How to Stop a Credit Card Wage Garnishment
We live in difficult financial times. Many people have lost their jobs and are either jobless and survive on savings and jobless allowances as they are forced to do jobs that are well below their qualification. The inability to pay off debt such as credit cards and mortgages has never been higher and the situation is quickly becoming grave.
With more bad debts, the credit card companies have been getting stringent in their ways and are a lot more bullish in debt recovery than they previously were. The situation is not at all hunky dory. With credit card companies having the option of going to court and be able to get a part of your salary as a debt collection method, you can be in for further financial trouble.
If you are in a situation where you are unable to settle your credit card bills on time, you are at a risk of the above mentioned situation, which is known as the credit card wage garnishment. Avoiding it even in tough times is quite possible and one has to be active to be able to achieve the goal.
Instructions
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1
Contact the Credit Card Company
Contacting the credit card company should always be the first step you take in a situation like this. Call them and explain the whole situation. They do not like to drag you or themselves into legal trouble and are often more than willing to help you out. An early contact can save you from a lot of headache later on.
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2
Get an Offer in Writing
If the creditor is willing to accommodate and is offering an alternative plan of payment, whether in parts or in full, make sure that you get it in writing. This will help you a great deal as once you have a written commitment from the company providing you with credit card services, they cannot sue you during that amount of time. If they do so, you have all the proof you need to get the case struck down.
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3
Follow the Plan
Make sure that you follow the plan that you have settled with the company. If you are failing to do so, you provide them with every reason to go after the litigation route. If possible, pay a little more than what was decided to get out of the hole.
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4
Make it a Priority
Paying off your debt should be a priority. This will not only save you from a permanent cut in pay as well as a bad credit, it will save you loads of money in APR payments over a long period of time. If you have to cut corners on other expenses, so be it. You are actually going to save by making the payments on credit cards a priority.
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