In 2005 as an undergrad, i got a payday loan. I paid the extension fees for about 3 months and i was unable to pay any further because of financial problems. They try to take the extension payments several time that it landed me in debt of about $1200. The bank to me to collection and i got the debt down to $510. I called the collection agency and they refuse for me to pay a smaller amount in full, this way my account can be closed. I recieved a letter from the Marion county small claims that i am being sued. Now in this case what is the best thing i can do? Should i just find a way to pay them or should i risk going to the court? Would they garnish my wage and based on what do they garnish because i only work part-time? Any advice will be appreciated.
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.