Called Creditors Today

[deepinit]

I called 5 CC companies, a company I had a unsecured line of credit with and my 2nd mortage holder and told them that I had retained an attorney and was in the process of filing BK.
I was shocked - they were all very civil and almost matter of fact about it.
I gave the attorney info and that was that.
Hopefully all of the calls stop or at least die down very soon.
I kept putting this off because I have read horror stories about how the creditors treat people but I had none of that and honestly for some reason it felt kind of liberating to tell them.
The process has begun for us and I am slowly coming to terms with the reality of BK.

Hopefully this is helpful to someone that is feeling less than confident about making the first call and worrying about getting beat up by the creditor.


90k in CC and Line of credit debt
48k 2nd mort.
filing chap 13 in about a month and hope to be finished with the process except payments by the end of summer
I was told I would be on a 36 month plan with 0 back to creditors.
all unsecured debt and current on house

[ryan]

90k in CC and Line of credit debt
48k 2nd mort.
filing chap 13 in about a month and hope to be finished with the process except payments by the end of summer
I was told I would be on a 36 month plan with 0 back to creditors.
all unsecured debt and current on house

Shows how much I know about CH13...how can you pay for 3 years and the creditors get zero????

[deepinit]

my attorney said it would be about $80 per month - that is for finishing paying for him and the trutee - that will be the plan if I can pay for my car out of the plan - if I cant pay for it outside of BK it will be 5 years and about $450 per month.
I am hoping for the first option though.

[epiphany]

I called 5 CC companies, a company I had a unsecured line of credit with and my 2nd mortage holder and told them that I had retained an attorney and was in the process of filing BK.
I was shocked - they were all very civil and almost matter of fact about it.
I gave the attorney info and that was that.
Hopefully all of the calls stop or at least die down very soon.
I kept putting this off because I have read horror stories about how the creditors treat people but I had none of that and honestly for some reason it felt kind of liberating to tell them.
The process has begun for us and I am slowly coming to terms with the reality of BK.

Hopefully this is helpful to someone that is feeling less than confident about making the first call and worrying about getting beat up by the creditor.


90k in CC and Line of credit debt
48k 2nd mort.
filing chap 13 in about a month and hope to be finished with the process except payments by the end of summer
I was told I would be on a 36 month plan with 0 back to creditors.
all unsecured debt and current on house

Good for you. During my BK, I actually found it easier once talked to my creditors and told them of my BK. Most of mine were civil too but I did have a couple of doozies.

Hmmm....Is doozies really a word?

Good luck and glad you have gotten rid of some stress.

ep

[Brazzy]

When you call the creditors to inform them of retaining an attorney for BK your best bet is to try to get a number to their group that handles bankruptcy filings. They will have people who handle phone calls, but they are not collectors. They may ask questions about the BK filing, the chapter and the intentions, and will be pretty knowledgeable about it but thats about it. If you call the collectors to talk them you run the risk of them trying to do their job, which is to collect a debt.

[epiphany]

When you call the creditors to inform them of retaining an attorney for BK your best bet is to try to get a number to their group that handles bankruptcy filings. They will have people who handle phone calls, but they are not collectors. They may ask questions about the BK filing, the chapter and the intentions, and will be pretty knowledgeable about it but thats about it. If you call the collectors to talk them you run the risk of them trying to do their job, which is to collect a debt.

Sure you run the risk. But the majority of them are well trained and will respect the fact that you are filing and not try to collect from you once they know provided that you give them the name and number of your attorney.

It's the JDB's (junk debt buyers) that don't care--and they are willing to violate the FDCPA at any cost. They are counting on you not knowing the laws. And on your fear.

ep

[Brazzy]

Its just a tip from a creditor to save you a headache.

[epiphany]

ah, well thanks. Headache was relieved a while ago but I appreciate that.

ep

[ohiogal]

I only had to tell two of my creditors - I only contacted the ones who were calling me. Both were very polite about it, and really it shouldn't have come as a shock to ANY of my creditors, as I'd closed out their accounts and had been on payment plans for over a year.

Unfortunately, when those plans expired nobody had anything else to offer me, so I had to file BK.

It seems to me that if ALL credit card companies just agreed to not charge interest on their balances for a year, a LOT of people would be able to get out of debt without having to file. Your balance goes down a lot faster when you're not paying interest, and really, interest is pure profit anyway. Wouldn't most CC companies rather get something than nothing? (which is what they're getting from me since I filed Chapter 7).

CC companies are as nonsensical as banks with mortgage loans, IMO - they'd rather see you file BK, or foreclose, than take less than 100%. OK, then, you guys, take nothing. Foreclose, force debtors to file Chapter 7, and you don't get a dime. How does that make sense? I don't get it...

[nc73]

I only had to tell two of my creditors - I only contacted the ones who were calling me. Both were very polite about it, and really it shouldn't have come as a shock to ANY of my creditors, as I'd closed out their accounts and had been on payment plans for over a year.

Unfortunately, when those plans expired nobody had anything else to offer me, so I had to file BK.

It seems to me that if ALL credit card companies just agreed to not charge interest on their balances for a year, a LOT of people would be able to get out of debt without having to file. Your balance goes down a lot faster when you're not paying interest, and really, interest is pure profit anyway. Wouldn't most CC companies rather get something than nothing? (which is what they're getting from me since I filed Chapter 7).

CC companies are as nonsensical as banks with mortgage loans, IMO - they'd rather see you file BK, or foreclose, than take less than 100%. OK, then, you guys, take nothing. Foreclose, force debtors to file Chapter 7, and you don't get a dime. How does that make sense? I don't get it...

If they did that more people would default in hopes of CC companies dropping their fees and rates. It just isn't that easy.

[deepinit]

Its nice to have a quiet home phone!!!! its only been a few days but my God what a relief!!!!! no more 8:00 a.m. wake up calls for my family - or 8:59 p.m. good nite calls. I'm keeping my fingers crossed that this doesn't change.

[epiphany]

Its nice to have a quiet home phone!!!! its only been a few days but my God what a relief!!!!! no more 8:00 a.m. wake up calls for my family - or 8:59 p.m. good nite calls. I'm keeping my fingers crossed that this doesn't change.

Ah, the beginning of the end. Enjoy it. It will only get better from here.

ep

[workingboy]

I was amazed at how fast the calls stopped after I filed! In fact, it's been so quiet that I picked up the phone yesterday just to make sure it was working ;-)