I'm new to the forum, so here is my story in brief.
I encountered an overwhelming debt situation with unsecured consumer debt (credit cards) more than 10 years ago. I decided it was a waste of time to attempt paying them down, so I just let go of those cards and payments.
I went overseas on missionary work for 3 years, then returned and have gradually built a modest debt free life this time. I rent, and own 2 old vehicles payment free. I've gradually rebuilt my credit from ashes and even 2 credit cards which I use very carefully. They are a 2 edged sword!
Recently more then 10 years later, I am receiving notices from this scam outfit:
Law Offices of Mitchell N. Kay, P.C. , attempting to offer me a pay off on some of my debts from more than 10 years ago. Statute of Limatations runs out on these kind of debt in 3-4 years in most states. They are at best what is known as a scavenger debt collector. At best that means that they bought the rights to that debt from the original creditor for 2-5 cents on the dollar. At worst they are totally scamming with no rights to the original debt.
DO NOT PAY THEM A PENNY. DO NOT ADMIT TO ANY DEBT. DO NOT AGREE TO A DEBT. DO NOT SEND THEM ANY MONEY.
They are the object of a class action suit right now with lawcash.com.
Please check out that website. There is much free legal help out there. Just search on google and open your eyes.
Beware the scavenger debt collectors and stand up for your rights. They depend on people's fear and ignorance. Don't feed them.
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.