Any alternatives to bankruptcy

Help with eliminating and paying debt, including credit card debt and medical debt.
Post Reply
Girl34
Posts: 22
Joined: Thu Mar 22, 2012 3:48 am
Antispam check: Dog
Antispam check: two
Contact:

Any alternatives to bankruptcy

Post by Girl34 »

I received a phone call today from a collection agency stating that I owed a medical provider $1000.00. The agency asked me to set up payment arrangements, stating that they had verified my employment through my social security number (is that legal?). The person on the phone told me that I had 12 months to pay the debt off. She said that I could set up payments for 6 months and then we could rework the plan at that time. I explained to the agency that at the present time, I was only able to make payments of $20 per month. The person on the phone told me that they could not accept that. She stated that I would have to pay approximately 25% of pay check in order for them to stop this from going to court and getting an order of garnishment. I cannot afford for my check to be garnished. As it stands now, I am not making it from one pay check to the next. I bring home $1074.00 every two weeks. Out of that amount, I pay a $425.95 car payment, a $372 truck payment (my son's vehicle), $252. for my tractor, $250/month cell phone bill (3 lines...wife, son, myself), and utility bills. My current electric bill is near $400 for one month. It costs me almost $50 per week for gas to go to work on, plus I have to pay for lunch on a daily basis. Also, this does not include groceries and other expenses that come up (I have a teenage son who is active in sports at school). In addition to these bills, I owe for student loans, but they are currently in deferment due to the monthly payment amount being extremely high (over $1000/month). I cannot afford to have my pay check garnished. What can I do other than filing bankruptcy? I have filed bankruptcy in the past and have just now begun to reestablish my credit. Any help you can give will be greatly appreciated. I am in Mississippi.
Admin
Site Admin
Posts: 8840
Joined: Fri Apr 13, 2007 12:42 am
Antispam check: Dog
Antispam check: two
anti spam: Blue
Contact:

Re: Any alternatives to bankruptcy

Post by Admin »

We do have some information that really focuses on medical bills and debts, and the collection of them. Usually doctors and hospitals are not that aggressive in pursuing collection of these debts for a number of reasons, including poor publicity. So read about those medical debt collection laws and regulations. And then you probably want to talk to some non-profit credit counselors in order to get advice and enter into some longer term debt management plans. They may be able to help you lower interest rates and/or settle and eliminate those debts. One quick suggestion...stop buying lunch and brown bag it like many people do.
Girl34 wrote:I received a phone call today from a collection agency stating that I owed a medical provider $1000.00. The agency asked me to set up payment arrangements, stating that they had verified my employment through my social security number (is that legal?). The person on the phone told me that I had 12 months to pay the debt off. She said that I could set up payments for 6 months and then we could rework the plan at that time. I explained to the agency that at the present time, I was only able to make payments of $20 per month. The person on the phone told me that they could not accept that. She stated that I would have to pay approximately 25% of pay check in order for them to stop this from going to court and getting an order of garnishment. I cannot afford for my check to be garnished. As it stands now, I am not making it from one pay check to the next. I bring home $1074.00 every two weeks. Out of that amount, I pay a $425.95 car payment, a $372 truck payment (my son's vehicle), $252. for my tractor, $250/month cell phone bill (3 lines...wife, son, myself), and utility bills. My current electric bill is near $400 for one month. It costs me almost $50 per week for gas to go to work on, plus I have to pay for lunch on a daily basis. Also, this does not include groceries and other expenses that come up (I have a teenage son who is active in sports at school). In addition to these bills, I owe for student loans, but they are currently in deferment due to the monthly payment amount being extremely high (over $1000/month). I cannot afford to have my pay check garnished. What can I do other than filing bankruptcy? I have filed bankruptcy in the past and have just now begun to reestablish my credit. Any help you can give will be greatly appreciated. I am in Mississippi.
bluegourami3
Posts: 41
Joined: Mon Dec 19, 2011 1:50 pm
Antispam check: Dog
Antispam check: two
Contact:

Re: Any alternatives to bankruptcy

Post by bluegourami3 »

They have to accept what ever you can pay. But I wouldn't worry about medical bills if you can't pay them, you can't pay them. They have so many years to sue you for a judgement and usually they don't. Hospitals write them off. I have been in this situation many times, and have never paid off any bills, and they are no longer on my credit report. Every bad debt drops off after 7 years.
Myrlteb
Posts: 2
Joined: Sun Mar 03, 2013 9:16 am
Antispam check: Dog
Antispam check: two
anti spam: Blue
Contact:

Re: Any alternatives to bankruptcy

Post by Myrlteb »

I am a single mom of a special needs teenage son and I have been struggling for the past two years and I am fed up. I am on disability and my son gets his SSI check and it still seems like it is not enough money to go around, I have tried downsizing everything and nothing works. I am mainly in need of rental help. I have to use money for food welfare gives me $26.00 a month. I am also paying all my back credit card bills and was thinking about Bankruptcy. What is your opinion on that? Thanks for listening and help, if any.
Post Reply

Who is online

Users browsing this forum: No registered users and 8 guests