The credit card companies have all gotten judgments against me


The credit card companies (or in some cases the companies they sold the debt to) have all gotten judgments against me, and most have liens on my home, though I have no intention of selling.

Finally in 2008, my bank account was seized even though I only had $50 in it. Realizing at that point that the likelihod that I can ever pay down this debt, which has grown at an alarming rate, was nil, I met with a bankruptcy attorney and was told I was a perfect candidate for chapter 7 bankruptcy, and that I could keep my home and the liens could even be removed. Even though I’d not wanted to go that route, I was so relieved that this financial stress could finally be over–it was the first time I felt like I could really look forward to a future with a little peace and felt energized for the first time in years. I hadn’t even realized just how much this financial mess had effected every area of my life and potential recovery until then.

Then, the attorney told me that because I would have to provide the previous year’s tax return to the bankruptcy trustee, and that my 2007 return showed the sale of the stocks, I would have to wait until January of 2009 to file so the sale of the stocks and distribution of the cash would not come to the attention of the trustee. Come January of 2009, I met with a second attorney who told me that the trustee will sometimes ask for TWO years tax returns, and that if they did, they would of course see the sale of the stocks and would learn of the transfer of funds to my sister and two friends, and that it was possible that the trustee would not only question them, but could try to recover the monies I distributed to them.

I happen to know that in the case of my sister and one friend, they no longer have the original sums I transferred to them as the one friend used a substantial amount to upgrade her home, and my sister used most of hers to pay for her divorce. I advised the attorney that the trustee would not be able to recover all that money, but more importantly that I absolutely could not take a chance that the trustee could cause trouble for these people who have been very good to me, and I now don’t know what to do to try to move forward with my life and get this financial mess behind me

My monthly Disability check barely covers my monthly expenses and I am always behind in everything besides my mortgage which I’m careful to pay on time. I cannot consider selling the house because I’ve learned it will be impossible to get another mortgage or even rent an apartment because of my destroyed credit. Further, my mortgage payments are similar to what a rent payment would be in my area.

I recently contacted the creditor to whom I owe the most ($28k, even though the original debt was $14k). It’s one of those companies that purchased the original debt from the credit card company and has used aggressive tactics to try to collect from me. They advised me that thousands of dollars in additional attorney’s fees were going to be added to the judgment/lien amount and that unless I could come up with $17k immediately, they would not settle.

My house, which is in New York state, is in terrible disrepair, which is why it appraised low enough for me to stay within the state’s $50k equity exemption in order to qualify for the bankruptcy. My nephew, a contractor, has offered to get my house up to par free of charge, which I have put off in order to keep the value low until I know for sure whether I’m going to try to file for bakruptcy.

I just don’t know what to do to resolve this, and am just very confused now. The stress of watching the debt grow and grow has made me ill and unable to function well. I have opened a new bank account but am in constant fear that it will be seized. I have to cash my Disability checks at a check-cashing business to keep money out of my account. I don’t know how much longer I can continue to live like this. I do have $20k in a 401k, which would not be enough money to settle these accounts, and in attending Debtors Anonymous meetings have been urged to not touch the money in that 401k.

Does anyone have any ideas on other options I may have? I am sick over this and feel trapped.

Again, I apologize for the length of this post, but I didn’t know what I could omit and still give the big picture.

Blessings to all.

You didn’t ask for advice


but I’ll give it anyway. File your taxes now. Then track down that statement (call BOA). File an amended return (very easy). (If your interest payments are ~$600/month [you should have some idea what they were] x 3 then your “income” would be reduced by ~$1800. Your tax bill would be reduced by xx% of that $1800 [whatever your tax rate is]. Could be anywhere between $180 and $400. I think that is worth the two hours work tracking down your interest and filing an amended return.

Bankruptcy Complications Question


Hello to the kind members of this very helpful blog!

Please forgive me for making this so long, but my situation is complicated and I would appreciate any advice. It’s gotten terribly confusing and I don’t have a clue what I should do next, and am really in a state of terrible despair.

I’m a 46-year-old single man. In 2003, I became disabled and stopped working and had no income. I used my savings to pay credit card bills and my mortgage until my savings ran out. Although I was approved for Social Security Disability in 2003, I didn’t receive the first payment until 2005, and therefore paid minimal amounts toward my debt during those two years, and all my credit accounts went to collections and my house into foreclosure.

I contacted my creditors who weren’t willing to do anything to help me save my credit. I simply stopped paying all bills as I had zero income. I had about $50k in credit card debt before becoming disabled, aside from considerable personal loans I’d taken years earlier from my sister and two friends who had been waiting patiently for me to pay them back. As my credit score is poor I want to apply for $1000 dollar loan no credit check just to get some money for my regular expenses. Do you think it’s a good idea?

Upon becoming disabled, I stopped using credit and have lived on a cash-only basis, and I have not debted since 2003. I’d never expected my ability to generate income would come to a halt like that, and never imagined I would not be able to pay off all of this debt.

