Have U renogiated credit card debt when minimum payment got too high? Do they take your card away,

• Have U renogiated credit card debt when minimum payment got too high? Do they take your card away, - freeze it, and/or raise the interest? Thx. nm

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http://www.cccsatl.org/index.asp?_method=view&sc=43&cn=486&md=debtmanagement

Here's what you want to use...  It is called Consumer Credit Counseling Services.  They are legit.  Now back when hubs and I did it about 15 years ago, there were no computers, per se, so we went on site to an office.  I don't know what state you're in or if there is an office local to you, but it looks like you can do this online. 

We did it, completed it, and it was great.  However, they cut your credit cards up in front of you and put them in a huge jar (at least they did back then).  Once you join, there are no more credit cards.  What CCCS does is works with your creditors to reduce interest rates, payment size, etc. because they are networked.  You then make one lump payment to CCCS and they disburse the money.  They also take into consideration your income.  I think that's what makes it all work.  Also, this is what tells them how long it will take to pay off the debt.  Just beware though that if you are "behind" on payments, sometimes certain creditors do not accept CCCS, so they may hassle you still and some just plain won't accept CCCS's offer. 

Believe me, even though we are not late on payments, we had in the past 3 years so much personal stuff go on (sickness, death, etc.) that we have racked up some debt ourselves and may try CCCS again, as one card we have raised the rate to 33% interest because we have a high balance.  We make regular payments.

All in all, it's a great plan and it does work, but you no longer have credit cards (they close the accounts), and you will have a "bad mark" but yet a good mark on your credit report for using CCCS.  Check with them about that though, as I do not know the specifics.  It is way better than bankruptcy...

Hope you find some relief soon!  My thoughts are with you...  I'm not judgemental because I've been there and done that. 

If there is anyone out there who has been sued and had a judgment placed for credit card debt....

What happens when you go to court??  I don't own a house and live week to week (part-time IC, not very supportive husband) so they can't get blood from a stone so to speak.  But I was wondering if anyone has gone to court and what actually happens. 

Part of article:

Credit cards have long been a very good deal for people who pay their bills on time and in full. Even as card companies imposed punitive fees and penalties on those late with their payments, the best customers racked up cash-back rewards, frequent-flier miles and other perks in recent years.

Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.

We pay off our balance every month. If they do this (punish those who have sterling credit) Ridiculous!! I'll stop using my CC and pay by cash or check.

So much for reform.

Especially when I never use it anyway, and really never wanted it?

With all the bank rearranging going on in the past few months, one of my accounts was tranferred to Bank of America. I was sent new cards and a new agreement, new interest rate etc...

So I called them up and cancelled but before they did, I had to listen to a spiel about how this would negatively affect my credit report.

Huh?? Why is that?

Get this, I haven't used my Providian/Washington Mutual credit card in quite awhile.  I got the new credit card in the mail to take over for the old one, and I thought I would give the company a call to find out what the interest rate was on it.  So after reaching India of course, I asked for someone in the United States, was put on hold for 4 1/2 minutes and then disconnected.  So I call back, go through the 15 prompts and get someone from the Phillipines.  The interest rate on my card is 31.8%  Yep you are reading that correctly - 31.8%. 

I am passing this information along because I am livid at the fact that the interest is 31.8% (which, by the way, neither person on the other end of the phone said "let's see what we can do to lower this.), and because TWO countries have this credit card's business and people in the US are working 2-3 jobs to make ends meet.  I know this has been an ongoing discussion about offshoring, but I was more angry at the fact that it is 31.8% and that no one offered to lower the rate, even after inquiring about it.