wait long enough obammy will pay it off for all of us.

 

[PICK3]

i was just talking shit..i know thee people get all owrked up over people not paying bills..lol

after 7 years all debt is wiped clean and you have frsh start..if you file bankruptcy it stays longer..best just not to pay anythign and its gone

As long as you don't have any assets they can attach, or a steady job that may lead to garnishment

 

[HAYEZ]

As long as you don't have any assets they can attach, or a steady job that may lead to garnishment

in florida they cannot garnish wages..so theres nothing they can do but call and harass you

 

[PICK3]

in florida they cannot garnish wages..so theres nothing they can do but call and harass you

knot true

if the creditor gets a judgement against you he can still attach/put liens on your assests and future assests for the duration of the judgement

 

[puddlemonkey]

You know too much about this Pick, do tell.

 

[PICK3]

You know too much about this Pick, do tell.

maybe before I became a mature, responsible adult ... maybe I got into a little cc trouble

 

[miplank]

maybe before I became a mature, responsible adult ... maybe I got into a little cc trouble

unpossible!

 

[PICK3]

unpossible!

I know

 

[jnevin]

TITCR

People don't want to be responsible for their actions. I think they should consider it on par with robbery and lock these idiots up in prison for doing this.

Georgia was a debtors' prison originally.

 

[jnevin]

Judgments never go away. They'll be the first lien against any real property or auto, anything secured. Sometimes your accounts can be levied, and they can garnish your wages. This is after a judgment though, not just collections. Also, 7 years isn't an accurate timeline. Collection agencies will buy stale accounts from each other, keeping them open and the account active. He should pull out enough to either cover it or pay a chunk of it down so he can manage the payments. FHA loans will allow him to pull cash out to 85% of the appraised value.

 

[HAYEZ]

Judgments never go away. They'll be the first lien against any real property or auto, anything secured. Sometimes your accounts can be levied, and they can garnish your wages. This is after a judgment though, not just collections. Also, 7 years isn't an accurate timeline. Collection agencies will buy stale accounts from each other, keeping them open and the account active. He should pull out enough to either cover it or pay a chunk of it down so he can manage the payments. FHA loans will allow him to pull cash out to 85% of the appraised value.

7 years after last contact or payment is when its erased...i had over 10000 of collections accounts erased this way..just because they sell the debt to another person doesnt restart the timeline...if they rereport it you fight it and its removed once the bureaus verify...

 

[shirlene29]

thats how the rules are SUPPOSED to be, this is not always how they roll

Ive seen shit n my own report show up again AFTER THEY'VE BEEN PAID
they sell a bad debt to another company, it gets a new new account number...voila, the clock starts again
and shit will only come off if you dispute it....just ask the 29 dollar debt on my report thats 10 fuckin yrs old (I dont even know wtf it is)


not getting in that situation to begin with and watching your reports for errors is the only way to avoid this shit

 

[musclemom]

Divorce, particularly with kids and real estate involved, is a shit sandwich no matter how you slice it. I just don't think $15k justifies the potential long term headaches. I say, do what you gotta do to start with a clean slate, and if that means taking out a bigger long term loan BFD. You pay a shitty $50 or $100 extra (consistently) every month against the principal and it is amazing how fast you can knock that bitch down relatively painlessly.

 

[ortiz34]

Thanks for all your help
I guess he is going to try and pay down at least half with the refi and pay the rest off.
He has a 750 credit rating so he would be causing himself harm there.
I just didn't know the laws and wanted some input seeing as I am trying to help him.