In 2005, I received a large Disability check for a retroactive amount back to 2003, which enabled me to get my mortgage paid up-to-date and get my house out of foreclosure, and I have remained current on that account since.

I tried to make payment arrangements with my other creditors (about 7 credit card companies), and succeeded in only two of the cases and made payments for about 2 years, though the balances continued to grow rather than show a reduction. I would have qualified for bankruptcy but felt it was not a route I wanted to go.

Also in 2005, my father died and I inherited stocks worth about $100k. Since my Disability payments were not enough to live on, I lived partly off the dividends of the stocks, and began paying down the debts to my sister and two friends. I had a consult with an attorney who was familiar with Debtors Anonymous who told me that because that inheritance was essentially my retirement account since I was disabled and might not work again, I should not use it to pay off any credit card debt, which had nearly doubled due to attorney’s fees and penalties etc.

In 2007, realizing that the situation seemed hopeless and my stress level was extremely high, I retained an attorney to try to settle with my creditors. He said that it was only a matter of time before my creditors found and seized the stock account, and recommended I sell the stocks immediately and that since I owed so much on personal loans from family and friends, I satisfy those loans first, which I did. With what little money remained, I did settle one debt, and fixed various long-standing problems with my home, and sadly no longer have a single penny of that stock money. Although I do have an offer from another family member to pay some of the debt if I were able to settle, the attorney did not succeed in obtaining settlements with any of the creditors besides that one.



Since the mortgage was sold to Nationstar last March, I can no longer access my BOA mortgage. It doesn’t even show up in the list of accounts… I’m guessing that had I thought about it a year ago I could have done it. But it’s too late now.

Mailed the check for my 2014 taxes this morning


Can’t find my interest statement for what I paid to BOA mortgage for the first 3 months of 2013, so I’ll just miss that deduction on 2013
taxes. I’ll file those today. Have most of the paperwork to send to Churchill for the re-finance BEF back at $1000(finally!)

A small tax return helped get us on track!


All of our small medical bills are now taken care of. The hospital is paid, the dentist is paid. We’re fixing our credit and I had a sixty dollar item on my credit report I just found out about, supposedly from a cardiologist I saw when I was pregnant. I was suspect since that amount wouldn’t match my copays. I called the creditor since I hadn’t gotten the bill. The debt collector couldn’t find my account for a long time, and when she did, she said the cardiologist had retracted it as an error. They said they had pulled it back from my report, but there it sat, in delinquent accounts. Submitted a dispute and within 24 hours, it’s gone. I know it shouldn’t matter I the long term, but I need to clean this stuff up if we will ever be able to refinance.

And just a quick story to indicate mortgage companies complete incompetence: this week, in this order, we received three pieces of mail: our final approved mortgage modification paperwork to just sign and return; a letter saying we were missing required paperwork; and an initial application for a mortgage modification. Um….messed up.

You just have to laugh….


I only have 1 credit card which was unwilling to work with me a few months ago. They were actually pretty rude about it too, so they went to the bottom of the list.
I’ve made payments every month, but in their world, I have a “past due” of $485, $385 of which is late fees, which they are unwilling to waive.
They just called again. Nicer person, but still the same position.
And I’m like, well guess what? My position hasn’t changed either. I’ll still send you $100 a month, and hopefully someday it will be all better :)
you just gotta laugh. if it wasn’t for the creditors, my phone would never ring 😉

BoA sold my mortgage to them about a year ago


The only thing I could find out about them is that a lot of people weren’t aware of the buy-out “in time” to get their first payment in, and it wasn’t credited and they had rolling late fees. I also read that they were really bad about crediting your payment a few days later so you’d have late fees, so I set my Capital One 360 to pay them on the 25th (due on 1st) and I’ve never had a late fee.

Do they teach basic math anymore?


I have to wonder because I have been going around and around with the company I ordered some embossing folders and dies from nearly a month ago about the amount of refunds they are giving me on out of stock items. The amount differences are not large at all, less than a dollar, but when they become more and more items those pennies add up and if they are doing it to me who else are they doing it to.
Here’s the math. I paid $1.25 each for these items, and had a 25% discount on my total due to a promo code. I also paid shipping for the items.
They are refunding me $.64 and have for the last 3 weeks have sworn up and down first that the difference was 25%, then 30%, then 25%, they a combo of the two. Only I only got the 25% off my original order. Anyway you look at it they are only refunding me a little more than 50%.
I finally got someone with some basic math knowledge today and he kept saying “what the?” every time and every way he did the math. Then when I asked how many other people this had been done to and how big of trouble they were going to be in he said “a lot, and we need to find out where that other $.30 went for each of those items “
Someone in their warehouse is now in deep dog doo-doo. Because they were recording they were giving store credit for the other $.30, but they hadn’t …to anyone. Why does the superman movie come to mind where the guy was putting all those little half cent differences on calculating stuff into his own account? This is not a small company.
So now not only do I have my full refund, supposedly, I will follow up on it. I have additional store credit and some free items headed my way. To thank me for bringing it to their attention.
I know $.30 isn’t much, but it was more than one, and how many other people got hit that way?